In 2011, former Prime Minister John Key launched the NZ Inc India Strategy, a plan for India to become a central trade, economic and political partner for New Zealand. The free trade agreement between New Zealand and India is a decisive step towards achieving this goal. Over the past five years, we have taken important steps in our trade and economic relations. Trade in services doubled to $1.2 billion, contributing to total trade (goods and services) of about $2.64 billion. Tourism has also more than doubled since 2011: More than 65,000 Indian tourists visited New Zealand in November 2019. India is the second largest source of international students in New Zealand, with more than 17,000 Indian students studying in New Zealand. For New Zealand, it is also important to consider promoting partnership and technological cooperation with India in agricultural trade, including dairy products, to help improve India`s agricultural productivity. India, on the other hand, would be more receptive to opening access to its product market, particularly at the end of the high-quality value chain. The recent joint venture between New Zealand Fonterra and India`s Future Group to launch the Dreamery yoghurt series is an example of potential opportunities. India is a priority relationship for New Zealand.
There are enormous opportunities to develop our relations with India, not only in trade, but also in our common support for international law, multilateralism and our common interest in the Pacific. We want to consolidate long-term sustainable opportunities for the benefit of our economies and our two peoples. In particular, participants could consider stricter rules of origin, consistent with the regional and non-bilateral nature of the RCEP agreement, protecting them from possible import increases and in 2019 as the base year for each tariff reduction. Weak commitments to remove non-tariff barriers are also a central complaint of India. Bilateral progress should be made between New Zealand and India to find common ground. This would not be unusual – efforts to revise the existing Indian ATP with ASEAN, Japan and South Korea are already underway. Negotiations on the agreement began in April 2010. The last round of formal negotiations (round 10) took place in Delhi in February 2015. Here is a list of the free trade agreements that include New Zealand. In parentheses, the abbreviation, if any, membership, unless indicated in advance, and the date of entry into force.
READ MORE: Coronavirus is not a « we » and « they » situation, says Expert Asia – The spread of coronavirus shows how small our world has become – Protests, trade and persuasiveness for Asia over the next ten years So cooperation between New Zealand and India should also be better focused on ICT services, education and tourism – areas of complementarity for the two countries. Substantial partnerships would overcome the critical shortage of skilled labour in New Zealand and address the constraints of India`s transition to a knowledge-based economy. India`s pharmaceutical and health industry offers New Zealand new opportunities, given the rapidly aging population, with the potential to reduce health costs and increase research capacity.