World Trade Organization
Agreement on Government Procurement
Australia became the 48th member of the World Trade Organization Agreement on Government Procurement when the Agreement entered into force in Australia on 5 May 2019.
What is the WTO GPA?
The Agreement on Government Procurement (GPA) is a World Trade Organization (WTO) plurilateral agreement that opens government procurement markets between its members.
Greater opportunities for Australian businesses
Australia's membership of the GPA affords Australian businesses of all sizes reciprocal, legally binding access to the government procurement markets of the 47 current GPA members worth around A$2.5 trillion each year. The European Union and its 27 member states, including Germany and France, as well as the United Kingdom, the United States, Canada, Norway, Japan, New Zealand and Chinese Taipei are all members of the GPA.
Membership of the GPA will continue to grow, opening up more markets to which Australian exporters will enjoy access. Twelve additional parties are currently in the process of acceding to the GPA. This includes the United Kingdom, which is seeking to accede in its own right after the transition period provided for under the EU-UK Withdrawal Agreement. China is seeking to accede and has a total procurement market estimated to be worth up to US$2.5 trillion. In May 2020, Brazil launched its GPA accession, the first country in Latin America to do so. This would help open up Brazil’s estimated US$230 billion government procurement sector.
Under the GPA, Australian exporters of goods and services benefit from a level playing field in global government procurement markets, with businesses enjoying significantly expanded access to be able to bid for government procurement opportunities internationally. This includes increased access to markets where Australia does not have free trade agreements, as well as expanded access that builds upon existing free trade agreement commitments. For example, Australian suppliers now have legally binding access to procurement opportunities in seven additional US states, including Arizona, Massachusetts, Minnesota and Wisconsin, building on current access under the Australia-United States FTA.
New opportunities are available in areas of strength for Australia, such as financial services, accounting, auditing, management consulting, information and telecommunications related services, architecture, engineering, and environmental protection services, education, insurance and construction services.
Benefits are not just limited to services. Australia's areas of export strengths in goods such as health and pharmaceutical supplies, water purification and sewage treatment equipment, and environmental goods, will be able to access new opportunities.
Businesses can access international government procurement opportunities online
Details of the opportunities for Australian businesses to participate in the GPA's A$2.5 trillion market are available on the WTO e-GPA Portal.
The e-GPA Portal also provides details on how to access procurement opportunities in each GPA member market.
Continuing to support Australian businesses to grow and prosper
The Australian Government provides support for Australian importers and exporters through the Australian Trade and Investment Commission. You can also access government grants and programs through the Grants and Assistance Programs finder.
Australia negotiated a range of exceptions to the GPA, which ensure continued flexibility to protect our national interests, including supporting small and medium-sized enterprises and Aboriginal and Torres Strait Islander businesses.
Australia's accession to the GPA required no changes to Commonwealth procurement policies or programs that support Australian businesses, including the Indigenous Procurement Policy.
Australia's GPA Accession
On 5 April 2019, Australia submitted its instrument of accession to the WTO. The GPA entered into force for Australia on 5 May 2019.
Accession to the GPA reinforces Australia's support for the multilateral trading system and the importance of trade rules. Australia's accession to the GPA demonstrates the commercially meaningful outcomes that the multilateral system can provide for exporters.