Fifty business representatives are going to India this week, in what has been called one of the largest trade delegations ever to go there.
They include leaders of five business organisations, such as the Employers and Manufacturers’ Federation (Northern), Export New Zealand, and the New Zealand International Business Forum.
They will be led by the CEO of Auckand Chamber of Commerce, Simon Bridges, and the chairman of the India New Zealand Business Council (INZBC), Michael Fox.
“No country is enjoying economic growth quite like India is achieving in a sluggish global market," says Bridges.
"I believe taking deliberate steps to develop two-way trade and investment could be potentially very significant for New Zealand’s future."
The INZBC published a major review of the economic relationship between India and New Zealand in April, which boosted hopes of further trade between the two countries.
It came after attempts to develop a Free Trade Agreement (FTA) between the two countries foundered over concerns about immigration from India and sales of NZ dairy products in India.
India's dairy industry is highly protected for economic and religious reasons.
But some trade experts have suggested privately that progress towards an FTA could be revived.
This would be a boon to exporters hoping for better access to fast growing India, which could be the world's third biggest economic power in a decade or so.
Fox says he hopes business agreements could be achieved during this visit.
"But delegation participants are intent on taking a medium-term approach to trade and investment," he says.
"India is a very large market with a rich culture and history and so understanding its national and sector development priorities will be one of the keys to winning sustainable ongoing business.”
And he says a step by step process could be the best way forward.
"While we will always be interested in a comprehensive agreement, there is much to be achieved, even in the absence of an FTA, to grow the relationship.
"The best way to prepare for that possibility in the future is to invest in broadening and deepening trade and investment ties now.
The Indian government has identified agriculture, agritech, education, fintech, forestry, horticulture and renewable energy as its own main priorities.
8 Comments
Spent all their time, years, to get a crap deal in Europe and meanwhile ignored the massive Indian subcontinent market, dumb Damien OConnor. Jacinda was supposed to wow the Europeans with her presence and stardust... But they weren't fooled. Lets see whether Bridges enjoys a spicy vindaloo or if he is another bread and butter chicken guy
I recently read that India's digital payment volume has reached about 44 billion transactions, twice that of China's figures. By implementing their payment systems we could potentially save 1% or more of the total value of goods and services sold. This would offer significant advantages to local businesses by eliminating the need for intermediaries like Visa and Mastercard, both of which rely on outdated technology and come with high costs. Although I don't have all the details, I know the technology they employ is exceptionally cost-effective. If this can be replicated in NZ, the potential impact could be even greater than just a 1% reduction in transaction costs; it might easily result in a 3-4% uplift in local businesses bottom line. And less NZ dollars leaving the country, the implications are substantial
Indian workers are thriving in Silicon Valley but some say they face caste discrimination. Anything surprising? Caste follows the Indian like his shadow all the way to his grave. Formal education makes no difference to it. https://bbc.co.uk/programmes/p0fh6jw3#:~:text=They%20are%20not%20being%20singled,discrimination%20because%20of%20their%20caste. Link
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