December 18, 2020
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FDI liberalisation expands Australia India investment opportunities, promoting sectoral engagement and supply chain diversification under strategic economic cooperation.
Easing of foreign investment restrictions and sectoral opening form the core policy action, with facilitation of FDI through broader automatic route access and sectoral liberalisation, including agricultural value chain investment. Emerging collaborative sectors identified include space, nuclear energy, defence production, digital education engagement, commercial ship building, water management, textiles, digital gaming and animation. Complementary measures include labour law reforms to enhance employment flexibility and tourism project viability, and emphasis on supply chain diversification. The India Australia Economic Strategy Report is intended to align trade and economic policy and to identify cooperation areas feeding into negotiations for a comprehensive economic partnership, under the 3B objectives: Bigger trade basket, Better trade basket, Balanced trade relationship.