Engineering Exports Could Double To USD 280-300 Mn In 5 Years With India-NZ FTA: EEPC India

(MENAFN- KNN India) New Delhi, Sep 23 (KNN) The ratification of the India-New Zealand Free Trade Agreement (FTA) marks a new phase in bilateral trade and will provide zero-duty market access for Indian exports, including engineering goods, Pankaj Chadha, Chairman, EEPC India, said.

India's engineering exports to New Zealand have been rising steadily, increasing from USD 129.8 million in 2024-25 to USD 140.5 million in 2025-26. Key export items include automobiles, industrial machinery for the dairy sector, medical and scientific instruments, office equipment, and iron and steel products.

Chadha said the FTA would provide engineering exporters an opportunity to diversify their product offerings and expand their presence in the New Zealand market.

“With the trade agreement coming into force next month, we can certainly target the doubling of engineering exports in the next five years to USD 280-300 million,” he said, as quoted by ET.

The India-New Zealand FTA is scheduled to enter into force on October 20, 2026. It was signed on April 27, 2026, at Bharat Mandapam in New Delhi by Commerce and Industry Minister Piyush Goyal and New Zealand's Minister for Trade and Investment Todd McClay.

The agreement is also expected to support investment flows into India, with New Zealand committing to facilitate USD 20 billion in investment. According to the government, the investment is expected to benefit sectors including agriculture, manufacturing, infrastructure and startups.

For Indian engineering MSMEs, the agreement could create additional opportunities in the New Zealand market, particularly if exporters are able to meet product standards, build local distribution networks and leverage the tariff preferences provided under the pact.

(KNN Bureau)

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