Discussions have begun with the government of East Timor on a phased withdrawal of New Zealand troops and police.
More than 100 military personnel and 25 police officers from New Zealand are posted in East Timor as it builds its own forces.
In February, Prime Minister John Key gave a commitment that New Zealand will maintain its presence there until the end of 2010.
Defence Minister, Wayne Mapp, who's visiting East Timor, told Morning Report the security situation is improving so discussions have begun on how the withdrawal will occur.
Over time, he says New Zealand wants to move to a more normal defence relationship with East Timor.
