India is moving to fill the Chinese vacuum for Australian resources and wine, as a free-trade agreement between Canberra and New Delhi gains momentum under a Morrison government push to unlock new markets.

The Australian understands Indian Prime Minister Narendra Modi is eyeing off greater access to Australian resources, including coal and rare earths, ahead of Adani’s Carmichael mine in Queensland producing its first coal load this year.

As part of India’s COVID-19 economic response, the Modi government has eased mining regulations to attract foreign investment in India and permitted the commercial mining of coal. There is also a push to access Australian coal, iron ore, copper, steel aluminium, cobalt, rare earths and nickel.

This news comes on the back of punitive tariff measures enforced by Chinese authorities, and after China blocked Australian wine exports from entering the country.