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During his absence, senior batter Virat Kohli took charge of the team.
Jasprit Bumrah won the toss, but Pat Cummins' pacers exploited the conditions in Sydney on day one.
Pacer Bumrah could captain the side in a must-win match.
As New Year's Eve parties kicked into gear along picturesque Sydney Harbour, many revellers were relieved to see the past 12 months in the rearview mirror.
The hosts won by 184 runs to take a 2-1 lead in the Border-Gavaskar Trophy.
The fresh-faced 19-year-old showed no signs of anxiety or tension as he waded into a bowling attack led by Jasprit Bumrah.
Marnus Labuschagne, on 20 not out, and Steve Smith, on two, survived to the break.
India were 358/9 at stumps, having managed to avoid follow-on, thanks to Nitish Kumar Reddy's maiden international century.
Steve Smith reprised his role as India's tormentor-in-chief by scoring a record 11th century earlier in the day.
India and Australia will play the fourth match of the Border-Gavaskar Trophy in Melbourne starting December 26.
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