An institutional framework to promote and enhance trade between the two nations is provided by ECTA.
Nearly all of the tariff lines that Australia and India, respectively, deal in are covered by the ECTA.
- This marks the first Free Trade Agreement (FTA) that India has inked with a significant developed nation in more than ten years.
- The Agreement covers areas including collaboration in all facets of bilateral economic and commercial relations between the two friendly nations:
- Trade in Goods, Rules of Origin
- Trade in Services
- Technical Barriers to Trade (TBT)
- Sanitary and Phytosanitary (SPS) measures
- Dispute Settlement, Movement of Natural Persons
- Telecom, Customs Procedures
- Pharmaceutical products, and Cooperation in other Areas
Extended post-study work visas will be given to Indian STEM (science, technology, engineering, and mathematics) graduates under the terms of the agreement.
- Australia is providing India with privileged market access on all of its tariff lines.
- This covers all of the labor-intensive export industries that are of interest to India, including furniture, textiles, leather goods, jewellery, and gemstones.
- Conversely, India will grant Australia preferential access to more than 70% of its tariff lines, including export-interesting lines that are mainly composed of raw commodities and intermediaries like coal, mineral ores, wine, etc.
Additionally, it is predicted that ECTA will result in the creation of 10 lakh new jobs.
- Additionally, Australia is going to launch a system to provide visas to young Indians who want to come to Australia for work vacations.
- A quota of 1800 visas per year is going to be implemented for Indian yoga instructors and chefs.