Sydney Australia is poised to upgrade defence links with the emerging regional superpower India by conducting joint naval exercises and also by increasing cooperation to formulate counter-terrorism strategies.
Australia is likely to send a delegation to the Indian-hosted ''Milan 06'' multinational naval exercise to be organised in Andaman Islands this month, sources said.
The Australian participation in the naval exercise would follow a visit to India by Australian defence delegation which included the Royal Australian Navy Deputy Chief, Rear Admiral Max Hancock. The Australian team held meetings with their India counterparts in New Delhi and Mumbai last month.
The Andaman exercises are seen as an ice-breaker as it would focus basically on disaster relief, mine warfare and clearance diving operations.
It is believed that joint exercises are also on the drawing board and are likely to materialise by 2008.
The Australian willingness to upgrade the defence links with the second most populous country in the world, reflects rocketing economic relationship between the two countries.
The proposed improvement of the defence ties also signals complete departure from the Australian-provoked hiatus after nuclear tests by India in 1990s.
The decision to renew the relationship between the two armed forces was taken in 2000 but nothing much could be materialised.
The inaction on Australian part can be attributed to its pre-occupation with the US.
Australia is an active member of the US-led coalitions fighting ''disparate elements'' in Iraq and Afghanistan.
Now Canberra is being blamed for not matching her enthusiasm in forging economic ties with more co-operation in the defence sector with India.
Australian Strategic Policy Institute analyst Aldo Borgu is one such critic who has nailed Australia for ignoring the fact that India has emerged as a global power but Canberra had not put the required effort into the defence relationship.
''The strategic update released by Defence Minister Senator Robert Hill only includes a couple of paltry references to India ... it's a defence relationship which really hasn't been given the attention it deserves,'' Mr Borgu told The Australian newspaper.
''It's probably the second most important relationship to Australia after Indonesia,'' he said.
Mr Borgu has urged Australia to benefit from India's vast counter-terrorism exposure by more cooperation and intelligence sharing.
''India also has a lot of experience in dealing with terrorism,'' he said.
The fact that US-India relationship is on ascend is also believed to be another reason for Australian overtures towards India.
Australia and India have a counter-terrorism agreement and the two countries' special forces are already engaged in joint counter-incergency exercises.