Four Years On: India-Australia ECTA Boosting Bilateral Trade

The India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) celebrates its fourth anniversary today, signifying a critical juncture in the burgeoning economic ties between India and Australia, according to the Ministry of Commerce & Industry. Signed on April 2, 2022, the agreement has been instrumental in escalating trade flows, strengthening industry connections, and opening avenues for businesses and employment in both countries.

Over these four years, the agreement has fortified bilateral economic relations, providing both nations with improved market access and diminished trade barriers. India's exports to Australia have surged, more than doubling from USD 4 billion in FY 2020-21 to USD 8.5 billion in FY 2024-25. Total bilateral trade reached USD 24.1 billion in 2024-25, with India's exports to Australia growing by 8 percent over the previous year. Between April 2025 and February 2026, total trade between the two stood at USD 19.3 billion.

Under the Ind-Aus ECTA, India has allowed preferential market access to 70.3 percent of its tariff lines, accounting for 90.6 percent of trade value, while Australia has offered preferential market access on 100 percent of its tariff lines. Consequently, 98.3 percent of these lines became duty-free immediately after implementation, and the remaining 1.7 percent are being phased out over five years. From January 2026, all Indian exports will qualify for zero-duty market access in Australia.