The partnership between Australia and India has entered a new era, marked by economic and strategic
cooperation. Australia’s confidence in India’s growth trajectory is driven by shared economic interests,
strategic alignment, and historical ties. The recently launched New Roadmap for Australia’s Economic
Engagement with India outlines the vision for deepening this collaboration.
Australia’s Confidence in India’s Economic Growth
Australia predicts that India will become the world’s
third-largest economy by 2030, highlighting India’s
robust economic performance and growing global
influence.
- It supports India’s claim for a permanent seat on the
United Nations Security Council, recognizing India’s
rising stature in global decision-making. - The partnership is built on economic
complementarities: - Australia provides critical resources like lithium,
nickel, and cobalt for India’s industrial - India offers a vast market for Australian goods and services, making both nations natural partners in each
other’s growth journey.
Australia’s Engagement with India
New Roadmap for Economic Engagement Launched by Australian Prime Minister Anthony Albanese, the New Roadmap for Australia’s Economic Engagement with India builds on progress made since 2018. It aims to further deepen trade and economic cooperation.
Key Highlights
- Economic Cooperation and Trade Agreement (ECTA): Has significantly boosted trade, with India’s exports to
Australia rising by 66% in the last five years. - The roadmap identifies four ‘Superhighways of Growth’ for collaboration:
- Clean Energy: Supplying critical minerals for India’s EV and renewable energy sectors.
- Education and Skills: Expanding the presence of Australian universities in India.
- Agribusiness: Enhancing agricultural trade and food security cooperation.
- Tourism: Promoting cultural exchanges and mutual travel.
Additionally, seven ‘Major Economic Roads’ have been identified, including investment, technology, defence,
health, space, and culture.
Addressing India’s Skill Development Needs
India needs to skill 20 million people annually to meet the demands of its rapidly expanding economy.
Australia’s Contribution
- Australian universities are setting up campuses in India, including those in GIFT City (Gujarat) and Noida.
- These institutions are offering high-quality education and vocational training, particularly in technology,
manufacturing, and clean energy sectors.
The Role of the Indian Diaspora
The Indian diaspora in Australia—over 1 million (10 lakh) strong—acts as a vital cultural and economic
bridge between the two nations.
Key Initiatives
- Maitri Grants Program: ₹22 crore invested to strengthen diaspora links.
- Centre for Australia-India Relations: ₹132 crore funding to enhance bilateral engagement.
Comprehensive Economic Cooperation Agreement (CECA)
Building on the success of ECTA, both countries are working towards the Comprehensive Economic
Cooperation Agreement (CECA) to further:
- Remove trade barriers
- Promote investment
- Foster innovation
- Boost long-term economic cooperation
Conclusion
Australia’s proactive approach highlights its strong confidence in India’s economic rise. The New Roadmap
sets a clear direction for future cooperation, making both nations natural partners in each other’s growth
stories. With the right policies and initiatives in place, the partnership is set to reach new heights in the coming
years.