India and Australia Sign MRA for Organic Products

Why in Discussion ?

• India and Australia have signed a Mutual Recognition Agreement (MRA) for organic products under the India–Australia Economic Cooperation and Trade Agreement (ECTA).
• Location: Commerce Bhawan, New Delhi
• Attendees: Top trade and agriculture officials from both countries

Objectives of the MRA:

• Strengthen organic trade between the two countries
• Simplify certification procedures for organic products
• Increase market access for certified organic producers

Scope of the MRA:

The MRA allows mutual recognition of organic certification standards, eliminating the need for repeated inspections.

Categories Covered:

1. Unprocessed plant-based products
   • Excluding greenhouse crops and aquatic plants
2. Processed plant-based food products
   • Including third-country certified materials processed in India or Australia
3. Wine

Implementing Agencies:

• India: APEDA (Agricultural & Processed Food Products Export Development Authority), Ministry of Commerce & Industry
• Australia: DAFF (Department of Agriculture, Fisheries and Forestry)

India’s Organic Vision:

• Goal: To become the world’s “organic food basket”
• APEDA Initiatives:
  • Expand certified organic farming
  • Promote global exports
  • Encourage transparency and traceability

Significance of the MRA:

• Make Indian certifications globally acceptable
• Build trust among consumers and regulatory bodies

Key Benefits of the MRA:

1. Boost to Trade:
   • In FY 2024–25, India’s organic exports to Australia amounted to USD 8.96 million
   • Major products: Psyllium husk, coconut milk, rice
   • MRA expected to increase bilateral trade
2. Support to Farmers:
   • Organic products fetch 30–40% premium prices
   • Leads to higher incomes and easier access to global markets
3. Trust in Certification:
   • Mutual recognition of each country’s certification systems
   • Enhances consumer confidence and regulatory harmony
4. Access to New Markets:
   • Indian organic products can reach Australian consumers more easily
   • Australian wine and organic grains can enter Indian markets