India faltered at the last hurdle as they went down to top seeds Australia 2-1 in the Fed Cup Asia-Oceania zonal final in Seoul, Korea, on Saturday.
Shikha Uberoi put India ahead with a 6-3, 6-2 win in the first singles over 21-year old and world number 179 Casey Dell'acqua who was playing in her maiden Fed Cup tie.
But the Aussies pulled level as Sania Mirza, world ranked 40, went down 6-4, 6-2 to Samantha Stosur, who is ranked 17 places below her rival, in the second singles.
Twenty-two-year old Stosur, ranked number one in the doubles, then combined with Rennae Stubbs, world number six, to beat Sania and Shikha 7-6(4), 6-2 in the deciding doubles rubber.
Australia go through to the World Group 2 play-off in July this year while India remain in Group 1 of the Asia-Oceania zone.
