UPSC Prelims Practice Questions — India – New Zealand Free Trade Agreement Signed

Q1. The India–New Zealand Free Trade Agreement signed in April 2026 was signed on behalf of the Government of India by which one of the following?

  • A. Shri Piyush Goyal, Union Minister of Commerce and Industry
  • B. Dr. S. Jaishankar, Union Minister of External Affairs
  • C. Smt. Nirmala Sitharaman, Union Minister of Finance
  • D. Shri Piyush Goyal, Union Minister of External Affairs

Q2. With reference to the India–New Zealand Free Trade Agreement signed in April 2026, which of the following statements is/are NOT correct?

  1. New Zealand has agreed to immediate elimination of duties on 100% of its tariff lines for Indian exports from entry into force.
  2. India has agreed to immediate elimination of duties on 100% of its tariff lines for New Zealand's exports from entry into force.
  3. Negotiations on the Agreement were concluded within nine months of their launch.
  4. Access to sensitive dairy and meat products is managed through a Tariff Rate Quota (TRQ) mechanism.
  • A. 2 only
  • B. 1 and 4
  • C. 2 and 3
  • D. 1, 3 and 4

Q3. The India–New Zealand Free Trade Agreement signed on 27 April 2026 is most accurately described as which one of the following?

  • A. One of the fastest Free Trade Agreements concluded by India with a developed country
  • B. India's first-ever Free Trade Agreement with a country in the Oceania region
  • C. India's largest Free Trade Agreement in terms of bilateral merchandise trade value
  • D. India's first Free Trade Agreement to incorporate a binding chapter on cross-border digital trade

Q4. Match List I with List II with reference to the chronology of milestones connected with the India–New Zealand Free Trade Agreement and its AYUSH services chapter, and select the answer using the code given below the Lists:

  • A. A-4, B-3, C-1, D-2
  • B. A-3, B-4, C-2, D-1
  • C. A-4, B-1, C-3, D-2
  • D. A-3, B-4, C-1, D-2

Q5. With reference to the dedicated Health and Traditional Medicine annex of the India–New Zealand Free Trade Agreement (2026), consider the following systems of medicine: 1. Ayurveda 2. Yoga and Naturopathy 3. Acupuncture 4. Sowa-Rigpa Which of the above are explicitly covered as AYUSH disciplines under the annex?

  1. Ayurveda
  2. Yoga and Naturopathy
  3. Acupuncture
  4. Sowa-Rigpa
  • A. 1 and 2 only
  • B. 1, 2 and 4 only
  • C. 2, 3 and 4 only
  • D. 1, 2, 3 and 4

Q6. The India–New Zealand Free Trade Agreement, which contains the first treaty-level Health and Traditional Medicine annex on AYUSH services, was signed on behalf of India on 27 April 2026 by which one of the following?

  • A. Union Minister of Commerce and Industry
  • B. Union Minister of External Affairs
  • C. Union Minister of AYUSH
  • D. Union Minister of Health and Family Welfare

Q7. Which one of the following is the nodal Government of India body that negotiates and signs India's bilateral Free Trade Agreements such as the India-New Zealand FTA and the India-EFTA TEPA?

  • A. Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry
  • B. Department of Commerce, Ministry of Commerce and Industry
  • C. Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry
  • D. Department of Economic Affairs, Ministry of Finance

Q8. Match List I with List II and select the correct answer using the code given below the Lists:

  • A. A-1, B-2, C-3, D-4
  • B. A-2, B-1, C-4, D-3
  • C. A-1, B-3, C-2, D-4
  • D. A-2, B-1, C-3, D-4

Q9. The India-EFTA Trade and Economic Partnership Agreement (TEPA), which incorporates a binding USD 100 billion investment commitment from the EFTA bloc over 15 years, was signed in which year?

  • A. 2022
  • B. 2023
  • C. 2024
  • D. 2025

Q10. With reference to the Pacific Islands Forum (PIF), which of the following are member states of the Forum?

  1. Fiji
  2. Timor-Leste
  3. Vanuatu
  4. Maldives
  • A. 1 and 3 only
  • B. 2 and 4 only
  • C. 1, 2 and 4
  • D. 3 only

Q11. India's engagement with Pacific Island Countries through the Forum for India-Pacific Islands Cooperation (FIPIC) is operationalised by which one of the following?

  • A. Ministry of Commerce and Industry
  • B. Ministry of External Affairs
  • C. Ministry of Development of North Eastern Region
  • D. NITI Aayog

Q12. In the context of the Pacific Islands Forum (PIF), the term 'Dialogue Partner' refers to which one of the following?

  • A. A full voting member of the Forum that participates in the annual Leaders' Meeting
  • B. A non-member state or organisation granted a structured post-Forum consultative engagement with PIF members
  • C. A Pacific island territory in free association with a metropolitan PIF member
  • D. A UN specialised agency designated to implement Forum-endorsed regional projects

Q13. Under the Understanding on the Interpretation of Article XXIV of GATT 1994, an interim agreement leading to the formation of a customs union or free trade area should NOT exceed how many years except in exceptional cases?

