Independent Review – Department of Foreign Affairs and Trade
On 20 March 2017, the Minister for Trade, Tourism and Investment the Hon Steven Ciobo MP tabled the text of the Agreement to Amend the Singapore Australia Free Trade Agreement (SAFTA) in the Parliament.
The SAFTA entered into force in 2003. It forms the central pillar of Australia’s economic relationship with Singapore and provides the legal framework for the trading relationship between the two countries. While all Australian products are able to enter Singapore tariff free under SAFTA, Australian service exporters continue to face barriers in Singapore’s market. This amendment will address key trade barriers and update the Agreement to reflect modern trade provisions and outcomes provided to more recent FTA partners by both Australia and Singapore. Australian stakeholders expected to benefit from the amendment include Australian universities, Australian professional service providers and companies in transport and construction sectors. Australian exporters to Singapore will also face a reduction in ongoing business compliance costs.
The Department of Foreign Affairs and Trade (DFAT) certified the Analysis of Regulatory Impact on Australia as meeting the requirements of a regulation impact statement (RIS). Under the Government’s RIS system, the Office of Best Practice Regulation (OBPR) does not assess independent reviews. DFAT estimated the average annual regulatory cost saving for businesses claiming preferential treatment under the Agreement to Amend SAFTA to be $3,828.