No human rights safeguards
Critics argued the bill helps bring the India trade deal into force without requiring strong human rights protections, so Australia could deepen trade ties without adequately responding to reported abuses.
This bill became law on Nov 23rd, 2022.
Immigration, border & security
Goods imported from India can get lower Australian customs duty if they meet the new legal test for being Indian goods under the trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply..
The India-Australia trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. created a gap: Australia needed new rules to identify Indian goods and verify tariff claims before lower duty rates could apply. This bill sets those origin tests, lets qualifying Indian goods enter at preferential customs ratesLower import duty rates given to goods that qualify under the trade agreement., and requires records and information-sharing to check claims.
After years of stop-start negotiations, Australia and India signed an interim economic cooperation and trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. on 2 April 2022 that promised tariff cuts, including immediate elimination of tariffs on 85 per cent of Australian exports to India. That deal could not operate at the Australian border without new legal tests for when goods counted as Indian and how claims would be checked, so Parliament passed this bill in November 2022 to create those origin and verification rules and let preferential customs ratesLower import duty rates given to goods that qualify under the trade agreement. take effect.
The main criticism was that the bill implements a trade deal without clear human rights or other public-interest safeguards, raising concern that closer trade could proceed despite abuses or weak standards. That case was limited rather than broad: it was raised most clearly by the Greens in a defeated Senate amendment, while Monique Ryan separately warned the deal was too weak on climate safeguards.
Clare O'neil MP introduced this bill. It passed on the voices.
Did it become law?
Yes
Became law 23 Nov 2022
Final passage
Passed without a counted vote
1 recorded amendment or procedural vote was found, but no counted vote on the bill itself was recorded.
Passage speed
27 days
From introduction to the latest recorded parliamentary step
Meaning
Goods imported from India can get lower Australian customs duty if they meet the new legal test for being Indian goods under the trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply..
Goods grown, raised, caught, mined or otherwise fully made in India, or in India and Australia together, can qualify for the lower rate if the importer has an origin certificateA document that supports a claim that goods qualify as Indian originating goods, unless Australia allows the claim without one. or Australia waives it.
Goods made in India from overseas inputs can still get the lower rate if they meet the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.’s product rules about tariff classificationThe code-based system used to sort goods for customs purposes, which the agreement uses in its product-specific rules., value content and production steps.
Australian exporters and producers claiming Indian tariff preferences for goods sent to India can be required to hand over records, and Australian officials can pass those records to Indian customs officers to check the claim.
Australian officials can also require exporters and producers to answer questions about whether goods sent to India really qualify, and refusing can be an offence unless the answer would incriminate them.
• This Division defines Indian originating goods. Preferential rates of customs duty under the Customs Tariff Act 1995 apply to Indian originating goods that are imported into Australia.Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) Act 2022 final Act text
New subsection 153ZMM(1) provides that goods are Indian originating goods if they are wholly obtained or produced in India or in India and Australia, and either the importer of the goods has, at the time the goods are imported, a certificate of origin, or a copy of one, for the goods; or Australia has waived the requirement for a certificate of origin for the goods.Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) explanatory memorandum
New section 153ZMN gives effect to Articles 4.2, 4.3, 4.5, 4.6, 4.8, 4.12, 4.15 and 4.20 of Chapter 4 of the Agreement in respect of rules of origin for goods produced from non‑originating materials. The purpose of this new section is to specify the requirements that must be satisfied in order for goods to be subject to preferential treatment of customs duty in accordance with the Agreement.Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) explanatory memorandum
Under Article 4.25 of Chapter 4 of the Agreement, the importing party may take action to verify the eligibility of goods for preferential treatment, including requesting the supply of information relating to the production or export of the goods. New section 126AMG gives effect this Article by imposing a requirement on exporters and producers to produce records to authorised officers, and empowering authorised officers to disclose records to Indian customs officials.Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) explanatory memorandum
to answer questions in order to verify the origin of the goods.Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) as-passed bill text
Context
After years of stop-start negotiations, Australia and India signed an interim economic cooperation and trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. on 2 April 2022 that promised tariff cuts, including immediate elimination of tariffs on 85 per cent of Australian exports to India. That deal could not operate at the Australian border without new legal tests for when goods counted as Indian and how claims would be checked, so Parliament passed this bill in November 2022 to create those origin and verification rules and let preferential customs ratesLower import duty rates given to goods that qualify under the trade agreement. take effect.
Australia and India prepare to sign an interim trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.
The Australian Financial Review reported the deal would be signed that weekend after years of on-again, off-again negotiations, showing the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. was finally moving from talks to action.
Australian Financial Review ↗Interim deal promises immediate tariff cuts on most Australian exports to India
The Australian Financial Review reported tariffs would be eliminated immediately on 85 per cent of Australian exports to India, making the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.'s commercial benefits concrete.
