Tag: India – Australia ECTA comes into force

India’s Foreign Policy

India’s Foreign Policy India - Australia ECTA comes into force  Economic and Cooperation Trade Agreement (ECTA) provides an institutional mechanism to encourage and improve trade between India and Australia and covers almost all tariff lines dealt by the two countries. After the India-UAE Comprehensive Economic Partnership Agreement, ECTA will be the second trade agreement for India that will be operationalised in 2022. Benefits of signing ECTA. Raise bilateral trade to USD 45-50 billion in next five years. Create an additional employment of at least 10 lakhs jobs in India. Create opportunities for investment, promotion of start-ups.  Key features of ECTA India will benefit from preferential market access provided by Australia on 100% of its tariff lines, including all labour-intensive sectors of export interest to India, such as Gems and Jewellery, Textiles, leather, footwear etc. Australia has offered wide ranging commitments in several services sub-sectors like IT, ITES, Health, Education. A separate Annex on Pharmaceutical products which will enable fast-track approval for patented, generic and biosimilar medicines. Covers areas like Rules of Origin, Sanitary and Phytosanitary (SPS) measures, Dispute Settlement, Movement of Natural Persons etc.