This section contains information on Fiji’s bilateral trading arrangements with Australia, New Zealand, Malaysia, Papua New Guinea, the Republic of Korea, the United Kingdom and Vanuatu.

Fiji adopts an export oriented, outward-looking approach to trade relations. Import restrictions have been largely lifted in favor of export promotion, and as such Fiji now has a more open economy with increased volumes of both exports and imports. The more open trading approach has led to increased prosperity and opportunities in the economy, creating thousands of jobs in industries like garments, but it has also led to greater vulnerability. Fiji’s Bilateral Trade Agreement (BTAs) is with its closest neighbors and main trading partners. Such BTAs are with Australia, New Zealand and Pacific island countries such as Tonga, Papua New Guinea, and Samoa.The country completed its accession to the World Trade Organisation on 1 January 1996. But it has so far participated as a non-resident Member, making it difficult for our Government to keep abreast of events in the numerous negotiating groups, and to have our position/concerns fully taken into account. The Cotonou Agreement between the EU and ACP states is also of tremendous significance. This is primarily due to the sugar preferences Fiji enjoy under it, but also because of the agreement’s coverage of tourism, tuna and general development cooperation. Fiji enjoys benefits from a bilateral textiles agreement and under the Generalised System of Preferences with the USA. Further more Fiji is a member of the Pacific Agreement on Closer Economic Relations (PACER).(PACER) between Pacific Island Countries, Australia and New Zealand. At the regional level, Fiji is a member of the newly ratified Pacific Island Countries Trade Agreement (PICTA), aimed at free trade within the Forum Island Countries of the Pacific. Fiji is also members of the reciprocal Melanesian Spearhead Group (MSG) Trade Agreement, operating on a positive list basis, with its Melanesian neighbors. Moreover Fiji also benefit from the non-reciprocal South Pacific Trade and Economic Cooperation Agreement (SPARTECA) with Australia and New Zealand. In addition, Fiji hold bilateral trade agreements with Papua New Guinea and Vanuatu, also operating on a positive list basis, and non-reciprocal bilateral trade agreements with Tonga, the Cook Islands and Tuvalu. Free trade agreements within the Pacific are at an early stage of development. The costs are considerable to negotiate and implement these agreements, whereas the volume of trade concerned is still very small.

Trade preferences, commodity protocols and instruments of trade co-operation as stipulated under the Cotonou Agreement are also highlighted.  The Cotonou Agreement is not a trade agreement but covers WTO-compliant trading arrangements between African Caribbean Pacific (ACP) countries and the European Union (EU).  The Cotonou Agreement replaces the present non-reciprocal preferential trading arrangement between the ACP and EU.

The ACP secretariat has developed a draft Action Plan in the context of the above, and Fiji has derived its own national Action Plan concentrating on capacity building and the formulation of a consultative and negotiating mechanism which adequately represents and involves major stakeholders in the negotiating process for a new partnership agreement with the EU under the Cotonou structure.