India-Australia sign landmark organic MRA to boost trade and farmer incomes

Shrankhla Verma | September 26, 2025

India and Australia have taken a major step to strengthen their trade partnership with the signing of a Mutual Recognition Arrangement (MRA) for organic products. This agreement streamlines certification, opens new markets, and promises to boost incomes for farmers and exporters in both countries.

On September 24, 2025, India and Australia formalized a Mutual Recognition Arrangement (MRA) for organic products at Vanijya Bhavan, New Delhi, marking a significant milestone in bilateral trade. The agreement was signed by Abhishek Dev, Chairman of the Agricultural and Processed Food Products Export Development Authority (APEDA), and Tom Black, First Assistant Secretary of the Department of Agriculture, Fisheries and Forestry (DAFF), Australia. Witnessed by Commerce Secretary Sunil Barthwal and other senior officials from both nations, the MRA is a key step under the India–Australia Economic Cooperation and Trade Arrangement (ECTA) and demonstrates a shared commitment to simplifying trade and fostering confidence in each country’s organic standards.

The arrangement covers a wide range of organic products, including unprocessed plant-based products (excluding seaweed, aquatic, and greenhouse crops), processed foods composed of one or more organic ingredients sourced from India, Australia, or certified third-country suppliers, and wine. By recognizing each other’s certification systems, the MRA reduces duplication of compliance procedures, facilitates smoother export processes, and opens new avenues for producers and exporters.

Opportunities for farmers and exporters

The MRA is expected to have a direct impact on India’s organic sector, which is rapidly expanding both domestically and internationally. India’s certified organic farming area currently stands at around 7.3 million hectares, covering diverse crops such as oilseeds, cereals, spices, fruits, and vegetables. Domestic organic consumption is growing steadily, and the sector was valued at nearly US$ 2.9 billion in 2024, projected to grow at approximately 20% annually to reach US$ 16.5 billion by 2033. Exports of organic products to Australia in FY 2024‑25 totaled US$ 8.96 million, with psyllium husk, coconut milk, and rice as top commodities.

Commerce Secretary Sunil Barthwal emphasized the role of India’s National Programme for Organic Production (NPOP) in maintaining rigorous standards, transparency, and credibility within the organic ecosystem. He highlighted the importance of labeling, enforcement, and capacity-building to ensure that products marketed as organic adhere strictly to certification norms. Farmers benefit not only from premium prices—organic products often fetch 30–40% higher rates—but also from access to international markets that recognize India’s quality and standards.

Australia, which leads with 53 million hectares of organic farmland, brings expertise in large-scale certified organic production and sees this agreement as an opportunity to expand trade in cereals, tea, spices, beverages, and wine to India. For Australian producers, the MRA ensures that products exported to India are accepted without redundant certification, opening doors to one of the fastest-growing consumer markets in Asia.

Strengthening bilateral trade and sector growth

This arrangement builds on commitments made under ECTA in April 2022, fulfilling a specific provision for recognition of organic standards. It strengthens bilateral economic ties while aligning with India’s vision to become the “Organic Basket of the World.” By easing certification requirements and ensuring equivalence of standards, the MRA aims to reduce barriers for both nations, thereby encouraging more producers to participate in international trade.

Beyond trade facilitation, the MRA encourages structural improvements in the organic sector. Small and medium farmers, who form the backbone of India’s organic ecosystem, will benefit from streamlined certification and better market access. At the same time, regulatory oversight will need to remain stringent to prevent greenwashing and to maintain the integrity of the organic label. Capacity-building initiatives, technical assistance, and farmer advisory services will be critical to help stakeholders meet international certification norms, manage supply chains effectively, and maintain the credibility of Indian organic exports.

The arrangement also highlights the economic potential of India’s organic industry. With growing domestic demand, expanding cultivation areas, and increasing awareness of organic products, India is positioned to leverage both production scale and export potential. By integrating Australia’s expertise and market access, the MRA could serve as a model for future bilateral agreements in other sectors where trust in standards and certifications is essential.

The India-Australia MRA is a roadmap for sustainable agricultural growth, enhanced farmer incomes, and stronger global competitiveness. If implemented effectively, it can strengthen supply chains, incentivize high-quality production, and reinforce India’s reputation as a reliable supplier of certified organic products. For Australia, the agreement provides access to a growing market with strong consumer demand for health-conscious and premium-quality organic goods.

FAQs

What is the India-Australia MRA for organic products?
Explains the Mutual Recognition Arrangement, its purpose, and the types of organic products it covers.

How will the MRA impact organic exports from India to Australia?
Details potential growth in trade, reduced compliance barriers, and new market opportunities for Indian organic exporters.

Which products are included under the India-Australia organic MRA?
Covers plant-based products, processed foods with organic ingredients, and wine.

What are the benefits of the MRA for Indian farmers and exporters?
Highlights improved incomes, easier certification, and access to the Australian organic market.

How does the MRA ensure organic standards and certification integrity?
Explains compliance, labelling, certification equivalence, and regulatory oversight to maintain product authenticity.