India notifies first tariff cuts under New Zealand FTA

India has notified the first tranche of customs dutyconcessions for specified imports from NZ under the bilateral FTA

In a notification issued late on Friday, the Department of Revenue prescribed customs duty and cess rates for specified products, along with tariff-rate quotas (TRQs) for select imports. The concessions are subject to tariff classification, product-specific conditions and proof of New Zealand origin.

Specified fresh, chilled and frozen sheep meat imports will attract zero basic customs duty (BCD), agriculture infrastructure and development cess (AIDC) and health cess under the relevant tariff entries. Certain fish tariff lines will attract a 25.71% BCD, with zero AIDC and health cess. Wine imports covered by the notification will attract 20% BCD, while AIDC will vary according to the product's cost, insurance and freight (CIF) value. For a 750 ml container valued at $5 or more but below $15, the AIDC rate is 75%. For a container valued at $15 or more, it is 50%.

Specified manuka honey imports valued at $30 per kg or more will attract 51% BCD. The notification also provides an annual TRQ of 40 tonnes for qualifying honey valued at $20 per kg or more but below $30 per kg, at an in-quota BCD rate of 51%. The quota is subject to prescribed conditions, including certification requirements.

For specified kiwi fruit imports valued at $2.50 per kg or more, the notified BCD is 15%. An annual TRQ of 200 tonnes has also been prescribed for albumins, including milk-derived proteins, with an in-quota BCD of 10%.

Beyond food and beverages, the notification provides zero-BCD treatment for specified furniture and related products, including certain metal furniture, wooden bedroom furniture, aircraft seats and furniture parts, lamps and lighting fittings.

India has excluded several sensitive product categories, including dairy products and specified agricultural goods, from tariff liberalisation under the agreement. The TRQ provisions apply only within the prescribed quantities and are subject to the conditions in the notification. Importers must also satisfy the applicable origin requirements to claim preferential treatment, the notification said.

India's bilateral trade in goods with New Zealand stood at about $1.13 billion in 2025-26, according to the latest commerce and industry ministry data.