The India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) has achieved remarkable success in its two-year journey, fostering mutual growth and highlighting the complementary nature of both economies. Since its signing, bilateral merchandise trade has more than doubled, surging from USD 12.2 billion in 2020-21 to USD 26 billion in 2022-23.
The agreement has significantly advanced trade ties, creating new opportunities for Micro, Small, and Medium Enterprises (MSMEs), businesses, and employment in both nations. Key sectors such as textiles, chemicals, and agriculture have shown substantial growth, while exports on new lines, including gold studded with diamonds and turbojets, highlight the diversification enabled by the agreement.
India’s exports to Australia have grown by 14%, with total merchandise bilateral trade from April-November 2024 reaching USD 16.3 billion. The exchange of preferential import data has commenced between both countries, highlighting the effective implementation of the agreement in 2023. The data reveals export utilization at 79% and import utilization at 84%.
Building on this success, the India-Australia Comprehensive Economic Cooperation Agreement (CECA) is now in progress, with 10 formal rounds and inter-sessional discussions held so far. CECA aims to advance the bilateral trade agenda with even greater ambition, driving deeper economic integration and achieving the target of trade to reach AUD 100 billion by 2030 between India and Australia.
Both India and Australia are committed to sustaining the momentum created by the ECTA, fostering mutual prosperity, and contributing to a more resilient and dynamic global economy. As the Ind-Aus ECTA enters its third year, it is poised to take the economic partnership between the two nations to new heights.
