India–NZ Free Trade Agreement Delivers Zero‑Duty Access, Cultural Exchange, and $20B Investment

India and New Zealand have signed a landmark Free Trade Agreement (FTA) that, for the first time, includes dedicated access for Health and Traditional Medicine Services, spotlighting India’s AYUSH systems alongside Maori health practices. The deal eliminates tariffs, secures USD 20 billion in investment, and opens new pathways in organics, creative industries, and bilateral trade.

Health & Traditional Medicine Services

• First-of-its-kind provision: New Zealand has included a dedicated chapter on Health and Traditional Medicine Services.
• AYUSH recognition: Ayurveda, Yoga & Naturopathy, Unani, Siddha, Sowa-Rigpa, and Homeopathy gain global visibility.
• Collaboration: Promotes medical value travel, wellness services, and integration with Maori health practices.
• Cultural dimension: Strengthens preservation of traditional knowledge systems and people-centred growth.

Organics Trade – Mutual Recognition Arrangement (MRA)

• MRA with Australia’s standards enables smoother certification and acceptance of organic products.
• India’s organic exports to NZ (FY 2024–25): 2,401.53 MT valued at USD 3.18 million.
• Key products: Basmati rice, flax seeds, Arabica Cherry AB, psyllium husk, soyabean oil cake, organic black tea.
• Expected impact: Greater traction and market access post-MRA.

Bilateral Trade Momentum

• Total trade (2024): USD 2.4 billion.
• Merchandise trade (FY 2024–25): USD 1.3 billion, up 49% year-on-year.
• FTA impact: Eliminates tariffs, enhances services access, secures USD 20 billion investment, and strengthens institutional frameworks.
• Employment & exports: Expected to expand opportunities across sectors and deepen resilience.

Sectoral Gains

• Zero-duty access boosts textiles, clothing, agriculture, processed foods, leather, footwear, engineering, automotive, electronics, chemicals, plastics, and rubber.
• State-level benefits:
• Gujarat: Chemicals, gems.
• Maharashtra: Pharma, auto components.
• Tamil Nadu: Textiles, leather, auto.
• Uttar Pradesh: Leather, carpets, handicrafts.
• Punjab: Agri products.
• Karnataka: Pharma, electronics.
• West Bengal: Tea, engineering goods.
• Andhra Pradesh & Kerala: Marine exports.
• North-East: Tea, spices, bamboo, organic produce.

Leadership Statements

• PM Narendra Modi: Welcomed the FTA, calling it a milestone that will benefit farmers, youth, MSMEs, artisans, startups, and innovators.
• Commerce Minister Piyush Goyal: Highlighted the speed of conclusion (nine months) as a reflection of trust and ambition.
• NZ PM Christopher Luxon: Stated the deal diversifies exports, supports doubling export value in 10 years, and levels the playing field for NZ exporters.

Strategic Significance

• Gateway to Oceania: Positions India as a key supplier of skilled workforce and traditional medicine services.
• People-to-people ties: With nearly 300,000 persons of Indian origin in New Zealand, the agreement strengthens cultural and economic bonds.

This FTA is not just about trade—it is a comprehensive partnership spanning health, culture, organics, and industry, reinforcing India’s role as a global hub for wellness and diversified exports.

Ola Ceases Its Operations in UK, Australia and New Zealand

Ola, the Indian ride-hailing company, has decided to cease its operations in the UK, Australia, and New Zealand. This strategic move is part of the company's focus on strengthening its domestic business in India and preparing for an upcoming initial public offering (IPO).

The company aims to concentrate on the electrification of its fleet and the premiumisation of its offerings for future growth within India. Ola Electric, which is a part of the same parent company, is also preparing for its own IPO and is looking to raise significant funds from its public listing. This decision marks a significant shift in Ola's business strategy, as it had previously expanded to international markets in 2018.

Ola's decision to exit the UK, Australia, and New Zealand markets is primarily driven by a strategic shift to focus on its domestic market in India and the electrification of its fleet. Here are the key reasons for their exit:

Ola is concentrating on strengthening its business in India, which includes the electrification of its fleet with electric scooters and bike-taxi services. Moreover, the company is preparing for an initial public offering (IPO) and aims to prioritize resources for this significant event.

An industry insider mentioned that the global shift toward electric vehicles would require Ola to significantly increase its investment to transition its existing Fleet.

Ola faced several challenges in the international markets, which contributed to its decision to cease operations in the UK, Australia, and New Zealand.

The ride-hailing industry is complex and evolving, and despite Ola's parent company, ANI Technologies, achieving a valuation of $7.3 billion, the company has yet to report a profit.

The pandemic posed significant challenges for Ola, especially in Australia and New Zealand, where it struggled to maintain its foothold against competitors like Didi Chuxing.

Earlier this year, Ola's valuation was slashed by 30% by U.S. asset manager Vanguard, valuing the company at under $2 billion. In its international markets, Ola was engaged in fierce competition for market dominance against Uber and other local players.

Industry experts have expressed doubts about the appetite for electric two-wheelers in many countries outside of India and China, which could impact Ola Electric's expansion plans.

These challenges highlight the difficulties Ola faced in sustaining its international operations and underscore the reasons behind its strategic shift to focus on the Indian market.

Ola has started sending out notifications to users and drivers about the impending closure of operations. In Australia, for instance, operations are set to cease from April 12. Users will no longer be able to book rides, and drivers are asked to stop taking bookings under Ola's permits from that date. Drivers have been instructed to remove all Ola-related labels and stop using Ola materials. They must also destroy any copies of Ola permits they may have.

