McClay emphasized that securing improved market access to India remains a priority for the government, particularly given India’s scale and long-term economic trajectory. Cross-party backing is viewed as strengthening New Zealand’s negotiating position, offering consistency and credibility as talks advance. For export-oriented industries, policy stability is critical when planning long-term investments and supply strategies.

India has historically maintained high tariff barriers on dairy products, making it a sensitive and complex component of trade discussions. Any progress in negotiations could open significant commercial opportunities for New Zealand’s dairy exporters, though the sector remains cautious given India’s strong domestic dairy industry and political sensitivities around farmer livelihoods.

For the international dairy community, the potential FTA carries implications beyond bilateral trade flows. Greater access to the Indian market could influence global dairy trade dynamics, alter competitive positioning among major exporters, and shift pricing structures in key product categories such as milk powders and value-added dairy ingredients.