India and New Zealand have finalised a Free Trade Agreement that will grant zero-duty access to all Indian exports, including pharmaceuticals and medical devices, in the New Zealand market once the pact is implemented, significantly improving market entry for Indian health sector products.
New Zealand’s commitment to eliminate tariffs across 100 per cent of Indian export tariff lines is part of the broader trade deal aimed at deepening economic ties and expanding bilateral trade.
A notable component of the agreement for the pharmaceutical and medical technology sector is enhanced regulatory cooperation. The pact includes provisions enabling New Zealand to accept inspection and approval reports from internationally recognised regulators such as the United States Food and Drug Administration (US FDA), the European Medicines Agency (EMA) and the United Kingdom’s regulator.
This will reduce the need for repeated inspections, lower compliance costs and help Indian medicines and medical devices secure approvals in New Zealand more quickly than under previous arrangements.
Healthcare-related services and professional mobility have also been expanded under the agreement. New Zealand has offered market access commitments across 118 services sectors, and the FTA includes the first-ever annex on health and traditional medicine (AYUSH) services, which explicitly covers systems such as Ayurveda, Yoga and other traditional Indian medicine disciplines.
These commitments are designed to facilitate trade in health services and create structured pathways for practitioners of traditional medicine systems to engage with the New Zealand market.
The pact also establishes a Temporary Employment Entry Visa pathway that allows up to 5,000 Indian professionals at any given time to work in New Zealand for up to three years, covering skilled occupations including healthcare alongside other fields. While professional practice remains subject to New Zealand’s domestic licensing requirements, this provision is expected to deepen professional exchange and address workforce needs in New Zealand’s health system.
Together, these provisions on tariff elimination, regulatory facilitation and expanded services and mobility position the pharmaceuticals and healthcare sectors as significant beneficiaries of the India-New Zealand FTA, aligning with India’s strategy to broaden its export footprint, enhance global regulatory recognition and strengthen cooperation in health services with other economies.
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