India's Modi visits New Zealand for the first time since 2011, with a new bilateral FTA making 57% of NZ exports tariff-free

Summary

Indian Prime Minister Narendra Modi arrived in New Zealand on July 10 for talks with Prime Minister Christopher Luxon, his first visit to New Zealand since 2011 and the final leg of a three-nation tour that included Australia. The India-New Zealand free trade agreement has been signed; New Zealand Trade Minister Todd McClay said 57% of New Zealand's exports to India will be tariff-free from day one. McClay described the visit as a "transformative moment in bilateral ties."

Why it matters

India withdrew from the RCEP regional trade bloc in 2019 and has since moved toward bilateral deals; the New Zealand FTA is one of the first it has concluded with a Pacific nation since then. For New Zealand, India is among its fastest-growing export destinations, and the tariff relief on over half of exports from day one is a material gain.

What to watch

• When the India-NZ FTA enters into force and initial trade volumes respond
• Whether the visit produces defence or technology cooperation agreements
• How the deal fits India's broader Pacific engagement after RCEP withdrawal