Prime Minister Tony Abbott must quickly reach out to the new Narendra Modi-led government and sign the nuclear safeguards agreement to uniquely place Australia as India's key strategic and trade partner, according to a think tank here.
"As it does so, Australia is uniquely placed to become a key strategic and business partner of India -- if Canberra can reach out quickly to the new government," the Melbourne-based Australia India Institute (AII) said.
The AII said Abbott must visit New Delhi as soon as possible and use the opportunity to sign the nuclear safeguards agreement, negotiations for which are at an advanced stage.
"Signing the agreement does more than just set the rules governing lucrative uranium sales: it will symbolise the end of the years of mistrust that undermined bilateral relations and the arrival of a new era," the think tank said.
"As India begins to undertake path-breaking reforms under a newly decisive leadership, it will open up new opportunities for the world. It is an opportunity Canberra must seize," it said.
AII director Amitabh Mattoo said Modi's "negative legacy" related to the 2002 Gujarat riots may turn out to be a positive one and it is precisely why Modi will seek to focus on the economy and demonstrate that he can deliver good governance.
Mattoo noted that despite stagnation across the country there were few Indian states which were doing exceptionally well and Gujarat led by Modi was one of them.
"At the Vibrant Gujarat summit I attended last year at the state capital, Gandhinagar, every captain of Indian industry, including Ratan Tata and the Mukesh Ambani of Tata and Reliance, India's two biggest companies, spoke of the investor-friendly environment in Gujarat and the remarkable turnaround Modi had brought to the state," he said.
