“We expect the Free Trade Agreement (FTA) between India and New Zealand to strengthen the ongoing efforts of India’s textile and apparel exporters to reduce dependence on select markets, move up the value chain and lend added momentum to India’s 2030 aspiration of a $350 billion textile and apparel industry,” said CITI in a statement.
The India-New Zealand FTA will provide duty-free access to Indian textiles. According to New Zealand’s Ministry of Foreign Affairs and Trade, “made-up textile articles” were the fourth-largest category of Indian imports into New Zealand in the year ended December 2025. New Zealand’s imports of Indian made-up textile articles were valued at NZ$80.22 million in the year ending December 2025.
“The FTA with New Zealand offers tremendous upside potential for India’s textile and apparel sector that extends beyond greater market access and an increase in realisations by providing a more level playing field for our exporters vis-à-vis those from other countries,” said Ashwin Chandran, chairman, CITI.
As a high-income, quality-conscious market with a highly discerning, well- informed consumer base, New Zealand’s strong acceptance of higher-value Indian textile products can serve as strong validation of Indian exporters’ ability to compete effectively on both quality and price, think industry leaders.
According to CITI, sustainable textiles, home textiles and technical textiles offered the greatest potential for India’s textile exporters in New Zealand. “With New Zealand being a major exporter of high-quality wool, the FTA could make it more lucrative for Indian companies to import premium wool for manufacturing and then exporting high-end garments,” said Chandran.