Content:
- India-Australia Economic Cooperation and Trade Agreement marks two years of success
- Ayurveda’s Expanding Global Presence
India-Australia Economic Cooperation and Trade Agreement marks two years of success
Milestone Achievement:
- India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) marks its two-year anniversary with successful implementation.
- Key Achievements: Strengthened economic ties, boosted MSMEs, and created new business and employment opportunities.
Relevance : GS 2(international Relations )
Trade Growth:
- Merchandise Trade:
- 2020-21: Bilateral merchandise trade at USD 12.2 billion.
- 2022-23: Trade doubled to USD 26 billion.
- 2023-24: Moderation to USD 24 billion, but exports to Australia grew by 14%.
- Current Fiscal Trend:
- April-November 2024 trade reached USD 16.3 billion, indicating robust momentum.
Agreement Utilization:
- Data Exchange: Preferential import data exchange commenced in 2023.
- Utilization Rates:
- Export utilization: 79%
- Import utilization: 84%
Sectoral Gains:
- Export Growth: Key sectors showing growth include textiles, chemicals, agriculture, gold studded with diamonds, and turbojets.
- Imports Supporting Industries: Key imports include metalliferous ores, cotton, wood, and other raw materials essential for Indian industries.
- Potential Growth Areas: Electronics and engineering sectors identified as areas for future expansion.
India-Australia CECA Progress:
- Comprehensive Economic Cooperation Agreement (CECA):
- CECA negotiations building on ECTA’s success with 10 formal rounds completed.
- Stocktake meeting in December 2024 in New Delhi to assess progress and strategize.
Future Goals:
- Target Trade Volume: Aim to achieve AUD 100 billion trade by 2030.
- Goal: Deepen economic integration and foster mutual prosperity.
Significance:
- Strengthens India-Australia Strategic Partnership: Contributes to global economic resilience.
- Aligns with India’s Vision 2047: A step toward India’s goal of becoming a developed country.
Challenges and Constraints:
Decline in Overall Trade Volume:
- Despite growth in exports, the overall trade volume slightly declined to $24 billion in 2023-24, influenced by global economic uncertainties.
Trade Deficit Fluctuations:
- The persistent trade deficit, although reduced in FY24, indicates underlying structural imbalances in trade flows.
Underutilization of Potential Sectors:
- Electronics and engineering imports remain limited, pointing to untapped opportunities in these sectors.
Recommendations:
Enhancing Export Competitiveness:
- Encourage value addition in traditional and emerging export sectors.
- Strengthen supply chain networks to ensure competitive global pricing.
Boosting Bilateral Investments:
- Promote joint ventures in high-potential sectors like electronics and engineering.
- Leverage Australian expertise in mining and renewable energy to boost India’s industrial capabilities.
Diversification of Imports and Exports:
- Focus on strategic imports to reduce reliance on limited raw materials.
- Expand export portfolios to include high-tech and innovative products.
Achieving the AUD 100 Billion Trade Target:
- Set interim milestones for steady progress towards the 2030 target.
- Strengthen institutional mechanisms to address trade barriers and facilitate seamless transactions.
Ayurveda’s Expanding Global Presence
Context : Prime Minister Narendra Modi’s address in the 117th episode of Mann Ki Baat highlighted Ayurveda’s increasing acceptance worldwide, with Paraguay’s efforts serving as an exemplary case. This aligns with India’s holistic approach to health and wellness, driven by the Ministry of Ayush’s strategic initiatives and international collaborations.
Relevance : GS1 (Indian Heritage and Culture)
Ayurveda’s Presence in Paraguay
- Paraguay’s Contribution: Erica Huber’s work at the Indian Embassy in Paraguay reflects Ayurveda’s penetration into South America, facilitated by India’s diplomatic efforts.
- Cultural Integration: The practice bridges Indian traditional knowledge with the health aspirations of local communities, showcasing Ayurveda’s adaptability across diverse cultural contexts.
Global Outreach and Collaborations
- Memorandums of Understanding (MoUs):
- 24 country-level and 48 institution-level agreements foster research and education.
- These efforts ensure Ayurveda’s integration into mainstream healthcare systems globally.
- Academic Chairs and Knowledge Hubs:
- 15 academic chairs globally drive education and research.
- 39 Ayush Information Cells in 35 countries disseminate knowledge, enhancing accessibility.
Strategic Agreements
- Notable Partnerships:
- WHO Donor Agreement amplifies Ayurveda’s global credibility.
- MoUs with countries like Vietnam, Malaysia, and Mauritius strengthen India’s diplomatic and health-related ties.
- WHO Global Traditional Medicine Centre in Jamnagar:
- Establishment of this center emphasizes the international acknowledgment of Ayurveda.
Ayush Visa and Medical Tourism
- Facilitating Holistic Healing:
- The Ayush Visa promotes medical tourism, positioning India as a global hub for traditional wellness solutions.
- Economic and Diplomatic Impacts:
- It enhances India’s soft power and strengthens the healthcare economy.
Ayurveda Day and Global Acceptance
- 150 Countries Participating:
- The 9th Ayurveda Day demonstrates the system’s universal appeal.
- Theme and Innovations:
- “Ayurveda Innovations for Global Health” highlights contemporary applications of traditional practices.
Strategic Significance
Soft Power and Diplomacy
- Ayurveda acts as a cultural ambassador, promoting India’s values of wellness and sustainability.
- Strategic collaborations like those with WHO strengthen India’s position in global healthcare governance.
Economic Dimensions
- Medical tourism and the growing global demand for Ayurvedic products contribute to India’s economy.
- Export opportunities for Ayurvedic formulations and medicinal plants expand India’s trade footprint.
Cultural and Knowledge Exchange
- The spread of Ayurveda fosters cross–cultural exchanges, enhancing global understanding of traditional Indian sciences.
Challenges and Way Forward
Challenges:
- Regulatory Hurdles: Varying global standards for traditional medicine create barriers.
- Scientific Validation: Robust clinical evidence is needed to ensure universal acceptance.
Recommendations:
- Strengthen Research: Collaborate with global institutes for evidence-based studies.
- Global Awareness Campaigns: Leverage events like Ayurveda Day to enhance visibility.
- Capacity Building: Train practitioners worldwide to maintain quality and authenticity.
