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New Zealand-India free trade agreement puts mobility in play

New Zealand has signed an annex on student mobility and post-study work rights with India, alongside a new skilled employment pathway – with stakeholders citing strong demand while seeking greater clarity and a shift in perception on Indian applicants.
May 5 2026
5 Min Read

New Zealand has, for the first time, signed a dedicated annex on student mobility and post-study work rights with India as part of its free trade agreement (FTA), placing education and skills at the centre of bilateral ties.

The annex locks in key provisions for Indian students, guaranteeing 20-hour work rights during study and clearer post-study pathways of up to three years for graduates and four for doctoral candidates.

While international students in New Zealand are currently allowed to work part-time and apply for post-study work visas, stakeholders say the annex is significant as it guarantees these rights specifically for Indian students.

Alongside student mobility, the FTA introduces a limited Temporary Employment Entry (TEE) visa pathway for Indian professionals, allowing 1,667 visas annually over an initial three-year period, with a cap of 5,000 visa holders at any given time.

The pathway spans sectors such as IT, engineering, healthcare, education and construction, alongside roles like yoga instructors, Indian chefs and music teachers, while a separate working holiday scheme will allow 1,000 young Indians to live and work in New Zealand for up to 12 months.

“There are still large parts of India that represent strong, largely untapped source markets for New Zealand providers. The challenge has been that the “New Zealand Inc” brand is not as deeply embedded or widely recognised as destinations like Australia, Canada or the UK,” Arunima Dhingra, chief executive, Aims Global told The PIE News.

“It puts New Zealand into the mainstream conversation, not just at a policy level but across media, institutions, and student networks. That kind of exposure builds familiarity and, over time, trust.”

The country-specific guarantee can only be leveraged in its true sense if there is a shift in perception, and high-value Indian students receive fairer treatment, with a more positive lens applied to assessment tools

Vijeta Kanwar, New Zealand Gateway

The provisions come at a time when rising demand for New Zealand in India has yet to translate into strong study applications, despite the country being one of its largest source markets.

“It’s encouraging to see mobility provisions coming into focus through the FTA. New Zealand has not traditionally been a first-choice destination for Indian students, but it is now entering the conversation in a much more serious way,” stated Kshitij Garg, managing director at Estero Education Services, a New Zealand-focused education organisation with a strong presence in India.

“Demand for New Zealand is extremely high at the moment, with students keen to know more. However, it will be a space to watch how this interest translates into applications and active student mobility.”

While a recent survey places New Zealand among the top three study destinations, interest from markets like India continues to grow, though conversion remains linked to tighter checks and financial requirements, Garg said, adding that clearer policy direction and realistic expectations will be key as the FTA evolves.

“There is no perfect outcome with any FTA. It’s an evolving process where governments and industries will assess what is working and what isn’t, and refine policies over time,” Garg said.

“Students often compare destinations based on long-term outcomes like residency. New Zealand is part of that comparison, but expectations need to be realistic.”

According to Vijeta Kanwar, director of operations at New Zealand Gateway, the provisions are encouraging, but it remains to be seen how New Zealand will ensure a level playing field for Indian students compared to other markets.

“New Zealand government representatives have been vocal about their endeavour to bring in more diversity in student recruitment, and this perception can disadvantage Indian students,” Kanwar said.

“The country-specific guarantee can only be leveraged in its true sense if there is a shift in perception, and high-value Indian students receive fairer treatment, with a more positive lens applied to assessment tools.”

While Kanwar noted that New Zealand’s TEE visas for India account for less than 6% of overall skilled migration, the initiative has already drawn criticism within government ranks over its potential impact on labour market policy amid economic slowdown and rising inflation.

However, optimism around net migration remains, despite a record number of New Zealanders leaving the country, many to Australia, with mobility initiatives under the FTA expected to help offset outward movement.

“Net migration remains positive despite the outward mobility of approximately 68,000 Kiwis last year,” Kanwar said.

“Positive sentiment also remains high due to New Zealand’s uniqueness — its culture of inclusivity and acceptance, climate, generous post-study work opportunities, work-life balance, safety, and well-being.”

Despite mobility pathways forming a key part of the FTA, India and New Zealand still lack direct flights, with limited connectivity continuing to be seen as a major barrier despite discussions around launching a non-stop service by 2028.

“Distance remains both a practical and psychological barrier. Limited direct connectivity and reliance on transit routes make New Zealand feel less accessible compared to competing destinations,” stated Dhingra.

Beyond mobility, the FTA lowers tariffs on key imports such as kiwis and apples, while expanding opportunities for Indian exports. Concluded in December after around nine months of negotiations, the agreement will cut or remove tariffs on 95% of New Zealand’s exports to India.

The agreement expands access across 118 services sectors, including professional services, construction, telecoms and tourism, and now awaits parliamentary approval in New Zealand, where trade deals have historically enjoyed bipartisan backing.

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