India and New Zealand Revive Trade Pact Talks
India and New Zealand have initiated the second phase of discussions for the Comprehensive Economic Cooperation Agreement after a pause of ten years. The negotiations, focused on enhancing bilateral commerce and investments, began on March 16 this year and are scheduled to conclude by July 25.
Challenges in Trade Talks
An analysis by the Global Trade Research Initiative highlights a key hurdle in the ongoing negotiations – the significant contrast in the tariff structures of both nations. While New Zealand maintains low import tariffs, India’s rates are notably higher, making concessions vital for any agreement.
Market Access and Demands
New Zealand seeks increased entry into India’s dairy sector, a request met with domestic resistance for safeguarding local farming interests. Conversely, India’s exports to New Zealand encompass a diverse range of products, including clothing, medicines, agricultural machinery, and electronics.
Bilateral Trade Figures
The bilateral trade volume between India and New Zealand has seen fluctuations in recent years, reaching $1.3 billion in the fiscal year 2024-25. Both countries engage in mutual export-import transactions, with India shipping items like textiles, medicines, and technology services, while receiving agricultural products and minerals from New Zealand.
External Links: NDTV – India and New Zealand Trade Pact Negotiations
