The Free Trade Party, officially known as the Australian Free Trade and Liberal Association, also referred to as the Revenue Tariff Party in some states, was an Australian political party, formally organised in 1887 in New South Wales, in time for the 1887 colony election, which the party won. It advocated the abolition of protectionism, especially protective tariffs and other restrictions on trade, arguing that this would create greater prosperity for all. However, many members also advocated use of minimal tariffs for government revenue purposes only. Its most prominent leader was George Reid, who led the Reid government as the fourth Prime Minister of Australia (1904–05). In New South Wales it was succeeded by the Liberal and Reform Association in 1902, and federally by the Anti-Socialist Party in 1906. In 1909, the Anti-Socialist Party merged with the Protectionist Party to form the Commonwealth Liberal Party.

The 1887 New South Wales colonial election was held between 4 February and 26 February 1887. This election was for all of the 124 seats in the New South Wales Legislative Assembly and it was conducted in 37 single-member constituencies, 23 2-member constituencies, seven 3-member constituencies and five 4-member constituencies, all with a first past the post system. Part 1 of the Electoral Act of 1880 had awarded the right to vote to 'every male subject of Her Majesty of the full age of twenty-one years and absolutely free being a natural born or naturalized'. The previous parliament of New South Wales was dissolved on 26 January 1887 by the Governor, Lord Carrington, on the advice of the Premier, Sir Henry Parkes.