Australia launches program to help Aussie businesses trade and invest in India
The official program run by the Australian government aims to facilitate the entry of Australian companies into the Indian market. It is set to focus on the e-commerce channel to better market Aussie food, beverage and consumer products to Indian consumers.
April 06, 2021 / 08:35 PM IST
Australian Prime Minister Scott Morrison
Australia has launched an official multi-year program to help Aussie companies looking to trade, invest and do business in India.
The Australia India Business Exchange (AIBX) was launched by Dan Tehan, Australia's Minister for Trade, Tourism and Investment. The AIBX has been called a flagship program of Australian Prime Minister Scott Morrison's government to advance trade and investment with India.
While India remains one of the fastest growing major economies and an attractive market for Australian exporters, businesses remain apprehensive of entering the market owing to an exhaustive list of complicated rules governing foreign businesses. Many are also unsure of entering the market without a domestic partner.
According to the Australian government, it will provide businesses with the 'latest market insights, opportunities and an insight into India’s business culture and operational environment'. Most importantly, Canberra says the AIBX will act as a guide to accessing India’s e-commerce marketplaces, which are now increasingly handling a greater share of retail.
Australia will be looking to assist their premium food, beverage and consumer product providers in accessing e-commerce channels to better enter the Indian market. The program will support services and technology providers to grow partnerships and build resilient supply chains in the mining, resources and infrastructure sectors.
India was Australia’s eighth largest trading partner and third-largest market for services export in 2019-20. Two-way goods and services trade totaled $26.2 billion in 2019-20, and the two-way stock of investment was $36.7 billion in 2019. “ AIBX presents opportunities to build on our close people-to-people ties and shared vision for a secure and prosperous Indo-Pacific. It will give business owners the confidence and capability to engage across our two markets,” Tehan said.
The portal delivers on commitments in the Comprehensive Strategic Partnership and the Government’s response to the India Economic Strategy. The government has adopted ‘An India Economic Strategy to 2035’, penned by former Australian High Commissioner to India Peter N Varghese, which bats for more economic linkages between the nations at a time when Australian businesses have been scouting for newer overseas markets and hoping to reduce their trade dependence on China.
The 2021 program will be overseen by the Australian Trade and Investment Commission (Austrade) and include virtual events, in-market activities and online resources to support Australians and Indians throughout the business exchange.