An alleged people smuggler has lost his bid to appeal against a New Zealand court order that he be extradited to Australia.

Australian Federal Police allege Iraqi-born Maythem Radhi helped organise the ill-fated journey of the Siev X, which sank enroute from Indonesia to Christmas Island 13 years ago and left 353 people dead.

In a judgment released today, New Zealand's Supreme Court dismissed Radhi's application against a Court of Appeal finding that he is eligible for extradition.

The matter will now return to the District Court which can either issue a surrender order or refer the matter to the justice minister.

The District Court ordered Radhi's extradition in 2012, but the High Court reversed that decision last year.

The Court of Appeal then overturned the High Court ruling which Radhi unsuccessfully sought to challenge.

Radhi has been living in Auckland since moving to New Zealand from Indonesia as a refugee five years ago.

Two men have already been convicted and jailed on people smuggling charges in relation to the Siev X tragedy.