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India-Australia Free Trade Agreement Will Come into Force from Dec 29

  New Delhi - The free trade agreement between India and Australia will come into effect on December 29, helping to nearly double bilateral trade to USD 45-50 billion in five years. “The (Anthony) Albanese government welcomes confirmation today that the Indian Government has completed its domestic requirements to enable implementation of the Australia-India Economic Cooperation and Trade Agreement (ECTA),” Australian Minister for Trade and Tourism Don Farrell said in a statement on Wednesday. “This trade agreement will deliver new market access opportunities for Australian businesses and consumers from 29 December 2022,” it said. The agreement, signed on April 2, would grant Indian exporters of over 6,000 broad sectors, including textiles, leather, furniture, jewelry, and machinery, duty-free access to the Australian market. Textiles and apparel, a few agricultural and fish products, leather, footwear, furniture, sports goods, jewelry, machinery, and electrical goods are all labor-intensive industries that would benefit greatly. Under the agreement, Australia will provide zero-duty access to India for approximately 96.4 percent of exports (by value) from the start. This includes many products that are currently subject to a 4-5% customs duty in Australia. In 2021-22, India’s goods exports to Australia totaled USD 8.3 billion, while imports from the country totaled USD 16.75 billion.