India Australia

Foreign and Defence Ministers of India and Australia first ever virtual bilateral summit.

India- Australia Relations

• The end of the Cold War India’s nuclear status outside the nuclear Non-Proliferation Treaty (NPT) resulted in Australia taking a particularly strong stance against India’s 1998 nuclear tests.
• In 21st century, with the changing global scenario, Australia looked at India as an important partner in promoting regional security and stability.
• up gradation of bilateral relationship to a ‘Strategic Partnership’, including a Joint Declaration on Security Cooperation in 2009.
• Economic and commercial relations
• Bilateral goods and services trade at $24.4 billion & FDI at $1.4 Billion
• 2018, Australia announced “An India Economic Strategy to 2035”, to shape India- Australia bilateral ties.
• India Australia Grains Partnership
• Supply Chain a resilience Initiative with Japan, India and Australia
• Defence and security cooperation
• Civil Nuclear Cooperation Agreement, 2014 enabling India to secure uranium from Australia.
• Mutual Legal Assistance Treaty (MLAT), Extradition Treaty and the Social Security Agreement.
• Maritime Security cooperation joint exercises like AUSINDEX 2019, AUSTRAHIND, Exercise Pitch Black and Kakadu biennial exercise (Hosted by the Australian Navy)
• Science and Technology
• Australia-India Strategic Research Fund in 2006
• Agreement on Cyber and Cyber-Enabled Critical Technology
• Global cooperation
• Chinese aggression and assertive foreign policy are common concerns
• shared interests in vision of a free, open, inclusive and rules-based Indo-Pacific region.
• Australia’s Pacific Step Up and India’s Forum for India-Pacific Islands Cooperation (FIPIC) cooperation in the South Pacific region.
• Both co-operate in various multilateral fora including QUAD security dialogue, Indian Ocean Rim Association (IORA), ASEAN Regional Forum, G-20, East Asia Summits etc
• People to People Relations
• Indian diaspora, estimated at nearly 7 lakh is the fastest growing in Australia

Some concerns in India-Australia relations

• Comprehensive Economic Cooperation Agreement (CECA) still remains inconclusive after 9 rounds of negotiations.
• India opted out from Regional Comprehensive Economic Partnership (RCEP). India and Australia could not agree regarding market access over agriculture and dairy products.
• Australia’s economy is heavily dependent on China, with China being Australia's largest trading partner, accounting for 26 % of its trade with the world.
• Exclusion of India from AUKUS

Way Forward

• Conclude CEPA at the earliest
• Expand engagement in sectors like defence industry and commercial cyber activity

The prospects for bilateral relationship are recognized in both countries as strategically useful, economically productive and aligned with each other’s new agenda. However, it is recognized that the natural synergy has so far not been exploited fully. Countries should conclude CECA at the earliest, to realize the economic opportunities.