ANZCERTA has been recognized by the World Trade Organization (WTO) as a model free trade agreement covering a wide range of trade issues, mainly all trans-Tasman trade in goods, including agricultural products, and services. A preferential trade agreement, such as the Australia-New Zealand Trade Agreement for Closer Economic Relations (CER), provides preferential access to preferenceally manufactured products. Trade preferences extend the protected market which, in both countries, is available to domestic producers. Duty-free access available to Australian producers in New Zealand can extend New Zealand customs protection to Australian producers and vice versa. All products that comply with the ERC`s rules of origin can be exchanged duty-free between New Zealand and Australia. The Australia-New Zealand Closer Economic Relations Trade Agreement (CER) is a free trade agreement between the governments of New Zealand and Australia. On March 28, 1983, the treaty itself was signed only by the Australian Deputy Prime Minister and Trade Minister Lionel Bowen and the New Zealand High Commissioner for Australia, Laurie Francis, in Canberra, Australia. Australia is our largest trading partner in services. 21% of our services exports go to Australia ($NZ $3.8 billion) and services imports from Australia account for 29.4% ($5.1 billion) of all our services imports. The 2013 ERC Investment Protocol is an ambitious investment agreement and maintains the ERC`s status as one of the most comprehensive free trade agreements in the world. The protocol reduces compliance costs and provides trans-Tasman investors with greater legal certainty by setting higher thresholds for foreign investment. Austrade can help Australian companies become familiar with local market conditions and help develop export opportunities through a number of market and Australian services. 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. In both the Australian and New Zealand business communities, there was a request to extend the ERC to other Pacific Island states by harmonizing the ERC and the Pacific Regional Trade Agreement (PARTA) in order to move towards an internal market and allow the free movement of people and goods. [Citation required] 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. The 1988 CER Protocol on Trade in Services (external link) allowed the free trade of almost all services and allowed New Zealand and Australia full access to the other company`s market. The protocol contains certain exclusions (areas where unlimited access is not granted) that have been regularly reviewed and have been significantly reduced over time. 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. 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 ERC was built on the former New Zealand Free Trade Agreement (NAFTA), signed on August 31, 1965 and entered into force on January 1, 1966.