The free trade agreement (FTA) between India and New Zealand takes effect on Tuesday, removing customs duties on Indian exports to New Zealand and providing tariff reductions on certain New Zealand imports into India.The agreement also creates new temporary visa routes for qualified Indian professionals.Although Indian exports will enjoy duty-free entry for all tariff lines in New Zealand, India’s tariff reductions will differ by product, with certain cuts implemented immediately and others introduced gradually.Here’s what will be different starting today:Indian exports receive tariff-free entry to New ZealandIndia has started providing preferential tariff treatment for certain New Zealand products as per the agreement. The concessions consist of duty-free entry for certain sheep meat, wool, and wooden goods, while tariffs on additional products will be decreased following the established timetable.Tariffs on wine will be based on the value of each 750 ml bottle. During the initial year, the rate will be 150 percent for wine priced under USD 5, 95 percent for wine priced from USD 5 to below USD 15, and 70 percent for wine priced at USD 15 or higher, based on the CIF value.The agreement additionally grants preferential access for specific agricultural products via tariff-rate quotas. Kiwifruit from New Zealand that is priced at a minimum of USD 1.80 per kg will possess a zero-duty quota of 6,250 tonnes during the initial year.In contrast, the apple quota starts in the second year, allowing 35,000 tonnes to enter at a 25 percent duty, unlike the current 50 percent rate.Certified Manuka honey will be subject to reduced tariffs as part of a quota system. For the rest of 2026, the announced quota stands at 40 tonnes, featuring a lower rate for eligible imports valued between USD 20 and just under USD 30 per kg.Dairy items continue to be safeguardedIndia has excluded sensitive items such as dairy, sugar, edible oils, and specific agricultural products from its tariff concessions. Animal flesh is also excluded, except for the sheep meat covered in the agreement.New temporary employment visa routes available for IndiansTwo pathways for Temporary Employment Entry visas for qualifying Indian citizens will be accessible starting October 20. The total cap is 5,000 visa holders simultaneously, and the visas remain valid for three years without a direct route to residency.Applicants need to fulfill New Zealand’s immigration criteria, which include securing a valid job offer from a recognized employer and satisfying associated qualification, English proficiency, health, and character standards.Additional changes will follow. Starting November 16, qualified Indian graduates holding PhDs from New Zealand will be able to apply for post-study work visas valid for up to four years. A working-holiday program for Indian citizens aged 18 to 30 is expected to start in two years, offering up to 1,000 spots each year.Additional tariff reductions and visa changes on the wayMultiple clauses of the contract will become effective in the upcoming years. Over time, New Zealand will increase its tariff concessions, and eligible Indian graduates will benefit from enhanced post-study work options outlined in the agreement.The two nations intend to establish a working-holiday program for Indian citizens aged 18 to 30, offering up to 1,000 spots each year and allowing stays of up to 12 months. The program is set to be launched within two years of the agreement’s activation.Additionally, New Zealand has pledged to enable USD 20 billion in investments in India over a period of 15 years. The pact seeks to increase bilateral trade in goods and services to NZ$7 billion by 2030.