Subrahmanyam Jaishanker (in focus) met Nanaia Mahuta on Thursday afternoon. Photo: NARAYAN MAHARJAN / AFP
Dr Subrahmanyam Jaishanker is in the country for six days and will meet with ministers as India looks to widen its global relationship.
The visit is being seen as a significant opportunity to establish a trading relationship with the burgeoning South Asian powerhouse.
Dr Jaishanker and his counterpart Nanaia Mahuta met this afternoon to discuss ways to strengthen relations between the two countries.
Diplomatic relations between the two countries date back to when Queen Elizabeth II first ascended the throne.
However, both ministers stated that a free trade agreement was not a focus for either nation at this point.
India is the world's fastest growing economy and senior journalist for the Indian Weekender Sandeep Singh told RNZ that New Zealand was being left behind.
"This visit was long overdue and it is very significant. There's huge optimism for all stakeholders as we strongly felt our relationship has had a lack of momentum."
While India and New Zealand had mutual respect, they lacked a mutual internal driver, Singh said.
"More is required to move relationship forward, our bilateral trade relationship not living up to its potential."
Singh said Aotearoa had missed the bus, with Australia signing a comprehensive economic partnership with India in April and a major shift of trade to across the Tasman.
However, Mahuta has defended Aotearoa's position.
"We are not in competition with Australia. In fact, we just want to ensure the quality of relationships fairly reflects opportunities that exist now and is mutually beneficial."
She said there were niche areas to derive mutual benefits, such as digital, innovation and energy.
"Relationships require attention and our relationship will see a fruition for both New Zealand and India."
Mahuta said a range of opportunities defence, security, people-to-people links, sporting and cultural links and sustainability existed.
Jaishanker echoed Mahuta's sentiments.
"Perhaps the best way of pursuing economic opportunities right now was to encourage more business collaboration."
The two countries needed to play to strengths, Jaishanker said.
"We certainly believe that New Zealand businesses have a lot to offer to India."
When questioned why it had taken 20 years for a foreign minister to visit New Zealand, Dr Jaishanker said Covid-19 had prevented him coming sooner.
He will meet with the prime minister later this week.
"I also have the opportunity to spend time with the Indian community in New Zealand, which has done so much to build a bridge between us."