This transition phase is crucial for both users and drivers as they will need to find alternative ride-hailing services or employment opportunities respectively. Ola's communication to its stakeholders is aimed at ensuring a smooth transition as it winds down its operations in these countries.

New Zealand Education Week Commits Investment Worth NZ$ 400K as Part of the India Strategy; Inks MoU with IIT Delhi

Education ties between New Zealand and India are set to strengthen following one of Education New Zealand’s biggest events of the year, the India-New Zealand Education Week. Starting on 17th April 2023, this week will encourage a dialogue on research while fostering innovation culture exchange and cooperation in the context of international education. The week-long activities included a series of engagements between New Zealand and Indian institutions and academics.

Demonstrating New Zealand’s overall commitment to India, New Zealand has announced an investment of NZ$ 400K towards internationalisation and student mobility initiatives.

MoU signing between New Zealand universities and IIT Delhi

These include further engagement with the New Zealand Centre at IIT Delhi to include fellowship grants and the re-launch of the partial scholarships under the New Zealand Excellence Awards.

The New Zealand Excellence Awards (NZEA) is a unique scholarship scheme designed exclusively for Indian students. The awards are jointly funded by Education New Zealand and all eight New Zealand universities. Since the launch of the scholarship in 2016, it has supported over 200 Indian students to pursue their overseas study at world class universities in New Zealand.

L-R: Alister Jones, Senior Deputy Vice Chancellor, University of Waikato; HE David Pine, New Zealand High Commissioner to India; Grant Mcpherson, Chief Executive, Education New Zealnad; Erik Lithander, Deputy Vice Chancellor, Strategic Engagement, University of Auckland

Speaking at the event, Education New Zealand’s Chief Executive, Grant McPherson said, “New Zealand’s education system is future focussed and multicultural, offering students an opportunity to earn work ready degrees.”

“India is one of New Zealand’s priority partner countries for collaborations, exchanges and student mobility. We are excited that today’s announcements around the New Zealand Centre and the launch of the New Zealand Excellence Award scholarships demonstrate our commitment to India as an education partner.” Added Mr McPherson.

Adding to this, IIT Delhi spokesperson, Prof. James Gomes, Dean International added, “The New Zealand Centre embodies IIT Delhi’s efforts to embrace internationalisation, providing opportunities for new research collaboration and global exposure for our students. The first round of jointly funded Research Collaboration, awarded in 2022, has helped foster collaborative, sustainable and self-supporting research programmes.”

“Today’s Memorandum of Understanding has further enhanced the partnership and cooperation in research, teaching and fellowships between India and New Zealand and provides an opportunity to explore other innovative ventures,” added Prof. Gomes.

The announcements were made at a media roundtable session hosted at the New Zealand High Commission in the presence of: HE. David Pine, New Zealand High Commissioner to India, Grant McPherson, Chief Executive, Education New Zealand; Prof. Alister Jones, Senior Deputy Vice Chancellor, University of Waikato, and Dr. Erik Lithander, Deputy Vice Chancellor, Strategic Engagement University of Auckland.

The India-New Zealand Education week has senior level attendance from all 8 universities from New Zealand and focusses on high level engagement between New Zealand universities and Indian institutions and partners.

The visiting senior delegates and academics from New Zealand universities include:

• Guy Littlefair, Pro Vice Chancellor, Auckland University of Technology
• Annie Goh, International Director, Lincoln University
• Christopher Gan, Head of Department Financial & Business System, Lincoln University
• Christopher Carey, Executive Director Global Engagement, Massey University
• Gaurab Sen Gupta, Deputy HOD Food & Advanced Technology, Massey University
• Erik Lithander, Deputy Vice Chancellor, Strategic Engagement University of Auckland
• Alister Jones, Senior Deputy Vice Chancellor, University of Waikato
• Graham Wise, Director of International Development, University of Canterbury
• Anthony Ballantyne, Deputy Vice Chancellor, University of Otago
• Blair McRae, Deputy Vice Chancellor Victoria University of Wellington
• Vasso Koutsos, Deputy Director International Marketing & Recruitment University of Auckland

All the New Zealand universities have India based/responsible staff, who are also accompanying the delegation during the NZ-India week, these include:

• Fatima Sayed-Naqvi, Recruitment Manager Auckland University of Technology
• Linda Oostenrijk, Recruitment Manager, Massey University
• Ashish Suri, Recruitment Manager, University of Waikato
• Mohammed Hussain, University of Canterbury
• Victoria McEniery, Otago University
• Ankit Mehta, Victoria University of Wellington

About Education New Zealand (ENZ) https://www.enz.govt.nz/

Education New Zealand Manapou ki te Ao (ENZ) is the government agency responsible for taking New Zealand’s education experiences to the world. ENZ promotes a New Zealand education as one that teaches students to be critical thinkers, problem solvers and lifelong learners, which will help them succeed in their future careers and create a positive impact on the world. In 2019, New Zealand’s education system was ranked first among English-speaking countries and third in the world for delivering a future-focused education (out of 50 economies) by the Economist Intelligence Unit.

With approximately 100 staff in 18 locations around the world, ENZ works closely with New Zealand’s diverse education sector, including schools, English language providers, Private Training Establishments, Institutes of Technology and Polytechnics, universities, and internationally with NZ Inc agencies, Government agencies and education providers to encourage sustainable growth and identify opportunities.