India and New Zealand Finalize FTA

India and New Zealand announced the successful conclusion of negotiations for a comprehensive free trade agreement on December 22, 2025, following a telephone conversation between Prime Minister Narendra Modi and Prime Minister Christopher Luxon. The deal, finalized in just nine months, marks a significant step in deepening economic ties between the two nations and builds on talks initiated during Luxon's visit to New Delhi in March 2025.

The agreement aims to enhance market access, promote investment, and foster cooperation across sectors including trade, agriculture, education, and services. Government officials from both countries described the pact as ambitious and mutually beneficial, reflecting strong political commitment to expand bilateral relations. Negotiations progressed through four rounds of talks, concluding in record time and addressing longstanding barriers to trade.

Under the terms, tariffs will be reduced or eliminated on 95 percent of New Zealand's current exports to India, with more than half becoming duty-free upon implementation. For India, the deal provides tariff liberalization on 70 percent of tariff lines, covering 95 percent of bilateral trade volume,...