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CAM MCCARTHY is officially a Fremantle Docker after the club used pick No.3 to reach a deal with Greater Western Sydney.

The Dockers have handed over pick No.3 in return for McCarthy and picks seven, 34 and 72 in the 2016 NAB AFL Draft.

McCarthy, 21, has signed a three-year contract with the Dockers.

WATCH: Get excited, Cam McCarthy joins Freo

He has not played a game at AFL level since round 23, 2015 – he played 20 matches in the 2015 season with the Giants before leaving the club to return to Perth to work through some mental health issues.

The Dockers tried to secure McCarthy in last year's NAB AFL Trade Period trade period, but the Giants held their ground.

McCarthy remained in Perth this season and has been training twice a week with WAFL club South Fremantle throughout 2016.

South Fremantle coach Todd Curley told AFL.com.au last month that McCarthy was in good shape to return to AFL level in 2017.

Fremantle list manager Brad Lloyd said the Dockers were very pleased to finally get their man.

"We're really excited about getting Cam to Fremantle," Lloyd said.

"He's a talented young player who is a proven performer at AFL level.

"We are really looking forward to seeing Cam pull on a Fremantle jumper in 2017."

McCarthy's manager Andrew McDougall told NAB AFL Trade Radio on Tuesday that the youngster was in great shape.

"Cam's done everything right," McDougall said.

"He's been training hard with South Fremantle. He pretty much did every session bar playing. So he's super fit.

"Once he has a pre-season with Freo he's going to be even fitter and he's looking forward to round one. It's just a great day for Cam and his family."

GWS football manager Wayne Campbell said the Giants were happy to release McCarthy from the final year of his contract to allow him to play with Fremantle in 2017.

"With Cameron's strong desire to return to Western Australia, we worked closely with his management team to facilitate a deal that we feel benefits everyone involved," Campbell said. 

"Cam's welfare was always the priority for everyone at the Giants and the club wishes him the very best for the rest of his career. 

"Securing the third pick in the draft is significant as it puts us in a strong position to further enhance our playing list." 

McCarthy has kicked 36 goals in 21 games at AFL level after he was initially drafted to the Giants from South Fremantle with pick No.14 in 2013.

The deal now gives the Dockers a chance to progress onto other deals to try to secure Hawthorn triple premiership player Bradley Hill and Geelong forward Shane Kersten.

McDougall said the Kersten deal was "very close" and that something could happen in the next few days.

The Giants' move up the draft order from No.7 to No.3 could help them land prime academy prospect Will Setterfield without using their first pick.   

It is unlikely either Essendon or the Brisbane Lions, who hold the first two picks in the draft, would bid on Setterfield, a tall midfielder rated a genuine top-10 chance. 

This would allow GWS to select a top prospect with No.3 and then match any early bid for Setterfield with a combination of later picks under the father-son and academy bidding system.