India and Australia have a strong bilateral relationship with a focus on education, trade, renewable energy, and climate change. The new National Education Policy (NEP) in India provides an opportunity for Australian universities to establish campuses in India. In addition, both countries are working together on supply chains for critical minerals that could be used in India’s emerging electric vehicle industry or in the production of emerging technologies.
The Economic Partnership and Trade Agreement (ECTA) signed between India and Australia in April 2022 was a breakthrough in their bilateral relationship. Apart from trade, people-to-people contacts, science, culture, and defense and security cooperation are also areas of interest for both countries. The QUAD (India, Australia, Japan, and the United States of America) is a diplomatic relationship that aims to promote peace and prosperity in the Indo-Pacific region by abiding by international rules. The QUAD also works on non-conventional areas such as health security, infrastructure, connectivity, and climate change.
The Indian diaspora in Australia plays a significant role in strengthening the bilateral relationship between the two countries. Pension funds from Australia can aid India’s economic growth, and tie-ups with Indian educational institutions like UoH and ISB are also beneficial. In Telangana, Australia is interested in investing in technology, innovation hubs like T Hub and We Hub, and telecommunications.
Both India and Australia are concerned about China’s growing influence in the Indo-Pacific region. They aim to make their own choices without unduly influencing each other’s decisions to maintain peace. Through the QUAD, they work together to ensure that every nation abides by international rules. India and Australia are also strengthening their defense cooperation and participation in each other’s defense-related exercises. While India continues to engage with China to resolve the border issue, Australia is stabilizing its relationship with China while being guided by national interests.
