Australia holds a pivotal position as a key trading partner of India in the Oceania region, with bilateral merchandise trade reaching approximately 24 billion USD in the fiscal year 2023-24. This robust economic relationship signals significant potential for further growth and collaboration between the two nations. The recent Joint Committee Meeting (JCM) between India and Australia served as a crucial platform for deepening trade ties and exploring new avenues for bilateral economic cooperation.
Led by Commerce Secretary Shri Sunil Barthwal, an Indian delegation engaged in constructive and productive discussions with the Australian delegation, headed by Deputy Secretary Shri George Mina from the Department of Foreign Affairs and Trade (DFAT). The discussions, held in Canberra, as well as engagements with businesses in Sydney and Melbourne, aimed to strengthen the existing economic relations between the two democracies. Both sides sought to leverage their trade complementarities, expertise, and untapped potential to foster mutual economic growth.
During the first Joint Committee Meeting under the India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA), various trade and investment-related issues were addressed. The meeting acknowledged the smooth implementation of the ECTA while also highlighting implementation challenges. These challenges included issues related to market access for products such as okra, pomegranate, grapes, cottage cheese, macadamia nuts, lentils, and avocado. Additionally, discussions covered topics like pharmaceutical pricing control in Australia, progress in resolving regulatory challenges for whisky and wine trade, and cooperation in areas like coastal tourism and critical minerals.
A significant outcome of the JCM was the adoption of Rules of Procedure for the Joint Committee, establishing an institutional mechanism for regular exchange of preferential import data. This mechanism, a first of its kind for Free Trade Agreements (FTAs), aims to facilitate timely resolution of trade-related issues. Furthermore, discussions focused on enhancing cooperation in services sectors, including cross-border e-payments, mutual recognition agreements for professions like nursing and dentistry, and mobility of healthcare workers.
The commitment to remove the ENT/LMT requirement, aligning with the UK-Australia Free Trade Agreement, was reiterated, underscoring the commitment to facilitating trade and mobility between the two nations. Moreover, the meeting explored opportunities for cooperation in sectors beyond traditional FTAs, emphasizing deeper economic integration and mutual cooperation.
At the chief negotiators level, discussions were held to review the progress of the India-Australia Comprehensive Economic Cooperation Agreement (CECA) negotiations. Both sides explored avenues for effective cooperation across various sectors, aiming for a balanced outcome that addresses sensitivities on both sides while building on the achievements of the Ind-Aus ECTA.
Additionally, the meeting addressed WTO issues, with a focus on resolving long-pending issues like the permanent solution to public stock holding (PSH). Both sides expressed willingness to discuss these matters intersessionally, if required, highlighting their commitment to multilateral trade cooperation.
Engagements with businesses and business associations in Sydney and Melbourne, including the Australia India Business Council and Chambers of Commerce, revealed mutual eagerness to collaborate across various sectors. Businesses expressed interest in areas such as capacity building, vocational training, healthcare, digital connectivity, finance, education, agriculture, dairy, food processing, transport, and pharmaceuticals.
Overall, the Joint Committee Meeting and associated engagements demonstrated the strong commitment of both governments and businesses to deepen economic cooperation and take the strategic partnership between India and Australia to new heights. These efforts are poised to bring significant benefits to businesses and citizens of both nations, fostering prosperity and growth in the Indo-Pacific region.
