India and Australia are celebrating a significant milestone in their economic partnership, marking three successful years of the Economic Cooperation and Trade Agreement (ECTA). The pact has delivered robust growth in bilateral commerce, with Indian exports witnessing a notable surge.
Substantial Gains and Sectoral Growth
The data reveals a compelling success story. During the 2024-25 financial year, Indian exports to Australia grew by 8 per cent, a direct outcome of the trade deal. This positive momentum has contributed to an improved overall trade balance for India.
Union Minister for Commerce and Industry, Piyush Goyal, highlighted the agreement's impact in a social media post. He stated that ECTA has effectively "translated intent into impact" over the past three years, delivering sustained export growth, deeper market access, and stronger supply-chain resilience.
The benefits have been widespread, reaching Indian exporters, MSMEs, farmers, and workers. Key sectors that reaped strong gains include:
- Manufacturing, chemicals, textiles, and plastics
- Pharmaceuticals
- Petroleum products
- Gems and jewellery (exports surged by 16% between April-November 2025)
Agricultural exports have also flourished, with Australian buyers showing increased demand for Indian fruits, vegetables, marine products, and spices. Notably, coffee exports recorded exceptionally high growth during this period.
The Road Ahead: Zero-Duty Access and Deeper Integration
A major boost is on the horizon for Indian exporters. Starting January 1, 2026, 100 per cent of Australian tariff lines will become zero-duty for Indian goods. This elimination of extra taxes will open new opportunities, particularly for labour-intensive sectors, making Indian products more competitive in the Australian market.
To further streamline trade, the two nations have signed a Mutual Recognition Arrangement for organic products. This move simplifies processes and reduces compliance costs for exporters, facilitating smoother trade flows.
Anchoring a Broader Economic Vision
Minister Goyal positioned the ECTA as a cornerstone of India's broader economic strategy. He noted that as negotiations for the more comprehensive Comprehensive Economic Cooperation Agreement (CECA) advance, the Ind-Aus ECTA continues to anchor India's economic engagement in the Indo-Pacific region.
This partnership is aligned with flagship initiatives like Make in India and the long-term vision of Viksit Bharat 2047. "Together, India and Australia are building a future of shared prosperity and trusted trade," Goyal affirmed, underscoring the strategic importance of the relationship beyond mere commerce.
