The key to economic growth is the recently signed Australian-New Zealand Free Trade Agreement (AANZFTA), in which Vietnam commits to a series of liberalisation reforms, including the elimination of tariffs on 29% of customs lines by 2010 and nearly 90% by 2025. It also includes obligations relating to the development of regional rules of origin and the improvement of the conditions of entry and residence of companies, as well as the establishment of an improved system of investment protection, which is an important instrument to facilitate trade and investment between the members of the Agreement, including between Australia and Vietnam. A free trade agreement between Australia and the Republic of Korea offers considerable opportunities to further strengthen our broadly complementary and growing bilateral trade and investment relationship and bring benefits to both countries through closer economic integration.  There is a limit to the amount we could produce, so that even if we had duty-free access to Indonesia tomorrow, we would not flood that market with dairy or beef, because there are a whole host of other markets that we have to serve and we would not have the kind of supply to actually enter that market anyway. So I don`t expect that to happen. Australia appreciates the sensitivities and complexities of the Japanese agricultural system. However, to be useful, a free trade agreement must include agriculture. The ANZFTAA agreement has clearly shown that we are capable of tackling sensitivities. So we should not focus solely on the difficulties. The feasibility study also shows that the objective of an FTA negotiation should be to remove all barriers to bilateral trade in services.
These barriers entail additional costs for exporters and consumers and hamper economic competitiveness. A bilateral free trade agreement should cover all services sectors that are important to each country. Where I expect a change is perhaps a small step towards the distribution of some of this trade among a larger group of ASEAN countries. For now, we are both focusing on Indonesia, Malaysia, Thailand and Singapore. The study clearly shows that there is room for manoeuvre for a quality free trade agreement between Australia and Korea, which fully liberalises mutual trade in goods and services and investment.  6.48 In order to assess the potential trade benefits of the proposed free trade agreement, independent economic modelling was commissioned in both countries. The results indicate how a free trade agreement could impact bilateral trade and investment flows as well as economic well-being. . The results indicate that the well-being of both countries would increase with the conclusion of a free trade agreement. Welfare gains for both countries could be between 0.15 and 1.14% of gross domestic product (GDP) for India and 0.23 and 1.17% of GDP for Australia. A free trade agreement between Australia and India could easily have a positive impact on overall global economic performance. It will set the bar higher.
It will bring both economies to a new level of integration. And it will establish the modern framework for our trade and economic relations. In the area of investment, the study shows that while the level of investment between Indonesia and Australia is significant, it is below average relative to the growth of bilateral trade and Australian investment in some other ASEAN economies. Australia and Vietnam are parties to the ASEAN-Australia-New Zealand Free Trade Agreement, which entered into force on 1 January 2010. Vietnam ratified the agreement on 24 June 2009. 6.11 It is positive that Minter Ellison says that the agreement creates security by establishing levels of protection against increases and by creating a framework for further negotiations on the removal and elimination of barriers to trade in the services sector. . . .