Exporters from Bengal are keen to explore opportunities under the India-Australia Economic Cooperation and Trade Agreement (IndAus ECTA), which comes into force on December 29.
Under the agreement, Indian exports will benefit from preferential zero-duty market access in Australia for 100 per cent of its tariff lines, which will aid sectors such as gems and jewellery, textiles, leather, footwear, agricultural products and engineering products among others, many of which are also key export sectors for Bengal.
At a session organised by the EEPC on Wednesday, Pankaj Parekh, regional chairman, Gems and Jewellery Export Promotion Council (GJEPC), eastern region, said the India-Australia ECTA could double gem and jewellery exports to Australia from $350 million to $800 million in the coming three years.
He said the exporters from the state have already benefited from the India-UAE CEPA (Comprehensive Economic Partnership Agreement) which came into effect in May this year.
Lalit Agarwal, regional committee member, PLEXCONCIL, eastern region, said the export potential for the plastics industry from India to Australia is estimated at $6 billion.
Under the India-Australia ECTA, the import duty applicable has been reduced on all tariff lines for plastic products.“As much as 90 per cent of the plastics industry is mainly from the SME sector and this would act as a great booster for the outbound shipments from the sector,” said Agarwal.
B.D. Agarwal, regional chairman, EEPC India, eastern region, said India’s engineering exports to Australia have increased 54.9 per cent to reach $1241.5 million in 2021-22 from $801.5 million in 2020-21.
“The trade relationship facilitated through ECTA will open a new chapter on India-Australia Comprehensive Economic Partnership between two economies with shared interest and trade complementarities, thereby enhancing India’s merchandise exports,” said Agarwal.
Rowan Ainsworth, consul general, Australian Consulate in Calcutta, said the ECTA will help Australian manufacturers strengthen their supply chain resilience, enhance trade diversification and address supply chain risks while better connecting the two complementary and stable economies.
The merchandise exports to Australia from India are expected to reach $45-50 billion in five years.
