India, New Zealand discuss FTA, direct flights, relaxed customs for traders

Prime Minister Narendra Modi and New Zealand Prime Minister Christopher Luxon have agreed to resume FTA negotiations, explore direct flights, and sign a customs agreement to enhance trade and economic

Prime Minister Narendra Modi and his New Zealand counterpart, Christopher Luxon, held a high-level bilateral meeting on Monday, resulting in the signing of multiple agreements aimed at strengthening trade, mobility, and economic cooperation between the two nations. This included new agreements on customs procedures and the potential establishment of direct flights between India and New Zealand.   

 

 

Direct flights between India and New Zealand

 

The leaders announced updates to the India-New Zealand Air Services Agreement, which will pave the way for direct flights between the two countries. They encouraged airlines to explore non-stop services, which would significantly boost tourism and business engagement for both nations.

 

 

Streamlining customs procedures

 

The two sides also welcomed the signing of the Authorised Economic Operators Mutual Recognition Arrangement (AEO-MRA), an agreement designed to streamline customs procedures for trusted traders, thereby facilitating smoother trade between the two nations.

 

India-New Zealand to negotiate FTA

 

Both leaders reaffirmed their intention to bolster economic collaboration, announcing the commencement of negotiations for a Free Trade Agreement (FTA), aiming to establish a comprehensive and mutually beneficial economic framework. By addressing market concerns and leveraging each country’s strengths, the proposed FTA is expected to foster sustainable growth and deepen economic integration.

 

India-New Zealand partnership

 

This marks Luxon’s first visit to India as prime minister. He is accompanied by senior ministers and a large business delegation. 

PM Modi flags 'anti-India activities' in joint presser with New Zealand PM

 

Luxon, who arrived in India on Sunday for a five-day official visit, also met External Affairs Minister S Jaishankar. His itinerary includes stops in New Delhi and Mumbai, where he will engage with policymakers, business leaders, and members of the Indian diaspora. He will also deliver the keynote address at the Raisina Dialogue, India’s flagship conference on geopolitics and international affairs, which will be inaugurated by Modi.

 

“His affection for people of Indian origin is evident, and we are pleased to have a young leader like him as the chief guest at the Raisina Dialogue 2025,” Modi stated at a joint press conference.

 

Meanwhile, Luxon described the visit as an opportunity to deepen cooperation across multiple sectors. “India is a vital partner, and this visit reinforces our shared vision for economic growth and stronger bilateral relations,” he said.