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Australian government eyes India as new major trade partner

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Article image for Australian government eyes India as new major trade partner

Securing a free-trade deal with India has become the top priority for the federal government.

Moves are underway to diversify the nation’s export markets to counteract China’s ban on Australian products.

Many have asked why more hasn’t been done in the past.

Economics Professor Richard Holden, from the University of NSW Business School, said it wasn’t through a lack of trying.

“One of the big reasons we aren’t doing more is because we don’t have a free trade agreement with India,” he explained.

“We do with China and we do with the United States, for instance, and a number of other countries.

“India has had a long protectionist history, a highly protectionist approach to developing their economy and it’s quite hard for a lot of Australian businesses to trade effectively with India.”

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Picture by Getty iStock

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