New Delhi: Bilateral merchandise trade between India and Australia reached $16.3 billion during the April-November period of the current fiscal year (FY25), according to the Ministry of Commerce and Industry. This growth underscores the success of the India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA), which has significantly boosted trade between the two nations.
Since the signing of the ECTA, bilateral merchandise trade has more than doubled, surging from $12.2 billion in 2020-21 to $26 billion in 2022-23. In FY 2023-24, the total bilateral trade stood at $24 billion, with India’s exports to Australia increasing by 14 percent.
Celebrating its second anniversary, the ECTA has fostered robust trade ties, enabling opportunities for MSMEs, businesses, and job creation while strengthening the foundation of the economic partnership. According to the ministry, key sectors such as textiles, chemicals, and agriculture have shown significant growth under the agreement, alongside the diversification of exports to new products like gold studded with diamonds and turbojets.
Imports of raw materials, including metalliferous ores, cotton, and wood products, have contributed to the development of Indian industries. Meanwhile, sectors like electronics and engineering show potential for further expansion.
The exchange of preferential import data between the two nations commenced in 2023, with export utilisation recorded at 79 percent and import utilisation at 84 percent, highlighting the effective implementation of the ECTA.
The Indian government reaffirmed its commitment to deepening collaboration with Australia, aiming to achieve a bilateral trade target of $100 billion by 2030. This aligns with Prime Minister Narendra Modi’s Vision 2047 to make India a developed country.
Building on the success of the ECTA, discussions are underway for the India-Australia Comprehensive Economic Cooperation Agreement (CECA). With 10 formal rounds of negotiations and inter-sessional discussions completed, the CECA aims to advance the bilateral trade agenda with heightened ambition.
The ministry highlighted that the ECTA has laid a strong foundation for mutual growth and economic integration, which the CECA is set to expand further in the coming years.
With IANS inputs