Key sectors missed in FTA
Some industries are welcoming the new Australia-India Free Trade Agreement, while others feel left out.
An interim Free Trade Agreement (FTA) between Australia and India has been signed, with Australian representatives hoping it will reduce Australia's economic dependence on China.
It appears to have opened significant market opportunities for some industries - including wine exports and sheep farming - while the dairy and grain industries say they have lost the opportunity for market expansion.
Australian wine producers were hit hard by a decision by China in 2020 to place tariffs of up to 200 per cent on all Australian wine.
The new deal with India will not recover all the losses, but is expected to help address a national oversupply of wine.
The new FTA will reduce a current five per cent tariff on wool exported to India to zero per cent later this year. Wool industry figures say this should help to further diversify markets.
Lamb and mutton producers have made very little money sending lamb to India because of a 30 per cent tariff, but this tariff is set to be scrapped.
The dairy sector was completely excluded from the Australia-India FTA, which is considered a missed opportunity given that India is the largest dairy-consuming nation in the world.
Additionally, the interim FTA offers some potential benefits for Australian lentils, faba beans, canola oil and soybeans. However, chickpea growers say they should have been included too.