THE BIG PICTURE: AUSTRALIA & INDIA RELATIONSHIP

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1 THE BIG PICTURE: AUSTRALIA & INDIA RELATIONSHIP Martin Ferreyra State Director - Northern Territory

2 Three spheres of future economic prosperity

3 Australia India Economic Relationship underdone? TRADE Two-way trade hit a ceiling from In , India was Australia s tenth largest trading partner, with total two-way trade in goods and services worth $19.4 billion (compared to $155 billion with China). By EoY 2016, two-way trade surpassed $20 billion for the first time since it peak. Both India and Australia have grown strongly over the same period. INVESTMENT (FDI) Indian FDI in Australia was valued at A$11.6 billion Resources and energy sector - traditional commodities Advance manufacturing sector, growing interest in business as well as services and technology solutions in smart cities and clean energy Some corporates include: Adani, ENZEN, Wipro, Tech Mahindra) And there is Education. 3

4 Education - India Market Australia s second largest source market for onshore students 64,364 (40,997 HE) enrolments in the YTD June 2017 (13%) behind China (28%). Largest VET market however since 2009 higher education has dominated the return to growth Post-graduate enrolments dominate undergraduate enrolments (71:29). Visa lodgements and grants indicate future ongoing growth ( with the exception of VET s) Student choice is highly influenced by visa settings, in particular access post-study work Victoria has the largest market share with 44% followed by NSW with 24% (NT 1%) The top three providers with Indian enrolments are Charles Sturt University, Holmes Institute and Deakin University. 4

5 Education In Numbers: Onshore enrolments Sector Variation Total HE 12,633 16,636 26,215 35,121 44,383 26% UG 4,855 5,319 7,784 10,339 12,827 24% PostG 7,778 11,317 18,431 24,782 31,556 27% VET 39,588 28,781 27,976 28,619 27,333-4% Schools % ELICOS 1,382 2,988 7,936 7,592 5,628-26% Non-award % Grand Total 53,882 48,810 62,718 71,953 77,892 8% 5

6 University linkages, research and online University linkages and research AU univ. had a total of 341 international agreements with Indian institutions 265 academic/research collaboration agreements - Comprised of 28 Australian universities maintaining relationships with 168 Indian universities. 68 ARC funded research projects with India for 2017 (1% of Int l research projects) Research students - 1,024 doctoral and 115 masters by research enrolments (YTD June 2017). India accounts for 6% of Int l doctoral students in Au, behind China (22%)/ Iran (7%). Online education Indian market is set to grow to USD 1.96 billion and around 9.6 million users by 2021 from USD 247 million and around 1.6 million users in 2016 (*KPMG) 6

7 Australian Education India Perspective 7

8 Australian Education India Perspective 8

9 9

10 Highlights AU gained market share from the UK- is less attractive due to visa changes. Domestic capacity constraints & increase in int l schools are driving increasing numbers of Indian students offshore for undergraduate studies. Providers need to continue to position and strengthen their institutional and product brands against increased competitor activity in order sustain long-term growth and maintain position in the market. Indian students are increasingly interested in niche courses which will provide them career options rather than generic Business, IT and Engineering courses. Developing offshore VET programs in India remains challenging due to the lack of ability to pay and long pay-off period. 10

11 In Summary Projected increased demand for HE and VET based on: 1. Economic growth, positive demographics 2. Financial ability of India s growing middle class 3. Capacity constraints at all levels of the Indian education system 4. Recruitment Strategy based on an organic ecosystem to encourage recruitment based on: HE: Building a stronger Masters and PhD candidate exchanges via university-to-university partnerships R&D: Developing relationship with Indian corporates to support R&D collaboration and tech commercialization VET: Skills Development. Capacity building training the trainers. Opportunities but major challenges. 11

12 Austrade s INTERNATIONAL network 83 locations (49 countries) In India, Austrade has a presence in 11 locations: 1. Ahmedabad 2. Bangalore 3. Chandigarh 4. Chennai 5. Dhanbad 6. Hyderabad 7. Jaipur 8. Kochi 9. Kolkata 10. Mumbai 11. New Delhi

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