RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/TPR/G/244 
1 March 2011  
 
(11-0908) 
Trade Policy Review Body Original:  English 
   
 
  
 
TRADE POLICY REVIEW 
 
Report by 
 
AUSTRALIA 
 
  
 
Pursuant to the Agreement Establishi ng the Trade Policy Review Mechanism 
(Annex 3 of the Marrakesh Agreement Establishing the World Trade 
Organization), the policy statement by Australia is attached. 
 
 
Note: This report is subject to restricted ci rculation and press embargo until the end of the 
first session of the meeting of the Trade Policy Review Body on Australia. WT/TPR/G/244 Trade Policy Review 
Page 2 
 
 
 CONTENTS 
 
  Page 
I. INTRODUCTION 5 
II. GENERAL ECONOMIC ENVIRONMENT 5 
 (1) D OMESTIC ECONOMY  5 
 (2) I MPACT OF THE GLOBAL FINANCIAL CRISIS  6 
 (3) R ESPONSES TO THE GLOBAL FINANCIAL CRISIS  6 
 (i) Monetary and fiscal policy responses 6 
 (ii) Financial system responses 7 
 (4) R EFORMS SINCE JANUARY 2007 8 
III. TRADE POLICY  8 
 (1) A USTRALIA 'S TARIFF REGIME  8 
 (2) A USTRALIA 'S SERVICES AND INVESTMENT REGIME  9 
 (3) A USTRALIA 'S QUARANTINE REGIME  9 
 (4) I NTELLECTUAL PROPERTY  10 
 (5) T RADE -RELATED DEVELOPMENT ASSISTANCE (AID FOR TRADE ) 10 
 (6) F UTURE DIRECTIONS OF AUSTRALIAN TRADE POLICY  11 
 (7) A USTRALIA 'S COMMITMENT TO THE MULTILATERAL TRADING SYSTEM  12 
 (i) Concluding the WTO Doha Round 12 
 (ii) Australia's Objectives for the Doha Round 13 
     Agriculture  13 
     Non-Agricultural Market Access (NAMA)  13 
     Services  14 
     Rules  14 
     Trade Facilitation  15 
     Trade and Development  15 
     Trade and Environment  15 
     Intellectual Property  15 
 (iii) Dispute settlement 15 
 (8) A USTRALIA AND THE G20 16 
 (9) A USTRALIA AND THE OECD 16 
 (10) R EGIONAL INITIATIVES  16 
 (i) Asia-Pacific Economic Cooperation (APEC) 16 
 (ii) East Asia Regional Architecture 17 
 (iii) ASEAN-Australia and Ne w Zealand Free Trade Area 17 
 (iv) Trans-Pacific Pa rtnership Agreement 18 
 (11) B ILATERAL INITIATIVES  18 
 (i) Australia's FTAs 18 
     Australia New Zealand Closer Economic Relations Trade Agreement 18 
     Australia–US Free Trade Agreement 18 
     Singapore–Australia Free Trade Agreement 19      Thailand–Australia Free Trade Agreement 19 
     Australia-Chile Free Trade Agreement 19 Australia WT/TPR/G/244 
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   Page 
 
 (ii) FTAs under negotiation 19 
     Australia-China FTA 19      Australia-Malaysia FTA 19 
     Australia-Japan FTA 20 
     Australia GCC FTA 20      Australia-Korea FTA 20 
     Australia-Indonesia Comprehensive Economic Partnership Agreement 20 
 (iii) FTAs under consideration 20 
     Australia-India Feasibility Study 20 
 
  Australia WT/TPR/G/244 
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 I. INTRODUCTION 
1. This is Australia's sixth Trade Policy Review.  It takes place at a critical time and in the face 
of the economic challenges associated with the gl obal economic crisis and the impact of these 
challenges on global trade.  The fundamental feat ures of Australia's trade policy remain unchanged 
despite these challenges.  Aust ralia remains firmly committed to preserving and building upon the 
strength of a rules-based and transparent multilatera l trading system.  Australia remains committed to 
the successful conclusion of an ambitious and bala nced Doha Round.  An ambitious and balanced 
Doha outcome will help deal with these challenges an d deliver a global stimulus package to assist in 
securing the global economic recovery.  Australia will continue to support the WTO's role in 
monitoring protectionist policy responses to the global economic crisis.   
2. Trade is vital to Australia's economy and th e prosperity of its people.  The Australian 
Government's commitment to an open, flexible economy has been a key factor in Australia's strong 
economic and trade performance over the last two decades.  Australia is committed to pursuing 
vigorously the reduction of trade barriers and expans ion of its markets through multilateral, regional 
and bilateral approaches as well as through unilaterally removing barrier s to trade and investment on a 
non-preferential basis. 
3. Australia's highest trade priority is the su ccessful conclusion of the Doha Round, and it 
continues to urge all WTO Members to demonstrate greater flexibility in the negotiations.  The final 
Doha package must deliver substantial new trad e opportunities for all WTO Members by opening 
markets for agricultural and industrial products  and services, as well as through reductions in 
agricultural subsidies.  The potential global eco nomic benefits of an ambitious outcome are 
significant.  A comprehensive study in 2009 by the Centre for International Economics found that trade liberalisation had added 2.5%-3.5% to th e Australian economy over the past two decades and 
benefitted the average Australian working family by up to $A 3,900 per annum.
1  On the other side of 
the coin, the Productivity Commission found that if all WTO Members increased their rates to bound 
levels, it could lead to a 2% (or $A 1 trillion) fa ll in global output, and an associated drop in world 
trade of around 8%, in the longer term.2 
4. As part of its comprehensive trade strategy , Australia also concludes WTO-consistent 
bilateral and regional free trade agreement (FTAs)  where these yield significant market openings, are 
comprehensive, and complement and support multilatera l liberalisation efforts.  Since its last Trade 
Policy Review in 2007, Australia has concluded FTAs  with Chile, and the Association of South East 
Asian Nations (ASEAN) and New Zeala nd which meet this high benchmark. 
II. GENERAL ECONOMIC ENVIRONMENT 
(1) DOMESTIC ECONOMY  
5. The Australian economy has been one of the best performing in the developed world, 
particularly during the global financial crisis (GFC).   The Australian economy is now in its nineteenth 
consecutive year of economic growth.  Since 1991, the Australian economy has experienced 
uninterrupted real growth, averaging 3.5% per annum on a calendar year basis.  
                                                      
