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Tougher immigration for Indians, FTA: Why PM Modi's maiden visit to New Zealand matters
New Zealand is considering tougher immigration rules for Indians, a move that the country’s foreign minister warned could affect ties between the two countries.
Prime Minister Narendra Modi will make his first official visit to New Zealand next week, the country’s Prime Minister, Christopher Luxon, announced on Friday. The visit comes at a time when Wellington is considering stricter immigration rules for Indian nationals.
At the same time, the Free Trade Agreement signed by India and New Zealand in April is still awaiting approval in the New Zealand parliament.
Here's why PM Modi's upcoming visit matters:
Stricter immigration rules for Indians
New Zealand is considering tougher immigration rules for Indian nationals, a move that the country’s foreign minister Winston Peters has warned could affect ties between the two countries, New Zealand’s The Post reported, citing an unnamed source. The proposed changes could also reportedly have wider diplomatic and trade implications.
The report said work on the proposed immigration changes is already underway. Immigration minister Erica Stanford said a draft of the new policy has been shared with ministers, but no final decision has been taken.
Peters, who leads New Zealand First, a coalition partner in the government, said officials had presented evidence showing that the proposed immigration changes would make the rules more restrictive specifically for Indian nationals
“We’ve recently received the evidence in the form of a briefing from officials and the consequent decisions made by the Minister of Immigration that immigration policy settings are being made more restrictive in a way which targets India and India alone,” he said, as per the report.
He added that officials had warned the tougher rules could affect bilateral and trade relations with India, damage New Zealand's reputation as a business destination, face legal challenges and even invite retaliatory measures.
“This is our concern as foreign minister, because they are potentially damaging to our reputation as a country that is transparent in dealings and one whose word can be relied upon,” Peters told parliament.
He also questioned why the proposed restrictions would apply only to India and not to other countries that have FTAs with New Zealand. The government “must explain why these restrictions will apply to India and India alone and not to all New Zealand FTA partners,” he said.
FTA still awaiting approval in New Zealand’s parliament
The India-New Zealand Free Trade Agreement is yet to receive approval from New Zealand's parliament.
Peters has opposed the agreement, arguing that it does not serve New Zealand's interests. However, the ruling National Party has secured support from the opposition Labour Party, making it likely that the legislation will pass.
Luxon said the agreement would create new opportunities by opening access to a market of 1.4 billion people for New Zealand's goods and services.
India and New Zealand signed the Free Trade Agreement earlier this year to expand trade in goods and services and encourage investment between the two countries.
Under the agreement, 100 per cent of India's exports to New Zealand will receive duty-free access. For India, the deal improves access to a high-income, rules-based Pacific market and supports its wider Indo-Pacific economic strategy.
With inputs from agencies
