How to Import Handicrafts from India to Australia: Zero Tariffs under AI-ECTA and Biosecurity Basics

Australian homeware stores, markets and online brands have a new reason to look at India. Under the Australia–India Economic Cooperation and Trade Agreement (AI-ECTA), which entered into force on 29 December 2022, Australia has steadily removed tariffs on Indian goods. According to India’s Ministry of Commerce, from 1 January 2026 all Indian exports are eligible for zero-duty access into Australia. Here is what that means for handicraft buyers. This guide shows how to import handicrafts from India to Australia without surprises.

Sources: DFAT – AI-ECTA outcomes · PIB – India–Australia ECTA completes four years

Claiming the zero tariff when you import handicrafts from India to Australia

To use the agreement rate, goods must originate in India under the ECTA rules of origin, and your customs broker must claim the preference on the import declaration. Ask your exporter to supply an ECTA certificate of origin with each shipment. The Australian Border Force publishes the rules of origin guide on its India FTA page.

See: ABF – India free trade agreement

GST still applies

Zero duty does not mean zero tax. GST on imported goods is 10% of the value of the taxable importation, which is the customs value plus any duty, plus international transport and insurance to Australia.

Source: ABF – GST and other taxes

Biosecurity: the big difference for Australia

Australia has some of the strictest biosecurity rules in the world, and they matter most for wooden handicrafts and packaging. The Department of Agriculture, Fisheries and Forestry (DAFF) notes that finished wooden articles are considered lower risk because of their manufacture, but they may still carry timber borers, insects, bark and other contaminants. Bark is treated as a pathway for pests and diseases. Import conditions are set out in the BICON system under the timber and timber products case.

• Wooden items should be bark-free, clean and free of insects or signs of borers.

• Composite products must meet the conditions for every component.

• Solid timber pallets and crates must comply with ISPM 15 and be declared; non-compliant packaging is treated, exported or destroyed at the importer’s expense.

Sources: DAFF – types of timber products · DAFF – ISPM 15 · BICON

What Australian buyers should ask their supplier

• An ECTA certificate of origin for every shipment.

• Confirmation that wooden goods are bark-free, kiln-dried or treated, and inspected before packing.

• ISPM 15-marked pallets, or plastic or processed-wood pallets.

• A packing declaration describing all packaging materials.

Kraft Bharat ships handmade wood carving, blue pottery, block print textiles and resin homeware to Australia with origin and packing documents prepared. Explore our wood carving catalogue or ask for an Australian quote.

General guidance only. Always check current BICON conditions and duty treatment with your licensed customs broker.

Related reading

• Import Duty on Indian Handicrafts in 2026: UK vs USA vs UAE vs Australia (Comparison Table)

• India Trade Agreements in 2026: Duty Benefits for Handicraft and Home Textile Importers

• ISPM 15 and Export Packing: How Indian Handicrafts Arrive Safely in the UK, US, Australia and UAE

• Sourcing Wooden Handicrafts from India: Materials, Compliance and EUDR in 2026

Kraft Bharat is one of the handicraft exporters in India supplying handmade products to retailers in the UK, US, Australia and UAE. Browse our catalogue or contact our export team.