Australia has signed an historic trade agreement with India, which will strengthen the relationship between the two countries.
The Australia-India Economic Cooperation and Trade Agreement will make Australian exports to India cheaper and create new opportunities for regional NSW workers and businesses.
Businesses in Regional NSW will find it easier to do business with India - the world's fastest growing economy - as the agreement reduces many tariffs that affect local farmers, producers and exporters. The deal will potentially unlock a market of around 1.4 billion consumers in India and help strengthen the domestic economy.
Some of the features of the agreement include:
- Sheep meat tariffs of 30 per cent will be eliminated on entry into force, providing a boost for Australian exports that already command nearly 20 per cent of India’s market
- Wool will have the current 2.5 per cent tariffs eliminated on entry into force, supporting Australia’s second-largest market for wool products.
- Tariffs on wine with a minimum import price of US$5 per bottle will be reduced from 150 per cent to 100 per cent on entry into force and subsequently to 50 per cent over 10 years (based on Indian wholesale price index for wine).
- Tariffs up to 30 per cent on avocados, onions, broad, kidney and adzuki beans, cherries, shelled pistachios, macadamias, cashews in-shell, blueberries, raspberries, blackberries, currants will be eliminated over seven years.
- Tariffs on almonds, lentils, oranges, mandarins, pears, apricots and strawberries will be reduced, improving opportunities for Australia’s horticulture industry to supply India’s growing food demand.