Prime Minister Scott Morrison made the announcement on Saturday morning while on a visit to the state's North.

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The historic Australia-India economic cooperation and trade agreement will see tariffs eliminated on over 85 per cent of Australian goods exported to India.

Nutrien Ag Solutions general manager John Tuskin said the announcement would benefit farmers by increasing access to a significant market that was previously hard to reach.

"It's very good for our farmers," he said.

"It's quite exciting because China is a strong trade partner, and will continue to be a strong trade partner, but this will actually open up other markets for our customers to be able to participate in broader markets, which ultimately means better returns."

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Mr Tuskin said India accounted for about six per cent of the Tasmanian wool export market, a number he expected to grow in the coming years.

"The rising wealth in nations like India would demand more products and they will actually continue to buy more products. We saw it with China and now we're seeing the same potential with India," he said.

"I think it would commence immediately, but doubling would probably be over a two to three year period."

Another industry expected to benefit from the trade deal are rock lobster fishers who said the tariff reductions were a lifeline for the struggling industry.

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Tasmanian Rock Lobster Fishermen's Association president Karl Krause said the new market was sorely needed.

"We're pretty excited actually," he said.

"A free trade agreement with any country, especially India with the big population is exactly what our industry needs.

"The rock lobster industries have been smashed since we lost our China market because we had all our eggs in one basket, so it's definitely good news for our industry," he said.

Tasmanian Chamber of Commerce and Industry chief executive Michael Bailey said access to the Indian market was a great boost for producers, but with a booming agricultural industry of their own, he said the devil would be in the detail.

"I think it's a great market and it's a big market but agriculture is such a big part of their economy, I'm sure that's one of the reasons this has taken so long," he said.

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Mr Bailey said seasonal exports were one of the issues he would be looking at, but with opposing seasons in the Northern and Southern hemispheres, he didn't expect the issue to rule out many producers.

"It's a huge market with a huge number of people so you don't need a very big proportion of that market to be really good and really useful for Tasmanian growers," he said. Fruit Growers Tasmania chief executive Peter Cornish said with cherries one of the state's biggest exports and counter-seasonal to India, growers stood to benefit.

"It's tough to break into that market because of tariffs, but it is completely counter-seasonal so it's not going to affect domestic issues in India," he said.

Mr Cornish said apples and berries were also a crop he expected to see a rise in exports, with berries production high and apples already being exported.

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