Trading links between India and Australia can be traced back to the East India Company. Australia’s first commercial export was a shipment of coal to India in 1797. Coking coal and Gold have become important components of Australia’s trade with India today.

Formal trade relations between India and Australia are covered by a trade agreement signed in 1976, which aims at facilitating, diversifying and strengthening trade ties between the two countries. A Joint Ministerial Commission and a Joint Business Council was established which meets annually to discuss bilateral trade developments.

India’s exports to Australia  are diverse but volumes are not very large. India traditionally exports textiles and clothing to Australia.  The main items are pearls, precious, semi-precious stones, made-up articles -textile materials, floor coverings, jewellery, textile yarn, crustaceans (sea food), engineering goods/ manufactures, manufactures of base metal, footwear, travel goods & handbags, women's or girls', clothing, men’s or boys' clothing, and other commodities including chemicals and related products, plantation & agricultural products. India’s exports increased  to A$ 1.46 billion in 2007.  This was 14 % higher than the corresponding figure of A$ 1.28 billion in 2006.  Pearls & Gems, generating sets & motors, jewellery, textile manufactures and medicaments topped the export basket in 2007.

India’s imports from Australia are confined to a smaller range of mainly primary commodities such as non-monetary gold, coal (coking), wool, copper & concentrates, silver and non-ferrous metal scrap. India’s imports also include chickpeas, dried fruits, peas, pulses, apples and manufactured items.  Imports from Australia in 2007 recorded A$ 9.28 billion. The balance of trade continued to be in favour of Australia. In 2007 imports were largely composed of mineral resources.  The top three items ware non-monetary gold A$ 4.2  billion,  Coal A$ 2.4  billion and copper ores A$ 1.1 billion.  These three commodities taken together comprised of a total of  A$ 7.7  billion or  83 % of Australian exports to India.  Most of the other commodities in Australia’s export basket also came in from the extractive industry sector. 

For the year 2007 India ranked 6th in Australia’s export market with a share of  5.5 % in terms of overall exports; its rank as an import source was  24th  with 0.8 % market share in Australia’s total imports; India ranked 10th as Australia’s overall trading partner in 2007. India’s share of  Australia’s total trade was 3% in 2007. 

The bilateral trade: between India and Australia has grown annually over the past 5 years at around 30 %.  It touched  A$ 10.74 billion during calendar year 2007.

India’s exports to Australia  are diverse but volumes are not very large. India traditionally exports textiles and clothing to Australia.  The main items are pearls, precious, semi-precious stones, made-up articles -textile materials, floor coverings, jewellery, textile yarn, crustaceans (sea food), engineering goods/ manufactures, manufactures of base metal, footwear, travel goods & handbags, women's or girls', clothing, men’s or boys' clothing, and other commodities including chemicals and related products, plantation & agricultural products.  India’s exports increased  to A$ 1.46 billion in 2007.  This was 14 % higher than the corresponding figure of A$ 1.28 billion in 2006.  Pearls & Gems, generating sets & motors, jewellery, textile manufactures and medicaments topped the export basket in 2007.

India’s imports from Australia are confined to a smaller range of mainly primary commodities such as non-monetary gold, coal (coking), wool, copper & concentrates, silver and non-ferrous metal scrap.  India’s imports also include chickpeas, dried fruits, peas, pulses, apples and manufactured items.  Imports from Australia in 2007 recorded A$ 9.28 billion. The balance of trade continued to be in favour of Australia. In 2007 imports were largely composed of mineral resources.  The top three items ware non-monetary gold A$ 4.2  billion,  Coal A$ 2.4  billion and copper ores A$ 1.1 billion.  These three commodities taken together comprised of a total of  A$ 7.7  billion or  83 % of Australian exports to India.  Most of the other commodities in Australia’s export basket also came in from the extractive industry sector.

For the year 2007 India ranked 6th in Australia’s export market with a share of  5.5 % in terms of overall exports; its rank as an import source was  24th  with 0.8 % market share in Australia’s total imports; India ranked 10th as Australia’s overall trading partner in 2007. India’s share of  Australia’s total trade was 3% in 2007.