Impex

India and Australia sign an Economic Cooperation and Trade Agreement

Published

4 months ago

November 22, 2022

Editor

India and Australia sign an Economic Cooperation and Trade Agreement. Image: Pexels

Listen to the story (FreightComms AudioPost)

India-Australia to sign a historic Economic Cooperation and Trade Agreement (Ind-Aus ECTA), as per the agreement Australia would reduce duties on products with a 100 percent tariff.

The trade agreement is to boost several sectors of the economy, especially textiles, gems and jewellery and pharmaceuticals.

Before going into effect, the deal that the two nations inked in April of this year required to be ratified by the Australian parliament. Piyush Goyal, a union minister, called it a “landmark occasion” and expressed his gratitude to the prime ministers of Australia and India for making it happen. After its implementation, he claimed, the codes and the customs regime will be harmonised.

Anthony Albanese Prime Minster of Australia announced on twitter “Our Free Trade Agreement with India has passed through parliament”

https://twitter.com/albomp/status/1594924573970964480

Here are some implications of the FTA for Australia and India:

The prospects and advantages of more open trade with India will soon be available to Australian exporters, firms, employees, and consumers once the FTA agreement is put into effect.
The India-Australia Economic Cooperation and Trade Agreement (AI-ECTA) will become effective 30 days (or at a later date mutually agreed upon) after each party has confirmed in writing that all domestic conditions have been satisfied.
Following ratification, India and Australia will decide when to put the agreement into effect. A day before to that day, customs authorities will also issue a notification.
FTA will give Australian companies access to a new market where they can contact the 1.4 billion customers of the world’s fastest-growing major economy.
When it is put into effect, the agreement will give India’s over 6,000 major industries—including textiles, leather, furniture, jewellery, and machinery—duty-free access to the Australian market.
Additionally, Australia has provided zero-duty access to India since day one for almost 96.4% of exports (measured by value). This applies to a wide range of goods that are now subject to a 4%–5% customs charge in Australia.
The pact would mostly help the textile and garment industries, a few agricultural and fishery items, leather, footwear, furniture, sporting goods, jewellery, machinery, electrical goods, and railroad carriages.

In a nutshell, the India-Australia ECTA will strengthen the two nations’ already solid, strategic relationships, dramatically increase their bilateral commerce in commodities and services, generate new job opportunities, boost living standards, and generally promote the welfare of their respective populations.

Click to comment

Related Topics:Featured Impex Trade and Regulations

Up Next

Xeneta forecasts “extremely challenging” 2023 for the ocean freight market

Don't Miss

Valenciaport establishes trade relations with 71 countries for the footwear industry

Impex

USAID and PepsiCo Egypt sign a memorandum of understanding to support Egyptian farmers

The U.S. Government through the U.S. Agency for International Development (USAID)
signed a Memorandum of Understanding with PepsiCo Egypt.

Published

4 years ago

July 25, 2019

U.S. Embassy in Egypt

USAID and PepsiCo Egypt sign a memorandum of understanding to support Egyptian farmers. Image: Pixabay

The U.S. Government through the U.S. Agency for International Development (USAID)
signed a Memorandum of Understanding with PepsiCo Egypt to expand cooperation between USAID and PepsiCo’s subsidiary Chipsy for Food Industries to improve farmer livelihoods.

Specifically, the joint program will increase transparency and sustainability in the potato supply chain. Mr. Thomas Goldberger, U.S. Chargé d’Affaires; Mr. Mohamed Shelbaya, CEO of PepsiCo Egypt; and Ms. Sherry Carlin, the USAID Mission Director in Egypt participated in the event.

“This is a prime example of how USAID partners with the private sector use to market-driven
approaches to tackle development challenges,” said Goldberger.

This partnership will increase rural farmers’ incomes by establishing reliable market linkages, increasing crop quality and yield, and helping farmers progress toward internationally-recognized standards for sustainable agricultural practices.

“It is a great honor and pleasure to sign a protocol with USAID as they are contributing to the stability and prosperity of Egypt through accessible and effective programs,” said Shelbaya.

“Agriculture is a vital part of Egypt’s economy, and PepsiCo Egypt aims to directly engage with individual farmers to promote innovation, knowledge transfer, and agricultural best practices while ensuring increased productivity and quality,” added Shelbaya.

This partnership is part of USAID’s ongoing support to Egypt’s agricultural sector, which is helping farmers in Upper Egypt become more self-reliant by establishing connections to domestic and international markets, gaining access to finance, and increasing adherence to food and safety practices.

PepsiCo Egypt aims to positively impact on Egypt’s farming communities through initiatives such as its locally grown seeds program, which ensures higher quality potatoes and better agronomy yield while creating a qualified sustainable agriculture supply chain in the Egyptian market. Through this program, PepsiCo Egypt is able to produce 100% locally sourced chips, which contributes to the reduction of import costs.