1 Centre for International Economics 2009, Benefits of trade and trade liberalis ation, report prepared 
for the Department of Foreign Affairs and Trade,  Canberra.  http://www.dfat.gov.au/publications/ 
benefits_trade_liberalisation/index.html. 
2 Productivity Commission 2009, Annual Report 2009-09, Annual Report Series, Productivity 
Commission, Canberra.  http://www.pc .gov.au/_data/assets/pdf_file/0 017/92042/annualreport-0809.pdf. WT/TPR/G/244 Trade Policy Review 
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 6. Australia's close trade links to the rapidly grow ing Asian region are vital for its future growth 
prospects.  Continued strong growth in emerging As ia, particularly in China and India, has driven 
strong demand for Australia's commodities.  The terms of trade are currently at their highest level in 
about 60 years and are expected to boost in come and underpin strong business investment, 
particularly in the mining sector.  
7. Demand for Australia's commodities is expected to  remain strong, in line with the strong 
growth outlook in the major trading partners.  Togeth er with solid growth in exports, robust terms of 
trade have pushed the trade balance into surplus durin g 2010 and this is likely to continue.  According 
to the Mid-Year Economic and Fiscal Outlook 2010-11,  the Australian economy is expected to grow 
by 3 ¼% in 2010-11 and 3 ¾% in 2011-12.   
8. The Australian labour market is also expect ed to continue to perform strongly.  In 
November 2010, the unemployment rate stood at 5. 2%, lower than any of the major advanced 
economies except Japan.  According to the Mid-Y ear Economic and Fiscal Outlook 2010-11, the 
unemployment rate3 is forecast to fall to 4 ¾% in 2010-11 and 4 ½% in 2011-12. 
9. There are downside risks to the outlook, howev er, mostly stemming from global uncertainties.  
Concerns about European sovereign debt, the cha llenge in China of managing rising inflation and 
excessive liquidity and the difficulty of managing fiscal consolidation across the advanced economies 
all present risks for the global outlook and challenges for Australia. 
(2) IMPACT OF THE GLOBAL FINANCIAL CRISIS  
10. The Australian economy has proven to be one of th e most resilient in the developed world.  
During the GFC, Australia experienced a shallower dow nturn with only a single quarter of decline in 
real GDP when most advanced economies were falling into deep recession.  
11. The impact of the GFC on the la bour market was also relatively mild.  From a low of 4% in 
early 2008, Australia's unemployment rate peaked at 5.75% in the September quarter of 2009. 
12. Sound monetary settings, a well functioning fina ncial sector, strong population growth, fiscal 
stimulus and a strong rebound in demand for Australian resources, particularly from China, all appear 
to have contributed to Australia's strong performance during the GFC.  In addition, the resilient labour 
market reflected a greater preparedness of employ ers to reduce hours rather than shed staff.  
(3) RESPONSES TO THE GLOBAL FINANCIAL CRISIS  
(i) Monetary and fiscal policy responses 
13. Between September 2008 and April 2009, the R eserve Bank of Australia (RBA) cut the cash 
rate by 425 basis points to 3% – its lowest le vel in almost 50 years.  In addition, the RBA 
implemented several measures to improve mark et liquidity and enhance financial stability. 
14. In terms of fiscal policy, the Government  responded to the GFC by implementing a 
three phase stimulus package to support growth and j obs.  The first phase of the stimulus was income 
support to low- and middle-income households through the $A 10.5 billion Economic Security 
Strategy in October 2008.  In February 2009, this  was followed by the Nation Building and Jobs Plan, 
which included an additional $A 12 billion in income support for households and a $A 29.8 billion 
                                                      
