India seals FTA with New Zealand, gets zero duty access for all exports

India and New Zealand have finalised a free trade agreement (FTA) following nine months of negotiations that includes allowing zero duty market access on 100 per cent Indian exports.

- BY S VENKAT NARAYAN

According to the agreement, India has offered tariff liberalisation in 70 per cent tariff lines covering 95 per cent of the New Zealand-India bilateral trade.

Under the deal, New Zealand has also given a commitment to increase foreign direct investment (FDI) to $20billion into India over 15 years. This will be backed by a 'rebalancing mechanism' to suspend the FTA benefits if such a jump in the quantum of investment doesn't take place, commerce department officials said on Monday.

Currently, New Zealand's cumulative FDI into India stands at around $9 million from 20002025.