Duty-free access under the agreement opens niche export gains, boosts India’s jewellery export diversification
New Delhi: India’s gems and jewellery industry is set to make incremental yet strategic gains from the newly signed India-New Zealand Free Trade Agreement (FTA), with zero-duty access and improved market entry expected to support export diversification and margin expansion.
Signed by Union Commerce and Industry Minister Piyush Goyal and New Zealand’s Trade and Investment Minister Todd McClay on April 27, 2026, the agreement eliminates duties on 100% of Indian exports to New Zealand, creating a level playing field for exporters across categories, including diamonds, gold jewellery and studded pieces.
The Gem & Jewellery Export Promotion Council (GJEPC) has welcomed the signing of the India-NZ trade pact, calling it a timely and strategic step that opens a high-potential market for Indian gem and jewellery exporters.
Kirit Bhansali, Chairman, GJEPC, said,“In today’s turbulent global environment, India’s continued progress in advancing and concluding FTAs is enabling the industry to strategically diversify its export markets and reduce overdependence on any single geography such as the US or regions like the GCC. The India-New Zealand FTA, following the Australia agreement, is a timely step in this direction. India’s gems and jewellery exports to New Zealand currently stand at around $ 16.61 million, and with zero-duty access under the agreement, we expect this to grow to nearly $ 50 million over the next three years.”
New Zealand, with its high per capita jewellery consumption trends, brings new opportunities for Indian exporters. The agreement also provides a clear duty advantage over key competitors such as China and Thailand, enhancing competitiveness and enabling expansion of market share across gold, silver, platinum, studded, contemporary, couture and fashion jewellery segments.
Importantly, this FTA is not just an export opportunity, but also a platform for deeper economic engagement and investment, supporting a more balanced and resilient growth trajectory for the sector.
Improved market access, combined with India’s strength in manufacturing diverse jewellery categories, is expected to generate employment opportunities across major producing centres such as Gujarat, Maharashtra, Rajasthan, and West Bengal.
The FTA also creates opportunities to leverage the Indian diaspora in New Zealand, expand retail presence through local partnerships, and deepen long-term trade and investment engagement in the Oceania region.
Recent Indian investments in New Zealand’s jewellery retail segment further indicate strong long-term potential, with the agreement expected to support both export growth and stronger bilateral economic ties.
The agreement comes at a time when India’s gem and jewellery exports are undergoing a structural reset. Exports stood at $27.72 billion in FY2025–26, reflecting a modest decline amid global headwinds and reduced shipments to the US market. The broader significance of the India-New Zealand FTA lies in its alignment with India’s ongoing strategy of leveraging trade agreements to reduce overdependence on traditional markets and build a more resilient export base and expand global market access. With similar pacts already driving growth in markets like the UAE, the European Union and Australia, the New Zealand agreement adds another node to India’s widening export network.
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