The Federation of Indian Export Organisations (FIEO) on Monday said the India-New Zealand Free Trade Agreement (FTA) marks a key step in strengthening India’s global trade engagement and boosting exports. The agreement will widen market access for Indian exporters across sectors such as agriculture, textiles, pharmaceuticals, engineering goods, and services including IT & ITES, business services, engineering, education, construction, and healthcare, said S C Ralhan, President of FIEO. He added that reduced tariffs and simplified procedures will improve the competitiveness of Indian businesses in the New Zealand market.
Ralhan further reiterated that the India–New Zealand FTA marks a strategic step towards diversifying India’s export destinations and reducing overdependence on traditional markets. It presents immense opportunities for our exporters, particularly MSMEs, to tap into a high-value market with growing demand for quality goods and services. He further added that the agreement will facilitate smoother trade flows, encourage investments for which a firm commitment has been made, and foster stronger supply chain linkages between the two nations. Exporters must proactively align their product standards and marketing strategies to leverage the full potential of this agreement.
The FIEO Chief emphasised that sectors such as processed food, dairy alternatives, and organic products could witness significant growth under the FTA framework. MRA for Organic Certification will facilitate market access. AYUSH products for the first time will get market access. Additionally, the services sector is likely to benefit from enhanced mobility provisions and mutual recognition of professional qualifications.
Ralhan noted that to fully realise the benefits of the FTA, it is essential for exporters to stay informed about the rules of origin, compliance requirements, and regulatory frameworks. Capacity-building initiatives, market intelligence, and government support will play a crucial role in ensuring that Indian exporters can effectively capitalize on the opportunities presented.
FIEO also urged the government to work closely with industry stakeholders to address potential challenges such as non-tariff barriers, logistics costs, and awareness gaps among exporters. Strengthening trade facilitation infrastructure and promoting ease of doing business will be key to maximising gains from the agreement. The India-New Zealand FTA is expected to more than double bilateral trade volumes, promote economic cooperation, and create a robust platform for long-term partnership between the two countries.
Source Name : Economic Times