Australian Financial Review ↗Australia and India sign the economic cooperation and trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.
The explanatory memorandum says the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. was signed on this date, creating the need for Australian customs law to recognise Indian originating goodsGoods that satisfy the agreement's origin rules and can therefore enter Australia at preferential customs duty rates. and apply preferential duty rates.
Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) explanatory memorandum ↗Government introduces the bill to implement the deal at the border
The bill was introduced to amend the Customs Act 1901The main Australian law being changed so Indian goods can qualify for lower duty and so officials can check origin claims. so goods meeting the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.'s origin rules could enter Australia at lower customs duty rates.
Parliamentary timeline ↗Parliament passes the bill
Both houses passed the bill in the same form, clearing the way for the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.'s origin tests, record-keeping powers and information-sharing rules to become law.
Parliamentary timeline ↗Royal AssentThe final approval that turns the bill into an Act and starts some provisions from that day. turns the customs changes into law
Royal AssentThe final approval that turns the bill into an Act and starts some provisions from that day. made the bill an Act, with the explanatory memorandum stating the amendments would operate from assent or the agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply.'s entry into force, whichever came later.
Parliamentary timeline ↗Legislative route
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
Both houses passed the bill in the same form, completing parliamentary passage.
Finally passed both Houses
The Governor-General gave Royal AssentThe final approval that turns the bill into an Act and starts some provisions from that day., turning the bill into an Act.
Key criticism
The main criticism was that the bill implements a trade deal without clear human rights or other public-interest safeguards, raising concern that closer trade could proceed despite abuses or weak standards. That case was limited rather than broad: it was raised most clearly by the Greens in a defeated Senate amendment, while Monique Ryan separately warned the deal was too weak on climate safeguards.
No party represented in the debate opposed the bill itself, but some support was qualified by rights and climate concerns.
No human rights safeguards
Critics argued the bill helps bring the India trade deal into force without requiring strong human rights protections, so Australia could deepen trade ties without adequately responding to reported abuses.
Weak climate safeguards
A narrower criticism was that the broader deal is too weak on climate, because it could encourage more coal and gas exports without safeguards tied to emissions or climate policy.
Further sources
Votes
The bill passed both chambers on the voices. The counted divisions below were about amendments or procedure, not final passage.
House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Recorded amendment and procedural votes grouped by chamber. Expand a vote to see the party breakdown.
Senate
Defeated 14 to 31. Support came from Greens and Jacqui Lambie Network. Opposition came from Labor, Liberal Party, Nationals, and One Nation.
The Senate rejected the amendment 31 to 14, so the bill's second reading proceeded without the Greens' added statement.
These are amendment votes, not the final passage vote on the bill itself. The bill passed both chambers on the voices.
Parliamentary debate
Start here — lead voices
O'Neil supports the bill, saying it will implement the India-Australia trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. and give Australian exporters and services providers major new access to the Indian market.
Read in Hansard ↗Simon Birmingham says the coalition strongly supports the bill and wants it passed quickly because it will help bring the India-Australia trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. into force and deliver export gains for Australia.
Read in Hansard ↗Ryan supports the bill as a step toward a stronger relationship with India and says it will make exports cheaper and create opportunities for workers and businesses.
Read in Hansard ↗Josh Wilson supports the bill and says it will implement Australia’s India trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply., cut tariffs, diversify exports, and deepen a strategically important relationship with India.
Read in Hansard ↗All speeches by bloc
5 speakers · 6 contributions · 4 support · 1 unclear
“I'm very happy to speak in support of the bills, which implement Australia's commitments under the Australian-India Economic Cooperation and Trade Agreement and under the Australia-United Kingdom Free Trade Agreement. The free trade agreements with India and the United Kingdom are in their own ways of very substantial value to Australia. They are built upon the depth and quality of the relationship between Australia and India and between Australia and the United Kingdom. Those relationships include considerable person-to-person links. They include complementary trade and investment interests, an important shared history of international engagement and cooperation, and a shared commitment to dealing with a range of strategic economic and environmental challenges, none of which can be handled without concerted and collaborative efforts.”Read the full speech in Hansard ↗
“The Agreement represents significant new trade diversification opportunities for Australian business. From the day IA-ECTA enters into force, 85 per cent of Australian goods exports by value to India will enter without tariffs and an additional 5 per cent will have tariffs eliminated over periods not exceeding 10 years. This is commercially significant for up to $14.8 billion worth of Australian merchandise trade destined for the Indian market each year. The Agreement will also provide certainty and support Australian services suppliers and professionals doing business in India, currently our third largest services export market.”Read the full speech in Hansard ↗
Hansard records 2 separate contributions by Clare O'Neil, including an amendment-moving contribution. They are grouped here so the speaker is listed once.
