The Australian Regional Trade for Development Facility

The Australian Regional Trade for Development (RT4D) Facility is an AUD46 million initiative by the Australian Department of Foreign Affairs and Trade (DFAT) to support trade and investment in South-East Asia.  

It will also strengthen the capacity of ASEAN members to engage with and benefit from two regional Free Trade Agreements (FTA): The Regional Comprehensive Economic Partnership (RCEP) and the ASEAN Australia New Zealand Free Trade Agreement (AANZFTA).  

Complementing the work directly supporting FTA implementation, RT4D will establish an AUD5 million Trade and Gender Equality Incubator (TGEI) that will fund research and pilot initiatives that advance gender equality within trade. 

Tetra Tech is the managing contractor and is delivering RT4D along with consortium partners EY and Nathan Associates.

Situation:

The upgrade to the ASEAN-Australia-New Zealand Free Trade Agreement implementation is occurring within a context of shifting geostrategic relationships and the legacy of COVID-19. Building on the strong foundations of the original landmark AANZFTA, the upgrade is an important and new milestone in the region’s economic integration, unlocking a range of new outcomes to ensure it meets the needs of today’s traders and investors. 

With the Regional Comprehensive Economic Partnership (RCEP) having come into force in 2022, RT4D comes at a time of regional political and economic change, recalibration of national trade agendas, and uncertainty of the global power balance. 

It is the RT4D Facility’s role to foster and enhance regional trade and investment in South-East Asia within this dynamic and evolving landscape. 

Solution:

Funded by Australia and New Zealand, the Regional Trade for Development Facility (RT4D) is the umbrella programme for the ASEAN-Australia-New Zealand FTA (AANZFTA) Implementation Support Programme (AISP) and the Regional Comprehensive Economic Partnership (RCEP) Agreement Implementation Support Programme (RISP). It aims to support ASEAN economies to meet their commitments and realise the full benefits of an upgraded AANZFTA and RCEP. 

Co-located in Jakarta (within the ASEAN Secretariat) and Hanoi, the RT4D Facility team comprises of 10 highly qualified and skilled professionals to support economic cooperation across the region. 

Key elements of the RT4D Facility role will be providing ASEAN economies with world-class technical expertise and support for economic cooperation activities, providing monitoring, evaluation, and learning support, supporting increased engagement and relationship-building between businesses and AANZFTA Parties, providing assistance to Cambodia, Lao PDR and Vietnam to support their engagement with the FTAs, and supporting communications and media efforts to promote AANZFTA and RCEP. 

Result:

As an external partner, RT4D Facility will support ASEAN to achieve its economic integration goals, which are essential for continued regional economic growth, prosperity, and stability. 

The facility will deliver: 

• Research and advisory services on trade and investment areas under the Free Trade Agreement (FTA) 
• Training and capacity building for government officials from ASEAN Member States on FTA implementation 
• Public awareness and training for the private sector (with an emphasis on Cambodia, Lao PDR, and Vietnam, in addition to women led MSME’s owned and other disadvantaged groups) to help them take advantage of new opportunities under the FTAs. 

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