New NZ consulate to open in Mumbai

New Zealand is to open a consulate-general in India business powerhouse Mumbai, Trade Minister Tim Groser says.

Groser is attending a World Trade Organisation meeting in New Delhi.

"India is a market that has the potential to be of huge long term importance for New Zealand - it is expected to be one of the world's three largest economies by 2050," he said in a statement.

"Having an official presence in one of India's largest cities will be hugely beneficial to our ability to make the most of the significant trade and business opportunities for New Zealand."

A consul-general would be appointed by New Zealand Trade and Enterprise and be responsible for furthering trade and investment linkages.

The new consulate-general would also improve visa processing. Last year more than 6000 Indian students studied in New Zealand and over 22,000 Indian tourists visited.

"Both sectors are showing positive growth, despite the downturn," Mr Groser said.

In February, New Zealand and India agreed in principle to begin negotiations for a free trade agreement, subject to approval processes on both sides.

Groser hoped formal negotiations would begin before the end of the year.

NZPA