India-Australia ECTA Marks Two-Year Milestone

In December, 2024, the India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) completed two years, significantly boosting bilateral trade and economic ties.

Key Points

Trade Growth: Bilateral merchandise trade more than doubled from USD 12.2 billion in 2020-21 to USD 26 billion in 2022-23, with a slight moderation to USD 24 billion in 2023-24.
Exports and Imports: India's exports to Australia increased by 14%, with export utilization at 79% and import utilization at 84%, reflecting the agreement's effectiveness.
Sectoral Gains: Key growth sectors include textiles, chemicals, and agriculture, while new exports such as gold-studded diamonds and turbojets highlight trade diversification.
Raw Material Imports: India’s imports of metalliferous ores, cotton, and wood products have bolstered its industries. Potential growth areas include electronics and engineering.
CECA Progress: Building on ECTA’s success, ten rounds of negotiations for a Comprehensive Economic Cooperation Agreement (CECA) have taken place, aiming for USD 100 billion bilateral trade by 2030.