Fiji is set to eliminate duties on certain imports from European Union member states as part of its commitment to fully implement the Interim Economic Partnership Agreement (IEPA), a trade agreement between the EU and several Pacific nations.
This announcement was made in Suva by Manoa Kamikamica, Fiji’s Deputy Prime Minister for Trade, MSME and Communications, along with Valdis Dombrovskis, the European Commission’s executive vice-president and Commissioner for Trade.
According to the Trade Ministry, the IEPA is a trade and development initiative designed to facilitate bilateral trade that supports sustainable development and integrates Fiji into the global economy. The EU has already removed customs duties and quotas on all imports from Fiji, and now Fiji will begin phasing out duties on the agreed tariff lines for imports from EU member states, known as the committed basket of tariff lines.
However, certain tariffs on selected imports from the EU will still apply to safeguard Fijian food security and support domestic value chains, referred to as the exclusion basket of tariff lines.
The IEPA is anticipated to enhance Fiji’s fisheries sector, particularly the tuna industry, by enabling cheaper sourced inputs for locally made products. The agreement offers an advantageous global sourcing provision, permitting duty-free and quota-free exports of processed tuna to the EU, regardless of where the fish is caught, provided it is processed in a Pacific IEPA state.
Fiji aims to attract greater investment in its fisheries export sector, hoping to replicate the successes achieved by Papua New Guinea, its fellow IEPA partner.
The IEPA was signed by Fiji and the EU in 2009, with the EU implementing it soon afterward, while Fiji commenced its application of the agreement in 2014.