India, New Zealand near finish line on trade pact

India and New Zealand are expected to formally announce the conclusion of a bilateral free trade agreement before the current calendar year changes, which will make it the third FTA in 2025 after the United Kingdom in July and Oman on December 18, people familiar with the matter said.

- Rajeev Jayaswal

The two sides have achieved convergence on almost all points through prolonged physical and virtual interactions after the fourth formal round that took place in Rotorua early last month during Union commerce minister Piyush Goyal’s New Zealand visit, they said requesting anonymity.

‘A draft agreement is ready and an announcement of the proposed FTA is expected early this week, they said. New Zealand’s trade and investment minister, Todd McClay, who was in New Delhi on December 12, met Goyal to explore ways to advance the FTA negotiations, they added.

The deal is expected to be comprehensive and balanced, ensuring mutual gains for both parties while respecting sensitivities of the two sides, they said. According to them, India will continue to protect its substance farmers and dairy sector. It may, however, give some concessions on noncompeting items such as kiwi fruits and timbers.