3 Seasonally adjusted, estimate for the June quarter. Australia WT/TPR/G/244 
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 investment in infrastructure projects across the country.  These included investments in schools, 
housing, energy efficiency, roads, community infr astructure and support to small businesses.  The 
2009 Budget marked the third phase of the stimulus st rategy, investing in longer term nation building 
infrastructure – road, rail, ports, universities and hospitals. 
15. Both monetary and fiscal stimulus measures ar e being withdrawn, as private activity builds 
momentum.  Between October 2009 and November 2010, the RBA raised the cash rate from 3% to 
4.75%, raising mortgage and business borrowing rates to  slightly above their long-term averages.  In 
the 2010-11 Mid-Year Economic and Fiscal Outlook, it was estimated that withdrawal of the fiscal stimulus measures would subtract around 1 percenta ge point from economic growth in 2010-11 and 
½ of a percentage point in 2011-12.  
(ii) Financial system responses 
16. Australia has supported internati onal efforts to enhance global financial stability particularly 
through the work program of the G20.  Outline d below are measures introduced in Australia in 
response to the global financial crisis.  
17. Guarantee arrangements: introduced in October 2008, along with the Financial Claim 
Scheme, to enable Australia's institutions to compet e against guaranteed banks in  other jurisdictions to 
access wholesale funds and also to support investor  and depositor confidence in the safety of 
Australia's financial institutions.   
18. Investment in AAA-rated residential mortgage-ba cked securities (RMBS) up to $A 16 billion: 
designed to support smaller lenders  to promote competition in the residential mortgage lending 
market, following the dislocation of securitisation markets. 
19. Executive remuneration reform : a number of initiatives introduced to minimise companies' 
incentives for excessive risk taking.  These include  the introduction of new prudential standards on 
executive remuneration for authorised deposit-taki ng institutions and gene ral and life insurance 
companies and legislation to ensure that termina tion benefits for company directors and executives 
exceeding one year's average base salary are subject to shareholder approval. 
20. Short Selling :  involves reforms to the regulatory fra mework governing short selling to help 
restore confidence in financial markets during a period of extreme market volatility and to reduce the risk of speculation about short selling harming market confidence in the future. 
21. Credit rating agencies (CRAs) :  measures include requiring all CRAs in Australia to hold an 
Australian financial services licence and comply in  the form of annual comprehensive compliance 
reports to the Australian Securities and Invest ments Commission (ASIC) on the updated IOSCO Code 
of Conduct. 
22. Consumer protection framework :  measures include introducti on of national regulation of 
consumer credit (a national licensing regime eff ective from 1 July 2010), and amendments to the 
Corporations Act 2001  relating to issues of margin loans, trustee companies, debentures and 
mandatory disclosure of long-term superannuation re turns.  Regulations were also introduced to 
enable consumers to access less complicated invest ment advice relating to the first home saver 
scheme, margin lending, superannuation and st raightforward managed investments products. WT/TPR/G/244 Trade Policy Review 
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 (4) REFORMS SINCE JANUARY 2007 
23. Since the last Review, the Australian Governme nt has acted to improve productivity through 
investments in infrastructure and improving the skills base.  Infrastructure investments include 
telecommunications via the National Broadband Network, freight and export infrastructure, the 
national road network, health a nd hospitals, and education.  Action has also been taken to drive 
competitive and efficient infrastructure markets and lower regulatory costs for infrastructure 
development.  
24. The Government is delivering education reform by improving the transparency and quality of 
all forms of education, moving towards a single na tional curriculum, and increasing the flexibility of 
education providers to meet the needs of their students.  There has also been a reshaping of 
employment services and enhancements to skills programs.   
25. Since the last Review, Australia has also ma de substantial progress in moving towards a 
seamless national economy by removing many internal regulatory obstacles to private business.  In 2008-09 the Council of Australian Governments (C OAG) agreed to a "National Partnership 
Agreement to Deliver a Seamless National Economy"  for improving Australia's productivity.  These 
reforms will reduce inconsistent and unnecessary re gulation in 27 separate areas.  Twelve of the 
regulatory reforms have been completed and the other reforms are progressing well.  These reforms 
are due for completion in 2013.   
26. Australia's automotive and textile, clothing and footwear (TCF) sectors were further 
liberalised during this period through unilateral cuts in tariffs.  On 1 January 2010, Australia's tariffs 
on imported vehicles were reduced from 10% to 5%.  These tariffs are now the third lowest among 
major automotive producing countries and are betw een 3% and 4% on an import-weighted basis.  
Tariffs on all TCF products were also reduced to 5% on 1 January 2010, except for tariffs on apparel 
and certain finished textiles, which were reduced  to 10% and will be reduced to 5% in 2015. 
27. Australia has also made substantial progress towards a single national industrial relations 
system replacing 1,560 workplace awards with 122 m odern awards.  Further, the establishment of a 
National Health and Hospitals Netw ork will help improve efficiency  and provide a secure funding 
base into the future. 
28. On 26 April 2010, the Australian Government announced the Future of Financial Advice  
reforms.  The focus of the proposed reforms is  on improving the quality of financial advice, 
enhancing retail investor protecti on, and improving trust and confid ence in the financial planning 
industry.  Main aspects of the package are proposed to be in place by 1 July 2012. 
III. TRADE POLICY 
(1) A
USTRALIA 'S TARIFF REGIME  
29. More than 96% of Australia's tariff lines are app lied at an MFN rate of 5% or less, with over 
46% duty free.  The average applied tariff rate is 2.9%.  The Government is committed to a forward 
program of further tariff reductions.  On 1 January  2010, Australia proceeded with scheduled tariff 
reductions on passenger motor vehicle (PMV) and tex tile clothing and footwear (TCF) tariffs, with 
tariffs on clothing and certain finished textile ar ticles being reduced to 10%, and all other TCF and 
PMV tariffs being reduced to 5%.  By 2015, all tariffs on TCF products will be no higher than 5%. Australia WT/TPR/G/244 
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 (2) AUSTRALIA 'S SERVICES AND INVESTMENT REGIME  
30. Services sector businesses are a major contributor to the economy and provide critical inputs 
to the activity of other businesses.  The Government  recognises that productive, competitive, creative, 
innovative, effective services are critical to Australia 's long-term economic prosperity.  Australia has a 
vibrant and advanced services sector, which comp rises an increasingly significant proportion of 
economic activity.  In 2009–10, the service economy accounted for 76.5% of total industry 
gross value added (65.8% of GDP), and 20.8% of  total exports.  As at August 2010, the service 
economy employed almost 9.7 million persons, whic h is around 86% of the Australian workforce.  
31. To sustain the growth and enhance the intern ational competitiveness of the service sector the 
Government has put in place an overarching service strategy.  The strategy comprises: 
- the creation of a sound macroeconomic e nvironment that supports sustainable 
growth; 
- increasing the productivity and competitiveness of the service economy by removing 
impediments to growth;  and 
- enhancing the capacity of service-based businesses. 
Removing impediments to growth includes regulator y reform to deliver a seamless national economy, 
which will help to address behind-the-border barriers to services activities.   32. Australia has continued to pursue liberalisation of its foreign investment regime to reduce 
compliance costs and improve Australia's competitiveness as a place to invest.  For example, as a 
result of changes to Australia's fo reign investment regime made in September 2009, investors seeking 
to establish a new business no longer need to subm it a proposal to the Government for review.  
Proposals by foreign investors to invest in Aust ralian businesses now need to be notified only when 
they involve acquisitions of 15% or more in a business worth $A 231 million or more, indexed annually for inflation.   
33. Australia is working to enhance internati onal opportunities for service industries through 
multilateral, bilateral and regional trade negotiations to remove non-tariff barriers to improve market 
access and address behind-the-border barriers.  Australia is one of the most active advocates of services trade reform in the WTO and in regional an d bilateral FTAs and has some of the most open 
services sectors and one of the most highly transparen t investment regimes in the world.  Australia has 
undertaken significant reform across the services eco nomy over the last twenty years.  This reform 
agenda has been supported by close attention to the role of regulation and competition, including 
through the establishment of bodies such as the Office  of Best Practice Regulation and the Australian 
Competition and Consumer Commission. 
(3) A
USTRALIA 'S QUARANTINE REGIME  
34. In 2008, the Australian Government commissi oned an independent review of Australia's 
quarantine and biosecurity arrangements.  The review received 220 submissions and held 
170 meetings, including with trading partners.  It reported in September 2008, finding that Australia 
operates a good biosecurity system but that improveme nts could be made.  The review highlighted the 
need for improvements to better deal with increasi ng risks, arising from climate change, globalisation 
and increased passenger and cargo movements.  Its recommendations were designed to improve the WT/TPR/G/244 Trade Policy Review 
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 good aspects of the current system and to rectify any shortcomings.  In December 2008, the 
Government agreed in principle to all the recommendations. 
35. The Australian Government is progressing a range of biosecurity reforms to improve the 
system's efficiency and effectiveness and its ability to  adjust to ever-changing biosecurity risks.  Work 
is under way in a number of areas to build a better biosecurity system that fosters partnerships, 
improves governance structures and targets risks.  Ho wever, reforms will take some time and changes 
will be incremental.  Reform activities will be st aged in a sensible manner so that Australia's 
biosecurity is not compromised during the process.  Trading partners will be kept informed of 
changes. 
36. On the suggestion of applying a cost benefit anal ysis to Australia's biosecurity regime, it is 
important to recognise that the SPS Agreement limits  the factors that can be taken into account in 
imposing measures on imports.  This point was note d in the Independent Review of Australia's 
Quarantine and Biosecurity Arrangements (2008), which concluded that: 
"Perhaps paradoxically, but quite intentionally,  the SPS Agreement excludes consideration of 
economic losses or gains arising from the import itself as distinct from the potential harm from pests 
or diseases.  This, together with the requirement  that any measures should not be more trade 
restrictive than required, ensures that trade issues are not brought to bear in a way that increases the 
risk of SPS measures being used as non-tariff barriers." 
(4) INTELLECTUAL PROPERTY  
37. Australia continues to support the effective im plementation of rights and obligations within 
the framework of the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS).  
Australia approved the TRIPS Protocol on Public  Health in September 2007 and is currently 
undertaking public consultation on pr oposals to implement the Protocol and enable the export of 
pharmaceutical products from Australia to least-d eveloped and developing countries in accordance 
with the Protocol.   
38. Australia continues to be an active participan t in the consideration of intellectual property 
issues within a range of international and regiona l forums, including WIPO and APEC.  During the 
review period, Australia became a party to the WIPO Copyright Treaty, the WIPO Performances and 
Phonograms Treaties, the Patent Law Treaty and the Singapore Treaty on the Law of Trademarks.  In April 2010, Australia's Attorney-General and Mini ster for Foreign Affairs announced Australia's 
intention to accede to the Council of Europe Convention on Cybercrime.   
39. Australia is party to various bilateral and multilateral free trade agreements, which contain 
chapters relating to IP protection and enforcement.  It has been an active participant in negotiations 
for the Anti-Counterfeiting Trade Agreement, which aims to build on WTO standards on 
enforcement.   
(5) T
RADE -RELATED DEVELOPMENT ASSISTANCE (AID FOR TRADE ) 
40. Increased openness and greater market access are not sufficient to drive sustained economic 
growth.  Liberalisation initiatives need to be undert aken in the broader context of a country's overall 
development strategy and complemented by broa der reform, including in the area of governance and 
institutional strengthening, public fi nancial management, tax reform and social policy initiatives.  
Australia recognises that, for many developing co untries, assistance including for capacity-building 
purposes is required to effect these changes.  Au stralia therefore strongly supports trade related Australia WT/TPR/G/244 
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 development assistance to developing countries, including through the WTO's Aid for Trade 
initiative.  
41. Aid for trade activities are important in helpi ng developing countries to achieve sustainable 
economic growth, and to help reduce poverty.  Ma ny of Australia's development activities have 
substantial underlying characteristics that encourage or facilitate trad e.  Specifically, such activities 
are underpinned by key objectives, which help enab le developing countries to  engage better in the 
multilateral trading system and regional trade initiativ es, boost their trade flows, diversify their trade 
activities, and improve economic integra tion on a regional and global basis. 
42. Australia has strengthened its efforts over r ecent years on aid for trade, including through 
multilateral, regional and bilateral arrangements.  Australia's aid for trade activities – which are 
supported across different programs – represented a bout 10% or $A 400 million of Australia's total 
aid program in 2009-10.  
43. Specifically in connection to the WTO, si nce 2002 Australia has contributed over 
$A 7.5 million to the WTO's Global Trust Fund to provide technical assistance to developing country members to participate in the Doha Round of trade negotiations.  Australia's contribution to the Fund 
for 2010-2011 is $A 2 million.  Australia also provided $A 750,000 in 2009 to the WTO Standards 
and Trade Development Facility to help developing  countries to analyse and implement international 
standards on food safety and animal and plant health. 
44. In 2003, Australia (unilaterally) removed duties and quotas on all imports from Least 
Developed Countries and East Timor.  Australia's  imports from LDCs and East Timor increased 
substantially since 2003.  The growth in merchandi se imports from LDCs and East Timor has been 
stronger than that from the rest of the world. 
45. Outside of the WTO, Australia has provided $A 3 million to the Advisory Centre on WTO 
Law (ACWL) in 2010.  ACWL is an intergovernme ntal organisation based in Geneva that provides 
training and subsidised legal services on WTO law to developing countries.  A proposal for Australian 
accession to ACWL is currently being considered by the Australian Parliament 
46. Australia has also continued to provide support to Laos PDR, Vanuatu and Samoa in their bid 
to finalise WTO accession negotiations.  Since the last Review, Australian assistance in Laos PDR 
under the Trade Development Facility (TDF) has s upported Laos' regional and economic integration, 
the capacity of its officials to participate in tr ade negotiations, and the development of trade policy 
frameworks in areas such as SPS and TBT.  Australia has also assi sted Vanuatu and Samoa in the 
development of WTO-consistent policies in spher es such as Trade-Related Aspects of Intellectual 
Property. 
(6) F
UTURE DIRECTIONS OF AUSTRALIAN TRADE POLICY  
47. Australia believes that the best trade policy is domestic economic reform:  a productivity-
raising, competitiveness enhancing microeconomic reform program supported by responsible fiscal 
policy.  The Australian Government 's commitment to ongoing reforms to improve the international 
competitiveness of the Australian economy has been a key factor in Australia's strong economic and 
trade performance over the last two decades. 
48. Australia has a major stake in maintaining a healthy and open multilateral trading system.  
Australia will continue to support a rules-based mu ltilateral trading system and the conclusion of the 
Doha Round remains its highest trade priority.  An  ambitious and balanced outcome would represent WT/TPR/G/244 Trade Policy Review 
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 an important boost to the global economy and deliver  substantial new trade opportunities for all WTO 
Members.  Australia will also continue to particip ate actively in the work of the WTO not directly 
connected to the Doha negotiations, including the WTO's regular committees, the Trade Policy 
Review Mechanism and the di spute settlement mechanism. 
49. Australia will continue efforts to deepen its trade and economic engage ment with its region 
and other important markets.  Free Trade Agreements remain part of our overall trade strategy and Australia remains committed to negotiating WT O-consistent FTAs which are competitive, 
non discriminatory, transparent, genuinely libera lising and which advance Australia's multilateral 
trade objectives. 
50. On 27 November 2009, the Government announced that the Productivity Commission (PC) 
would undertake a study into the impact and effec tiveness of FTAs in liberalising barriers to trade and 
investment and their contribution to Australia's trade and economic performance.  The report of the 
study was released on 13 December 2010 and its fi ndings will provide input to the Government 
review of Australia's future trade policy frame work announced by the Minister for Trade, 
Dr Craig Emerson, on 10 December 2010.  The review will be completed around the end of the 
first quarter of 2011.  It will be built on five pr inciples identified by Dr Emerson:  unilateralism;  
non-discrimination;  separation between trade policy a nd foreign policy;  transparency;  and the grand 
unifying principle of trade policy as an indivisible part of overall economic reform.
4    
51. Conducting the review will not hold up Australia's present trade policy priorities such as our 
effort to conclude the Doha Round negotiations and our ongoing FTA negotiations.  A program of 
intensive negotiations across the FTA agenda is expected for 2011.  It may be possible to conclude the 
Korea-Australia FTA during this period.  Australia  will move forward with its negotiations with 
China, Japan, Malaysia and Indonesia for high qua lity agreements and will continue to look for 
appropriate opportunities to advance FTA negotiations  with the GCC.  The Trans-Pacific Partnership 
Agreement negotiations are expected to make maxi mum headway by the time of the APEC Leaders' 
meeting in November 2011, with an intensiv e schedule of meetings planned for 2011.  
(7) AUSTRALIA 'S COMMITMENT TO THE MULTILATERAL TRADING SYSTEM  
52. Australia has been a long-time advocate of an open, transparent and rules-based global 
trading system.  Bringing the Doha Round to a successful conclusion and maintaining a strong 
multilateral trading system is Australia's highest tr ade priority.  A founding member of the General 
Agreement on Tariffs and Trade (GATT) in 1947 a nd the WTO in 1995, and Chair of the Cairns 
Group of agricultural exporters, Australia has a longstanding commitment  to multilateral trade 
liberalisation that would remove distortions in the gl obal market and deliver new trade benefits for all 
WTO Members.  
(i) Concluding the WTO Doha Round 
53. Australia has been a driving force behind effo rts to find convergence on remaining issues, 
building on progress made to date.  Successive Austra lian trade ministers have worked closely with 
other trade ministers to build the necessary political  will and flexibility to conclude the Round.   
                                                      
