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        Customs & Trade

        No duty concessions by India on dairy sector for New Zealand under trade pact

        December 22, 2025

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        New Delhi, Dec 22 (PTI) India has not given any import duty concessions in its dairy sector for New Zealand under the bilateral free trade agreement, an official said on Monday.

        Both sides announced the conclusion of negotiations for the free trade agreement.

        "The dairy sector is completely a red line for us. No duty concessions under the pact in the sector," the official said.

        India has always resisted opening the door to bulk dairy imports in all of its previous pacts.

        Dairy has long been the most sensitive, and politically charged issue in the negotiations.

        New Zealand is one of the world's largest dairy exporters, while India is home to millions of small dairy farmers for whom market protection is a red-line issue. In practice, however, current trade is minimal.

        New Zealand's dairy exports to India in FY2025 totaled just USD 1.07 million, consisting of milk and cream ( USD 0.40 million), natural honey (USD 0.32 million), mozzarella cheese (USD 0.18 million), butter (USD 0.09 million) and skimmed milk (USD 0.08 million). PTI RR DR DR

        India's dairy sector excluded from tariff concessions in the India-New Zealand free trade agreement, preserving protection for small farmers. India and New Zealand concluded a bilateral free trade agreement negotiation in which India retained a complete exclusion for the dairy sector from import duty concessions, treating dairy as a red line to preserve tariff protection and market access restrictions for small domestic dairy farmers.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                India's dairy sector excluded from tariff concessions in the India-New Zealand free trade agreement, preserving protection for small farmers.

                                India and New Zealand concluded a bilateral free trade agreement negotiation in which India retained a complete exclusion for the dairy sector from import duty concessions, treating dairy as a red line to preserve tariff protection and market access restrictions for small domestic dairy farmers.





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