It will enable the two countries to complement each other's economic advantages, boost win-win cooperation, bring mutual benefits and promote the in-depth development of bilateral economic and trade ties, according to China's Ministry of Commerce.

The deal is reportedly worth around $18 billion. According to News Corp Australia reports, 85 percent of all Australian exports will enter China tariff-free under the deal, while the Sydney Morning Herald reported that tariffs for 93 percent of Australian goods exported to China will be cut to zero before 2019. Tariffs applying to Australian coal will be exempted in two years too.

Businesses in both countries will enjoy easier access to each other's market, and people in both countries will be able to buy the products and services from each other's country at a much lower price. For example, Chinese consumers will be able to enjoy good-quality but cheaper Australian goods including dairy products, wines, seafood and horticultural products.

China is forging ahead with broader and deeper reforms, and its economic development has been shifting from an investment-driven model to a consumption-driven one. It is also optimizing its energy consumption structure. As a result, demand for Australian energy and mineral resources has been decreasing, which has created a lot of concern in Australia.

Australia, for its part, is eyeing for a transition from a reliance on exports of minerals such as coal and iron ore to expanding its food and agricultural exports to a growing Asian middle class, moving from a "mining boom" to a "dining boom".

Hence, an FTA is a natural choice as well as good opportunity for Beijing and Canberra to adjust their trade structure and open up new horizons for bilateral trade to continue to prosper. A change from the past resource-heavy pattern of bilateral trade will inject vitality in bilateral trade in a host of other areas such as agriculture and animal husbandry.

From a regional perspective, the game-changing FTA process will have a far-reaching influence on regional economic development, and it will promote Asia-Pacific regional integration and galvanize the global recovery.

A successful conclusion to the China-ASEAN FTA negotiations promises a bright future for China-Australia relations.

The ASEAN-China Free Trade Area, launched on Jan 1, 2010, is a free trade agreement between China and the 10 member states of the Association of Southeast Asian Nations. ASEAN statistics indicate the two-way trade volume reached $350.5 billion in 2013, accounting for 14 percent of ASEAN's total trade and representing an increase of 9.7 percent year-on-year. Both sides have vowed to upgrade the ACFTA by the end of 2015.

Beijing hopes the FTA arrangements will play a positive role in fostering a just international and regional trade order.

As Australia has shown a growing interest in strengthening its interaction with the Asia-Pacific region, the China-Australia FTA also represents a significant step forward for it in that direction.

As more and more players in the region are strengthening their bonds with one another for closer and reciprocal trade ties, common development and prosperity for the region will not remain a faraway dream.

The author is a senior writer with China Daily. wanghui@chinadaily.com.cn