India-Australia bilateral goods trade more than doubled in FY23: Govt

India’s exports to Australia grew 14% since the signing of the India-Australia Economic Cooperation and Trade Agreement (ECTA) with textiles, chemicals, and agriculture growing substantially, and new lines, including gold studded with diamonds and turbojets highlighting the diversification enabled by the agreement, the government said Sunday.

Total trade, however, moderated in FY24 to $24 billion although since its signing, bilateral merchandise trade has more than doubled to $26 billion in FY23 from $12.2 billion in FY21.

The current fiscal continues to reflect strong momentum. Total merchandise bilateral trade in April-November 2024 reached $16.3 billion, according to a statement issued by the commerce and industry ministry.


“This landmark agreement has brought with it increased market access for Indian exporters, expanded opportunities for MSMEs and farmers, and generated several employment avenues,” commerce and industry minister Piyush Goyal said in a post on X, adding that it has also enabled a notable boost in IT/ITeS, business & travel services, and post-study work & work holiday visas.

“We are committed to building on the momentum that the Ind-Aus ECTA has generated and achieve the AUD 100 billion trade target by 2030. Together, we are shaping a prosperous and resilient future,” Goyal said.

Exchange of preferential import data has commenced between both countries, highlighting the effective implementation of the agreement in 2023.

“The data reveals export utilization at 79% and import utilization at 84%,” the ministry said.

Imports of essential raw materials, such as metalliferous ores, cotton, wood and wood products have fuelled India’s industries, contributing to the win-win nature of this partnership.Sectors such as electronics and engineering have room for growth.

Widening scope

The ECTA was implemented on December 29, 2022 and the two are now negotiating to widen the scope of the pact to a Comprehensive Economic Cooperation Agreement (CECA).

10 formal rounds and inter-sessional discussions held so far. CECA builds on the foundation laid by the ECTA, advancing the bilateral trade agenda with even greater ambition.

“Both the parties are committed to building on the momentum created by the ECTA, driving deeper economic integration and to achieve the target of trade to reach AUD 100 billion by 2030 between India and Australia,” the ministry said.

A stocktake visit on India-Australia CECA was also recently concluded in New Delhi from December 4-6 to assess the progress made and chart the path forward.