  • A. 5 years
  • B. 7 years
  • C. 10 years
  • D. 15 years

Q14. Under which of the following legal provisions are developing-country WTO Members permitted to exchange tariff preferences among themselves without extending the same concessions to all other WTO Members on a Most-Favoured-Nation basis?

  • A. Article I of GATT 1994
  • B. Article XXIV of GATT 1994
  • C. The Enabling Clause (1979)
  • D. Article V of the General Agreement on Trade in Services (GATS)

Q15. With reference to the distinctions among regional trade arrangements under the WTO framework, consider the following statements:

  1. In a customs union, member countries adopt a common external tariff against non-member countries.
  2. In a free trade area, each member retains an independent tariff schedule for trade with non-members.
  3. Both customs unions and free trade areas are required under Article XXIV of GATT 1994 to eliminate duties on 'substantially all the trade' between the constituent territories.
  4. A Preferential Trade Agreement (PTA) requires complete elimination of tariffs on all goods traded between the parties.
  • A. 1, 2 and 3 only
  • B. 1 and 2 only
  • C. 2, 3 and 4 only
  • D. 1, 3 and 4 only

Q16. With reference to the mobility provisions of the India–New Zealand Free Trade Agreement signed in April 2026, match List I with List II and select the correct answer using the code given below:

  • A. A-4, B-3, C-2, D-1
  • B. A-3, B-4, C-1, D-2
  • C. A-4, B-2, C-3, D-1
  • D. A-3, B-4, C-2, D-1

Q17. In the context of bilateral and multilateral trade agreements such as the India–New Zealand FTA, the 'Movement of Natural Persons' is classified as 'Mode 4' of supply under which one of the following?

  • A. General Agreement on Trade in Services (GATS)
  • B. General Agreement on Tariffs and Trade (GATT) 1994
  • C. Trade-Related Aspects of Intellectual Property Rights (TRIPS) Agreement
  • D. Agreement on Trade-Related Investment Measures (TRIMS)

Q18. With reference to the India–New Zealand Free Trade Agreement (2026), consider the following occupations: 1. AYUSH practitioners 2. Yoga instructors 3. Indian chefs 4. Music teachers Which of the above is/are explicitly listed as 'iconic Indian occupations' eligible under the dedicated Temporary Employment Entry Visa pathway?

  1. AYUSH practitioners
  2. Yoga instructors
  3. Indian chefs
  4. Music teachers
  • A. 1 and 3 only
  • B. 2, 3 and 4 only
  • C. 1, 2 and 4 only
  • D. 1, 2, 3 and 4

Q19. With reference to the India-New Zealand Free Trade Agreement (FTA) signed in April 2026 and the earlier round of Comprehensive Economic Cooperation Agreement (CEPA) negotiations between the two countries, consider the following statements:

  1. The earlier CEPA negotiations, initiated in 2009, were stalled by 2015 primarily over disagreements concerning India's dairy and agriculture market access, and the FTA signed in 2026 also did not provide duty concessions on dairy products.
  2. Unlike the earlier CEPA process, the launch of the new FTA negotiations in March 2025 was accompanied by bilateral instruments in defence, horticulture, forestry and sports cooperation signed during PM Christopher Luxon's visit.
  3. India-New Zealand bilateral merchandise trade in FY 2024-25, at about USD 1.3 billion, was lower than the level recorded in any year during the earlier 2009-2015 CEPA round.
  • A. 1 only
  • B. 1 and 2 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q20. Match List I (Milestone in India-New Zealand bilateral relations) with List II (Year/Date) and select the correct answer using the code given below:

  • A. A-4, B-1, C-2, D-3
  • B. A-4, B-2, C-1, D-3
  • C. A-2, B-1, C-4, D-3
  • D. A-4, B-1, C-3, D-2

Q21. The High Commission of India in Wellington is concurrently accredited to which one of the following groups of Pacific island countries?

  • A. Samoa, Niue, the Cook Islands and Vanuatu
  • B. Fiji, Tonga, Kiribati and Tuvalu
  • C. Papua New Guinea, Solomon Islands, Fiji and Vanuatu
  • D. Samoa, Fiji, Tonga and the Cook Islands

Q22. With reference to the India–New Zealand Free Trade Agreement, match List I (Phase) with List II (Date) and select the correct answer using the code given below:

  • A. A-1, B-2, C-3, D-4
  • B. A-2, B-1, C-3, D-4
  • C. A-1, B-3, C-2, D-4
  • D. A-2, B-1, C-4, D-3

Q23. With reference to the treaty-making and ratification process in India as applicable to the India–New Zealand FTA, match List I (Authority/Provision) with List II (Function) and select the correct answer using the code below:

  • A. A-2, B-3, C-1, D-4
  • B. A-3, B-2, C-1, D-4
  • C. A-2, B-1, C-3, D-4
  • D. A-1, B-3, C-2, D-4

Q24. Which one of the following is the nodal authority in the Government of India for negotiating bilateral Free Trade Agreements such as the India–New Zealand FTA signed in April 2026?

  • A. Ministry of External Affairs
  • B. Department of Commerce, Ministry of Commerce and Industry
  • C. Department for Promotion of Industry and Internal Trade
  • D. Department of Economic Affairs, Ministry of Finance