Wellington: A New Zealand policewoman accused of racially abusing a Malaysian Indian taxi driver appeared in court Monday.

Jeanette May McNee, 44, is charged with using insulting words against taxi driver, Ganesh Paramanathan, at Queenstown in New Zealand's South Island Nov 3 last year, Stuff.co.nz reported.

Police allege McNee said: "F... off to India, you come here and get all the Kiwi jobs. Eat your curry. This is a Kiwi job."

Police prosecutor at the Queenstown District Court asked the taxi driver to discuss the incident, which happened in Rere Road, Lake Hayes Estate, after he picked up a group of six people from central Queenstown and drove to drop-off points in Quail Rise and Lake Hayes Estate.

After the alleged words were spoken, the driver told the court: "I was looking at her, she was facing me.

"She was pointing her finger towards my face and I pointed back at her and said, 'Don't be abusive and racist, I am only doing my job as a taxi driver' and she got more angry and she said, 'Don't point your fingers at me'."

McNee grabbed his left wrist, squeezed and twisted, he said.

Paramanathan said he told her not to touch him or be abusive and racist because he would call police.

"She got very aggressive, she held the door open and said, 'I am the police'."

The judge is yet to charge McNee.