India is likely to reduce the 30% import duty on kiwi fruit from New Zealand as part of ongoing negotiations for a Free Trade Agreement (FTA) between the two countries. The move could significantly boost bilateral trade and improve access to premium-quality kiwis for Indian consumers.
🥝 Kiwi: A Strategic Trade Item
A senior government official confirmed that kiwi is a “very important product for New Zealand”, while not being a sensitive item for India. The tariff concession is expected to be a key component of the FTA, which both nations aim to finalize by the end of 2025.
India imported $63.72 million worth of kiwis in FY25, with New Zealand accounting for nearly $17 million, marking a 157% year-on-year increase. However, Chile remains India’s top kiwi supplier, benefiting from a lower 15% duty under a preferential trade agreement.
🌱 Boosting Domestic Cultivation
India and New Zealand have also signed a Memorandum of Cooperation (MoC) to enhance collaboration in horticulture. This includes sharing kiwi cultivation technology, post-harvest practices, and marketing infrastructure to help India scale up its own production.
“If we get good practices from them, we can increase our production. Paradoxically, it helps New Zealand too, since their production is seasonal,” said an official involved in the talks.
📈 Trade Ties on the Rise
India–New Zealand merchandise trade reached $1.3 billion in FY25, a 48.6% increase from the previous year. India’s key exports include pharmaceuticals, machinery, and textiles, while imports from New Zealand feature wool, aluminium, and fruits.
stay tuned for updates on the next round of FTA negotiations scheduled for July 2025.
