India and Australia target $100 billion bilateral trade in next five years

Tags: Economy/Finance International Relations International News

Union Commerce and Industry Minister Piyush Goyal said on 11 March, Australia and India will target $100 billion trade in the next five years.

An overview of the news

• Both the countries are currently dissatisfied with the $30 billion trade.

• Both countries expressed their commitment to complete negotiations to expand the scope of the existing Free Trade Agreement by the end of this year.

• He was addressing the media in New Delhi on the India-Australia 18th Joint Ministerial Commission along with Australian Trade and Tourism Minister Don Farrell.

• On 29 December 2022 India and Australia implemented an economic cooperation and trade agreement (ECTA).

• They are now negotiating to expand its scope for a comprehensive economic cooperation agreement (CECA).

• Both sides are looking at firming up the ambitious CECA by 2023.

India-Australia Trade Relations

• Australia is the 17th largest trading partner of India and India is Australia’s 9th largest trading partner. 

• India-Australia bilateral trade in goods and services is pegged at US$ 27.5 billion in 2021.

• India's merchandise exports to Australia grew by 135% between 2019 and 2021.

• India’s exports to Australia- Manufactured goods such as petroleum, medicaments, diamonds, jewellery, railway coaches and vehicles, milled rice and herbicides.

• India’s imports to Australia - 82% of its imports from Australia are coal, gold, copper ore, aluminum oxide, liquified natural gas, manganese ore, aluminum waste, pigments, lentils, etc.