4 The Future of Trade Polic y in an Uncertain World.  An address by the Australian Minister for Trade, 
Dr Craig Emerson, to the Lowy Institute, Sydney, 10 December 2010.  Viewed a t: http://www.trademinister. 
gov.au/speeches/2010/ ce_sp_101210.html. Australia WT/TPR/G/244 
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 (ii) Australia's Objectives for the Doha Round 
54. Australia strongly supported the launch of the Doha Round in 2001.  Australia's key 
objectives were to achieve a more open global tradin g environment, primarily by expanding market 
access and creating new trade flows in agriculture, industrial products and services, as well as 
reducing subsidies and strengthening WTO disciplines.   These objectives remain as important as ever.   
Agriculture 
55. Global agricultural trade reform is a key objec tive of Australia's international trade agenda. 
While agriculture is the most distorted area of inte rnational trade, Australia's agricultural sector is 
one of the most open, market-oriented and compe titive in the world.  Domestic and international 
prices for agricultural commodities are closely aligned and the level of assistance provided to 
agriculture means that Australia remains the second lowest subsidi ser in the OECD.  Australia's 
agricultural exporters are frustrated by the lack of progress and the ongoing failure to conclude the 
Doha Round.  Both developed a nd developing countries continue to suffer from lost trade and 
development opportunities while the Round remains unresolved.  
56. In keeping with the Doha mandate, Australia, as  Chair of the Cairns Group seeks to achieve 
an ambitious outcome which delivers substantial improvements in market access, elimination of 
export subsidies and substantial reduc tions in trade-distorting domestic support.  While there has been 
a proliferation of new negotiating groups within the WTO, the Cairns Group continues to represent a 
broad global cross-section of both developing and developed country agricultural exporters.  One of 
the strengths of the Group is the unique interface  it provides between primary producers and policy 
makers.  The dialogue between th e Cairns Group Farm Leaders and the Cairns Group Ministers 
during the Cairns Group Ministerial Meeting (CGMM)  places exporter concerns at the forefront of 
discussion.  In both 2009 and 2010, the CGMM has b een the impetus driving wider discussions on the 
state of the Round.  The Cairns Group has made clear  that there can be no weakening of ambition on 
the reforms needed in agriculture, including the elim ination of all forms of export subsidies by 2013, 
substantial reductions and discip lines on domestic support, and substa ntial improvements in market 
access.  Members will continue efforts, both at a technical and political level, to resolve the 
outstanding issues and bring the Round to a successful conclusion. 
57. Australia acknowledges that special and differen tial treatment is an integral part of WTO 
Doha negotiations.  It exists to balance the stru ctural asymmetry between developing and developed 
countries, but flexibilities should be designed in a way that reduces the distortions and restrictions in 
the international agricultural trading system.  Austra lia will continue to work hard to build consensus 
with the wider WTO Membership and progress the outstanding modalities issues. 
Non-Agricultural Market Access (NAMA) 
58. Australia's objective in the negotiations on non-agricultural market access (NAMA) is to 
achieve commercially-meaningful improvements in ma rket access, which will require contributions 
from developed and developing countries (other than  LDCs).  Given that trade in non-agricultural 
products accounts for around 90% of global trade in goods, a strong outcome in the NAMA negotiations will provide a significant boost to th e global economy.  Australia is supportive of 
initiatives to negotiate appropriate tariff concessions at  a sectoral level and perceives the benefits for 
business of principles-based outcomes on NTBs. WT/TPR/G/244 Trade Policy Review 
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 Services 
59. Australia has consistently emphasised the im portance of a strong outcome to the services 
negotiations in the Doha Round in order to ensure  a balanced outcome acros s all three market access 
pillars of the negotiations.  This approach recognises the important role the services sector plays in the 
modern economy, but also the integral relationship between the services sector and other parts of the 
economy, including the commodity and manufactured goods sectors.   
60. To that end, Australia has explored constr uctive options to build momentum in those 
negotiations.  Australia was a strong supporter of the ministerial signalling conference on services in 
July 2008.  Australia indicated commercially meaningful improvements to our offer, which were of 
particular interest to developing countries.  Australia is committed to an open and competitive 
services sector, and to reflecting that openness in our WTO commitments.  Our initial and first revised 
offers were acknowledged by WTO Members as very comprehensive.   Australia has coordinated a 
new plurilateral request on accounting services, and has helped develop new and complementary approaches to negotiations to group together a number of existing and related sector-specific 
plurilateral negotiating proposals.   
61. Australia recognises that the services market  access negotiations are complemented by 
effective services rules negotiations.  For example,  are actively working with others to develop 
proposals to find common ground to move the ne gotiations forward in areas such as domestic 
regulation (licensing and qualification requirements and procedures, for example) and special and 
differential treatment for least developed countries. 
Rules 
62. Australia supports clarifying and improving th e existing WTO rules relating to anti-dumping, 
subsidies and countervailing duties.  As both a u ser and a (lesser) target of anti-dumping measures, 
Australia takes an active role to ensure impr ovements to trade remedy rules would encourage 
transparency and clarification of anti-dumping pr actices rather than prescriptive, mandatory rules 
which favour one practice over another.  Australia  also has an interest in ensuring Australian 
exporters are treated fairly and due process is afforded them.   
63. Australia strongly supports strengtheni ng the rules relating to subsidies , including those 
relating to prohibited export subsidies and their enforcement, subsidy practices such as regulated 
pricing and certain trade-distortive forms of financ ing to loss-making institutions.  Where appropriate, 
Australia is also supportive of harmonising th e WTO Anti-Dumping and Subsidies Agreements 
relating to trade remedy investigations.    
64. Australia has been an advocate of specific and st rengthened disciplines for fisheries subsidies.  
Australia is seeking an ambitious outcome in these ne gotiations.  As a member of  the 'Friends of Fish', 
Australia is aiming for an outcome incorpora ting the broadest possible prohibition on harmful 
fisheries-specific subsidies that lead to over-fishing and overcapacity in the fish eries sector.  Australia 
is also supportive of appropriate and effective sp ecial and differential treatment for developing 
countries that reflects their development prioriti es, poverty reduction and livelihood and food security 
concerns. 
65. Australia also strongly supports efforts to clarify and improve the WTO rules applying to 
RTAs,  and sees progress in this area as an important elem ent in any desirable outcome of the rules 
negotiations.  As an important first step Australia  welcomes the provisional application of the RTA 
transparency mechanism and hopes to see it perm anently adopted as part of any such outcome. Australia WT/TPR/G/244 
 Page 15 
 
