India and New Zealand to begin talks on FTA after a decade, announces PM Modi

India and New Zealand have decided to start detailed negotiations on a mutually beneficial free trade agreement, Indian Prime Minister Narendra Modi said on Monday after talks with his New Zealand counterpart Christopher Luxon. The FTA was stalled in 2015 following their failure to narrow differences in sensitive areas including dairy and agriculture.

India and New Zealand began negotiating the Comprehensive Economic Cooperation Agreement (CECA) in April 2010 to boost trade in goods, services, and investment but the talks stalled after nine rounds of discussions. The ninth round of negotiation was held in 2013.

The two nations had already announced the launch of negotiations for a comprehensive and mutually beneficial India-New Zealand FTA on the eve of the bilateral meeting between Modi and Luxon.


Luxon is in India on a four-day visit from March 16.

"The India-New Zealand FTA negotiations aim to achieve balanced outcomes that enhance supply chain integration and improve market access," the commerce and industry ministry said in a statement Sunday, adding that both countries have continuously worked towards building their bilateral relationship encompassing trade and investment.

This significant step was marked by a meeting between commerce and industry minister Piyush Goyal and New Zealand's Minister for Trade and Investment Todd McClay.