The Australia-Chile Free Trade Agreement entered into force on 6 March 2009. It was Australia's fifth FTA and the first with a Latin American country.
The FTA covers goods, services and investment. From 1 January 2015, all tariffs were eliminated except sugar, which retains a tariff of six per cent for Australian exports to Chile. Since its entry into force there has been a significant increase in Australian companies operating in Chile and expanding their business in Latin America more broadly.
Then Minister for Foreign Affairs, Stephen Smith and his Chilean counterpart, Alejandro Foxley, signed the Australia-Chile FTA (ACIFTA) in Canberra on 30 July 2008. The text of the Agreement was tabled in the Australian Parliament on 17 June 2008.
Key interests and benefits
- Elimination of almost 92 per cent of tariff lines covering 97 per cent of merchandise trade upon entry into force
- Elimination of tariffs on all existing merchandise trade from 1 January 2015
- National treatment for Australian goods, services and suppliers in the Chilean market for procurements above agreed value thresholds.
- Locks in both sides' liberal services and investment regimes.
- Locks in both sides' high standards of IP protection for patents, trademarks, geographical indications and copyright.