19 May 2014

FTA more likely with India - researcher

9:20 am on 19 May 2014

The New Zealand India Research Institute says the new Indian government will create an environment which will be conducive to a free trade agreement with this country.

The BJP, led by Narendra Modi, has easily won India's general election, becoming the first party in 30 years to secure an absolute majority in parliament.

Narendra Modi.

Narendra Modi. Photo: AFP

Director of the research institute Sekhar Bandyopadhyay told Morning Report Mr Modi's will be a business-friendly government that will seek to boost foreign investment in manufacturing.

He says that makes a free trade agreement more likely.

"This is an environment possibly to push the FTA which has been progressing rather haltingly over the last few years."

He said there will be more preparedness to discuss a FTA and less bureaucratic red tape.