Australia and China are to sign a free trade agreement that Canberra says will open up markets worth billions of dollars to Australian exporters.
China and Australia have sealed a major free trade agreement, as Chinese President Xi Jinping made a rare address to parliament in Canberra.
The deal is expected to give Australian dairy farmers, winemakers and other sectors tariff-free access to the huge Chinese market within a few years.
The deal, which comes after a decade of negotiations, will open up markets worth billions of dollars, Canberra says.
In his speech, Mr Xi vowed China would pursue peaceful development with Australia and other nations.
Mr Xi is on a state visit to Australia following the G20 summit.
The trade deal is expected to give Australian dairy farmers, winemakers and other sectors tariff-free access to the huge Chinese market within a few years.
Meanwhile, China is seeking greater access for its investment projects across Australia.
Meanwhile, China is seeking greater access for its investment projects across Australia.
However, some critics in Australia warn the deal could be a disaster.
Josh Frydenberg, parliamentary secretary to Australian Prime Minister Tony Abbott, said the agreement would be worth up to A$18bn (£10bn; S16bn) over the next few years.
Senator Bill Heffernan, a senior member of Australia's Liberal Party, said last week that China's refusal to float its currency could give it a big advantage over Australia.
Mr Xi told parliament the deal would "create a high level platform and provide better institutional arrangements for our economic co-operation".
The deal comes with the Chinese president in Australia. Xi Jinping attended this weekend's G20 summit in Brisbane and is due to address the Australian parliament later in the day.
A Declaration of Intent was signed after Mr Xi's address.
'Great news'
Mr Abbot, referring to a similar deal signed between China and New Zealand in 2008, said: "It's at least as good for our agriculture as New Zealand got about six or seven years ago - and their dairy exports to China have gone up from under half-a-billion to over three billion".
Prime Minister Tony Abbott announced on Monday that negotiations on the deal had been completed.
However, some critics in Australia warn the deal could be a disaster. Senator Bill Heffernan, a senior member of Australia's Liberal Party, said last week that China's refusal to float its currency could give it a big advantage over Australia.
A declaration of intent is to be signed by Trade Minister Andrew Robb and Chinese Commerce Minister Gao Hucheng later in the day undertaking to prepare the legal texts in both languages for signature, a statement said.
"I look forward to making further announcements on this landmark agreement later today," Mr Abbott said.
He described the deal as "better for Australian agriculture".
And referring to a similar deal signed between China and New Zealand in 2008, he added: "It's at least as good for our agriculture as New Zealand got about six or seven years ago - and their dairy exports to China have gone up from under half-a-billion to over three billion."
Josh Frydenberg, parliamentary secretary to Mr Abbot, said the FTA would be worth up to A$18bn (£10bn; S16bn) over the next few years, according to Australia's ABC broadcaster.
"Up to 95% of our exports over time will enter the Chinese market tariff-free," Mr Frydenberg said.
The deal would be of a great significance to the two nations' economic relations, Chinese Deputy Finance Minister Zhu Guangyao was quoted as saying by Xinhua during the G20 summit.
It would be the third FTA signed by Canberra this year, following similar agreements with South Korea and Japan.
Meanwhile, Senator Heffernan warned that Australia should have learnt from its past experience that not all trade deals benefitted both signatories.
"I think there are certain questions that have to be asked. How do you really have a trade agreement with a country that won't put their currency on the market?" he told ABC.
"How do you manage good times, bad times, high interest rates, low interest rates?" he added.
He said Australia should learn from its trade agreement with the US, saying: "We did away with 5% and 15% tariffs and within a few years we found ourselves at a huge trade disadvantage because we had a 45% currency tariff against us because we went to parity with the US [dollar] and above parity at one stage."
In the past two decades, trade between Australia and China has grown substantially, with China now Australia's largest two-way trading partner, according to the Australian Department of Foreign Affairs and Trade.
In the past two decades, trade between Australia and China has grown substantially, with China now Australia's largest two-way trading partner, according to the Australian Department of Foreign Affairs and Trade.
In 2013, trade between the two countries was worth A$150bn.
In 2013, trade between the two countries was worth A$150bn.