 
 Trade Facilitation  
66. Australia supports a meaningful Doha outcom e on trade facilitation, which reduces delays and 
cuts "red tape" at the border resulting in cost sav ings for traders.  Australia's approach to the 
negotiations is to propose and supp ort concrete commitments of practical value to business.  While it 
is recognised that developing countries and l east-developed countries are expected to gain 
significantly from more efficient trade processes and procedures, implementing some measures may 
require technical assistance and capacity building.  Au stralia will continue to provide assistance in this 
area, including through its work in APEC and its aid program. 
Trade and Development 
67. Australia believes an ambitious and balanced D oha outcome can make an extremely valuable 
contribution to the economic devel opment of developing countries.  Australia continues to advocate a 
successful conclusion of the Doha Round as a key measure to support developing countries’ sustainable development by helping them better reap the benefits of international trade.  We advocate 
the need for trade reform in core negotiating areas of the Doha Round, particularly the highly 
distorted agricultural sector, to fulfil the Doha Round's development mandate.  
Trade and Environment 
68. Australia's objectives in the negotiations on tr ade and environment issues are to liberalise 
international trade in environmental goods and servic es, recognising the important role that trade can 
play in addressing climate change and other enviro nmental goals.  Australia continues to work with 
other WTO Members on the relationship between WTO rules and specific trade obligations in 
multilateral environmental agreements.  Since its jo int submission with Argentina on this in 2007, 
Australia has continued to advocate a focus on practi cal outcomes in this area of the negotiations, for 
example on the need for effective national-le vel coordination between domestic agencies and 
stakeholders and for the shar ing of national experiences. 
Intellectual Property 
69. Australia has been an active participant in the Doha negotiations on the establishment of a 
multilateral system of notification and registration of  geographical indications for wines and spirits.  
Along with 18 other Members, Australia co-sponsors the "Joint Proposal", which sets out a proposed mechanism of registration to facilitate the protec tion of wines and spirit geographical indications, 
while preserving the principle of territoriality for intellectual property rights.  Australia has been 
participating constructively in ne gotiations in the Special Session of the TRIPs Council, including by 
engaging in detailed technical discussions regardi ng the practical implementation of a register. 
(iii) Dispute settlement 
70. Australia is a firm advocate of binding dis pute settlement as a fundamental underpinning of 
the rules-based multilateral trading regime.  An  active participant in WTO dispute settlement, 
Australia has been involved in a number of disput es as a complainant, respondent and third party.  
Since 1995, Australia has been a co mplainant in 7 cases, respondent in 10 disputes, and third party in 
55 disputes, making it one of the more active Members on WTO dispute settlement.  It views the system as an important mechanism for promoting and defending Australia's trade interests.  To mark 
the tenth anniversary of the WTO dispute settlement  system, a collection of Australian perspectives 
on the system was published in 2007. WT/TPR/G/244 Trade Policy Review 
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 (8) AUSTRALIA AND THE G20 
71. Australia considers the maintenance of open and competitive global trade and investment 
flows as essential to supporting the global economic recovery, and a key element of the G20 Leaders' agenda to promote strong, sustainable and balanced growth.  
72. Australia strongly supported the agreement by G20 Leaders to renew their anti-protectionist 
pledge, which commits G20 members to refrain fro m imposing protectionist measures to investment 
or trade in goods and services until the end of 201 3, and to maintain momentum on aid-for-trade 
initiatives to enable developing countries to fully share the benefits of trade liberalisation.  
73. Australia also welcomed G20 Leaders' strong commitment at their Seoul Summit in 
November 2010 to bring the Doha Round promptly  to a successful, ambitious, comprehensive and 
balanced conclusion, recognising that 2011 is a cr itical window of opportunity.  Australia believes 
that by mobilizing political will at what is a criti cal juncture in the Doha negotiations, G20 Leaders 
and Trade Ministers can make an important c ontribution to achieving an outcome on Doha.  
(9) A
USTRALIA AND THE OECD 
74. Australia strongly supports the work of the OECD, including through Australia's permanent 
delegation to the OECD in Paris, at regular meetings of the OECD Trade Committee and its 
subsidiary bodies, and by chairing its working party in 2010.  We encourage the OECD to continue to 
undertake work of interest to Australia, includi ng efforts focused on non-tariff measures, regional 
trade agreements (RTAs) and aspects of trade an d environment.  We support the OECD Trade 
Committee continuing to deepen its work on the role  of trade in economic growth and employment, 
including in response to the G20, as well as work on the role of trade and investment coming out of 
the crisis.  We appreciate ongoing efforts by the OECD to better understand emerging trade issues 
such as global value chains, measuring trade in value-added terms, dynamic gains from trade and 
trade in tasks.  We also support continued work  on the Services Trade Restrictiveness Index (STRI) 
which aims to identify and measure the degree to wh ich existing regulations restrict the international 
exchange of services. 
(10) REGIONAL INITIATIVES  
75. Australia pursues an active agenda of ambiti ous trade liberalisation on the multilateral, 
regional and bilateral levels.  Au stralia's active involvement and pr omotion of regional and bilateral 
free trade agreements reflects our belief that comp rehensive, high-quality RTAs complement rather 
than detract from the multilateral system.  Austra lia is pursuing multilateral, regional and bilateral 
objectives simultaneously and, by effectively co ordinating these efforts, can obtain mutually 
reinforcing results.  Australia has been in the forefront of completing comprehensive RTAs, which 
can serve as building blocks for wider multilateral liberalisation. 
(i) Asia-Pacific Economic Cooperation (APEC) 
76. Australia has a strong commitment to APEC as the principal vehicle for the promotion of 
trade and investment liberalisation and economic c ooperation in the Asia-Pacific region.  APEC's 
work on trade and investment liberalisation, busin ess facilitation and economic reform is instrumental 
in enabling sustained economic growth in the region's economies.   
77. 2010 marked the end of the Bogor Goals of free and open trade and investment for developed 
economies.  APEC's developing economies have until 2020 to achieve this objective.  APEC's Australia WT/TPR/G/244 
 Page 17 
 
