"As India seeks to increase co-operation with other countries in the maritime security domain and in the light of increased defence co-operation with Australia,Malabar 2020 will see the participation of the Australian Navy,"the defence ministry said in a statement.
Australia will be returning to the joint manoeuvres after its participation in 2007,which drew criticism from China at the time.
Australian Defence Minister Linda Reynolds said the Malabar drills were a milestone opportunity for the Australian Defence Force,and that they showcased"the deep trust between four major Indo-Pacific democracies and their shared will to work together on common security interests".
There was no immediate word from China on the Malabar exercises.
The United States has been pushing for a deeper collaboration with Japan,India and Australia as a bulwark against China's growing regional influence.
These four have formed the Quad,a loose strategic coalition of the four leading democracies in the region. The joint drills will be the first concrete action of the grouping,analysts say.
China has denounced the Quad as an attempt to contain its development.