New Delhi [India], April 27 (ANI): External Affairs Minister S Jaishankar on Monday termed the signing of the India-New Zealand Free Trade Agreement (FTA) as a 'landmark' moment in bilateral relations between the two countries, highlighting its wide-ranging economic and social benefits.

In a post on X, Jaishankar said the agreement would significantly strengthen economic partnerships between the two countries, while boosting investments and improving market access for Indian exporters.

'The signing of India-New Zealand Free Trade Agreement today is a landmark for our ties. The FTA will forge stronger economic partnerships, boost investments and enhance market access for our exporters,' the EAM stated in his post.

The External Affairs Minister also underlined that the agreement would go beyond traditional trade gains, creating fresh opportunities across sectors.

He noted that innovators, entrepreneurs, farmers, micro, small and medium enterprises (MSMEs), as well as women and youth, stand to benefit from the pact.

'It will also unlock new opportunities for innovators, entrepreneurs, farmers, MSMEs, women and youth,' the post added.

India and New Zealand signed the India-New Zealand Free Trade Agreement at Bharat Mandapam in New Delhi, marking a significant step toward strengthening bilateral economic ties on Monday.

The agreement was formally signed by Union Commerce and Industry Minister Piyush Goyal and New Zealand Trade Minister Todd McClay in the presence of senior officials, business leaders, and industry stakeholders from both countries.

As part of the agreement, New Zealand has committed to investing approximately USD 20 billion in India over the next 15 years, signalling long-term confidence in India's growth trajectory.

The agreement was formally launched on March 16, 2025, following a meeting between Prime Minister Narendra Modi and New Zealand Prime Minister Christopher Luxon, and was finalised on December 22, 2025, after five rounds of negotiations completed in just nine months.

Officials said the pact is expected to boost exports, create jobs, and encourage new business partnerships, while strengthening cooperation between the two democracies across the Indo-Pacific.

Under the newly concluded FTA, India is set to gain from the immediate elimination of tariffs by New Zealand on a wide range of products. Currently, duties of around 10 per cent apply to several Indian exports such as textiles, leather goods, carpets, ceramics and auto components. Their removal is expected to significantly enhance India's competitiveness. Agricultural exports, including tea, coffee and spices, are also likely to benefit from improved market access.

India, in turn, has offered market access on nearly 70 per cent of tariff lines, while keeping about 30 per cent excluded. Tariffs will be scrapped immediately on roughly 30 per cent of goods, with over one-third to see gradual reductions. Some products will face limited tariff cuts or fall under quota-based concessions.

Sensitive sectors such as dairy--covering milk, cheese, butter and yoghurt--have been excluded, along with certain animal products, sugar, oils, gems and jewellery, and select metals. However, items like apples, kiwifruit and manuka honey will be allowed under tariff rate quotas, enabling controlled imports alongside cooperation in technology and productivity.

In services, New Zealand has agreed to open more than 100 sectors to Indian providers, while India will liberalise a similar number for New Zealand, albeit with limited preferential treatment.

The agreement also facilitates mobility, removing caps on Indian students and offering extended post-study work opportunities in STEM fields. Additionally, up to 5,000 visas will be available at any given time for skilled Indian professionals across sectors such as IT, healthcare, education and construction. (ANI)