Now Reading: India exports to Australia surge 200% under ECTA
-
01
India exports to Australia surge 200% under ECTA
India's exports to Australia have grown about 200% in the last five years, far outpacing the 40% growth in India's exports to the rest of the world, Australian diplomat Christian Jack said…
India's exports to Australia have grown about 200% in the last five years, far outpacing the 40% growth in India's exports to the rest of the world, Australian diplomat Christian Jack said on Thursday. He attributed the jump to the India-Australia Economic Cooperation and Trade Agreement (ECTA), which came into force in December 2022. From January 1, 2026, Indian exports to Australia under ECTA are fully duty-free. The agreement has an 86% utilisation rate, higher than most other Indian trade pacts. Two-way trade has crossed AUD 50 billion (about Rs 3 lakh crore), and the countries aim to double it to AUD 100 billion by 2030.
Separately, the UAE-India Comprehensive Economic Partnership Agreement (CEPA), also launched in 2022, has pushed bilateral merchandise trade past $101.25 billion in FY2025-26, according to experts quoted by Khaleej Times. The two countries aim to reach $200 billion by 2032. Tariffs have been eliminated on 97% of trade lines, so future growth is expected from services, fintech, AI, logistics, and food security. Analysts say the next phase requires reducing non-tariff barriers, harmonising standards, and expanding local-currency settlement.
Both agreements reflect a broader push by India and its partners to deepen economic ties beyond goods trade, with negotiations on a broader India-Australia CECA covering services and the digital economy under way. Indian Prime Minister Narendra Modi has given clear instructions to finalise that deal, Jack said.
Indian Opinion Analysis
Both sources report strong trade growth under their respective bilateral pacts, but the framing differs. The Hindu Business Line leads with the Australian diplomat's upbeat numbers and attributes success squarely to ECTA, presenting the official government narrative without independent scrutiny. Khaleej Times, in contrast, relies on unnamed experts and named analysts who, while positive, focus on the remaining hurdles, regulatory gaps, services lag, and the need for deeper integration beyond tariffs. The Business Line omits any challenges or criticisms, while Khaleej Times frames the deal as a work in progress. A careful reader should note both agreements are young, and the high utilisation rate cited for ECTA (86%) is a stronger concrete indicator than the aspirational targets for CEPA. The real test will be whether the next round of negotiations, on services and digital trade, yields enforceable commitments, not just targets.
Coverage: 2 sources, 1 pro-government, 1 neutral
Sources (2): thehindubusinessline.com (pro government), khaleejtimes.com (neutral report)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
