Fiji has decided not to proceed with the PACER Plus Agreement, which was signed by Pacific Island Leaders along with Australia and New Zealand in Tonga in 2017. Permanent Secretary for Trade Shaheen Ali explained that the decision was based on the agreement’s insufficient flexibility and benefits to adequately address potential risks and costs.
During the PACER Plus Plenary Session, Ali noted that the initial step towards PACER Plus began with Fiji and Papua New Guinea’s signing of the Interim Economic Partnership Agreement with the European Union in 2008, which triggered the ‘Most Favoured Nation’ clause in PACER. The negotiations for PACER Plus spanned from 2009 to 2017, with Fiji joining discussions in 2014 after being suspended from the Forum.
Despite its delayed involvement, Ali emphasized that Fiji made significant contributions to the negotiations, resulting in several flexibilities in the PACER Plus agreement that may not have been included without Fiji’s participation.
The Ministry of Trade has announced that Professor Chris Noonan from the University of Auckland will lead Fiji’s efforts to renegotiate its inclusion in PACER Plus. Ali highlighted that Professor Noonan played a crucial role in Fiji’s negotiations for the Indo-Pacific Economic Framework (IPEF), a trade agreement that also includes Australia, New Zealand, and Fiji.