Trade Minister Andrew Robb insists Australia won’t be rushing to sign a free trade agreement with India just for the sake of a deal.
“We want to see a really meaningful agreement,” he told ABC radio today before he flew to the sub-continent for talks with Indian officials.
Robb said securing a high-quality free trade agreement by the end of 2015 was eminently possible.
That’s because Prime Minister Tony Abbott and his Indian counterpart, Narendra Modi, were “hellbent” on finalising negotiations within 12 months.
“We won’t sign an agreement for agreement’s sake,” the Trade Minister said.
Robb is leading a delegation of about 450 government and business representatives to India as part of a week-long mission.
He cited India’s notorious bureaucracy and history of protectionism as obstacles that needed to be overcome. But he is encouraged by Modi’s record as a regional governor, which has involved getting the public service to focus on outcomes and boosting business.
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“I do feel if he is successful … then we could see a repeat in India of the last 15 years of China.”
Robb nominated high-end manufacturing, construction, education and health services as areas of growth in India. That meant bigger markets for Australian iron ore, coking coal and services such as construction and design.
Australia’s trading relationship with India was valued at $15.2 billion in 2013, compared with the $160 billion of two-way trade with China.
“So we’ve got a big gap to make up,” Robb said.
