Historic Regional Trade Agreement Beginning of New Economic Partnership

Australian Ambassador to Indonesia, Bill Farmer, has welcomed the signing today of the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA).

“The Agreement opens up markets for Indonesia and Australia – a much needed boost in the face of the global financial crisis,” Mr Farmer said.

Mr Farmer highlighted the benefits to the Indonesian economy from AANZFTA, including that Australia has committed to remove all its tariffs on products from ASEAN by 2020, opening up new markets for Indonesian exporters.

The Agreement also recognises that some countries will need assistance to seize the opportunities presented by AANZFTA. For that reason, an economic cooperation component is included to provide technical assistance to developing ASEAN countries. AANZFTA is the first free trade agreement in which Australia has included an Economic Cooperation chapter.

“In reaching this Agreement, Australia has also committed to specific cooperation to meet Indonesia’s needs,” Mr Farmer said. “This includes a Task Force on Investment in Agriculture, which is designed to attract Australian investors to help build Indonesia’s agricultural sector.”

“We think this Agreement presents opportunities for business throughout Asia and welcome that Australian and Indonesian companies can now work together more easily,” Mr Farmer said.

“And as we sign AANZFTA, the Indonesian and Australian Trade Ministers have already agreed that a comprehensive bilateral Free Trade Agreement would build on the solid foundation of AANZFTA and would be the best way to build a new economic partnership between Australia and Indonesia,” said Mr Farmer.

Further information on AANZFTA can be found at the website for the Australian Department of Foreign Affairs and Trade at www.dfat.gov.au. The Australia Network will also be broadcasting a message on AANZFTA by the Australian Minister for Trade, the Hon Simon Crean MP, over the next three weeks.

Further information:
Jenny Dee (Counsellor Public Affairs) tel. (021) 2553 5290 mob. 0811 187 3175