According to the OECD, the value of global annual trade in 1999 in higher education has been estimated at USD 30 billion. Australia is a major participant in international education: it is the third-largest international student destination in the English-speaking world behind the United States and the United Kingdom. In recent times, the Australian government has been very active in establishing free trade agreement with key trading partners. This article will discuss developments in bilateral and multilateral agreements and their implications for higher education. It will also look at the state of play of the World Trade Organisation (WTO) negotiations towards the General Agreement on Trade in Services. It will be presented from the perspective of an institution actively involved in overseas student recruitment and offshore delivery of programs/services.