New Zealand on Monday said it has become the 'first' country to get duty concessions for its apples under any free trade agreement signed by India.
At present, India has a 50% import duty on apples.
Under the free trade agreement with New Zealand, India is giving duty concessions to apples with a quota and a minimum import price (MIP) in order to protect the interest of domestic farmers.
At present, India's annual apple imports from New Zealand is at 31,392.6 tonnes (MT) worth $32.4 million against the country's total apple imports of 519,651.8 MT.
In the agreement, import duty concessions will be given to New Zealand on 32,500 MT in the first year of the pact.
The quota will be increased to 45,000 MT in the sixth year at 25% duty and MIP of USD 1.25 per kg. Beyond this quota, a 50% duty will come into force.
'New Zealand is the first country to secure preferential access for apples in any Indian FTA, and the first kiwifruit exporter to secure tariff-free access for kiwifruit plus a 50% tariff reduction outside quota,' New Zealand's trade ministry said in a statement.
The development assumes significance as the US is also demanding duty concessions for its apples in the proposed bilateral trade agreement with India.
RECOMMENDED FOR YOU
India Gives Duty-Free Access To 54.11% Of New Zealand Exports From Day One Of FTA
India, Canada Gear Up For FTA Negotiations After 2023 Pause: Piyush Goyal
India, New Zealand Seal Trade Deal To Cut Tariffs On Exports — Details Inside
Goyal To Visit New Zealand Next Week For Trade Pact Talks
POPULAR