Staff Reporter / New Delhi
India and New Zealand have successfully concluded a historic, ambitious, and mutually beneficial Free Trade Agreement (FTA), Prime Minister Narendra Modi and his New Zealand counterpart Christopher Luxon announced Monday. The announcement followed a telephonic conversation between the two leaders.
Negotiations for the agreement were launched during Prime Minister Luxon’s visit to India in March this year. Both leaders noted that finalising the FTA in a record time of nine months reflects the shared ambition and strong political will to further deepen bilateral ties.
The FTA is expected to significantly enhance bilateral economic engagement by improving market access, promoting investment flows, and strengthening strategic cooperation between the two countries. It will also create new opportunities for innovators, entrepreneurs, farmers, MSMEs, students, and youth across a wide range of sectors in both nations.
With the robust framework provided by the agreement, the two Prime Ministers expressed confidence that bilateral trade would double over the next five years. They also welcomed New Zealand’s commitment to invest about 20 billion dollars in India over the next 15 years.
The leaders acknowledged steady progress in other areas of cooperation, including sports, education, and people-to-people exchanges, and reaffirmed their commitment to further strengthening the India–New Zealand partnership.
In a social media post, Prime Minister Modi said the FTA has set the stage for taking the partnership to new heights and achieving the goal of doubling bilateral trade within five years. He added that India welcomes investments worth over 20 billion dollars from New Zealand across diverse sectors.
Highlighting India’s strengths, the Prime Minister said that the country’s talented youth, vibrant startup ecosystem, and reform-driven economy provide a strong foundation for innovation, growth, and a long-term partnership. He also underlined that both nations will continue to expand cooperation in areas such as sports, education, and culture.