India, New Zealand firm up ties with Trade, Defence Agreements

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India, New Zealand firm up ties with Trade, Defence Agreements

Context:

Recently,New Zealand’s Prime Minister Christopher Luxon visited India, paving the way for key agreements in various sectors. The discussions and agreements mark a shift towards a comprehensive partnership, emphasising Indo-Pacific stability, economic collaboration, and people-to-people ties.

Strengthening Defence and Security Cooperation

  • Defence Agreement: A Memorandum of Understanding (MoU) on Defence Cooperation was signed to institutionalise defence collaboration.
  • Joint Military Training & Exercises: Both nations agreed to conduct joint training exercises and port visits to enhance interoperability.
  • Maritime Security: India and New Zealand are cooperating under Combined Task Force-150 (CTF-150) to secure the Indian Ocean region.
  • Indo-Pacific Oceans Initiative (IPOI): New Zealand has formally joined the India-led initiative to reinforce regional maritime security.

Counterterrorism and Security Concerns

  • Joint Condemnation of Terrorism: Both nations strongly condemned terrorism in all its forms, recalling the Christchurch attack (2019) and Mumbai attacks (2008).
  • Addressing Pro-Khalistan Activities: India raised concerns about anti-India separatist movements in New Zealand, similar to those in Canada, UK, and the US.
  • Security Collaboration: Both countries agreed to enhance cooperation in tackling radical elements, separatist threats, and organised crime.

Trade and Economic Cooperation

  • India-New Zealand Free Trade Agreement (FTA):
    • Relaunch of negotiations after a decade, focusing on a balanced and mutually beneficial trade framework.
    • Key focus areas:
      • Tariff and non-tariff reduction
      • Market access enhancement
      • Investment facilitation and protection
      • Digital trade and e-commerce
      • Customs procedures and regulatory harmonisation
    • Authorised Economic Operators Mutual Recognition Agreement (AEO-MRA):
      • Signed between India’s CBIC and New Zealand Customs Service.
      • Aims to streamline trade processes and enhance customs cooperation.

Mobility and Skilled Workforce Exchange

  • Labour Mobility Arrangement:
    • Aims to facilitate the movement of professionals and skilled workers.
    • Addresses irregular migration challenges.
  • Education and Cultural Ties:
    • Education Cooperation Agreement signed to enhance academic collaboration.
    • Memorandum of Cooperation (MoC) on Sports signed to strengthen ties in cricket, hockey, and Olympic sports.
    • Celebration of the Centenary of Sporting Contact (2026) through Sporting Unity events.

Sectoral Cooperation

  • Agriculture and Forestry:
    • MoU on Horticulture Cooperation between India’s Ministry of Agriculture and New Zealand’s Ministry for Primary Industries.
    • Letter of Intent on Forestry Cooperation exchanged between India’s Ministry of Environment and New Zealand’s counterpart.
  • Science, Technology, and Climate Resilience:
    • Focus on innovation and commercialisation of new technologies.
    • New Zealand joined the International Solar Alliance (ISA) and the Coalition for Disaster Resilient Infrastructure (CDRI).
    • Earthquake Mitigation and Disaster Preparedness Cooperation initiated.

Geopolitical and Indo-Pacific Strategy

  • Commitment to a Free and Open Indo-Pacific:
    • Both nations reaffirmed their commitment to rules-based international order and freedom of navigation.
  • Addressing China’s Expansionism:
    • Highlighted concerns over China’s aggressive maritime posture.
    • Stressed the importance of regional development over expansionism.
  • Multilateral Engagement:
    • Support for ASEAN-led forums (EAS, ADMM-Plus, ARF).
    • India’s candidature for permanent membership in the UN Security Council supported by New Zealand.
    • Joint commitment to nuclear disarmament and non-proliferation.
    • Agreement to enhance mutual support in multilateral organisations.

Regional and Global Issues

  • Middle East Stability:
    • Welcomed the January 2025 ceasefire agreement between Israel and Palestine.
    • Endorsed the two-state solution.
  • Ukraine Conflict:
    • Stressed the importance of territorial integrity and adherence to international law.
  • Counterterrorism and Extremism:
    • Agreement on disrupting terror financing networks.
    • Commitment to strengthening bilateral and multilateral counter-terrorism efforts.
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