© Video - Newshub; Image - Newshub/Newshub Nation. Shane Jones on Newshub Nation.

NZ First MP Shane Jones is drawing criticism after saying too many people "from New Delhi" are being allowed to settle in New Zealand.

"If you want another million, 2 million, 3 million people, we should debate it and there should be a mandate, rather than opening up the options, unfettered, and everyone comes here from New Delhi," Jones told Newshub Nation on Saturday, arguing that New Zealand needs some kind of maximum population policy.

"I think the number of students that have come from India have ruined many of those institutions," he continued.

President of Migrant Workers Association, Anu Kaloti, says Jones' comments are "totally unacceptable".

"Saying that international students from New Delhi, India have an adverse effect on the colleges, factually is an incorrect statement.

"Factually Mr Shane Jones is incorrect, he needs to research his facts," the migrant advocate told Newshub.

She said there are a lot of Indian students who have settled in New Zealand.

"There are people who have come in through the international student route and they worked their way up.

"There are a different group of people are working towards residence. They are possibly on some sort of work visa here.

"My point is, they are all hard-working people who contribute to this country, financially in a huge way."

International students spend about $20,000 to $30,000 per year just to study here and live here, Kaloti told Newshub, and it's not their fault authorities have in the past let "dodgy colleges" operate.

"How is that the students' fault?"

She said the Indian community would like to see a statement from the Labour Party and the Greens, condemning the "racist rant and slur" from a Cabinet minister.

Kaloti acknowledges Jones is not in the Labour or the Greens, but he is in the coalition Government and the other two parties need to make a public statement.

"That will go somewhere for restoring the confidence for Indian international students."

The Greens aren't part of the formal coalition, but back it on confidence and supply.

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