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India grants quota-based duty concessions on apples, kiwifruit and honey under landmark India-New Zealand FTA
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Friday, 26 December, 2025, 15 : 00 PM [IST]
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Our Bureau, New Delhi
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India and New Zealand have finalised terms under their Free Trade Agreement (FTA) that include quota-based duty concessions on key agricultural products such as apples, kiwifruit and Manuka honey, while protecting sensitive domestic sectors with safeguards and monitoring mechanisms. The deal, expected to be signed and operational by next year, aims to boost bilateral trade and investment, offering new market access while balancing farmers’ interests.
Under the agreement, duty reductions for New Zealand’s apples, kiwifruit and Manuka honey will be implemented through a Tariff-Rate Quota (TRQ) system combined with Minimum Import Prices (MIP) and oversight by a Joint Agriculture Productivity Council (JAPC). Quotas are tied to agricultural productivity action plans agreed by both countries, intended to strengthen quality, supply chains and technical support for growers.
For apples, which currently attract a 50 percent import duty in India, concessions will apply on a quota of 32,500 tonnes in the first year of the agreement, with duty reduced progressively before increasing quotas in subsequent years. A similar structured approach has been outlined for kiwifruit, where zero duty will apply within quota limits that expand over time. Beyond set thresholds, standard tariffs will continue to apply, ensuring Indian producers remain protected.
Manuka honey, a premium New Zealand product traditionally levied with high duties, will also benefit from phased concessions under quota rules, aimed at improving consumer choices and affordability in the Indian market while maintaining quality standards and domestic beekeeper interests.
In addition to these agricultural concessions, the broader India-NZ FTA grants zero duty access on over half of New Zealand exports from day one, rising further over time, and ensures zero duty on 100 percent of Indian exports into New Zealand, strengthening trade ties and economic cooperation between the two nations.
The tariff concessions for apples, kiwifruit and honey mark a significant milestone, with New Zealand becoming the first country to secure preferential access for these products in any Indian FTA, reflecting a negotiated balance between market access and safeguard measures for domestic producers.
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