MELBOURNE, 29 December 2022: The Australia-India Economic Cooperation and Trade Agreement (ECTA) is coming into force today (29 December 2022). Australia’s Department of Trade and Foreign Trade (DFAT) says in the next 20 years the ECTA will open new markets for exporters and service suppliers in many sectors and bring Australia and India closer.
“ECTA will secure Australia’s foothold in the world’s fastest growing major economy and enable Australian businesses to unlock or expand their operations in a market of nearly one and a half billion people.
ECTA is a stepping-stone towards a full Australia-India Comprehensive Economic Cooperation Agreement (CECA). It provides for competitive tariff elimination or tariff reduction on a wide range of key Australian goods exports and opens new services markets for suppliers in sectors that complement India’s domestic reform priorities,” the DFAT says.
The National Chair of the Australian India Business Council (AIBC), Jodi McKay in a statement said, “The Agreement that comes into force today (December 29th 2022) means that 85% of tariffs on Australian exports to India will be eliminated, with a phasing down of tariffs on an additional 5% of goods.
“Australia is well ahead on the game when it comes to trade with India and we are the envy of many other economies like the UK.”
“The landmark #IndAusECTA will bring two significant players of the Asia-Pacific region strategically and economically closer, unlocking enormous bilateral trade potential in the process. It will lead to bilateral trade crossing the $50 billion in the next five years, catalyze the creation of 10 lakh jobs, and boost investments, says Subhrakanta Panda, President of the Federation of Indian Chambers of Commerce and Industry (FICCI), says in a Tweet today.
