Agreement with Australia to benefit Indian students

New Delhi, April 2

India and Australia on Saturday signed an interim free trade agreement that will enable eligible students among the one lakh studying there to stay on for a couple of more years. Australia has also set an annual quota of 1,800 Indian traditional chefs and yoga teachers for temporary stay of four years.

The two sides aim to sign a Comprehensive Economic Cooperation Agreement by the year-end to tackle the contentious issues such as Australian dairy and chickpea exports and Indian demand to waive labour market testing. The two sides are also studying a proposal to offer split degrees—two years each of study in both countries.

The India-Australia Economic Cooperation and Trade Agreement, which will be registered as a full FTA with the WTO, was signed by Commerce Minister Piyush Goyal and his Australian counterpart Dan Tehan at a virtual ceremony in the presence of Prime Ministers Narendra Modi and Scott Morrison.

“This is truly a watershed moment for India-Australia relations,” said PM Modi. Morrison said the pact would further deepen Australia’s close ties with India. The agreement will help in taking bilateral trade from $27 billion to $45-50 billion in the next five years, Goyal said.

The pact will enhance exports linked to movement of professionals, businesspersons and students due to strong temporary entry and stay commitments by Australia. Australia is offering zero duty access to India for about 96.4% of exports. This covers many products, which currently attract 4-5 per cent customs duty in Australia, said officials. Bilateral trade in goods and services was $27.5 billion in 2021. —