The Free Trade Agreement (FTA) between India and New Zealand came into effect on October 20, 2026, providing Indian exporters with the opportunity to avail themselves of zero-tariff benefits across 100% of New Zealand’s tariff lines pertaining to Indian exports.
According to Union Minister of Commerce and Industry Piyush Goyal, the agreement aligns with Prime Minister Narendra Modi’s vision of Viksit Bharat 2047. Speaking at an event in New Delhi, Goyal highlighted the potential benefits for exporters, MSMEs, artisans, farmers and the pharmaceutical sector.
India and New Zealand have also set their sights on doubling bilateral trade in goods and services, valued at ₹35,000 crore, by 2030. The agreement is expected to open new avenues for collaboration across manufacturing, agriculture, services and other export-oriented sectors.
Gem and Jewellery Industry Among the Beneficiaries
Among the Indian industries expected to benefit from the FTA are engineering goods, textiles, footwear, leather goods, gem and jewellery, pharmaceuticals, sporting goods and select agricultural products.
For India’s gem and jewellery industry, the agreement presents an opportunity to strengthen its access to the New Zealand market. The removal of tariffs on eligible exports could improve the price competitiveness of Indian jewellery exporters and facilitate greater access to foreign buyers.
The broader tariff-free framework is expected to create opportunities for businesses seeking to expand their international presence. For jewellery manufacturers and exporters, this could provide scope to explore new commercial relationships and strengthen their market presence in New Zealand.
Opportunities for Jewellery MSMEs and Artisans
The FTA also holds potential significance for micro, small and medium enterprises (MSMEs) and artisans. Duties have often presented challenges for smaller businesses seeking to enter overseas markets by increasing the prices of their products.
With eligible products gaining duty-free access to New Zealand, Indian businesses could become more competitive, potentially encouraging higher production and increased export activity.
These opportunities extend to businesses dealing in jewellery, textiles, handicrafts, leather products and other goods. However, their realisation will depend on market demand, product quality and pricing.
What industry has to say (source: GJEPC) Mr. O. Asher, Managing Director – India Operations, Malabar Gold & Diamonds
A brand like Malabar Gold & Diamonds, who really believes in ‘Make In India’ and have invested in the manufacturing setup in India, wants to take Indian culture and the craftsmanship through the jewellery exported to various countries will definitely help in the India- New Zealand FTAs.
Mr. K. Srinivasan, Chairman & Managing Director, Emerald Jewel Industry India Limited.
The India-New Zealand FTA will support in building stronger relationships with New Zealand buyers by eliminating duties on jewellry. With a substantial Indian community and growing commercial links, New Zealand offers an important market for Indian silver jewellry.
Mr. Shreyans Dholakia, Director and Brand Custodian, Shree Ramakrishna Exports Pvt. Ltd
I welcome the India-New Zealand Free Trade Agreement as a very important step towards strengthening trade and business ties between both the nations. India is already New Zealand's important and leading supplier for current polished diamonds and the agreement gives us an opportunity to build upon that strong foundation.
Investment and Broader Economic Cooperation
The agreement also includes New Zealand’s commitment to facilitate US$20 billion in investments in India. The proposed investment commitment is intended to support manufacturing, infrastructure, services and innovation, while creating opportunities for employment and business growth.
The FTA further encompasses cooperation in services, investment and mobility, offering opportunities for eligible Indian citizens to pursue employment and learning in New Zealand, subject to applicable eligibility requirements and immigration laws.
India and New Zealand have maintained cordial relations, supported by cooperation in trade, agriculture, education, sports, technology and investment. Bilateral merchandise trade between the two countries was estimated at approximately US$1.1 billion in 2025–26.
For India’s gem and jewellery sector, the FTA marks an opportunity to explore stronger trade ties with New Zealand, with tariff-free access for eligible exports potentially supporting greater competitiveness and international market expansion.
