New Zealand's sheep farmers could be big winners if we secure a trade deal with India. 

The Prime Minister has announced formal negotiations on a comprehensive Free Trade Agreement will begin next month.

The inclusion of dairy products was a key snagging point in negotiations that fell flat in 2015. 

Meat Industry Association Independent Chair, Nathan Guy, says the primary industry has a lot to gain.

"If you look at what's happening up here with sheep meat at the moment, we're facing a 30 percent tariff - and that's a massive headwind. So there's not a lot going on here."

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