3 days ago
New Zealand reiterates commitment to FTA with India, seeks closer defence ties
New Delhi: New Zealand is committed to finalising a free trade agreement (FTA) with India and even areas of concern such as the dairy industry can be turned into opportunities to ensure food security, New Zealand's deputy prime minister Winston Peters said on Friday.
Peters, who is also the foreign minister, said New Zealand is keen to work more closely on defence and security issues with India, which he described as a 'geopolitical giant' and an 'indispensable security actor' in the region.
External affairs minister S Jaishankar and Peters took stock of bilateral ties at a meeting in New Delhi late on Thursday. Jaishankar said in a social media post that both sides agreed to collaborate closely for a rules-based, peaceful and stable Indo-Pacific in a 'more volatile and uncertain world'. He also thanked New Zealand for its support on the Pahalgam terror attack.
Peters' two-day visit to India is a follow-up to New Zealand Prime Minister Christopher Luxon's trip to New Delhi in March, when the two sides finalised an agreement to bolster defence cooperation and announced the launch of negotiations on an FTA.
Participating in an interaction organised by Ananta Centre on Friday, Peters declined to set a timeline for concluding the FTA but said the 'conversation is going [ahead] with real meaning' despite 'certain areas of concern' such as the dairy industry.
He argued that New Zealand's expertise in the dairy industry could open new opportunities, especially to bolster India's food security. 'I understand the the dairy industry in India. But here's the rub. You'll need 35% more food in the next 35 years and our country, rather than being an opponent, can be a serious help to drive up your productivity in the dairy industry,' he said.
While offering New Zealand's help to boost the dairy industry's productivity in one Indian state, Peters said collaboration in this field can lead to 'better breeding, better outcomes, better production'.
'The more we look at India, we see opportunity everywhere if we can get this [FTA] across the line. We're not in it to enrich ourselves, we're in it to enrich both peoples,' he said, pointing to opportunities in agriculture.
Two-way trade in goods and services between India and New Zealand has increased from $1.67 billion in 2020 to $1.75 billion in 2023. Earlier this month, India clinched a trade deal with the UK and it is currently engaged in trade talks with the European Union, Oman and the US.
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Peters noted that India is New Zealand's 12th largest trade partner and said his country is determined to change that. 'Our strengths, from food and beverage products to agriculture, forestry, horticulture, education and tourism are world-class. Our innovation in areas like outer space and renewable energy will find a welcome partner in India,' he said.
He also focused on New Zealand's plans to work more closely on defence and security. 'During a time of great uncertainty, instability and disorder, we have taken steps to work more closely on matters of defence and security with India,' he said.
The recent defence cooperation arrangement will facilitate closer links between militaries of the two countries, which are currently part of Combined Task Force 150. This multinational naval force, based in Bahrain, is charged with protecting some of the busiest shipping lanes in the Indian Ocean and Gulf of Oman and countering terrorism and piracy.
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'India's involvement in this mission as the deputy commander of the task force underscores the growing closeness of our defence ties. The task force has already had some serious real impact, disrupting the trade of $600 million worth of illegal drugs so far,' Peters said.
'With tensions rising in the Indo-Pacific, it's crucial for New Zealand to work hand in hand with India and other like-minded partners to ensure the region remains free and open, with all nations respecting the rules that underpin peace and stability.'
Reiterating New Zealand's commitment to South and Southeast Asia, Peters said: 'Ultimately, there's plenty in our relationship to benefit both New Zealand and India. As we work more closely together on defence and security, on sharing technology and human capital, and cooperating economically, we can say to you that India can rely upon New Zealand's word and the actions that support them.'
