India-New Zealand FTA Takes Effect with Duty-Free Exports on October 20, 2026

The India-New Zealand Free Trade Agreement (FTA) came into effect on October 20, 2026, giving Indian exporters duty-free access to the New Zealand market and introducing new visa provisions for Indian workers and students. 

The agreement was signed in New Delhi on April 27, 2026, and ratified on September 21, 2026, as per an announcement made on October 20, 2026. New Zealand’s Parliament passed the implementing legislation on September 16, 2026. 

Indian Exports Get Full Tariff Access 

New Zealand has removed import duties on 100% of tariff lines covering India’s current exports. The agreement is the first Indian FTA to provide duty-free access across all tariff lines from the date it takes effect. Indian exporters previously faced duties of up to 10%. 

The products covered include textiles, clothing, leather goods, footwear, pharmaceuticals, engineering goods, marine products, plastics, and rubber. Fruits and vegetables, cereals, processed foods, coffee, tea, cocoa, and spices are also included. 

The deal also includes $20 billion in foreign direct investment into India. 

India Grants Concessions on 70% of Tariff Lines 

India has offered tariff concessions on 70% of its tariff lines, covering about 95% of the current bilateral trade value. The remaining 29.97% of tariff lines are excluded from concessions. 

Apples, kiwifruit, manuka honey and albumins will be subject to duty-based quotas and safeguards, including minimum import price provisions. These measures are intended to limit the effect of imports on domestic farmers. 

New Visa Rules for Indian Workers 

Two Temporary Employment Entry (TEE) visa categories are available from October 20 for highly skilled occupations and a limited number of professions associated with India. 

New Zealand will allow up to 5,000 TEE visa holders in the country at any one time, with most places reserved for occupations on its Green List.  

Applicants must have a qualifying job offer from an accredited employer and meet the required qualification, English language, health, character and identity criteria. The visas last three years and do not provide a route to residence. 

Changes for Students and Young Travellers 

From November 16, Indian graduates with New Zealand PhDs will be eligible for post-study work visas of up to four years, compared with three years previously. 

A working holiday scheme for Indian nationals aged 18-30 will be introduced within two years, with 1,000 places a year and stays of up to 12 months.  

The agreement also commits to 20 hours of weekly in-study work for Indian students if future policy changes affect existing rights. 

Read More: India and Canada Sign Commercial Agreements as Trade Talks Continue! 

Conclusion  

The agreement took effect on October 20, 2026, with New Zealand removing tariffs on Indian exports and India extending concessions on selected imports. It also introduces new employment and work visa provisions. 

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