VOI World/ Desk
India and Australia are intensifying discussions to broaden their trade pact, with the ambition of finalising a comprehensive economic cooperation agreement (CECA) that builds on the earlier Economic Cooperation and Trade Agreement (ECTA) between the two countries.
During a visit to Melbourne, Indian Commerce Minister Piyush Goyal met his Australian counterpart Don Farrell and the Australian Skills Minister Andrew Giles. They reviewed progress on the CECA negotiations, focusing on trade in goods, services, investment and other areas of cooperation.
In the financial year 2024–25, bilateral merchandise trade between India and Australia reached US$24.1 billion. Indian exports grew by 14 % in 2023–24 and by another 8 % in 2024–25. Under the ECTA, 96 % of imports from India are tariff-free, with the target of reaching 100 % by January 1, 2026. On the Australian side, over 85 % of its goods exports to India are currently tariff-free, with a goal of 90 % by the same date.
The enhanced agreement aims to tap into sectors such as textiles, pharmaceuticals, engineering goods, electronics and agriculture. For India, exports of high-capacity diesel generating sets, air-liquefaction machinery and calcined petroleum coke are already leveraging the existing deal. Meanwhile, Australia supplies India with key raw materials such as metalliferous ores, cotton and wood products.
Both nations have publicly committed to concluding a balanced and mutually beneficial CECA at the earliest feasible date, signalling the next phase of their economic relationship.
