Melbourne

Prime Minister Narendra Modi and Australian PM Anthony Albanese held bilateral engagements in Melbourne on Thursday, calling India and Australia a "natural and trusted partnership."

The meeting, part of PM Modi's three-nation Indo-Pacific tour, focused on global uncertainty, supply chain disruptions, and energy security, and aimed at boosting regional stability and strengthening domestic economic security.

According to sources, the two leaders have agreed to significantly upgrade bilateral defence cooperation, which includes the launch of a dedicated defence innovation corridor to foster collaboration between startups and manufacturing sectors in both nations. This initiative is expected to facilitate joint production and enhance interoperability between the two militaries.

A comprehensive Maritime Security Roadmap is to be formalised to boost regional stability through enhanced coastal surveillance and maritime domain awareness across the Indo-Pacific, according to the sources.

India and Australia have committed to institutionalised military education, including the deployment of an Indian Army officer to the Australian Defence College to strengthen human-to-human strategic ties.

Energy security emerged as a cornerstone of the talks, with both leaders recognising the need to support India's rapidly growing industrial and AI-driven infrastructure, according to the sources.

In a move described by analysts as a "historic milestone," both sides are set to advance the existing Civil Nuclear Cooperation Agreement to streamline the supply of Australian uranium for India's civil nuclear power program, under strict international safeguards.

India is set to diversify its energy basket by increasing imports of Liquefied Natural Gas (LNG), coal, and diesel from Australia, reducing reliance on single-source markets.

To secure the supply chains essential for the clean energy transition and advanced manufacturing, the two nations are set to finalise a Critical Mineral Corridor.

Under the India-Australia PACTS (Partnership for Critical Technology and Supply Chain Resilience) agreement, the countries will collaborate on emerging technologies, including artificial intelligence, semiconductors, and cybersecurity frameworks.

Sources indicated that the partnership is evolving from raw material trade to co-investment in midstream infrastructure, including processing and refining, to ensure India has reliable access to lithium, cobalt, and rare earth elements for its electric mobility and electronics sectors.

Earlier, PM Modi welcomed a massive capital commitment from AustralianSuper, Australia's largest pension fund, managing over 410 billion Australian dollars in assets. Prime Minister Narendra Modi noted that the investment reflects the burgeoning global confidence in India's economic path and the vast potential of its domestic market.

In a post on X, PM Modi shared, "India welcomes the AU$500 million investment from AustralianSuper, announced by their Chief Executive, Mr. Paul Schroder, this morning in Melbourne. This is yet another glimpse of the global confidence in India's growth and reform trajectory. It also reflects the immense opportunities that our dynamic economy offers global investors."The Prime Minister's remarks on X followed his address at the India-Australia CEO Forum and Economic Roadmap Business Reception during his visit to the nation.

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Pitching India as a secure and dependable long-term investment destination, PM Modi spotlighted the expanding economic synergy between the two democracies and welcomed pension giants to participate in India's long-term growth trajectory by scaling up their footprints.

"Australian pension funds currently manage assets exceeding four trillion dollars. In India, pension savings are regarded as a sacred trust... India offers your funds opportunities for safe, stable, and sustainable growth. Our endeavour will be to ensure that both your trust and your capital grow. There is a natural synergy between the two nations in the realms of education and skills... Our shared goal should be to transform student mobility into talent partnerships," PM Modi stated at the forum.