The India-New Zealand Free Trade Agreement (FTA) has come into force, providing duty-free access for Indian goods and creating new export opportunities. The agreement eliminates tariffs on Indian exports to New Zealand, while approximately 95% of New Zealand's exports to India will receive duty-free or reduced tariff access.

The agreement could benefit India's rubber engineering components manufacturers by improving price competitiveness and supporting export diversification. However, sectors such as dairy, sugar and edible oils remain excluded from tariff concessions. Despite the opportunities, Indian exporters may continue to face challenges related to certification costs, freight charges, shipping timelines and stringent product standards. The FTA offers potential for Indian MSMEs to explore new international markets and strengthen trade ties with New Zealand.