"KAFTA [Korea-Australia Free Trade Agreement]'s entry into force at this time will mean that many Australian exporters will benefit from an immediate tariff cut by Korea, and a further tariff cut on 1 January 2015; shoring up our competitiveness in our third largest export market," Australian minister for trade and investment Andrew Robb was quoted as saying in the press release.
Upon full implementation of the agreement, tariffs are to be eliminated on 99.8% of Australian goods exported to South Korea. Australia's Foreign Ministry also sees opportunities for the increased export of services.
"I urge Australian businesses to take full advantage of this Agreement," Robb added.
Robb's announcement came after South Korea's National Assembly ratified the agreement on Tuesday. Similar agreements have been brokered with Japan and China by Australia's Prime Minister Tony Abbott since he assumed office in 2013. The South Korean agreement is due to be the first of this trio of Asian deals to come into effect.
Tuesday also saw South Korea's parliament ratify a free trade agreement with Canada. However, Ottawa still needs to complete full ratification at their end.
