Australia and India Strengthen Economic Bonds with New Investment
To strengthen Australia's economic ties with India, the Albanese Government has introduced a roadmap that includes an investment of USD 16 million into the Australia-India Trade and Investment Accelerator Fund (TIAF).
Anthony Albanese, Prime Minister, Australia, said, "India is an essential partner as we diversify our trade links to boost prosperity for all Australians. This Roadmap is critical to helping us fully realise our potential with India, which will be a boon to Australia's economy, our businesses and jobs, and our prosperity".
It is a strategic initiative designed to help Australian businesses expand into the fast-growing Indian market. With India on track to become the world's third-largest economy by 2030, this roadmap outlines key growth sectors and strengthens bilateral ties, ensuring mutual prosperity and economic resilience.
Furthermore, an additional USD 4 million will be allocated to expand the Maitri ('friendship') Grants program, aimed at strengthening business, cultural, and people-to-people ties between the two nations.
Australia's existing free trade agreement with India has already delivered significant financial benefits, saving Australian businesses hundreds of millions of dollars and projected to reduce exporters' tariff costs by USD 2 billion by the end of the year. These savings are directly benefiting Australian consumers and contributing to job creation.
Negotiations are also progressing on a new free trade agreement that will unlock even greater opportunities for Australian businesses in India's expansive and dynamic market of over 1.4 billion people. The Roadmap is a result of extensive consultations, with over 400 engagements conducted across Australia and India.
Senator Penny Wong, Minister for Foreign Affairs, Australia, said, "Growing Australia's economic security and diversifying our partnerships is a key element of our statecraft and central to our national interest".
He added, "By boosting our economic ties with India, we are not only creating more jobs and opportunities for Australians, we are advancing our shared interest in a peaceful, stable and prosperous Indo-Pacific."
Senator Don Farrell, Minister for Trade and Tourism, Australia, said, "Australia has a rich and diverse Indian community, with strong personal and economic ties. The potential of our relationship with India is almost unmatched, opening a fast growing market of over 1.4 billion people".
He added, "The Roadmap, the result of significant consultation with businesses and the community, offers a blueprint for Australian businesses to seize this extraordinary opportunity".
The Albanese Government has unveiled a new strategy to strengthen Australia's economic ties with India, aimed at boosting trade opportunities, benefiting businesses and consumers, securing supply chains, and creating jobs. The strategy focuses on increasing two-way investment and fostering stronger partnerships with Indian-Australian communities and businesses. It identifies four key areas where Australia holds a natural competitive advantage: clean energy, education and skills, agribusiness, and tourism. Moreover, it highlights nearly 50 opportunities to expand cooperation in vital sectors, including defence, sports, culture, space, and technology.