New Delhi, September 16 (IANS). The Parliament of New Zealand on Wednesday approved the Free Trade Agreement (FTA) with India by a vote of 93-29 (in favor and opposition). This information was given by Trade and Investment Minister Todd McClay.
McClay said the vote provided strong support in Parliament for the agreement and its potential economic benefits.
He said the FTA would give New Zealand exporters greater access to India, one of the world's largest and fastest growing economies.
According to McClay, when this agreement comes into force, there will be no duty on 57 percent of New Zealand's exports to India.
When fully implemented, duties on 95 percent of exports will be eliminated or significantly reduced.
The minister also said the kiwifruit industry alone is expected to save approximately NZ$125 million in fees over five years.
He said the agreement will provide faster border clearance and better access to India's growing middle class, which is increasing demand for food, technology, education, tourism, professional services and other products.
McClay said the New Zealand-India talks were announced for March 2025 and the government hopes the agreement will be in place by the end of this year.
He said the FTA will help New Zealand exporters expand their business ties and will also support Indian Prime Minister Narendra Modi and New Zealand Prime Minister Christopher Luxon's goal of doubling trade between the two countries by 2030.
This agreement will come into force when both the countries complete their respective approval processes.
A report in August said India's growing economic strength makes it a strategic partner for New Zealand and the recent Free Trade Agreement (FTA) between the two countries is expected to bring major benefits.
A report by Australia's Westpac Institutional Bank emphasizes India's large size and growth potential. According to the report, this FTA may increase New Zealand's GDP by about 0.1 percent in the next decade.
“India is one of the world's fastest growing large economies and provides access to a market of 1.4 billion people,” the report said.
–IANS
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