Our Bureau
New Delhi
In a significant boost to bilateral trade, India’s exports to Australia have risen by 4.4% from April 2024 to February 2025, marking a continued upward trend in economic cooperation between the two nations. This growth is largely attributed to the India-Australia Economic Cooperation and Trade Agreement (ECTA), which was implemented in 2022. The agreement has not only enhanced trade but also created new avenues for businesses and entrepreneurs across both countries.
The ECTA has been instrumental in fostering robust trade relations, with total bilateral trade reaching USD 24 billion in the fiscal year 2023-24. This represents a 14% increase in India’s exports to Australia compared to the previous year. The sectors that have particularly benefited from this agreement include textiles, pharmaceuticals, chemicals, and agriculture. Additionally, new export lines such as Calcined Petroleum Coke, High-Capacity Diesel Generating Sets, and Air Liquefaction Machinery have emerged, signaling expanding trade opportunities.
Furthermore, India’s imports of key raw materials like metalliferous ores, cotton, and wood products from Australia have supported the growth of Indian industries, reinforcing the mutually beneficial nature of the partnership. The agreement has also opened up significant potential for future exports in sectors such as electronics and engineering.
As both countries commemorate the third anniversary of the ECTA, they have reaffirmed their commitment to deepening economic ties and fostering mutual prosperity. This partnership is poised for even greater growth, with both nations working towards a more comprehensive trade agreement, the Comprehensive Economic Cooperation Agreement (CECA), which is expected to unlock additional economic opportunities.
In line with this strategic vision, Australia has recently unveiled an ambitious roadmap to expand trade and investment ties with India, focusing on sectors like clean energy, education, agribusiness, and tourism. This initiative underscores the importance of India as a critical partner in Australia’s strategy to diversify its trade relationships and enhance economic security. As India continues to rise as a major economic power, its partnership with Australia is set to play a pivotal role in shaping the economic landscape of the Indo-Pacific region.
