Foreign policy deals with the issues which will shape Australia's strategic place in an increasingly globalised security and economic environment.
Foreign Minister Julie Bishop says enhancing prosperity is also a fundamental aim of the nation's foreign policy.
Ms Bishop says the world is changing rapidly and Australia must find smarter and better ways to solve problems, meet challenges and embrace opportunities.
"Our economic diplomacy agenda underpins the Coalition's economic plan for jobs and growth and is reflected in the free trade deals that we have already concluded with China, Japan, South Korea and our new comprehensive partnership with Singapore. Thousands of Australian businesses are benefiting under these trade deals, which means more jobs here in Australia."
Ms Bishop says Australia must ensure the United States remains focused on the Asian region after the upcoming American presidential election.
The Foreign Minister says it's in Australia's national interest to maintain the closest possible relationship with whoever wins the US presidency.
Opposition Foreign Affairs spokeswoman Tanya Plibersek says there is no reason Australia should choose between increasing trade ties with China and the military alliance with the US.
She says it's perfectly possible for Australia to maintain both diplomatic relationships.
Opposition defence spokesman Stephen Conroy says a Labor government could give the Australian Navy the go-ahead to undertake independent naval exercises in disputed waters of the South China Sea.
"I would give the armed forces the authority to conduct one if they believed it was necessary and safe.”
Defence Minister Marise Payne says the government does not comment publicly on the future activities of the defence force.
But she says it is in Australia's interests to have a stable and secure region.
"We support the right of nations to operate freely in international space in accordance with international law and our position in that has not changed in relation to any states.
Australia's level of foreign aid too is seen as important.
One billion dollars was cut from foreign aid in the Abbott government's 2014/15 budget, coming on top a funding freeze made by former Treasurer Joe Hockey.
Another $224 million in cuts was announced in the last budget with the numbers depreciating further in following years.
Tanya Plibersek says a Labor government would reverse the cuts, but Ms Bishop argues there are better and more efficient ways to deliver aid and assistance.
Fighting terrorism is another major issue.
Australia's commitment to help defeat the self-proclaimed Islamic State is estimated to cost more than $500 million a year and there are still Australian troops in Afghanistan helping with the international effort there.
Both parties are committed to helping the international effort to combat terrorism.
Opposition Foreign Affairs spokeswoman Tanya Plibersek says Labor supports the Australian action Iraq and Syria but Labor is calling for a better approach to handling the issues of humanitarian aid.
But she says Labor would have to very carefully consider any further requests for additional support in Afghanistan.