 
 self-assessment of the 2010 Bogor Goal is balan ced, highlighting the areas where more work is 
needed, most importantly in agriculture, services and investment.  Australia remains committed to 
working with member economies to accelerate APEC 's regional economic inte gration agenda and to 
intensify its work on structural reform that ali gns with G20 commitments.  In particular, domestic 
economic structural reform can help drive new trade and investment reforms furthering progress 
towards meeting the Bogor Goal.  Australia supports the Yokohama Vision announced by APEC 
Leaders in Japan in November 2010 which calls fo r an economically-integrated, robust and secure 
'APEC community'. 
78. A key pillar of APEC is its  economic and technical coope ration work and practical 
capacity-building assistance.  Australia provides strong policy and financial support for this work, 
particularly where it enhances developing economies' capacity to reap the benefits of improved trade 
and investment.  For example, Australia is playing a leading role in enhancing trade logistics 'across 
the border' through a supply-chain connectivity ini tiative that aims to address chokepoints, which 
impair the smooth flow or goods and services in the region.   
(ii) East Asia Regional Architecture 
79. Australia is an active participant in discussi ons among East Asia Summit (EAS) participating 
countries that have FTAs with ASEAN.  These disc ussions are considering the recommendations in 
the Phase II report on a Comprehensive Economic Part nership in East Asia (CEPEA), and looking at 
promoting regional economic integration based on ex isting free trade arrangements in the East Asia 
region.  ASEAN Plus Working Groups have been established on rules of origin, tariff nomenclature, 
customs procedures and economic cooperation to look at these issues as building blocks in the process 
of realizing East Asian integration.  The Work ing Groups have initially involved ASEAN countries 
only, but meetings on rules of origin and tariff nomenclature have also included Australia and 
ASEAN's other FTA partners.  Australia sees this process as an important avenue to assess the current 
pattern of regional FTAs, consider measures to im prove their functioning and interaction, and to 
explore the scope to build further on them thr ough enhanced trade liberalisation, facilitation and 
economic cooperation. 
(iii) ASEAN-Australia and New Zealand Free Trade Area 
80. The Agreement Establishing the ASEAN-Australia-New Zealand Free Trade Area 
(AANZFTA) entered into force on 1 January 2 010 for 8 of the 12 countries that signed the 
Agreement:  Australia, New Zealand, Brunei, Bu rma, Malaysia, the Philippines, Singapore and 
Vietnam.  Thailand implemented the FTA from 12 Ma rch 2010.  Cambodia and Laos have ratified the 
Agreement and will implement the FTA from 4 Janua ry 2011 and 1 January 2011, respectively.  
Indonesia is still in the process of ratification.  AAN ZFTA will result in the elimination of tariffs on 
96% of Australia's current exports to ASEAN countri es by 2020;  currently only 67% of Australia's 
exports to the region are tariff-free.  Australia's trade with ASEAN countries has grown by an annual 
average of 9% over the last decade.  AANZFTA contains  regional rules of origin and substantial tariff 
reduction and elimination commitments, as well as WTO-plus commitments in other areas such as services, which will provide commercially meaningf ul benefits to Australian business and further 
strengthen Australia's commercial ties with AS EAN.  AANZFTA also pr ovides for an economic 
cooperation work programme to support implementation of the Agreement. WT/TPR/G/244 Trade Policy Review 
Page 18 
 
