Australia has offered to give tariff concessions to 99% of its traded goods with India under the proposed bilateral free trade agreement. This is done instead of opening up of India's dairy and agriculture sectors through low or zero tariffs. The Australian government is keen to export dairy products, grains, oilseeds and processed food to India. The two sides intend to complete the talks for an interim deal by the end of this month.
In FY21, India's imports from Australia included vegetables, wool, fruits and nuts and lentils.
"Australia has indicated to make their import duties zero on 99% goods at the time of entry into force of the agreement," said an official. Commerce and industry minister Piyush Goyal on Monday said that the interim agreement with Australia will cover 'large areas of interest'.
The two sides have agreed to conclude a long-pending ETA called a comprehensive economic cooperation agreement by the end of 2022.
Source: economictimes.indiatimes.com