Prime Highlights
- The FTA introduces a new visa category allowing Indian healthcare workers to work in New Zealand for up to three years.
- New Zealand included, for the first time, a dedicated framework enabling global expansion of AYUSH disciplines.
Key Facts
- AYUSH refers to India’s traditional medicine systems, Ayurveda, Yoga, Unani, Siddha, and Homeopathy.
- The agreement includes a USD 20 billion investment commitment into India targeting digital health and biotechnology.
Background
India and New Zealand have signed a comprehensive Free Trade Agreement (FTA), marking a major step forward in bilateral cooperation across pharmaceuticals, healthcare, and traditional medicine.
The other major characteristic of the treaty is the quick approval process for medicines and devices. This will allow the recognition of inspections carried out by reliable international agencies like the US Food and Drug
Administration and the European Medicines Agency. This is expected to improve access to affordable medications and increase exports of pharmaceuticals from India.
The accord further provides for a much larger investment of USD 20 billion in India, focusing on health technology, biotechnology, and healthcare infrastructure. The collaboration of two countries is aimed towards promoting research, development, and investment in health technologies.
For the first time, New Zealand has included a dedicated framework for health and traditional knowledge systems.
This opens the door for global expansion of AYUSH disciplines, including Ayurveda and Yoga, and supports medical value travel, wellness services, and women-led enterprises in the health sector.
The FTA also improves healthcare workforce mobility. A new Temporary Employment Entry visa category allows Indian healthcare workers, wellness practitioners, and allied health professionals to work in New Zealand for up to three years. Indian students in health and STEM fields will additionally benefit from extended post-study work rights, giving them access to international clinical and research experience.
Trade Minister of New Zealand Todd McClay termed the deal a once-in-a-lifetime chance, while Union Minister Piyush Goyal described it as “a landmark development, which not only bolsters MSMEs but also promotes innovation and growth of women-owned businesses.”
