The India-Australia Economic Cooperation and Trade Agreement (INDAUS ECTA) is a landmark trade pact signed in 2022, aimed at doubling bilateral trade within five years.
- It is India's first agreement with a developed country in over a decade.
Key Features of the India-Australia ECTA
- Trade in Goods: Australia offers 100% duty-free access for Indian exports (textiles, leather, jewellery).
- Trade in Services and Professional Mobility: Extended post-study work visas (2-4 years) for Indian students and quota for "Work and Holiday" visas.
- Safeguards and Regulatory Cooperation: Robust Rules of Origin prevent third-party re-routing. Includes fast-track pharmaceutical approvals.
- Other: Eliminates double taxation on Indian IT offshore income, etc.
India Australia Economic Relations
- Trade Status: In FY25, India was Australia's 8th largest trading partner, and Australia was India's 14th largest trading partner.
- Total Bilateral Trade: The bilateral trade between India and Australia in FY25 stood at US$ 24.1 billion.
- Key Indian Exports: petroleum products, engineering goods, Drugs and Pharmaceuticals,etc
- Key Indian Imports: Coal, gold, etc.
Significance of India Australia Relationship:
|