New Zealand foreign affairs minister criticises India-New Zealand Free Trade Agreement

As PM Narendra Modi and Prime Minister of New Zealand Christopher Luxon announced the India-New Zealand Free Trade Agreement, Minister of Foreign Affairs of New Zealand

Winston Peters from New Zealand First party strongly expressed his dissent over the deal. 

“New Zealand First is regrettably opposed to the India Free Trade Agreement announced today,” he said on his X 

 “We consider the India-New Zealand Free Trade Agreement to be neither free nor fair. Regrettably, this is a bad deal for New Zealand. It gives too much away, especially on immigration, and does not get enough in return for New Zealanders, including on dairy,” he added

He said that while New Zealand is “completely opening its market to Indian products under this deal, India is not reducing the significant tariff barriers currently facing our major dairy products.  This is not a good deal for New Zealand farmers and is impossible to defend to our rural communities.”

“The India FTA would be New Zealand’s first trade deal to exclude our major dairy products - including milk, cheese and butter. In the year to November 2025, New Zealand exports of these products were worth around $24 billion, or 30% of our total goods exports,” said Peters.

He said that on a per capita basis, National has offered far greater access for India to our labour market than did Australia or the United Kingdom to secure their FTAs.

“This is deeply unwise given New Zealand’s current labour market conditions, with too many New Zealanders in unemployment or doing it tough economically,” Peters wrote.

Offering a middle ground, he said that the party is deeply committed to the advancement of the India-New Zealand relationship, provided it is in country’s strategic interests.

The FTA was announced by Delhi on Monday, where the statement from the Prime Minister Modi’s office said, “The FTA would significantly deepen bilateral economic engagement, enhance market access, promote investment flows, strengthen strategic cooperation between the two countries, and also open up new opportunities for innovators, entrepreneurs, farmers, MSMEs, students and youth of both countries across various sectors.”

“With the strong and credible foundation provided by the FTA, both leaders expressed confidence in doubling bilateral trade over the next five years as well as an investment of USD 20 billion in India from New Zealand over the next 15 years,” it said.