Jamie Dwyer's 49th minute goal sealed India's fate as Australia beat them 1-0 to move into the final of the Four Nation Hockey Tournament in Darwin on Saturday.
Australia will now play China in the final on Sunday after the Chinese side tamed Korea 3-1 to book their final berth.
Sandeep Singh back in the team
India is the only team which has not tasted a win in the tournament so far and they would meet Korea on Sunday hoping to record their first win and a third place finish.
India dominated the first half but squandered three penalty corners which proved costly in the end.
"We lost a minimum of four goal scoring chances due to strong defence by the Australians," rued coach Joaquim Carvalho.
"It was also an important match for the Australians, who played their full strength today and moreover they had planned to select its team for the ensuing Champions Trophy at the end of this tournament," he added.
Gill's team for Azlan Shah rejected
After Sunday's match against Korea, the Indian players and officials bound for Malaysia to play in the Azlan Shah would proceed to Kuala Lumpur, while others would return home.
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