CHARLES YAPUMI | PNG Loop
PAPUA New Guinea will not support the current Pacific agreement on closer economic relations agreement (PACER Plus), says its trade minister Richard Maru.
PNG and Fiji, which have the two biggest economies in the Pacific apart from Australia and New Zealand, are against the trade agreement.
According to the Australian Department of Foreign Affairs and Trade, “PACER Plus negotiations offer an opportunity to help Pacific Islands Forum countries benefit from enhanced regional trade and economic integration.”
The agreement was introduced by Australia and New Zealand at a Pacific Islands Forum leaders meeting in 2009.
But Mr Maru is not keen.
“My view, as the trade minister of PNG, is not in position to be part of PACER Plus.
“Any trade agreement with Australia, New Zealand and other Pacific Islands that reduces employment and kills my manufacturing industry by removing tariffs and duty will never be acceptable in Papua New Guinea,” he said.
“Last year 23,500 Grade 12 students sat for exams but only 5,000 found places in universities and technical and teachers colleges and 18, 500 had to go back home.
“The world must realise the biggest single problem that PNG has is the unemployment of its young population.
“Any trade agreement we enter into as a country must be to grow the private sector, grow the manufacturing sectors and employment opportunities.
“PACER Plus in its current form, especially the push to remove tariffs and duties will kill our manufacturing sector,” Mr Maru said.