At a recent meeting in New Delhi, Prime Minister Narendra Modi was almost forced to give a brief lecture on geological history to his colleagues while highlighting the importance of integrating the Indian and Australian economies in contemporary times. By way of a metaphor, he pointed out how India and Australia were part of the same supercontinent, the Gondwanaland, until both drifted apart during the Jurassic age. For a variety of reasons, almost till the beginning of this century, New Delhi and Canberra remained apart much after the original tectonic shifts had originally split them.
A historic deal
A pivotal moment in history for the two countries was struck on April 2, when Australia and India struck a trade deal after two decades of efforts. Mr. Modi described it as a “watershed moment for bilateral relations”. The India-Australia Economic Co-operation and Trade Agreement (IndAus ECTA) eliminates tariffs on more than 85% of Australian goods exports to India (valued at more than $12.6 billion a year).
