Foreign direct investment between New Zealand and Australia reached nearly $66 billion in March 2017. Australia is our number one destination for foreign investment. In March 2017, New Zealand benefited from a $12.6 billion direct investment in Australia. At $53 billion, Australia is the largest source of foreign direct investment in New Zealand. Since 1983, trade between New Zealand and Australia has continued to grow. Trade in Tasman trans goods was $14.5 billion. Our merchandise exports to Australia were $8.3 billion, or 17.1% of our total exports. The South Pacific Regional Trade and Economic Cooperation Agreement (SPARTECA) is a non-reciprocal trade agreement in which NZ (with Australia) provides preferential tariff treatment for certain products that are the production or production of Pacific Forum countries (known as the Forum Island Countries). For NZ products exported to an Island Country Forum, there is no preferential rate. For more information on rules of origin and agreement, visit Fact Sheet 8 (PDF 701 KB). One of the main results of the ERC was the Protocol on Accelerating the Free Movement of Goods, which led to the total abolition of tariffs or quantitative restrictions between the two countries until 1 July 1990, five years earlier than planned. Calendar: The ERC replaced the 1965 Australian Free Trade Agreement (NAFTA) in New Zealand.
Discussions began in the late 1970s and a new agreement was reached in December 1982. The ERC came into force in January 1983. The Australia New Zealand Closer Economic Agreement (ANZCERTA), which came into force in 1983, was the first bilateral agreement in Australia. ANZCERTA has created one of the most open and successful free trade agreements in the world. Revised rules of origin for trans-Tasman trade came into effect on September 1, 2011. For more information on the rules of origin for ANCERTA and general instructions for using the agreement, see fact sheet 20 (PDF 268 KB). More information can also be found on the MFAT website. For most products, it is not necessary for products originating in NZ under this agreement to be accompanied by a certificate of origin issued by a certification body. Organizations such as CANZUK International have also called for the ERC and Trans-Tasman Travel to be extended to the UK and Canada, allowing free trade and free movement of people in four of the Commonwealth`s largest empires. Free trade agreements (FTAs) support NZ distributors (exporters and importers) by improving access to partner markets and removing trade barriers (for example. (B) customs procedures) in these markets.