India and Australia have stepped closer on the trade and bilateral front as Prime Minister Narendra Modi on projected India as a long-term investment destination during his visit to Australia, urging businesses to deepen economic engagement as the two countries seek to expand cooperation in trade, infrastructure, clean energy and emerging sectors.Alongside Australian Prime Minister Anthony Albanese, Modi jointly addressed the Australia-India CEO Forum and the Economic Roadmap Business event in Melbourne, where he highlighted India’s growth story and invited Australian businesses to invest in the country’s expanding economy.Addressing business leaders in Melbourne on Thursday, PM Modi said that the global economy is facing a challenging phase, making stronger India-Australia partnerships more important than ever. “… The world is currently navigating a period marked by uncertainty, supply chain disruptions, and an energy crisis. In such times, it is both natural and essential for India and Australia to move forward as natural and trusted partners. Over the past few years, we have built a robust framework for our future partnership, leveraging the strengths of both nations. The ECTA (Economic Cooperation and Trade Agreement) agreement, concluded in record time in 2022, has further strengthened our economic ties; since its implementation, exports from India to Australia have doubled, and businesses in both countries have benefited from new market access…”Taking to X, PM Modi said that discussions between the two nations covered opportunities in aviation, transport and logistics, financial services, critical minerals, technology, food processing, food security and skilling.
Top highlights
Trade ties and CECA pushHighlighting the progress in bilateral trade, PM Modi said that India’s exports to Australia have doubled since the India-Australia Economic Cooperation and Trade Agreement (ECTA) came into force in 2022.Expressing satisfaction over the growth in trade and investment since the implementation of ECTA, he called for the early conclusion of the proposed Comprehensive Economic Cooperation Agreement (CECA) to further strengthen economic ties between the two countries.Later, while addressing the Economic Roadmap Business event attended by more than 200 CEOs and business leaders, Modi said India and Australia share strong democratic values, a common vision for the Indo-Pacific, vibrant people-to-people ties and a high level of political understanding, providing a solid foundation for expanding business partnerships.AustralianSuper announces AUD 500 million investmentDuring the visit, PM Modi welcomed AustralianSuper’s announcement of a fresh investment in India.Australia’s largest pension fund, AustralianSuper, announced on Thursday that it will invest an additional AU$500 million (US$346 million) in India’s National Investment and Infrastructure Fund (NIIF). The investment comes on top of the AU$240 million the fund committed seven years ago, taking AustralianSuper’s total investments in India to AU$3.3 billion.The NIIF was created in 2015 to attract global investment into India’s infrastructure development. AustralianSuper said its original NIIF investment had been one of its best-performing infrastructure investments. The fund’s existing investments in India span infrastructure, equities and private market assets. AustralianSuper manages assets worth AU$410 billion.PM Modi welcomed the announcement, saying the investment reflected growing global confidence in India’s economic trajectory.Posting on X, he said, “India welcomes the AU$500 million investment from AustralianSuper, announced by their Chief Executive, Paul Schroder, this morning in Melbourne. This is yet another glimpse of the global confidence in India’s growth and reform trajectory. It also reflects the immense opportunities that our dynamic economy offers global investors.”India invites investment across key sectorsShowcasing New Delhi’s economic transformation, PM Modi said that the country’s growth, policy reforms, digital transformation and expanding innovation ecosystem have created significant opportunities for Australian businesses.He said the complementary strengths of both economies create opportunities for collaboration in manufacturing, clean energy, critical minerals, mining, infrastructure, urban development, aviation, logistics, advanced technologies, artificial intelligence, fintech, food processing and the digital economy.“India’s scale and Australian expertise make for a win-win proposition,” the Prime Minister said, inviting Australian companies to make long-term investments in India.He also encouraged businesses from both countries to leverage their complementary strengths to develop global solutions in sectors such as rare earths, lithium, batteries, electronics, electric vehicles, semiconductors, artificial intelligence and defence supply chains.PM Modi further stressed the need for direct economic partnerships between Indian states and Australian provinces based on their respective strengths to unlock new avenues of bilateral cooperation. He said discussions at both business forums reflected growing optimism and generated meaningful ideas for expanding trade, investment and innovation partnerships.Focus on clean energy and infrastructureSpeaking on clean energy and infrastructure, he also highlighted India’s renewable energy ambitions and the opportunities available for Australian companies. “Many companies associated with clean energy are present here. We are building a manufacturing ecosystem in India for hydro projects, green hydrogen, solar modules, and wind turbines. India has set a target of achieving 500 gigawatts of renewable energy capacity by 2030 and reaching net zero emissions by 2070. Australia’s technology, capital, and resources can accelerate this transition… We have set a target of 100 gigawatts of nuclear energy capacity by 2047. Australia’s vast uranium reserves align directly with India’s nuclear journey… There are immense possibilities for Australian long-term investors in India’s port, airport, road, railway, and urban infrastructure sectors…”The Prime Minister also welcomed the growing presence of Australian universities in India, saying greater cooperation in higher education, research, innovation and skill development would help prepare talent in both countries while supporting global competitiveness.PM shares details of CEO ForumSharing details of the interaction on X, PM Modi said the Australia-India CEO Forum has gained significant momentum since 2023, reflecting growing confidence in the bilateral economic partnership.He thanked Prime Minister Albanese for participating in the interaction and sharing his vision for taking economic ties to greater heights. PM Modi is currently on a three-nation visit to Indonesia, Australia and New Zealand.
