Prime Highlights
- India plans FTA with New Zealand to boost trade and jobs.
- New visa pathway to open work opportunities for Indian professionals.
Key Facts
- Up to 5,000 visas allowed at a time with stay up to three years.
- New Zealand to support $20 billion investment in India.
Background
India plans to sign a Free Trade Agreement with New Zealand in the fourth week of April, says Commerce and Industry Minister Piyush Goyal. The deal aims to improve trade, increase investment, and create more job opportunities between the two countries.
The proposed deal gives Indian professionals a new Temporary Employment Entry Visa pathway, allowing them to take up temporary jobs in New Zealand. The pathway permits 5000 skilled workers to work in New Zealand for three years. It includes jobs such as AYUSH practitioners, yoga teachers, Indian chefs, and music teachers. It also covers key sectors like IT, engineering, healthcare, education, and construction. This step creates more job opportunities in both countries and supports services exports.
Under the agreement, New Zealand is expected to back initiatives worth 20 billion dollars in India over the next fifteen years. The investments will support multiple fields, including manufacturing and infrastructure development, service delivery, research innovation and job creation. Officials say Indian businesses also gain better access to markets in New Zealand and the wider Pacific Island region.
Trade between the two countries shows strong growth. India’s bilateral merchandise trade with New Zealand stands at 1.3 billion dollars in the financial year 2024 to 25, showing a rise of nearly 49 percent over the previous year.
With this agreement, India strengthens its trade network with countries linked to the Regional Comprehensive Economic Partnership, except China. On the sidelines of a global trade meeting in Cameroon, Piyush Goyal also holds talks with Chinese Commerce Minister Wang Wentao to improve trade relations and create new export opportunities for Indian industries.
