India and New Zealand Conclude Fourth Round of Free Trade Agreement Talks, Aim for Early Deal

India and New Zealand have completed the fourth round of talks for a comprehensive Free Trade Agreement (FTA), with leaders aiming for a swift and mutually beneficial conclusion. Commerce and Industry Minister Piyush Goyal met with New Zealand's counterpart Todd McClay to assess the progress. The negotiations covered key areas including market access for goods, trade in services, economic and technical cooperation, and investment opportunities. This push for an FTA comes at a time when bilateral merchandise trade between the two countries has seen substantial growth, increasing by nearly 49% to USD 1.3 billion in the fiscal year 2024-25.

**Impact** This agreement is expected to significantly boost bilateral trade and investment. For India, it could lead to increased export opportunities in sectors like textiles, apparel, medicines, agricultural equipment, auto components, and refined petroleum. It also opens avenues for deeper economic cooperation. Indian businesses may face increased competition from New Zealand products, particularly in agriculture and dairy. Overall, a successful FTA is likely to enhance economic integration and provide significant growth impetus for businesses in both nations. Impact Rating: 7/10.

**Definitions** Free Trade Agreement (FTA): An international treaty that reduces or eliminates barriers to trade and investment between two or more countries. This typically involves lowering or removing customs duties on most traded goods and services. Bilateral Merchandise Trade: The total value of goods that are exported from one country to another and imported from that country. Customs Duties: Taxes imposed by a government on imported goods, often used to protect domestic industries or generate revenue.