Australia expected to announce Rs 1500 crore investment in India: Report

New Delhi: India and Australia will conclude an early harvest agreement by the end of this month, said sources on Sunday (March 20). An early harvest agreement is aimed at liberalising tariffs on the trade of certain goods between two countries or trading blocs before a comprehensive agreement.

The development comes as Prime Minister Narendra Modi and his Australian counterpart Scott Morrison will hold the second India-Australia Virtual Summit on Monday (March 21) to lay the way forward on new initiatives and enhance cooperation in a diverse range of sectors between the two countries.

According to the sources, the two countries will sign a Memorandum of Understanding (MoU) in the field of critical minerals, which will help increase India`s access to metallic coal and lithium in Australia. Australia will also announce a Rs 1,500 crore investment in India in multiple sectors, which will be the largest ever investment by the Australian government in India, added sources.

Further, the Union Minister of Coal and Mines in India, Pralhad Joshi, will visit Australia soon, as per the sources. The second India-Australia Virtual Summit follows the first Virtual Summit in June 2020 when the relationship was elevated to a Comprehensive Strategic Partnership.

During the upcoming virtual summit, the leaders will take stock of progress made on various initiatives under the Comprehensive Strategic Partnership. The Leaders are expected to commit to closer cooperation in trade, critical minerals, migration and mobility, and education, among others, the Ministry of External Affairs (MEA) said in a press statement.

According to the MEA release, views on regional and international issues of mutual interest will also be discussed by the Leaders. It also said the Summit highlights the importance attached by both countries to their bilateral relations as also their close cooperation on regional and global issues.

On Friday (March 18), Morrison had underlined that the strong bilateral relationship between the two countries is based on a shared vision of an open, inclusive, and resilient Indo-Pacific. In an official statement, he said, "Australia and India`s strong bilateral relationship is based on mutual understanding and trust, a commitment to democracy, and a shared vision of an open, inclusive, resilient and prosperous Indo-Pacific."

"Prime Minister Modi and I will discuss deepening our trade and investment relationship and harnessing new economic opportunities to support our mutual economic recovery and growth. Central to these endeavours are strengthened cooperation in defence and security, science and technology, and critical minerals and clean energy," he added.