Australian Prime Minister Anthony Albanese on Thursday said the partnership between India and Australia is of increasing strategic importance as the two countries navigate the challenges of the region together.
“For Australia, India is a top tier security partner. The Indian Ocean is central to both countries’ security and prosperity. And there has never been a point in both of our country’s histories where we’ve had such a strong strategic alignment,” Albanes said while visiting Indian-designed and manufactured INS Vikrant.
Albanese is visiting India with a strong delegation including top business and political leaders from Australia. In Mumbai, the Australian Prime Minister also addressed a CEO forum where he highlighted the importance of growing bilateral trade between the two countries
“You are Australia’s sixth-largest trading partner, we can do so much better than that in the future, I have no doubt. And as you rise with the extraordinary growth in development that we’ve seen over recent periods as well, we are very jealous of your economic growth rates,” he said.
Transformative pact
Albanese said that Economic Co-operation and Trade Agreement (ECTA) signed between India and Australia is a transformative agreement which will unlock the next level of potential in trade and investment
He was addressing the India-Australia CEO forum held in Mumbai today.
Union Minister of Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles, Piyush Goyal, also participated in the CEO Forum along with Senator Don Farrell, Australian Trade and Tourism Minister.
Goyal said the current goal of doubling the bilateral trade must be reset by the industries and CEOs present there as there was great potential to increase trade manifold between the two nations. He reiterated the growth potential of the bilateral trade and investments between India and Australia today.
The Minister, from his previous visit to Australia in April 2022, recounted an example of his interaction with the CEO of Cochlear (Australian hearing implant manufacturers). After the interaction he reassured them that their current market share in India was only a minuscule of the potential for the business, given India’s population, rapid growth in middle class and the growing demands of the overall economy for a better lifestyle.
The Forum was organised by Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry along with Confederation of Indian Industry (CII) in order to leverage the ever-growing trade and investment between the two countries. The forum was co-chaired by Dr. Anish Shah, MD & CEO, Mahindra Group and Ms. Shemara Wikramnayake, MD & CEO, Macquarie Group.
Farrellpointed out that $2.5 Billion worth trade benefitted from the lower tariffs arising from ECTA agreement in Jan 2023 alone and reassured that this growth will continue to further rise. He urged the industry to think much bigger to satiate the demands of the growing relationship.
Both ministers welcomed the convening of the India-Australia CEO Forum and encouraged businesses on both sides to explore emerging economic and investment opportunities.
Progress of bilateral agreements
Both Ministers expressed satisfaction at the progress of bilateral engagements and affirmed their commitment to further deepen and strengthen the Comprehensive Strategic Partnership for mutual benefit.
A four-year extension MoU was also signed between Confederation of Indian Industry and Business Council of Australia in the presence of Hon Anthony Albanese MP. This partnership will go a long way in furthering the business relationship between the two countries.
The event saw the participation from CEOs of leading companies from India and Australia across the sectors like metals & mining, telecom, food processing, education, pharmaceutical, healthcare, medical devices, banking, aviation, education, IT, auto and institutional investors. The participants of the forum discussed on ‘How to enhance Economic, Trade and Investment relations between India and Australia across sectors’.
India and Australia have a long-standing relationship, characterised by shared values of democracy, multiculturism, economic opportunities and most importantly vibrant diaspora with strong people to people links. Both countries value free and open societies, respect for human rights, and the rule of law.
In the fiscal year (2022), India is Australia’s 9th largest trading partner. Major exports to Australia include petroleum products, textiles and apparels, engineering goods, leather, pearls, mechanical appliances, iron and steel and gems and jewellery. Major imports include edibles, dyeing extracts, chemicals, wool, minerals& precious stones.