Australia to end tariffs on all Indian exports from January: Goyal
In a significant development that is expected to boost India’s exports, Commerce Minister Piyush Goyal announced that Australia will eliminate tariffs on all Indian exports starting January 1, 2026. This move is part of the India-Australia Economic Cooperation and Trade Agreement (ECTA), which was signed three years ago. The agreement has already shown promising results, with sustained export growth, deeper market access, and stronger supply-chain resilience.
According to Minister Goyal, 100% of Australian tariff lines will be zero-duty for Indian exports, effective January 1, 2026. This means that Indian exporters will no longer have to pay tariffs on any of their exports to Australia, making their products more competitive in the Australian market. The move is expected to increase India’s exports to Australia, which will have a positive impact on the country’s trade balance.
The India-Australia ECTA was signed on April 2, 2022, with the aim of promoting trade and investment between the two countries. The agreement covers a wide range of areas, including goods, services, investment, and trade facilitation. Since its implementation, the agreement has delivered significant benefits to both countries, with India’s exports to Australia growing steadily.
Minister Goyal highlighted the success of the ECTA, stating that it has delivered sustained export growth, deeper market access, and stronger supply-chain resilience. He also emphasized the importance of the agreement in promoting economic cooperation and trade between the two countries. The elimination of tariffs on all Indian exports to Australia is a major milestone in the implementation of the ECTA and is expected to take the trade relationship between the two countries to the next level.
The removal of tariffs on Indian exports to Australia will have a significant impact on various sectors, including textiles, leather, chemicals, and pharmaceuticals. These sectors are expected to benefit from the increased market access and competitiveness that the zero-duty regime will provide. Indian exporters will be able to compete more effectively with other countries, which will lead to an increase in exports and a subsequent boost to the economy.
The ECTA has also provided a boost to India’s services sector, with Australia agreeing to provide greater market access to Indian services providers. This includes the recognition of Indian professional services, such as accounting and engineering, which will enable Indian professionals to work in Australia more easily. The agreement has also facilitated the movement of professionals between the two countries, which will promote people-to-people contact and greater cooperation in areas such as education and research.
The elimination of tariffs on Indian exports to Australia is also expected to promote greater economic cooperation between the two countries. With the removal of tariffs, Indian companies will be more likely to invest in Australia, which will lead to the creation of jobs and economic growth. The agreement will also promote greater cooperation in areas such as innovation and technology, which will enable both countries to benefit from each other’s strengths.
In conclusion, the elimination of tariffs on all Indian exports to Australia starting January 1, 2026, is a significant development that is expected to boost India’s exports and promote greater economic cooperation between the two countries. The India-Australia ECTA has already delivered significant benefits to both countries, and the removal of tariffs will take the trade relationship to the next level. As Minister Goyal stated, the agreement has delivered sustained export growth, deeper market access, and stronger supply-chain resilience, and the elimination of tariffs will further enhance these benefits.
The move is a testament to the strong trade relationship between India and Australia, which is based on mutual trust and cooperation. The elimination of tariffs will promote greater economic cooperation and will enable both countries to benefit from each other’s strengths. As India and Australia continue to work together to promote trade and investment, the removal of tariffs on Indian exports is an important step in the right direction.
In the coming months, Indian exporters will need to take advantage of the zero-duty regime to increase their exports to Australia. The government will also need to provide support to exporters to help them navigate the Australian market and take advantage of the new opportunities that the ECTA provides. With the removal of tariffs, Indian exporters will have a significant advantage in the Australian market, and it is expected that exports will increase significantly in the coming years.
Overall, the elimination of tariffs on Indian exports to Australia is a significant development that is expected to promote greater economic cooperation and trade between the two countries. The move is a testament to the strong trade relationship between India and Australia and will have a positive impact on India’s economy.
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