India is pushing for a uranium supply pact with Australia during Prime Minister Narendra Modi’s visit this week, according to Business-Today. The agreement is one of the key expected outcomes of the visit, as India seeks to strengthen fuel supplies for its expanding nuclear power programme. Australia, which holds nearly one-third of the world's known uranium reserves, signed a framework agreement with India over a decade ago. Modi's visit to Melbourne could pave the way for a commercial arrangement under which Australia would begin supplying uranium to India, according to people familiar with the matter.
Uranium Supply Agreement: Commercial Arrangement Expected
The uranium supply deal would be a significant step in India-Australia energy cooperation. According to Business-Today, Australia has nearly one-third of the world's known uranium reserves. The two countries signed a framework agreement over a decade ago, and now a commercial arrangement is expected to be finalized during Modi's visit to Melbourne. This would enable India to secure a reliable source of uranium for its nuclear reactors.
Broader Strategic Agreements
The two countries are also likely to finalize or advance agreements in several strategic areas, including critical minerals, cybersecurity, emerging technologies, clean energy, and supply-chain resilience, following the annual summit between Modi and Australian Prime Minister Anthony Albanese in Melbourne, according to an ET report cited by Business-Today. These agreements aim to deepen bilateral ties beyond trade.
Economic Context: ECTA and Bilateral Trade Growth
Economic engagement between India and Australia has strengthened significantly in recent years. In February 2025, the Australian government unveiled "A New Roadmap for Australia's Economic Engagement with India," aimed at deepening commercial and strategic ties with New Delhi. A key pillar of the relationship is the India-Australia Economic Cooperation and Trade Agreement (ECTA), which came into effect on December 29, 2022. The landmark trade pact grants immediate zero-duty access to 98.3% of Australian exports entering India, while ensuring duty-free access for all Indian exports to the Australian market. In FY25, bilateral trade in goods and services between the two countries reached $54.4 billion, making India Australia's fifth-largest trading partner.
| ECTA Key Facts | Details |
|---|---|
| Effective date | December 29, 2022 |
| Zero-duty access for Australian exports to India | 98.3% of tariff lines |
| Duty-free access for Indian exports to Australia | 100% of tariff lines |
| Bilateral trade (goods & services) in FY25 | $54.4 billion |
| India's rank as Australia's trading partner | Fifth-largest |
The benefits of the ECTA have spread across a wide range of industries. According to Business-Today, Indian exports of textiles, pharmaceuticals, chemicals, and agricultural products have recorded notable growth. On the import front, the agreement has improved India's access to key industrial inputs, including base metals, raw cotton, chemicals, fertilisers, and pulses, which remain vital for the country's manufacturing and industrial sectors.
India-Australia CEOs Forum
During his visit, Modi is also scheduled to attend the India-Australia CEOs Forum, where business leaders from both countries are expected to discuss investment opportunities in manufacturing, technology, and clean energy. This forum highlights the growing commercial ties between the two nations.
Overall, the expected uranium supply pact and the broader strategic agreements underscore the deepening India-Australia partnership, which has been bolstered by the successful implementation of ECTA. The uranium deal, in particular, would provide a stable fuel source for India's nuclear power expansion, while the other agreements aim to enhance cooperation in critical and emerging sectors.
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