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  1. Negotiations

Australia

In the last two years the Australian Government has finalised bilateral trade agreements with China, Korea and Japan, which are now in force. The Trans-Pacific Partnership agreement between 12 Pacific Rim countries has been agreed, but is being reviewed by a Parliamentary committees before Parliament votes on the implementing legislation. The TPP will not come into force until six of the 12 countries including the US and Japan pass the implementing legislation, which is expected to take two years.

The current conservative Coalition government has agreed to include Investor-State Dispute Settlement (ISDS) provisions in the Korea and China bilateral FTAs as well as the TPP. ISDS allows foreign companies to bypass national courts and sue governments for compensation if they can argue that a change in law or policy harms their investment. The previous Labor government had a policy against ISDS, and even a previous Coalition government did not include ISDS in the Australia-US free trade agreement in 2004.

There is widespread opposition in the Australian community to the inclusion of ISDS in the TPP. The TPP is also controversial because it extends monopoly rights on expensive life-saving biologic medicines, which will mean more years of very high prices before cheaper versions become available. There are also grave concerns about its impacts on food labelling standards and expanded access for temporary workers without additional protection of workers’ rights. A recent World Bank study found that Australia was only likely to gain almost no economic benefit from the deal.

Australia is currently involved in multilateral negotiations towards the PACER-plus agreement with New Zealand and 14 Pacific Island countries, the Regional Comprehensive Economic Partnership (RCEP) and the Trade In Services Agreement (TISA). It is also negotiating bilateral trade agreements with India and Indonesia and will begin talks with Hong Kong and Taiwan later this year and the EU next year.

Contributed by AFTINET

last update: May 2016
Photo: AFTINET

3rd round of India-Australia FTA talk to be held this month
5-May-2012
India and Australia will hold the third round of negotiations for the conclusion of a comprehensive free trade agreement in Sydney later this month.
Meat industry wants free trade deal with Korea
21-Mar-2012
The Australian Meat Industry Council says Australian beef exporters need a free trade agreement with Korea.
Korean deal hits beef exporters
29-Feb-2012 Weekly Times
Australian beef exporters have been caught in the fallout from the US-Korea free trade agreement, which will start next month. The Korean Government has effectively put any discussions on an Australian agreement on hold because, industry sources indicate, the US agreement has created so much angst in Korea.
Big Tobacco vs Australia: Philip Morris scores an own goal
23-Jan-2012 The Conversation
It appears as though Philip Morris Asia only acquired its Australian companies in order to be able to launch a claim against the government under the Australia-Hong Kong BIT.
FTA deal with Korea reaches critical phase
17-Jan-2012
Australian beef exports are in danger being put at long-term disadvantage against US competitors in the Korean market unless rapid progress can be made in Free Trade Agreement discussions in coming months.
Air of intrigue in move against plain packaging
25-Nov-2011 Canberra Times
Despite the compelling rationale that the public has a stake, Philip Morris’ claims will not be heard in an Australian court by respected judges, but by an ad-hoc tribunal that will meet in Singapore or another foreign country.
New trade agreement threatens Australia’s laws on medicines and tobacco
1-Sep-2011 Crikey
Australia leads the world in many areas of public health but the Federal Government could be negotiating our achievements away, according to Dr Patricia Ranald, Convenor, Australian Fair Trade and Investment Network
Hitch in bid to curb phone roaming costs
18-Jul-2011 SMH
Australia’s Department of Foreign Affairs and Trade is investigating if the introduction of price caps on mobile roaming fees will have an impact on the free-trade agreement with the US and agreements with Pacific countries.
Oz rethinking value of bilateral deals
9-Jan-2011 NZ Herald
Thirty years after officials began seriously negotiating the ground-breaking transtasman closer relations agreement, Australia is having doubts about the value of bilateral trade deals.
Bilateral deals don’t work: report
14-Dec-2010 ABC
"Oversold" and failing to deliver any real benefits to business. That’s the Productivity Commission’s damning conclusion about Australia’s six bilateral and regional trade agreements.