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Modi Eyes Big Australia Strategic Reset

Trade, uranium, defence and Indo-Pacific security top the agenda as Modi seeks to deepen one of India's fastest-growing strategic partnerships.
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File photo of Prime Minister Narendra Modi with his Australian counterpart Anthony Albanese after their summit level talks in Sydney in May 2023.

Prime Minister Narendra Modi is set to visit Australia from July 8 to 10 for the Australia-India Annual Leaders’ Summit, where trade, defence, energy security, critical minerals, emerging technologies and Indo-Pacific cooperation are expected to dominate discussions with Australian Prime Minister Anthony Albanese.

The visit, the final leg of Modi’s three-nation tour covering Indonesia and New Zealand, comes at a pivotal moment in Indo-Pacific diplomacy. It follows Japanese Prime Minister Sanae Takaichi’s recent visit to India and the Quad Foreign Ministers’ Meeting, where India, Australia, Japan and the United States announced new initiatives on maritime security, critical infrastructure and regional energy resilience.

Officials say the summit will review the full spectrum of the India-Australia Comprehensive Strategic Partnership while identifying new avenues for cooperation.

In a special briefing ahead of the visit, Secretary (East) in the Ministry of External Affairs, Rudranil Tandon described the Annual Summit as the principal institutional mechanism established under the 2020 Comprehensive Strategic Partnership.

“In Melbourne, the Prime Minister will participate in the third India-Australia Annual Summit process. This is the apex-level institutional mechanism that was put in place under the Comprehensive Strategic Partnership Agreement of 2020. This is fed by ministerial dialogue mechanisms… in particular the defence ministers’ mechanism, the foreign ministers’ mechanism, and the trade ministers’ mechanism.”

Tandon said the agenda would also extend into newer areas of cooperation.

“The conversations will also cover emerging areas of our bilateral relations, in particular the critical minerals, the cybersecurity domain, supply chain resilience, emerging technologies, and more.”

Trade and investment are expected to feature prominently. The two leaders are likely to review implementation of the India-Australia Economic Cooperation and Trade Agreement (ECTA) while pushing negotiations on the broader Comprehensive Economic Cooperation Agreement (CECA), which aims to significantly expand bilateral trade and investment.

According to Vishwesh Negi, Joint Secretary (Oceania and Indo-Pacific), negotiations continue to gather momentum.

“In 2022, India and Australia had signed the Economic Cooperation and Trade Agreement. Now the effort on both sides is to finalize a balanced Comprehensive Economic Cooperation Agreement. Our teams are closely engaged and further rounds of negotiations between the chief negotiators are happening soon.”

Energy security is also expected to receive considerable attention as India accelerates expansion of its civilian nuclear power programme to meet rising electricity demand driven by industrialisation, clean energy targets and AI-powered data centres.

Officials are expected to discuss expanding Australian uranium exports under existing safeguards, alongside greater cooperation in liquefied natural gas, renewable energy and critical minerals. Both governments also see fresh opportunities to deepen long-term energy cooperation as India plans a substantial increase in nuclear power generation.

Critical minerals, central to battery manufacturing, electric vehicles and advanced technologies, are expected to be another major focus.

Negi said both sides intend to deepen investments through existing institutional mechanisms.

“We already have an institutional mechanism on critical minerals. The idea is to further intensify the efforts of both sides in terms of new investments. That would be part of the agenda of the talks between the two leaders.”

Defence cooperation is expected to emerge as another major pillar of the summit. India and Australia have steadily expanded military ties through naval exercises, logistics arrangements, intelligence sharing and multilateral exercises.

Officials are working towards a new high-level defence declaration that could define the next phase of strategic cooperation.

Australia’s High Commissioner to India, Philip Green, said both governments were aiming to elevate defence ties.

“Leaders have challenged us to identify what our new level of defence collaboration looks like… we are shooting towards a new and high-level joint declaration.”

Building on the outcomes of the recent Quad Foreign Ministers’ Meeting, both countries are also expected to expand cooperation in maritime domain awareness, naval logistics, surveillance, port access and defence-industrial collaboration, including drones, autonomous systems and underwater technologies.

Education, research and technology partnerships are also expected to feature prominently. Australia has expanded its educational footprint in India, while nearly 140,000 Indian students continue to study in Australian institutions.

Beyond the formal summit, Modi is expected to address a large community gathering at Melbourne’s Marvel Stadium, attended by thousands from Australia’s Indian-origin community, now numbering more than one million people.

Business engagement will also be high on the agenda, with the Australia India Business Council, celebrating its 40th anniversary, and the Australia-India CEO Forum expected to participate in discussions on infrastructure, manufacturing, clean energy and technology.

Ahead of the summit, Albanese emphasised the growing significance of bilateral ties.

“The Australia-India relationship has never been more consequential, and our partnership fosters peace, stability and prosperity in the Indo-Pacific. I look forward to strengthening Australia and India’s deep partnership.”

The two leaders last met on the sidelines of the G20 Summit in Johannesburg in November last year.

Modi’s upcoming visit, his third to Australia after visits in 2014 and 2023, is expected to reinforce the Comprehensive Strategic Partnership as both countries deepen cooperation on economic security, resilient supply chains and a free, open and rules-based Indo-Pacific.