Australia unveils roadmap to seize trade opportunities arising out of India's economic rise

New Delhi, Feb 26 (PTI) Australia on Wednesday unveiled an ambitious roadmap to deepen its trade and investment ties with India, with Australian Prime Minister Anthony Albanese describing it as an attempt to find paths towards a better future for both sides.

The roadmap identified four "superhighways of growth" -- clean energy, education and skills, agribusiness, and tourism -- with a broader aim of seizing the enormous trade and investment opportunities arising out of India's economic rise.

There is no greater time to engage economically with India than now, Albanese said while launching the 'Roadmap for Australia's Economic Engagement with India' at an event at Deakin University in Melbourne.

Describing India as a "giant" on the world stage, he said the country continues to grow in stature.

India is on track to be the third largest economy by the end of this decade and it is growing in ways that are complementary to Australia's own economy, he said.

Albanese called the roadmap a "guide to seizing the enormous trade and investment opportunities of India's economic rise, one that is shaped and informed by the knowledge and experience gathered from 400 consultations in every state and territory, as well as in India." "What the roadmap does is give us detailed directions to the greater realisation of the potential of the Australia-India relationship. Successfully tapping that potential will be good for Australian business and Australian consumers," he said.

"It will help secure our supply chains in an uncertain world. And it will create jobs and growth," he noted.

The roadmap comes over two years after India and Australia firmed up the Economic Cooperation and Trade Agreement (ECTA). Both sides are now working towards a mutually beneficial Comprehensive Economic Cooperation Agreement (CECA).

The roadmap also identifies nearly 50 specific opportunities to focus and accelerate Australia's engagement with India in several areas such as defence industries, sports, culture, space, and technology.

Kickstarting the implementation of the roadmap, Canberra announced investing USD 16 million in an Australia-India Trade and Investment Accelerator Fund, which will help Australian businesses unlock new commercial opportunities in India.

In his remarks, Albanese, delving into various aspects of the new economic roadmap said both the nations have the chance to "brighten each other's future." India is already Australia's fifth-largest two-way trading partner and fourth-largest export market for goods and services.

"It is a trading relationship enhanced by the Economic Cooperation and Trade Agreement, which has already saved Australians USD 300 million on goods imported from India," Albanese said.

Since the ECTA entered into force, almost 200 Australian products have been exported to India for the first time, or reintroduced after a long absence, he said.

"Agricultural exports have grown substantially, increasing by 146 per cent since we came to government. And there has been similar growth in iron and steel exports since we came to government, which increased by 189 per cent between 2022 and 2024," he said.

"Through the roadmap, we are delivering for Australians by finding paths towards the better future we know is possible and crucially, by funding them," he said.

"This roadmap is critical to helping us fully realise our potential with India, which will be a boon to Australia's economy, our businesses and jobs, and our prosperity," he said.

Australian Foreign Minister Penny Wong, welcoming the roadmap, said it will advance shared interest in a peaceful, stable and prosperous Indo-Pacific.

"Growing Australia's economic security and diversifying our partnerships is a key element of our statecraft and central to our national interest," Wong said.

"By boosting our economic ties with India, we are not only creating more jobs and opportunities for Australians, we are advancing our shared interest in a peaceful, stable and prosperous Indo-Pacific," she said.

Australia's Trade and Tourism Minister Don Farrel, in his comments, referred to the rich and diverse Indian community in that country with strong personal and economic ties.

"The potential of our relationship with India is almost unmatched, opening a fast-growing market of over 1.4 billion people," he said.

"The roadmap, the result of significant consultation with businesses and the community, offers a blueprint for Australian businesses to seize this extraordinary opportunity," he added.

The Australian government also announced plans to invest an "extra USD 4 million" for its Maitri ('friendship') Grants programme to enhance the people-to-people, business-to-business and cultural links between the two nations.

"Our free trade agreement with India has saved Australian businesses hundreds of millions of dollars and is on track to save exporters around USD 2 billion in tariffs by the end of the year," it said in a statement.

It said the savings are having a direct impact for Australians, reducing costs at the checkout and creating local jobs.

Australia continues to make progress in its negotiations with India on a new free trade agreement, which will unlock even more trade opportunities for Australian business, it said. PTI MPB SKY SKY

Source: PTI