News Room - Business/Economics

Posted on 17 Aug 2009

Asean FTA with Australia, NZ by 2010

The Asean-Australia and New Zealand Free Trade Agreement (FTA) is expected to be in force from Jan 1, 2010.

 

Economic ministers from the 10-member Asean and their counterparts from the two countries agreed during a meeting here on Saturday to expedite the internal process so that the FTA could be implemented next year.

 

Australia and New Zealand are important trade partners of Asean, with the bilateral trade in 2008 valued at US$67.2bil. The two countries are the region’s seventh largest export market.

 

Asean’s major exports include fuel, machinery, motor vehicles, gold and electrical appliances.

 

Its imports, worth US$23.3bil last year, comprise fuel, gold, milk and dairy products, aluminium and cereals.

 

International Trade and Industry Minister Datuk Mustapa Mohamed, who is leading the Malaysian delegation at the 41st Asean Economic Ministers Meeting here, said the private sectors from both sides should play a greater role in implementing the FTA.

 

Malaysia’s trade with Australia and New Zealand reached US$7.5bil in 2008 while in the first six months this year, it totalled US$4.2bil.

 

Asean economic ministers also signed a letter of understanding with South Korea on the product-specific rules of origin to facilitate trade.