Moved amendment
O'Neil supports the bill, saying it will implement the India-Australia trade agreementThe trade deal this bill gives effect to at the Australian border, so agreed tariff cuts can actually apply. and give Australian exporters and services providers major new access to the Indian market. She backs it as part of deepening ties with a key strategic partner and commends the bill to the House.
“I commend this bill to the House.”Read this contribution in Hansard ↗
Second reading speech
O'Neil supports the bill, saying it will deepen Australia’s economic relationship with India and open major new trade opportunities by cutting tariffs and giving Australian businesses more certainty in the Indian market.
“India is, of course, a very, very important partner for Australia as we look ahead to the future. The India-Australia Economic Co-operation and Trade Agreement will be a very important driver of deepening that relationship. It will secure Australia's foothold in the world's fastest-growing major economy and, again, represents significant new trade diversification opportunities. It will enable Australian businesses to unlock or expand their operations into a market of nearly one 1½ billion consumers, with a GDP of $4.3 trillion. Under the IA-ECTA, 90 per cent of Australian goods exports by value to India will enter without tariffs, and high tariffs will be slashed on additional products, such as wine. This is a very commercially significant agreement for us, worth up to $14.8 billion in merchandise trade destined for the Indian market each year. The agreement also provides certainties to support Australian services suppliers and professionals who are doing business in India, currently our third-largest export services market.”Read this contribution in Hansard ↗
“I am very pleased to rise to speak on the enabling legislation for these two agreements, the Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) Bill 2022 and related bills.”Read the full speech in Hansard ↗
“The Australia-India Economic Cooperation and Trade Agreement secures Australia's access to the fastest growing Indian market, a market of 1.4 billion people, and provides a solid basis to negotiate a further comprehensive economic cooperation agreement. The agreement will deliver many benefits to Australian producers and service suppliers. These include eliminating tariffs on 90 per cent of Australia's current goods and exports to India by value and locking in access to many sectors in Australia's third-largest services export market. A trade agreement with India will give Australian exporters a competitive advantage in the Indian market and opportunities for very important trade diversification.”Read the full speech in Hansard ↗
6 speakers · 6 support
“It is with enormous pleasure that I rise to speak on Customs Amendment (India-Australia Economic Cooperation and Trade Agreement Implementation) Bill 2022 and the four associated bills, and to indicate the opposition's strong and passionate support for these bills.”Read the full speech in Hansard ↗
“The opportunities and potential of this agreement are enormous. It sits in the background of what we've been able to achieve with India through the Quad, and it now backs that up with a strengthening of the economic relationship. I can't wait for the day that this agreement goes through the parliament and enters into force because it will tick the box on something that Australia has been trying to achieve with India for over a decade.”Read the full speech in Hansard ↗
“Tariffs will be eliminated on more than 85 per cent of Australian goods and exports to India valued at over $12 billion a year, rising to 91 per cent valued at $13.4 billion over 10 years.”Read the full speech in Hansard ↗
“As I said, we have been completely bipartisan in supporting the government on these bills; however, why the government has been so haphazard and slow in the implementation of this agreement is absolutely baffling. It shows they have little or no idea on how to govern. Obviously, we support these bills and therefore call on the government to stop the delay. Let's get these agreements implemented as quickly as possible so that Australian exporters can start to reap the benefit of the coalition's hard work.”Read the full speech in Hansard ↗
“We hope these bills go through very quickly and successfully. We'll be supporting them. I commend this bill to the house.”Read the full speech in Hansard ↗
“I'm very happy to say these are bills that are aimed at liberalising trade flows between Australia and the UK, on the one hand, and Australia and India, on the other, both very important markets to my home state of WA.”Read the full speech in Hansard ↗
1 speaker · 1 mixed
“The Greens have circulated a second reading amendment which relates to the three bills implementing the Australia-India Economic Cooperation and Trade Agreement. This amendment is co-sponsored by my colleague Senator Steele-John and seeks to highlight the human rights abuses in India and the recommendations made by the United Nations Human Rights Council's Universal Periodic Review. I, and also on behalf of Senator Steele-John, move:”Read the full speech in Hansard ↗
1 speaker · 1 support
“Our relationship with India needs to be built on trust, common interest and mutual benefit. This legislation is a move in the right direction towards a stronger and more cohesive relationship with one of our most important trade partners. But we need to look actively for ways to accelerate India's development of a clean energy infrastructure to meet its growing energy demands in the short term and to prepare in the long term for a transition that does the right thing by both countries and for our climate.”Read the full speech in Hansard ↗
Record
House · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
House · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
House · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Senate · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Senate · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Senate · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
Senate · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Senate · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Parliament · Finally passed both Houses
Passed both houses
Both houses passed the bill in the same form, completing parliamentary passage.
Assent · Assent
Assent
The Governor-General gave Royal AssentThe final approval that turns the bill into an Act and starts some provisions from that day., turning the bill into an Act.