India-NZ FTA Boosts India''s Textile Sector

New Delhi, Apr 27 (PTI) New Zealand remains an important market and the free trade agreement with the nation signed on Monday provides a growth opportunity for India's textiles, apparel and made-ups sectors, the government said.

The Ministry of Textiles welcomed the "landmark trade agreement, reflecting a future-ready partnership built on trust, growth and shared prosperity".

The FTA also opens up the door to collaborate with textile design houses and fashion technology institutes, the ministry stated, emphasising upon the need to leverage the FTA by participating in major textile fairs and exhibitions.

New Zealand remains an important market and the free trade agreement (FTA) would enable India to enhance its exports, the ministry added.


The New Zealand market provides an opportunity for India's exports of textiles, apparel and made-ups.

The apparel sector comprises 65 per cent share of global imports of New Zealand.

The key sub sectors of imports under the apparel sector are casual wear (jeans, T-shirts, hoodies, relaxed tops, casual dresses), jackets, formal wear and sports wear. Cotton apparel comprises 45 per cent of these imports followed by man-made fibre (MMF) at 36 per cent.

Currently, New Zealand has 575 dutiable MFN tariff lines with a 5 per cent duty on some wool, MMF and made-ups and a 10 per cent duty on carpets, some MMF and apparel. Hence, an FTA would lower the cost of Indian exports.

India's exports in the textiles, apparel and made-up sector to New Zealand has shown a positive trend over the last decade. Positive growth was shown in all sub sectors, namely apparel, made-ups, carpets, fibre, yarn, and fabrics.