New Zealand parliament passes India trade deal, cutting tariffs on most exports
New Zealand's parliament has passed a free trade agreement with India, which will eliminate or reduce tariffs on 95% of New Zealand's exports. The deal also includes a $20 billion investment commitment from Wellington into the Indian economy over the next 15 years.
Why it matters
This trade deal marks a significant strengthening of economic ties between New Zealand and India, aiming to double two-way trade by 2030.
New Zealand’s parliament on Wednesday (September 16, 2026) passed legislation to implement a free trade agreement (FTA) with India, under which tariffs on about 95% of New Zealand exports to India would be eliminated or significantly reduced.
The legislation passed by a vote of 93–29, with support from the opposition Labour Party.
More than half of all products covered would become duty-free from the day it takes effect.
“For exporters, the benefits are immediate and substantial. From day one, 57% of New Zealand’s exports to India will become duty-free,” New Zealand Trade Minister Todd McClay said in a statement.
“Once fully implemented, tariffs are eliminated or significantly reduced on 95 per cent of our exports. That means real savings and real opportunities. The kiwifruit industry alone expects to save around $125 million in tariffs over five years,” he added.
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