Transcript
JOHN LEAHY: The Chamber of Commerce, at least, is generally quite free trade. So we wouldn't normally be supporting trade restrictions and Papua New Guinea has had a history of opening up its borders under the World Trade Organisation arrangements over about a decade or so now, and it's proved to be quite successful I think, by-and-large. However in this case, while I'm not necessarily supportive of the exact measure that the minister has suggested, he does have a bit of a point in that Fiji has been restricting access to PNG products; in particular the canned corned beef product and I believe they've been trying to export rice and that's been restricted as well. So he does have a point, it's a bit of blunt instrument and I don't have the data to know which country would be worse off as a result of a trade embargo between Papua New Guinea and Fiji - I mean perhaps third countries will benefit to some extent - but I think any sort of restriction would be a lose-lose situation. But if it does get the outcome the minister's looking for, and that is for Fiji to open up its borders to PNG products, then I suppose that's a good thing. I'm sort of hopeful that it doesn't really amount to a trade war and that common sense will prevail and that Fiji will take this as sort of a clear message that PNG's not very happy about it.
JAMIE TAHANA: And so what is behind Fiji's ban, do you know?
JL: Oh no you'd have to ask them. I mean, they do export to Papua New Guinea and so they would be exposed to a trade retaliation on PNG's side. In particular, their bottled water is quite popular here for reasons that frankly escape me because the local product is fine, so I guess that would be one of the products that is affected by a trade ban.
JT: Just how much business is there between Papua New Guinea and Fiji? What effect could an embargo have?
JL: Yeah sorry I don't have the figures in front of me, and I don't think it's that significant. PNG's trading partners are mainly Australia, Malaysia, increasingly China, a little bit to Indonesia, so I don't think Fiji ranks very highly on the list but I haven't looked at the figures for quite some time so I couldn't tell you now, but it does impact on those particular products. I think the minister regards it as a bit of a matter of principle as well in that, why would the rest of us who are moving towards sort of more of a free trade environment, you know, should Fiji, a particular Melanesian brother nation, in a sense, be wanting to restrict PNG goods going in.
JT: Are there other less significant measures Mr Maru could take instead of going straight to retaliatory actions?
JL: I think they have explore through more sort of diplomatic channels and through the processes of consultation under the Melanesian Spearhead Group arrangements. I believe they've taken the matter up through those sorts of avenues and I have been aware of the minister's increasing frustrations with not being able to get results, so perhaps he's at the end of his tether and, you know, what we would see as a bit of a blunt instrument, but if the threat of it does get some action on Fiji's part well then I suppose it will have been a good move.
