InternationalMonday, 28 September 2026·The Hindu - Economy
India-New Zealand FTA to take effect on October 20; tariff cuts and trade target of ₹35,000 crore
The India-New Zealand Free Trade Agreement will enter into force on October 20, with a target to double bilateral trade to ₹35,000 crore in 4-5 years.
Key highlights
Direct fact
In September 2026, India and New Zealand ratified their Free Trade Agreement, and the pact is scheduled to come into force on October 20, 2026, with a stated goal of doubling bilateral trade to ₹35,000 crore in the next four to five years.
Key specifics
- The FTA enters into force on October 20, 2026, after ratification in September 2026.
- Union Commerce Minister Piyush Goyal said bilateral trade is targeted to reach ₹35,000 crore in 4-5 years.
- New Zealand will allow tariff-free or sharply reduced levies on 95% of its exports to India.
- India has protected sensitive sectors such as dairy, onions, almonds, chickpeas, peas, artificial honey and sugar.
- India was New Zealand’s ninth largest export market, with merchandise trade at $1.3 billion in FY 2024-25.
Exam lens
Question type: international trade and agreement facts, October 20, 2026 commencement, ₹35,000 crore target, 95% tariff relief, India’s sensitive sectors; TNPSC may ask which sectors were excluded from concessions in the India-New Zealand FTA.