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India-Australia trade agreement profitable for both countries: Piyush Goyal – Jammu Kashmir Latest news | Tourism

New Delhi, April 2: After India struck the trade deal with Australia, Union Trade and Industry Minister Piyush Goyal said on Saturday that the deal is profitable for the two countries with Australian raw materials and Indian quality finished products.
The Union minister said: “Nobody expected that we could get the trade deal with developed countries like Australia. Australia is the country with which we have no competition. Australia has quality raw materials and India has quality finished products. We both compose ourselves. The agreement is a win-win for both countries.
The India-Australia Economic and Trade Cooperation Agreement (IndAus ECTA) was signed by Trade Minister Piyush Goyal and his Australian counterpart Minister of Trade, Tourism and Investment Dan Tehan during a virtual ceremony attended by Prime Minister Narendra Modi and his Australian counterpart Scott Morrison today.
Goyal said this trade pact will create one million jobs over the next 4-5 years, said Piyush Goyal, Minister of Commerce and Industry. This is the first trade agreement with a developed economy after more than a decade. This agreement will be a signal for the agreements of other developed countries such as the UK, Canada and the EU, with which India is currently negotiating a free trade agreement.
“We expect the creation of one million jobs in India over the next 4-5 years. A number of new opportunities will be opening up for Indian chefs and yoga instructors in the coming times. We also discussed the cooperation of educational institutions between India and Australia,” Goyal said.
“We are removing trade barriers, which will lead to a doubling of trade in the future, which will have great potential for labor-intensive sectors. This free trade is expected to increase bilateral trade from the existing $27 billion to nearly $45-50 billion over the next 5 years,” he added.
The Union Minister highlighted the differences between Australian and Indian product imports. He said: “Australia is a massive importer of home-made furniture and clothing, but the Indian share is very limited. Our apparel exporters have told us that they only get a nominal markup and pay 5% duty when exporting their products to Australia, which is not a lucrative market. Now, when they get duty-free access, they will benefit. Footwear, automotive, automotive components, leather, pharmaceuticals, gemstones and jewelry will benefit. Computing and technology, research and development and the tourism sector will also benefit from this agreement. »
The minister said there are over 1.3 lakh Indian students living and studying in Australia. “We are considering a work and holiday visa agreement to promote tourism. A post-study work visa between 2 and 4 years will be available for Indian students, especially for STEM (Science, Technology, Engineering and Mathematics) graduates. We have paved the way for students who aspire to study and work in Australia,” he said.
Speaking about access to Australian wine, Goyal said: “We have consulted with the Indian wine industry and stakeholders on several occasions. They had given us suggestions. They suggested to us a minimum import price for high quality wines.
“And assured them that their interest will be safeguarded. India will grant a concession and market access to Australian wine above the price of US$5/750 millilitre. India has no competition in this price. Investment and quality will come to the Indian wine market. Indian wineries will benefit from Australia’s investment and technology. Grape growers will have an opportunity. Indian winners can also sell their wines worldwide,” he added.
Australia is India’s 17th largest trading partner and India is Australia’s ninth largest trading partner. Bilateral trade between India and Australia for goods and services is valued at USD 27.5 billion in 2021. India’s merchandise exports to Australia have increased by 135% between 2019 and 2021.
India’s exports mainly consist of a wide basket of finished products and amounted to USD 6.9 billion in 2021.
India’s merchandise imports from Australia amounted to USD 15.1 billion in 2021, largely consisting of raw materials, minerals and intermediate goods. Three quarters of India’s imports consist of coal, 70% of the coal being coking coal. Australia has a merchandise trade surplus of around $8 billion, mainly due to coal imports which amount to $11.2 billion. (Agencies)

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