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Daily-current-affairs / 22 Mar 2022

Realising the Potential of ‘Maitri’ and ‘Mateship’ : Daily Current Affairs

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Relevance: GS-2: Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.

Key Phrases: Australia-India Deep histories, maitri, mateship. cyber and critical technologies, maritime affairs, defence ties, economic and business links and Quadrilateral cooperation, Technology and research, Focus on students, Focus on Indo-Pacific, bilateral trade.

Why in News?

  • Deepening investments in Australia-India strategic, economic, and community ties highlight their stronger relationship. Australia is celebrating India’s 75 years of Independence by making the largest single investment in our bilateral relationship.

Deep histories

  • Australia-India are natural partners because both are each ancient and modern countries and cultures, vibrant and full of energy and optimism.
  • Australia recognises the depth and diversity of India’s magnificent culture. Australia know the importance of connection to history.
  • Like India, Australia’s story stretches back tens of thousands of years. Australia’s Indigenous peoples are custodians of the oldest continuing civilisation in the world: which is why the Australian government was delighted to return 29 culturally significant artefacts to the people of India this month.
  • Even Australian words for friendship have a similar ring: India says maitri, Australians say mateship. Both stand for respect, understanding and equality. Friends looking out for each other.
  • That is the warm friendship shared between our Prime Ministers, The Hon Shri Narendra Modi and The Hon Scott Morrison MP.
  • On March 21, the two Prime Ministers held their Virtual Summit and took stock of the remarkable pace we are implementing the Australia-India Comprehensive Strategic Partnership. To drive closer cooperation and regularly review relations, the Prime Ministers also established an Annual Summit mechanism.
  • Since Australia-India elevated their relationship in 2020, they have advanced practical actions on cyber and critical technologies, maritime affairs, defence ties, economic and business links and Quadrilateral cooperation.
  • The Virtual Summit marked another milestone as our Prime Ministers announced a range of tangible and practical initiatives spanning the breadth of our shared economic, strategic, and regional interests.
  • These initiatives are an investment into the promise and potential of our nations. They address the most pressing challenges and opportunities of our time.
  • Together, they are harnessing the technology, the talent, and the trading spirit of our people to deliver resilience, prosperity, and security.

Technology and research

  • Australia-India are working on a new and renewable energy partnership, to support the development of technologies such as green hydrogen and ultra-low cost solar. Both are also supporting research and investment to unlock Australian critical minerals for Indian advanced manufacturing.
  • They will boost collaboration on innovation, science and entrepreneurship, to scale up ideas that address global challenges.
  • They are also increasing investments into each other countries’ rapidly growing space sectors.
  • And both are establishing the Australia-India Centre of Excellence for Critical and Emerging Technology Policy — and a Consulate-General — in Bengaluru.
  • Both governments know that resilience relies on strong economies.
  • Australia-India have made significant inroads on negotiations on a deal that will open new two-way trade and investment opportunities, build more secure supply chains, and unlock our complementary economies, increasing the flow of goods, services and people.

Focus on students

  • Australia are investing in India’s talented young people through our new Future Skills Initiative between education and training providers and industry.
  • This complements the Australian government’s significant new Maitri scholarships and fellowships, giving Indian students and researchers the chance to experience Australia’s world class education system.
  • Australians value highly the Indian diaspora and student contributions to our community — whether economic, social, or cultural.
  • Prime Minister Morrison announced a dedicated Centre for Australia-India Relations to deepen that friendship between our communities.

Focus on Indo-Pacific

  • Australia and India are also working to ensure a peaceful and stable region.
  • They are each committed to a free and open Indo-Pacific. We are advancing our cooperation all the way from the Indian Ocean to the Pacific Islands.
  • Last month Australia announced initiatives to enhance Australia’s engagement in the Northeast Indian Ocean in support of India’s natural leadership.
  • In our defence relationship, both are enhancing information sharing and operational cooperation.
  • Such arrangements also help both continue delivering quality humanitarian support to the region, seen recently when India helped Australia’s Pacific family, Tonga and Kiribati.
  • Finally, Australia was saddened at the tragic loss of Chief of Defence Staff General Bipin Rawat last year. Both governments are recognising his contributions by announcing an Australia-India Young Defence Officer Exchange Program named in his honour.

India Australia Trade Relations:

  • The value of bilateral trade in goods and services between both countries increased from US$10.12 billion in 2007 to US$18.08 billion in 2020.
  • In 2020, India was Australia’s seventh-largest trading partner and sixth largest export destination, driven by coal and international education. On the other hand, Australia is also an increasingly important destination for Indian exports.
  • In 2020, India exported US$3.19 billion to Australia. The main products that India exported to Australia are refined petroleum (US$287 million), packaged medicaments (US$277 million), and railway passenger cars (US$166 million).
  • In 2020, Australia exports to India amounted to US$15.3 billion. The main products that Australia exported to India were coal briquettes (US$12.1 billion), gold (US$604 million), and petroleum gas (US$419 million).
    Education remains Australia’s largest service export to India, valued at US$4.46 billion and accounting for around 88 percent of the total in 2020. At the end of 2020, Indian students in Australia numbered 115,137.
  • The total value of two-way foreign direct investment (FDI) between both countries was valued at US$1.04 billion in 2020.

Way forward:

  • These investments in strategic, economic, and community ties show what both can achieve when two multicultural democracies join in a spirit of trust and understanding.
  • Australia knows that in India we have a natural partner who will help build a region where every nation can prosper.
  • Both are closer than ever and our transformational commitments and collaborations will continue to bring us together. They are realising the potential of our maitri and mateship.
  • Australia and India are important trading partners, and share a strong desire to further enhance their bilateral trade relationship.
  • A free trade agreement with Australia would be a boon for Indian businesses, farmers and workers, creating new jobs and opportunities with one of the world's largest and fastest developing economies.
  • CECA is a potential game-changer in opening opportunities for both Australia and India. It is also an important piece of our post-COVID economic recovery.
  • Australia and India regards the CECA as “important to India and Australia delivering their vision of a secure and prosperous Indo-Pacific”. Both sides support economic openness and upholding the rules-based trading system and “recognise that strong economies provide the opportunities its citizens seek”.

Source: The Hindu

Mains Question:

Q. “Natural partnership is important to India and Australia for delivering their vision of a secure and prosperous Indo-Pacific”. Critically analyse the statement.