While defence and strategic ties between India and Australia have enhanced in an unprecedented manner post-Covid, interoperability continues to act as a stumbling block in the expansion of the ties, says Lisa Singh, CEO, Australia India Institute at the University of Melbourne.
Speaking exclusively to StratNews Global, Singh said India can also benefit from AUKUS, which has led to significant development in naval ship-building expertise in Australia.
“We already have quite an uptake in naval shipbuilding and focus through AUKUS. But that can also be extended into our relationship with India because India is also doing its own naval shipbuilding. I think this is where knowledge sharing comes into play,” said Singh, a former Australian Senator and the first woman of South Asian heritage to be elected to the Australian Parliament.
The AUKUS trilateral security partnership is moving “full steam ahead” following a recent high-level meeting during which the U.S. reaffirmed its commitment after an internal review. The agreement is being strengthened to work for all three partner nations (Australia, the U.K., and the U.S.).
The partnership is structured around two main initiatives – supporting Australia in acquiring a fleet of conventionally armed, nuclear-powered submarines (SSNs) and collaborative development and sharing of advanced military technologies and capabilities amongst the partner countries.
However, according to Lisa, when it comes to deepening India-Australia bilateral defence ties, the challenge of interoperability looms large.
“I think one of the challenges, to be frank in the defence relationship, is interoperability … Obviously India has a legacy with Russia in terms of its maintenance of its current kit that is not interoperable with the Australian kit.
“So I think it’s going to take time for that to change. But I think this is where innovation is so important. If we can find new ways that we can use defence technologies to create interoperable, changeable, interchangeable equipment through that then the future seems much more broader,” she added.
Singh stressed both countries can develop the joint military exercises that they conduct into maritime domain awareness, knowledge sharing, information sharing and fusion centres.
“If we start developing our exercises into maritime domain awareness, knowledge sharing, information sharing, fusion centers, then I think we can overcome some of the barriers that interoperability puts on the table through the differences in the ships and the kit that we both use. I think though a lot of this comes down to political will,” she said.
India and Australia signed key defence agreements during the visit of Defence Minister Rajnath Singh to Canberra in October this year.
India and Australia conduct several joint military exercises across army, navy and air forde to enhance interoperability and strengthen their defence cooperation. The main exercises include, AUSTRAHIND and AUSINDEX. Both countries are also part of several multilateral exercises such as Pitch Black, MALABAR and Talisman Sabre.
Trade
According to Singh, two-way trade has witnessed significant uptick ever since India and Australia signed the Economic Cooperation and Trade Agreement (ECTA), which came into force on 29 December, 2022.
“Of course, ECTA was a great achievement and I know that it was very hard fought. It proved to be a fantastic outcome for both of our countries. Our trading relationship was very low before ECTA. So we’re in a much better position now. But the full story hasn’t been met in our trading relationship,” she said.
“There are so many more goods or services that we could be doing that are tariff free. So I think that is where our trade negotiators, I understand, are working really hard to make sure that we get there. When we get there I guess that is more of the question. The sooner it would happen, the better for both of our countries, particularly where India finds itself with the US situation.”
“We both have a lot to gain through a full CECA. That said, I won’t deny the fact that ECTA is giving us some comfort at least in the reality we live in right now. Of course, India for a long time has had issues, though, in the area of agriculture, and I think we’re very aware of that,” she said, adding that this has proved to be a “sticking point” that both sides have to address.
The total India-Australia bilateral merchandise trade in the financial year 2024-25 stood at $24.1 billion. The two-way trade grew significantly in specific categories, with India’s total exports registering an 8 percent growth in FY 2024-25 following a 14 percent growth in the previous fiscal year.