 
 (iv) Trans-Pacific Partnership Agreement 
81. Australia is participating in the Trans-Paci fic Partnership (TPP) negotiations along with 
Brunei, Chile, Malaysia, New Zealand, Peru, Singapo re, the United States and Viet Nam.  Australia 
was pleased to host the first round of TPP negotiatio ns in March 2010 in Melb ourne.  Further rounds 
were held in San Francisco in June 2010, in  Brunei in October 2010 and in Auckland in 
December 2010.  There has been solid progress on developing architecture for the TPP Agreement 
and negotiators are now considering draft text in a range of areas.  In Brunei discussions were held 
across a wide range of subject areas including goods, services, investment, government procurement, intellectual property, competition policy, capacity build ing, labour and environm ent.  Five rounds of 
negotiations are scheduled to take place in 2011. 
82. Australia is committed through the TPP to achieve a high-quality, comprehensive, 
21
st century, regional free trade agreement, whic h will strengthen economic integration in the 
Asia-Pacific region, particularly as membership expands over time.  In addition to ambitious 
liberalisation of trade and investment, TPP negotiators have agreed on a set of cross-cutting issues to progress in the TPP Agreement, including small busin ess priorities and behind the border issues like 
reducing customs paperwork and achieving greater regulatory coherence across the region.  These 
elements will further assist in fostering genui ne integration in the Asia-Pacific region.  
(11) B
ILATERAL INITIATIVES  
(i) Australia's FTAs 
Australia New Zealand Closer Economic Relations Trade Agreement 
83. The Australia New Zealand Closer Economic  Relations Trade Agreement (ANZCERTA) 
entered into force on 1 January 1983 and covers su bstantially all trans-Tasman trade in goods and 
services.  Since 1 July 1990, all goods meeting the ANZCERTA rules of origin (ROOs) have been 
free of duty and quantitative import restricti ons.  In 2010, an ANZCERTA ROOs review 
recommended that Product Specific Rules (PSR) applying to a relatively small number of tariff lines for which factory-cost Regional Value Content require ments had been retained in 2007 be changed to 
Change of Tariff Classification-only rules, bringing them into line with other FTA commitments.  In 
2010, Australian and New Zealand officials also negotia ted an Investment Protocol but the details are 
still subject to normal treaty making processes.  The Trade in Services Protocol, signed in 1988, brought services into ANZCERTA from January 1989, providing for free trade in services in all but a 
very small number of areas.  ANZCERTA has al so provided the foundation for a large number of 
related agreements and arrangement s to facilitate trade and promot e economic integration.  This 
includes mutual recognition arrangements relating to goods and registered occupations (the 
trans-Tasman Mutual Recognition Agreement) and the Single Economic Market initiative to increase 
regulatory harmonisation and seamless business interaction across the Tasman.   
Australia–US Free Trade Agreement 
84. The Australia–United States Free Trade Agre ement (AUSFTA) entered into force on 
1 January 2005.  AUSFTA provides a comprehensive and 'living' framework for economic and trade 
policy engagement between Australia and the United St ates.  Its 23 chapters set out a broad range of 
provisions for liberalising bilateral trade and for th e legal protections investors and service providers 
will receive.  AUSFTA contains far-reaching prov isions on government procurement which are 
applied on a non-discriminatory basis.  The Agre ement also makes substantial commitments to 
liberalise services and investment.  The Austra lian Minister for Trade and the U.S. Trade Australia WT/TPR/G/244 
 Page 19 
 
