India-Australia Trade Agreement Spurs 14% Growth In Indian Exports

(MENAFN- KNN India) New Delhi, Dec 30 (KNN) India's merchandise exports to Australia saw a significant 64.4 per cent year-on-year increase in November 2024, reaching USD 643.7 million, driven by strong performance in textiles, chemicals, and agricultural products, according to data released by the Ministry of Commerce & Industry on Sunday.

This remarkable growth comes as the India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) completes its second anniversary, demonstrating the mutually beneficial ties between the two nations.

Since the agreement's signing in December 2021, bilateral trade has flourished, doubling from USD 12.2 billion in 2020-21 to USD 26 billion in 2022-23.

However, the momentum slightly moderated in 2023-24, with total trade settling at USD 24 billion, though India's exports to Australia recorded a steady 14 per cent increase during the period.

Between April and November 2024, bilateral merchandise trade reached USD 16.3 billion, reflecting sustained economic engagement.

The Commerce Ministry highlighted the effective implementation of the agreement through data exchange, revealing export and import utilisation rates of 79 per cent and 84 per cent, respectively. This underscores the efficient application of preferential trade terms.

Commerce and Industry Minister Piyush Goyal lauded the ECTA's impact, emphasising expanded market access for Indian exporters, new opportunities for MSMEs and farmers, and increased employment avenues.

Goyal also noted the agreement's role in boosting IT/ITeS and travel services, alongside facilitating post-study work and work holiday visas.

"ECTA has catalyzed a 14 per cent rise in exports in 2023-24 and enhanced trade diversification into sectors like gold-studded diamonds and turbojets. It reflects the deepening ties between our businesses and people,” Goyal said on X. He reaffirmed the government's commitment to achieving the AUD 100 billion trade target by 2030.

The agreement has notably driven growth in sectors like textiles, chemicals, and agriculture while supporting India's industries with imports of key raw materials like metalliferous ores, cotton, and wood. With room for expansion in electronics and engineering, the partnership sets a robust foundation for further collaboration.

(KNN Bureau)

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