Taji, northwest of Iraqi capital Baghdad, was a mostly Sunni rural area, Reuters reported.
Isis has tapped into Sunni dismay at the rising power of rival Shia groups since the fall of Saddam Hussein.
The Kiwi troops in Iraq had varying degrees of experience.
"Many of those in Taji have several deployments under their belts, but for some of the younger people this is their first," NZDF Land Component Commander Brigadier Peter Kelly said.
"They are all highly motivated by the challenge and the professional experience that they will have in the coming months."
The training would cover "basic operational skills such as planning, weapons training, basic manoeuvres and the profession of arms", the NZDF said in a statement today.
Mr Kelly said Australian and New Zealand troops would work together, building on a partnership fostered in East Timor, Afghanistan and the Solomon Islands.
In Ramadi, locals were already reporting allegations of Isis atrocities in the city.
"Everyone left was killed or is injured. Whoever didn't make it out was killed later on by Isis. They have a list of all the policemen and the soldiers, with addresses, and they were going to their homes to kill them," local police chief, Colonel Jabbar al-Assif told the Guardian.
"Most people in Ramadi want to fight but they don't have weapons. The government hasn't helped us," he said.
Meanwhile, Isis extremists have entered the Unesco (UN Educational, Scientific and Cultural Organisation) World Heritage site of Palmyra, sparking fears of humanitarian and cultural atrocities.
"I further call on the international community to do everything in its power to protect the affected civilian population and safeguard the unique cultural heritage of Palmyra," said Irina Bokova, Unesco director-general.