Why in News?

India signed a defence cooperation pact with New Zealand - a partner of the Five Eyes intelligence alliance - and agreed to step up dialogue to enhance maritime safety. This comes after Prime Minister Narendra Modi met the visiting Prime Minister of New Zealand, Christopher Luxon.

The article highlights the pacts signed by both countries to strengthen and institutionalise their ties in different sectors.

What’s in Today’s Article?

• Strengthening Defence and Security Cooperation
• Counterterrorism and Global Security
• Trade, Investment, and Economic Cooperation
• Indo-Pacific and Global Diplomacy
• A Brief About India-New Zealand Relations
• Conclusion

Strengthening Defence and Security Cooperation:

• Joint statement:
  • Recognition of historical military cooperation between India and New Zealand.
  • PM Modi and PM Luxon emphasized a free, open, secure, and prosperous Indo-Pacific.
  • New Zealand welcomed India joining the Combined Maritime Forces.
• Decision to institutionalize defence and security collaboration:
  • Signing of India-New Zealand Memorandum of Understanding for Defence Cooperation.
  • Development of a roadmap for bilateral defence industry collaboration.
  • Joint military activities: Exercises, training, and port visits.
• Concerns:
  • China’s expansionism is indirectly addressed as India advocates development over expansionism.
  • Concerns over Khalistani separatists in Five Eyes intelligence-sharing nations. India raised concerns about anti-India activities in New Zealand, seeking full cooperation.

Counterterrorism and Global Security:

• Joint condemnation of terrorism, referencing Christchurch (2019) and Mumbai (2008) attacks.
• Commitment to bilateral and multilateral cooperation against terrorism. Urged all nations to take concrete action against UN-proscribed terrorist organizations.
• Agreement to combat terrorist, separatist, and extremist elements.
• Emphasis on disrupting terrorism financing networks and dismantling terror infrastructure, including online. 

Trade, Investment, and Economic Cooperation:

• Bilateral trade statistics (2023-24): Total trade value of US$ 1.75 billion.
• New Zealand emphasized the significant role of Indian-Kiwis as the third-largest ethnic group and a major contributor to skilled migration and education.
• Commitment to enhance bilateral trade and investment through Free Trade Agreement (FTA).
• Announced the resumption of FTA negotiations (stalled in 2015) for a balanced and mutually beneficial trade agreement.
  • The initial negotiations for the Comprehensive Economic Cooperation Agreement (CECA) began in 2010 but stopped due to differences in sensitive areas like dairy and agriculture.
• Focus sectors: Dairy, food processing, pharmaceuticals, renewable energy, and critical minerals.
• Agreement to facilitate skilled worker mobility and address illegal migration issues.

Indo-Pacific and Global Diplomacy:

• New Zealand joined India’s Indo-Pacific Oceans Initiative.
• Defence cooperation: Military exercises, staff exchanges, and naval port calls (e.g., HMNZS Te Kaha’s visit to Mumbai).
• Affirmation of freedom of navigation and overflight as per UNCLOS (1982).
• Commitment to peaceful resolution of disputes in maritime regions.
• Support for India’s permanent UNSC seat reiterated by New Zealand.
• Shared stance on Ukraine war, advocating respect for international law.
• Support for a two-state solution in Gaza for lasting peace.

A Brief About India-New Zealand Relations:

• Historical ties:
  • India and New Zealand share a longstanding and growing friendship dating back to the 1800s. For example, early Indian settlers in Christchurch (1850s) and larger immigration waves from Punjab and Gujarat (1890s).
  • Indian troops fought alongside ANZACs in Gallipoli (1915) during World War I.
• Political ties:
  • Both countries share a Commonwealth heritage, parliamentary democracy, and the English language.
  • Diplomatic ties established in 1950 with the opening of a Trade Commission, later upgraded to a High Commission.
• Trade and economic ties:
  • New Zealand is India's 11th largest two-way trading partner.
  • Key trade sectors: Education, tourism, dairy, food processing, pharmaceuticals, renewable energy, and critical minerals.
  • Indian exports to NZ: Pharmaceuticals, precious metals & gems, textiles, motor vehicles, and non-knitted apparel.
  • Indian imports from NZ: Logs, forestry products, wool, edible fruit & nuts.
  • Business alliances: India NZ Business Council (INZBC) and India NZ Trade Alliance (INZTA) promote trade and investment ties.
• Cultural and people-to-people relations:
  • Approximately 250,000 persons of Indian origin & NRIs contribute significantly to New Zealand’s society.
  • New Zealand Post issued Diwali stamps (2021), recognizing the cultural significance of the Indian diaspora.

Conclusion: The meeting between PM Modi and PM Luxon reinforced India-New Zealand ties in defence, counterterrorism, trade, and global diplomacy, reflecting a shared vision for a rules-based international order and regional stability.