India–NZ FTA: Labour says 'lack of dairy gains in India disappointing'

Labour has responded to the Government’s Free Trade Agreement (FTA) with India, saying that while it is a start, the deal delivers little for the dairy sector.

“It’s disappointing that dairy, our biggest export, has been largely left out of this deal,” Labour’s trade spokesperson Damien O’Connor said.

O’Connor acknowledged the agreement as a starting point, but said the priority must be securing meaningful access for New Zealand’s dairy sector in any deal with India.

“The UK took three and half years to negotiate its FTA with India. These agreements cannot be rushed and it was naïve of Christopher Luxon to treat this as an election promise,” he added.

Labour’s O’Connor said trade agreements should focus on achieving the best outcome for New Zealanders, rather than chasing political wins.

“Rushing negotiations to save face risks leaving our exporters worse off,” he said.

Referring to Labour’s time in government, O’Connor said Labour spent years strengthening relations with India and always kept dairy at the centre of those negotiations.

“We cannot afford to drop the ball on our biggest export.”

“Labour will finalise its position as a caucus in the new year,” Damien O’Connor said.

New Zealand and India concluded a Free Trade Agreement after several rounds of negotiations.

The announcement was made yesterday, as Prime Minister Christopher Luxon and Trade and Investment Minister Todd McClay held a press conference.

FTA negotiations began on 21 March this year and concluded after nine months. The agreement is expected to be signed in the first half of next year.

The Free Trade Agreement between the two nations offers New Zealanders unprecedented access to 1.4 billion Indian consumers, Trade and Investment Minister Todd McClay said.