In the coming year, Australia is set to provide duty-free access to all Indian exporters under the India-Australia Economic Cooperation and Trade Agreement (ECTA), announced by Commerce and Industry Minister Piyush Goyal on Monday.
“From Jan 1, 2026, 100% of Australian tariff lines will be zero-duty for Indian exports, unlocking fresh opportunities for labour-intensive sectors,” Goyal posted on his social media handle.
With this, Australia will eliminate tariffs on the remaining Indian goods that were earlier subject to duties. Key sectors expected to benefit include textiles, leather, gems and jewellery, engineering goods, pharmaceuticals, agricultural products, and processed foods.
Trade experts believe the decision will help Indian exporters expand their footprints in Australia and improve demand for Indian goods. Lower tariffs will reduce costs for Australian importers, potentially leading to higher volumes and long-term partnerships. This move is expected to support small and medium-sized enterprises (SMEs) in India by creating new opportunities in a developed, stable market.
The minister also unveiled that over the past three years, ECTA has delivered sustained export growth, deeper market access, and stronger supply-chain resilience, benefiting Indian exporters, MSMEs, farmers, and workers. It is worth noting that India’s exports to Australia grew by 8% in 2024-25, helping improve India’s trade balance.
Officials said the agreement reflects growing economic cooperation between the two nations and aligns with India’s broader strategy to expand exports and diversify global markets. As global trade faces uncertainty, preferential trade agreements like ECTA are expected to play a crucial role in sustaining export growth.
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From January 1 onward, Indian exporters are expected to leverage tariff-free access to boost shipments, improve margins, and strengthen India’s position as a reliable trading partner for Australia.
