FTA with New Zealand to boost India's export competitiveness, open growth avenues: India Inc

The free trade agreement (FTA) signed between India and New Zealand on Monday is expected to unlock significant opportunities for trade expansion in the coming years by providing the country's exporters zero-duty access to New Zealand's market, industry leaders said on Monday.

The agreement opens up promising avenues for future collaboration across high-growth sectors such as advanced manufacturing, agritech and food processing, digital technologies, pharmaceuticals, etc., the Confederation of Indian Industry (CII) said.

Partnerships in sustainable and green manufacturing are expected to further align with global climate goals and support the transition to low-carbon growth pathways, it added.


Anish Shah, Group CEO & MD, Mahindra Group said, "The India-New Zealand FTA, built on shared trust and concluded with remarkable speed, marks an important step in strengthening economic ties. For the Mahindra Group, it creates new opportunities across farm solutions, mobility, technology, and hospitality, while enabling innovation and more resilient supply chains."

Key sectors such as transport and automotive, pharmaceuticals, plastics and rubber, electrical and electronic equipment, and mechanical machinery are poised to scale up exports, enhance competitiveness, and strengthen their presence in global markets, said CII.

Chandrajit Banerjee, Director General, CII, said the FTA marks a significant milestone for the Indian industry and will substantially enhance the competitiveness of Indian exports.

"By eliminating tariffs on key sectors such as textiles, leather, ceramics, and auto components, it unlocks new avenues for scale, market diversification, and sustained export growth. The agreement will enhance productivity, reduce trade costs, and provide strong support to MSMEs," he added.