Colin Ambler/cvnznews.com
India’s Prime Minister Narendra Modi has urged business leaders to pursue an “ambitious business programme” following the India–New Zealand Free Trade Agreement, signed in April after nine months of negotiation. Speaking at a business event in Auckland, Modi said the relationship between the two countries was “at a turning point” and that the FTA would open new opportunities in market access, investment, services, technology and talent mobility.
Modi told attendees he was confident the two nations could double bilateral trade by 2030, describing India as the world’s fastest‑growing major economy and a launchpad for global growth. He highlighted India’s expanding digital and space sectors, noting more than 400 private space‑technology startups now operating in the country.
A key point in Modi’s speech drew attention: his statement that New Zealand had committed to invest $20 billion in India over 15 years. New Zealand officials have previously described the clause differently, saying the agreement requires New Zealand to promote investment, not provide it directly. Prime Minister Christopher Luxon reiterated that both sides “understand what we agreed in the FTA,” emphasising that the commitment relates to encouraging private‑sector investment.
The clause has been politically contentious. Labour leader Chris Hipkins has previously raised concerns about the scale of the investment target and the potential implications if New Zealand does not meet it. Hipkins warned that exporters could face uncertainty if India were to reduce market access in response to unmet targets, saying this could place New Zealand businesses “high and dry.”
Modi also acknowledged Māori business leaders, noting shared values between Māori and Indian traditions around nature, community and sustainability. He said the FTA includes specific provisions supporting Māori business opportunities.
Both prime ministers described the agreement as a significant step in rejuvenating the bilateral relationship, which they say has lacked new initiatives in recent years. Modi was welcomed to New Zealand with a pōwhiri at Government House before the Auckland business event.
