Big agreement between India and New Zealand
Prime Minister Narendra Modi is going on an important tour of New Zealand on 10 and 11 July. This is not an ordinary visit, but this is the first state visit of an Indian Prime Minister in almost four decades. But just before this historic step, a big trade good news has emerged between the two countries. New Zealand Prime Minister Christopher Luxon has announced that under the new trade agreement with India, 57 percent of their exports will become completely tax-free (tariff-free) from the very first day. This is going to have a direct impact on the markets of both the countries, the people working there and the common consumers.
Drought of 4 decades ends, big stake just before the tour
PM Modi was invited for this special tour by his counterpart Christopher Luxon. Luxon expressed his happiness by welcoming this visit on the social media platform ‘X’. He clarified that India is one of the fastest growing economies in the world. India’s support is very important for the economic progress of New Zealand. In the month of April itself, both the countries had signed a Free Trade Agreement. Now the time has come to put this agreement on the ground. With this historic visit, the strategic relationship between New Zealand and India is going to reach a new level.
57 percent tax-free trade, luck of businessmen will shine
According to the Prime Minister of New Zealand, this ‘India Trade Deal’ is going to bring huge profits to the businesses there. When there will be no tax on 57 percent of the goods, it will become very easy for India’s 1.4 billion people to access their huge market. This simply means that New Zealand’s goods will reach the Indian market without any hindrance, which will bring more money to their country. The local communities there will benefit from it, new jobs will be created and salaries will also increase. In a way, this trade agreement is going to prove to be a game-changer for New Zealand’s economic development.
Direct benefit to Indian exporters
This economic deal is not just one-sided. India is also going to benefit tremendously from this free trade agreement. According to the terms of the agreement, all exports from India to New Zealand will get duty-free entry into the market there. This means that Indian goods will also be able to be sold in New Zealand without any additional tax. For a typical Indian exporter, this is a great opportunity to step into a high-income Pacific region economy. It is also an important part of India’s broader Indo-Pacific economic strategy. Amidst the current uncertainties in global trade, this agreement provides India with a stable and strong trading platform.
Eyes fixed on Auckland meeting
During his two-day visit, Prime Minister Modi will reach Auckland city of New Zealand. Here he will meet Christopher Luxon. In this important bilateral conversation, not only trade but also important issues like defense and commerce are expected to be discussed seriously. Apart from this, PM Modi will also meet prominent businessmen and leading sports personalities of New Zealand. A program is also scheduled to address the people of Indian origin (diaspora), which will strengthen not only business but also cultural and social relations between the two countries.
