Australian emergency services and border officials will be trained on security responses from Israeli teams who are experienced in terror protection.
Australian police, paramedics, firefighters and Defence personnel will learn new methods of protecting buildings, carrying out surveillance and using biometrics from Israeli experts.
The initiative will see Australian emergency services and border officials travel to Israel, to draw from that country's vast experience in keeping people safe in public areas and air cargo security.
Prime Minister Malcolm Turnbull recently launched Australia's strategy for protecting crowded places from terrorism, which in part was informed by the Israeli experience.
Officers from transport security and the Department of Immigration and Border Protection will also be allowed to travel to the Middle East to learn how to better target and screen air cargo, collect and use screening data and how goods transported by air are cleared or banned.
The announcement came as Mr Turnbull wrapped up his 48-hour visit to Israel for the centenary of the Battle of Beersheba on Tuesday.
The prime minister earlier held meetings with Israeli Prime Minister Benjamin Netanyahu in talks focused on defence and terrorism, with an emphasis on cyber security.
The leaders witnessed the signing of a new memorandum of understanding to allow greater co-operation between the two nations' defence industries.