Surat: The diamantaires in the world’s largest diamond cutting and polishing centre in Surat have set their eyes on New Zealand with India signing a Free Trade Agreement (FTA). The FTA is expected to open up fresh opportunities for the diamantaires by improving price competitiveness and easy market access.
The FTA between India-New Zealand offers a tariff advantage of up to 2.5% across a range of product lines, including gems and jewellery, which is expected to strengthen India’s position in the New Zealand market.
Kirit Bhansali, Chairman, GJEPC, said, “The India-New Zealand FTA is a significant step forward for India’s gem and jewellery sector. The agreement enhances India’s competitiveness in the New Zealand market by extending tariff advantage of up to 2.5% for various product lines including gem and jewellery. We see strong potential to scale India’s gems and jewellery exports to New Zealand from $16.61 million in 2024 to $50 million over the next three years, strengthening India’s footprint in this important market.”
With the FTA now in place, industry estimates suggest exports could more than triple over the next three years, driven by improved pricing, wider product reach and stronger buyer engagement. The agreement is also expected to encourage Indian exporters to deepen relationships with New Zealand retailers and explore long-term partnerships in the market.
The FTA aligns with the Indian Government’s broader strategy of using trade agreements to diversify export destinations and reduce reliance on a few large markets, while creating stable, policy-backed growth avenues for the gem and jewellery industry.
New Zealand is a high-value, design-driven market, and the FTA gives Surat diamantaires a clear edge in terms of pricing and quicker market access,” said Vipul Shah, former Chairman of the Gems and Jewellery Export Promotion Council (GJEPC). “The tariff advantage, though modest, becomes significant in a competitive retail environment and will help Indian exporters expand their presence beyond traditional markets.”
“The agreement is strategically important as it allows India’s diamond and jewellery industry to diversify exports while reducing dependence on the US and Europe,” said Colin Shah, Managing Director of Kama Jewelry and Vice Chairman, GJEPC. “With better cost competitiveness and policy stability, we expect sustained growth in exports and stronger long-term partnerships with New Zealand buyers.”
