India Eyes Australia Uranium Pact During PM Modi's Visit

Synopsis: India looks to finalise a uranium supply agreement with Australia during Prime Minister Narendra Modi's upcoming visit, as both countries seek to strengthen cooperation in nuclear energy, critical minerals, clean energy, and strategic technologies.

India is expected to advance its civil nuclear energy ambitions by finalising a uranium supply agreement with Australia during Prime Minister Narendra Modi's visit to the country this week. The proposed pact is set to be a key outcome of the annual India-Australia Summit in Melbourne, reflecting the growing strategic and economic partnership between the two nations.

Australia, which possesses nearly one-third of the world's known uranium reserves, signed a Civil Nuclear Cooperation Agreement with India in 2014. While the framework for uranium exports has existed for more than a decade, the commercial supply arrangement has remained under discussion. The upcoming visit is expected to provide the momentum needed to conclude the long-pending agreement, ensuring a stable fuel supply for India's expanding nuclear power programme.

The proposed deal aligns with India's broader strategy to diversify its energy mix and increase nuclear power generation to meet rising electricity demand. A reliable uranium supply is also expected to support the country's growing digital infrastructure, including energy-intensive data centres that are becoming increasingly important for artificial intelligence and advanced technologies.

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Beyond nuclear cooperation, India and Australia are likely to conclude or strengthen agreements covering critical minerals, clean energy, cyber security, emerging technologies, and resilient supply chains. These initiatives are expected to deepen collaboration in sectors considered vital for long-term economic growth and strategic security. Prime Minister Modi is also scheduled to participate in the India-Australia CEOs Forum, where business leaders from both countries will explore opportunities for greater investment and commercial partnerships.

Economic ties between India and Australia have expanded steadily in recent years, supported by the India-Australia Economic Cooperation and Trade Agreement (ECTA), which came into force in December 2022.

Bilateral trade in goods and services reached USD 54.4 billion in FY25, with the agreement boosting market access and trade across sectors such as textiles, pharmaceuticals sector, agriculture, chemicals, and manufacturing. The anticipated uranium pact is expected to further strengthen the comprehensive strategic partnership while reinforcing India's long-term energy security objectives.