The European Union has expressed its support for Papua New Guinea’s efforts in trade reform during the country’s fourth Trade Policy Review at the World Trade Organization (WTO) in Geneva. Speaking on Wednesday, EU Deputy Permanent Representative to the WTO, Antonio Fernandez-Martos, acknowledged the leadership of Ambassador Michelle Hau’ofa and recognized PNG’s newly established mission in Geneva as a pivotal step for enhanced collaboration on WTO matters.
Fernandez-Martos highlighted the Review as an opportunity to examine progress made since PNG’s last assessment in 2019. He reaffirmed the EU’s longstanding partnership with Papua New Guinea through various agreements, including the Cotonou Agreement and the EU-Pacific Economic Partnership Agreement. He praised PNG’s commitment to integrating trade policy into development strategies, particularly its aim to promote sustainable growth and diversify the economy beyond its historical dependence on the extractive industries.
The EU commended PNG for its active participation in the multilateral trading system and its focus on enhancing trade facilitation and regulatory transparency. Fernandez-Martos stated that PNG’s efforts to improve these aspects are essential for establishing a reliable and inclusive trading environment. PNG’s role as a co-sponsor for incorporating the Investment Facilitation for Development Agreement into the WTO framework was also acknowledged, along with encouragement for ratifying the WTO Agreement on Fisheries Subsidies.
However, the EU identified three key areas where reforms are necessary. First, it urged PNG to improve trade facilitation and customs procedures by ensuring uniform application of customs regulations across all ports of entry and addressing challenges related to inconsistent and high port charges. Second, the EU called for clarity regarding the Income Tax Act 2025, stressing that any new fiscal measures should foster legal certainty to maintain investor confidence. Lastly, the EU encouraged PNG to expedite the implementation of its National Electronic Single Window system, which has the potential to automate trade processes, reduce administrative burdens, and enhance transparency.
Fernandez-Martos concluded by reaffirming the EU’s commitment to supporting PNG in its reform agenda, wishing the nation success in its ongoing efforts to enhance its trade landscape. This collaboration presents an opportunity for PNG to boost its competitiveness and improve its integration into regional and global markets, fostering a promising outlook for its economic future.
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