New Zealand Foreign Minister Criticizes India Trade Deal as “Neither Free Nor Fair”
Winston Peters blasts new trade pact as unfair.
New Zealand Foreign Minister Winston Peters has vehemently opposed the newly concluded Free Trade Agreement between India and New Zealand, describing it as neither free nor fair and a bad deal that concedes excessively on immigration and investment while providing inadequate returns for New Zealand exporters.
As leader of the coalition partner New Zealand First, Peters highlighted serious concessions including expanded work rights for Indian students during and after studies, a new dedicated employment visa for Indian citizens, and provisions that could encourage greater migration at a time when New Zealand faces labour market pressures and economic difficulties for many citizens.
A primary concern revolves around dairy exports, where Peters pointed out that New Zealand fully opens its market to all Indian goods with duty-free access, yet India maintains high tariff barriers on core products like milk, cheese and butter, excluding meaningful market access and marking this as New Zealand's first trade agreement to entirely omit such key dairy items.
Also Read: Which Key New Zealand Exports Will Receive Zero-Tariff Access in India?
Prime Ministers Christopher Luxon and Narendra Modi celebrated the agreement as a historic milestone concluded in record nine months, projecting doubled bilateral trade within five years through tariff eliminations on 95% of New Zealand exports from day one and committing New Zealand to facilitate $20 billion in investments to India over 15 years.
Peters clarified that his party's strong opposition arises from disagreements within the coalition government rather than any criticism of India or its leadership, reaffirming deep commitment to advancing bilateral relations, noting his personal respect for External Affairs Minister S Jaishankar and prior efforts to strengthen ties.
The pact includes limited dairy provisions allowing New Zealand firms to process inputs in India solely for re-export without domestic market access, while protecting India's sensitive sectors, and features enhanced mobility with temporary employment visas and working holiday schemes for Indians.
Despite the internal coalition rift, potential backing from opposition parties could secure parliamentary approval for the legislation, as the deal seeks to foster growth in services, innovation, youth opportunities and people-to-people connections between the two nations.
Also Read: India Opens Doors to New Zealand Goods with Immediate Duty-Free Access on Over Half of Exports