 
 Representative meet regularly to review impl ementation of the Agreement and discuss the 
international trade agenda.  AU SFTA established a number of work ing groups, committees and inbuilt 
chapter reviews, which are designed to enhan ce the bilateral trade and investment ties.  
Singapore–Australia Free Trade Agreement 
85. The Singapore–Australia Free Trade Agreement (SA FTA) entered into force on 28 July 2003.  
SAFTA is a comprehensive agreement, making substantial commitments in goods, services and 
investment between Australia and Singapore.  In addition to complete tariff elimination, SAFTA 
guarantees liberal conditions of access for many se rvice suppliers, and provides a more open and 
predictable business environment.  SAFTA provides for ministerial-level review of the agreement 
every two years or as otherwise deemed necessary by Mi nisters.  The first SAFTA review was held in 
July 2004 and the second SAFTA review was s ubstantively concluded in July 2009.   
Thailand–Australia Free Trade Agreement 
86. The Thailand–Australia Free Trade Agre ement (TAFTA) entered into force on 
1 January 2005.  TAFTA achieved strong, liberalis ing outcomes on goods, eliminating immediately or 
locking in zero tariffs on 78% of Australian exports to Thailand and 83% of Thai exports to Australia 
at the time of entry into force.  Under phased tari ff elimination, around 95% of tariffs on goods traded 
bilaterally at the time of entry into force had been  reduced to zero by the start of 2010.  TAFTA 
liberalises bilateral trade in services by binding "GATS-plus" commitments in some key sectors.  TAFTA also mandates further negotiations on trad e in services, with the aim of enhancing the 
commitments given by both Parties.  The Agr eement also provides for further negotiations on 
government procurement, business mobility, investment and competition policy. 
Australia-Chile Free Trade Agreement 
87. The Australia-Chile Free Trade Agreement (AClFT A) entered into force on 6 March 2009.  
The Agreement is Australia's first FTA with a La tin American country, reflecting a commitment to 
build on growing trade and investment ties with the region.  The AClFTA provides substantial 
liberalisation in goods and services trade.  The ag reement covered 99.5% of Chile's goods exports to 
Australia and 98.6% of Australian goods exports to Chile by value on entry into force.  By 2015, 
tariffs will be eliminated on all traded lines.  The Agreement delivers WTO-plus outcomes through 
commitments to open and non-discriminatory mark et access for services and investment, including 
but not limited to the key sectors of education, professional services, mining, engineering, management consulting and financial services. 
(ii) FTAs under negotiation 
Australia-China FTA 
88. Australia and China launched negotiations on an FTA in 2005.  The fifteenth round of 
negotiations was held on 28- 30 June 2010 in Beijing.  This round continued the positive approach that 
developed at the fourteenth round in Februa ry 2010, which had been the first round since 
December 2008.  
Australia-Malaysia FTA 
89. Australia and Malaysia launched FTA negotiations  in 2005 but were paused in early 2007 to 
allow both sides to focus on concluding the AANZFTA  negotiations.  Negotiations formally resumed WT/TPR/G/244 Trade Policy Review 
Page 20 
 
 
 in 2009 and both sides are engaged in substantiv e discussions aimed at building on the regional 
AANZFTA.  As at November 2010, ei ght rounds have been held. 
Australia-Japan FTA 
90. Australia-Japan FTA negotiations commenced in  April 2007 following the conclusion of a 
joint government study on the feasibility of a bilateral FTA.  The study concluded that a 
comprehensive FTA between Australia and Japan woul d bring significant benefits to both countries.  
Solid progress has been made to date and negotiations are expected to intensify in 2011.  The twelfth 
round of negotiations will be hos ted by Japan in early 2011. 
Australia GCC FTA 
91. Australia and the Gulf Cooperation Council FTA  negotiations commenced on 30 July 2007.  
The fourth round of negotiations was held  from 31 May-2 June 2009 in Muscat, Oman. 
Australia-Korea FTA 
92. Australia and Korea commenced FTA negotia tions in May 2009, and progress in the 
negotiations has been good to date.  The fifth round of negotiations took place in Canberra in 
May 2010.  There have been subsequent inter sessional/technical discussions held in August 2010, 
October 2010, November 2010, and January 2011. 
Australia-Indonesia Comprehensive Economic Partnership Agreement 
93. On 3 November 2010, Australian Prime Minister  Julia Gillard and Indonesian President 
Susilo Bambang Yudhoyono together announced the commencement of negotiations between 
Indonesia and Australia for a Comprehensive Ec onomic Partnership Agre ement (IA-CEPA).  The 
Agreement will cover trade, investment and econom ic cooperation issues and will take into account 
the results of the regional AANZFTA.  The launch of  negotiations on an IA-CEPA a joint feasibility 
study to examine the merits of a bilateral FTA  released in April 2009, which found that a 
comprehensive FTA covering trade and investment would provide worthwhile economic benefits for 
both countries.  
(iii) FTAs under consideration 
Australia-India Feasibility Study 94. Australia and India commenced a joint feasibility study to examin e the merits of a bilateral 
FTA in April 2008.  The study was concluded in May 2010 and recommends that the Australian and 
Indian Governments consider negotiation of a comp rehensive bilateral FTA that includes trade in 
goods, trade in services, investment and other trad e and investment facilitation measures as a single 
undertaking. 
 
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