Resilient Globalisation: India’s New FTA Strategy Reshapes Trade Diplomacy
India’s FTA strategy promotes resilient globalisation with diversified trade, stronger supply chains, and export growth while safeguarding key domestic sectors.
India’s recent Free Trade Agreement with New Zealand is more than a routine bilateral trade deal—it represents a clear signal of the country’s evolving approach to global economic engagement. In a world increasingly marked by fragmented supply chains, geopolitical tensions, and rising protectionism, India is reshaping its trade strategy to prioritise resilience over dependency.
The experience of the Covid-19 pandemic exposed deep vulnerabilities in global supply networks. In response, India has begun actively pursuing a more diversified and secure trade architecture. Rather than relying heavily on a limited set of partners, it is expanding economic linkages through carefully negotiated Free Trade Agreements with countries and blocs such as the UAE, Australia, EFTA, and now New Zealand.
This shift is also influenced by geopolitical realities. Growing tensions with China and the increasing use of trade restrictions, export controls, and sanctions in global politics have underscored the risks of overdependence on single markets or supply sources. India’s strategy, therefore, reflects a process of calibrated de-risking—strengthening ties with trusted partners while safeguarding national economic interests.
