Ten lakh jobs would be created in India under ECTA
The India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) will enter into force on 29 December 2022, setting the pace for bilateral trade to cross US$45-$50 billion in 5 years from existing US$31 billion.
Signed on 2 April 2022, India and Australia exchanged written notifications on completion of the ratification processes and the necessary domestic requirements, including internal legal procedures.
“The Agreement will enter into force 30 days after this exchange of written notification between India and Australia in accordance with Article 14.7 of the Agreement,” the Ministry of Commerce and Industry said on 30 Nov 2022.
Accordingly, the Agreement will come into effect from 29 December 2022.
The India-Australia ECTA and the provisions thereof, which has been arrived at after extensive consultations with all relevant stakeholders, will further cement the already deep, close and strategic relations between the two countries. It will significantly enhance bilateral trade in goods and services, create new employment opportunities, raise living standards, and improve the general welfare of the peoples of the two countries.
Industries, businesses, students, professionals etc in both countries are eager to avail the opportunities arising through this agreement, it said.
It will also promote people to people contact between the two democracies.
Duties on 100% tariff lines are to be eliminated by Australia under the agreement.
“Hence it will help in resilient supply chain wherein cheaper raw materials and intermediate products from Australia will be made available to make our finished product competitive,” said the Ministry.
It is estimated that an additional 10 lakh jobs would be created in India under ECTA. Indian Yoga teachers and chefs are set to gain with the annual visa quota. Over 1 lakh Indian students would benefit from post-study work visa (1.5-4 years) under the ECTA.
The agreement is also likely to increase investment opportunities, promote exports, create significant additional employment and facilitate strong bonding between the two countries.
Australia is an important strategic partner of India, added the Ministry.
They are also part of the four nation QUAD, Trilateral Supply Chain Initiative and the Indo-Pacific Economic Forum (IPEF).
ECTA will open a new chapter on India-Australia Comprehensive Economic Partnership between two vibrant economies with shared interest and trade complementarities.
“The Agreement encompasses cooperation across the entire gamut of bilateral economic and commercial relations between the two friendly countries,” said the Ministry. fiinews.com
