- Preferential CoOs for Australia rose 19.1% in FY25, reflecting growing FTA usage.
- Export sectors like textiles, gems, and engineering are major beneficiaries.
- Indian exporters show increasing awareness and integration into partner markets.
India‘s recent trade agreements with Australia and the UAE are beginning to show tangible results, with a notable rise in the number of Preferential Certificates of Origin (CoOs) issued in FY25.
This uptick is particularly significant in sectors where tariff concessions greatly enhance competitiveness—such as textiles, leather, gems and jewellery, and engineering goods.
India’s Export Push Gains Traction Through FTA-Driven Trade Growth
India’s foreign trade policy is reaping rewards as the country’s free trade pacts with Australia and the UAE begin to drive measurable increases in export-related documentation. A Preferential Certificate of Origin serves as a critical instrument for exporters to claim lower duties, and the jump in their issuance points to better FTA utilization. For instance, India issued over 77,000 CoOs to Australia in FY25, a sharp 19.1% increase from FY24.
Trade momentum continued into early FY26, with April and May 2025 showing year-on-year growth in CoOs issued—13.3% and 7.4%, respectively. This sustained rise indicates that exporters are not only aware of these benefits but are beginning to build their supply strategies around them. Such responsiveness demonstrates how targeted trade policy can reshape export behaviour.
Industry-specific trends show that businesses in high-tariff sectors—textiles, gems and jewellery, leather, and engineering—are leading the charge. These industries have historically faced competitive pressure in global markets, and reduced duties under FTAs provide them a valuable edge in countries like Australia and the UAE, which are key partners in India’s Indo-Pacific and Gulf trade vision.
Additionally, this trend highlights a growing culture of compliance and sophistication among Indian exporters, who are leveraging regulatory tools to improve market access. It also suggests room for further growth, especially if awareness campaigns and digital simplification of CoO processes are expanded to include more MSMEs and rural exporters.
India’s growing utilization of FTAs with Australia and the UAE signals not just a policy win, but a maturing export ecosystem that is beginning to tap global opportunities more efficiently.
“Trade agreements are not just about tariffs; they are about unlocking the potential of our exporters.” — Piyush Goyal, India’s Minister of Commerce and Industry
