Indian exports to Australia recorded 8 percent growth in FY 2024–25, contributing to a healthier trade balance. Manufacturing-led categories such as chemicals, pharmaceuticals, engineering goods, plastics, petroleum products, and gems and jewellery saw notable gains. Jewellery exports alone rose 16 percent between April and November 2025, underlining the sector’s growing relevance within bilateral trade.India’s trade relationship with Australia is set to deepen significantly from January 1, 2026, when Australia will remove customs duties on all tariff lines for Indian exports under the India–Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA). The move marks a decisive shift from partial liberalisation to full market access for Indian goods.
The announcement coincides with the third anniversary of the ECTA, an agreement that has steadily translated policy intent into commercial outcomes. Over the past three years, the pact has helped Indian exporters strengthen their foothold in the Australian market, while improving supply-chain reliability and expanding opportunities for small businesses and labour-driven sectors.
Indian exports to Australia recorded 8 percent growth in FY 2024–25, contributing to a healthier trade balance. Manufacturing-led categories such as chemicals, pharmaceuticals, engineering goods, plastics, petroleum products, and gems and jewellery saw notable gains. Jewellery exports alone rose 16 percent between April and November 2025, underlining the sector’s growing relevance within bilateral trade.
From 2026 onward, Indian goods entering Australia will do so at zero duty, improving price competitiveness against global suppliers. For exporters, this could translate into stronger demand, better margins, and easier market entry. Labour-intensive industries such as textiles, leather, processed foods, engineering goods, and jewellery are expected to benefit most, with MSMEs likely to see the greatest impact.
As discussions continue toward a broader Comprehensive Economic Cooperation Agreement, the ECTA remains central to India’s economic engagement with Australia and the Indo-Pacific, aligning with long-term national manufacturing and export growth goals.