The European Free Trade Association was established in 1960 by the Stockholm Convention to eliminate tariffs and other restrictions on trade between EFTA members. The creation of a free trade area including all countries in Western Europe was the ultimate aim of EFTA when it was founded. This ambition has come nearer to realisation with the entry into force on January 1, 1994 of the European Economic Area agreement between five EFTA countries and the 12 member states of the European Union.