After India and New Zealand signed a free trade agreement (FTA), Pankaj Chadha, Chairman of the Engineering Export Promotion Council of India (EEPC India), has said that India’s engineering exports to New Zealand are poised to double over the next five years, from $140.5 in 2025-26 million to $280-300 million, as the FTA provides zero-duty market access for all Indian goods. He emphasized that the agreement would offer a significant boost to the sector, particularly for MSMEs, by reducing trade barriers and ensuring stable market access in a relatively small yet high-potential market.

The FTA with New Zealand comes as part of India’s broader strategy to expand its engineering exports through trade agreements. Existing FTAs with Australia and the United Arab Emirates have already opened new opportunities, while proposed deals with the European Union and the United States are expected to further accelerate growth. With the engineering sector aiming for $250 billion in exports by 2030, such agreements are seen as a key lever to scale operations and diversify markets.

Engineering shipments to New Zealand have already shown steady growth, rising around 8% to $140.5 million in 2025-26, up from $129.8 million in the previous fiscal year. The expansion has been driven by automobiles, dairy, machinery and medical and scientific instruments, while metal-based products such as iron and steel, aluminium, and zinc have also made meaningful contributions.