Australia will officially ratify its interim trade deal with India, signed on April 2, in the forthcoming weeks, said Australia’s trade and tourism minister Don Farrell on Tuesday. The unusual delay in the ratification was due to the election of a new government in Australia.
In a virtual meeting with India’s Commerce and Industry Minister Piyush Goyal, Farrell said that in addition to the India-Australia Economic Cooperation and Trade Agreement (IndAus ECTA), the amendments to Australia’s domestic regulation for resolving the issues related to the Double Taxation Avoidance Agreement (DTAA) have been introduced in the Australian Parliament. The DTAA is vital for India’s IT industry. It is likely that both the agreements will be ratified shortly after the joint standing committee on treaty submits its report to the Australian Parliament, he said.
The ECTA promises preferential access to all Indian goods in five years (from 96.4% immediately after the deal comes into effect) and 85% of Australian products (from 70% to begin with) to each other’s market. The deal will help Indian yoga instructors, chefs, students and STEM (Science, Technology, Engineering and Mathematics) graduates, who will have easier access to Australia, while premium wine from Australia will make greater inroads into Indian supermarkets once the deal is implemented.