Trade agreement between Australia and India
The Australia-India Economic Cooperation and Trade Agreement is an interim agreement.
The Australia-India Economic Cooperation and Trade Agreement is an interim agreement.
Officials from Australia and India signed a trade agreement that aims to create new opportunities for workers and businesses.
According to Australia’s prime minister, the Australia-India Economic Cooperation and Trade Agreement means that:
- Sheep meat tariffs of 30% will be eliminated on entry into force.
- Wool will have the current 2.5% tariffs eliminated on entry into force.
- Tariffs on wine with a minimum import price of U.S. $5 per bottle will be reduced from 150% to 100% on entry into force and subsequently to 50% over 10 years (based on Indian wholesale price index for wine).
- Tariffs on wine bottles with a minimum import price of U.S. $15 will be reduced from 150% to 75% on entry into force and subsequently to 25% over 10 years (based on Indian wholesale price index for wine).
- Tariffs up to 30% on avocados, onions, broad, kidney and adzuki beans, cherries, shelled pistachios, macadamias, cashews in-shell, blueberries, raspberries, blackberries, currants will be eliminated over seven years.
- Tariffs on almonds, lentils, oranges, mandarins, pears, apricots and strawberries will be reduced.
- The elimination of tariffs on entry into force for coal, alumina, metallic ores, including manganese, copper and nickel; and critical minerals including titanium and zirconium.
- Liquefied natural gas (LNG) tariffs will be bound at 0% at entry into force.
- Tariffs on pharmaceutical products and certain medical devices will be eliminated over five and seven years.
The Australia-India Economic Cooperation and Trade Agreement is an interim agreement. Both countries continue to work towards a full comprehensive economic cooperation agreement.
Read a release from the prime minister of Australia
For more information on the tax implications for Indian companies, read TaxNewsFlash.
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