India-New Zealand FTA: apple duty halved to 25%, capped at 32,500 tonnes
Published
New Zealand apples now pay half the old duty, but only inside a quota, from April to August and above a $1.25 floor. What each limit means for Himachal and Kashmir growers, and how small the quota is next to J&K's crop.
Original report · Explained
New Zealand apples can now enter India at half the old import duty, 25% instead of 50%, but only up to 32,500 tonnes in the first year, only from April to August, and only above a minimum price of $1.25 a kilo, The Tribune reported (Tribune India, 2026). The India-New Zealand FTA came into force on 20 October 2026, according to a Deccan Herald headline (Deccan Herald, 2026).
For apple growers in Himachal Pradesh and Jammu and Kashmir, those three limits decide how much the cut matters. Here is each one, the numbers behind growers' fears, and what the trade data says about the size of the threat. See how every outlet covered the deal.
The India-New Zealand FTA apple duty, line by line
The lower duty applies only inside a tariff-rate quota: a fixed tonnage each year. The Tribune and ETV Bharat report the duty, and all three of The Tribune, ETV Bharat and FreshPlaza report the same quota (Tribune India, 2026; ETV Bharat, 2026; FreshPlaza, 2026).
- Duty: 25%, down from 50%, inside the quota.
- Quota: 32,500 tonnes in year one, rising to 45,000 tonnes by year six.
- Season: imports allowed from April to August only, The Tribune reported.
- Price floor: a minimum import price of $1.25 a kilo, about Rs 118, The Tribune reported.
The commerce ministry notified the quotas for apples, kiwifruit and manuka honey on 19 October, BusinessLine and Economic Times headlines said; we could not open those reports. The reports we read do not state the duty on apples above the quota.
The quota grows by 12,500 tonnes, or about 38%, over six years (45,000 ÷ 32,500). What a lower duty means per kilo is simple arithmetic.
What the cut means per kilo
At the Rs 118 floor price, a 25% duty would be about Rs 30 a kilo, against about Rs 59 at the old 50% rate. That assumes duty is charged on the floor price itself (25% and 50% of Rs 118); the reports we read do not give the actual assessed value of a shipment.
The floor sets the lowest price at which a New Zealand apple can come in at all, whatever the duty.
The price gap is only half of growers' worry. The other half is how New Zealand grows its apples.
Why growers fear the competition: a yield gap
New Zealand orchards produce 50 to 70 tonnes a hectare, against 7 to 8 tonnes in Himachal, Theog MLA Kuldeep Rathore said, The Tribune reported. That makes New Zealand roughly six to ten times as productive per hectare (50 ÷ 8 to 70 ÷ 7).
"Without robust safeguards, farmers' incomes could come under pressure," Rathore said. Sanjay Chauhan put the stakes at 5 to 6 lakh families in Himachal who depend on apples, and more than 15 lakh across three states, FreshPlaza reported. Rakesh Singha said: "This reduction in import duty will destroy apple orchards here" (FreshPlaza, 2026).
These reactions date from January and February 2026. We found none after the 19 October notification. Set against the fear is the trade data.
How big the quota is against Kashmir's crop
New Zealand apples have been under 2% of Jammu and Kashmir's output: 0.97% in 2023-24 and 1.46% in 2024-25, FreshPlaza reported. J&K produced 21.10 lakh tonnes in 2024-25.
- Year-one quota: 32,500 tonnes is about 1.5% of that 2024-25 output (32,500 ÷ 21,10,000).
- Year-six quota: 45,000 tonnes is about 2.1%.
So even the full quota is only a little above New Zealand's 2024-25 share, measured against J&K alone; Himachal's output is not in the reports we read. Kashmir growers have sought support after the duty cut, ETV Bharat reported (ETV Bharat, 2026).
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What we don't know yet
- The duty on New Zealand apples above the quota.
- The kiwifruit duty: reports differ, so we have left it out.
- How growers' bodies have reacted since the 19 October notification.
- Himachal's own output, to set the quota against.
What happens next
The deal took force on 20 October 2026, per Deccan Herald's headline. Because imports are allowed only from April to August, the first window for apples at the lower duty after that date runs from April to August 2027.
Questions people are asking
What is the import duty on New Zealand apples under the India-New Zealand FTA?
25%, down from 50%, but only inside a tariff-rate quota, The Tribune and ETV Bharat reported.
How many New Zealand apples can come in at the lower duty?
32,500 tonnes in year one, rising to 45,000 tonnes by year six, The Tribune reported.
When can New Zealand apples be imported?
From April to August only, The Tribune reported.
What is the minimum import price for New Zealand apples?
$1.25 a kilo, about Rs 118, The Tribune reported.
Will New Zealand apples hurt Kashmir and Himachal growers?
Growers fear they will, citing New Zealand's far higher yields. Trade data shows New Zealand apples were under 2% of J&K's output in 2023-24 and 2024-25, and the full quota is about 2.1% of J&K's 2024-25 crop.
References
- Deccan Herald (2026) India-New Zealand FTA comes into force on October 20 (headline only). Deccan Herald. Available at: India-New Zealand FTA comes into force on October 20 (Accessed: 20 October 2026).
- ETV Bharat (2026) Kashmir Growers Seek Support After India Reduces Import Duty On NZ Apples. ETV Bharat. Available at: Kashmir growers seek support after India reduces import duty on NZ apples (Accessed: 20 October 2026).
- FreshPlaza (2026) Indian apple growers protest import duties as FTA quotas limit imports. FreshPlaza. Available at: Indian apple growers protest import duties (Accessed: 20 October 2026).
- Tribune News Service (2026) India-New Zealand FTA: Rathore flags threat to apple growers. Tribune India (cited as Tribune India, 2026). Available at: Rathore flags threat to apple growers (Accessed: 20 October 2026).
How we did this
We read the apple terms in The Tribune, ETV Bharat and FreshPlaza and checked that they agree on the duty and the quota. We then set the quota against FreshPlaza's figures for J&K's apple output and New Zealand's past share of it, and did the arithmetic shown in the text: the per-kilo duty at the floor price, the quota's growth, the yield gap and the quota as a share of the crop. The in-force date rests on a Deccan Herald headline we could not open. We left out the kiwifruit duty because outlets give different figures. The hero image is a bar chart built by United One News from these figures.
This story was produced, reviewed, edited and verified by the reporter before publication, with AI assistance where required.
Covered by 4 outlets across the spectrum: 0% left, 50% center, 25% right.
Who is covering this story
- Center (2): Deccan Herald, Tribune India
- Right-leaning (1): ETV Bharat Gujarati
- Not yet rated (1): FreshPlaza
Sources
- India-New Zealand FTA comes into force on October 20 — Deccan Herald (center) ·
- Kashmir Growers Seek Support After India Reduces Import Duty On NZ Apples — ETV Bharat Gujarati (right-leaning) ·
- Indian apple growers protest import duties as FTA quotas limit imports — FreshPlaza (not yet rated) ·
- India-New Zealand FTA: Rathore flags threat to apple growers - The Tribune — Tribune India (center) ·