Fiji must heed PNG’s warning

THE threat by Trade, Commerce and Industry Minister Richard Maru to pull the plug on imported products from Fiji must be fully supported by the political leadership and the business sector, especially local manufacturers.
For too long the Government has ignored, deliberately or otherwise, the trade imbalance between PNG and Fiji to our country’s detriment.
Maru has now given the awakening call by warning Fiji of a “serious trade war against PNG” if it fails to explain satisfactorily why it continues to disallow PNG products, including Ox & Palm corned beef and Trukai rice, into their market.
Indeed, our trade minister is totally fed up with Fiji’s arrogant attitude.
“Over the last 10 years, (trade) ministers before me had tried their best to push Fiji to remove the ban on Ox & Palm and Trukai Rice. This never eventuated. Now is the time to take action.”
Maru, being one of the O’Neill regime’s frontline generals, does not mince his words.
Hopefully, his Fiji counterpart will take the threat seriously so as to prevent a trade war with PNG.
If such a conflict eventuates, it will have dire consequences on trade but may also affect other economic sectors as well as bilateral relations between the two largest Pacific Island nations.
We agree that it is totally unfair for Fiji to ban some PNG products and expect all their products to gain entry into our market with ease.
Are some of PNG’s products not good enough for the Fiji market or are the Fijians scared that our popular corned beef and rice will outsell and rapidly dominate their market?
Maru’s revelation last Thursday of the current trade imbalance between PNG and Fiji is astounding, to say the least.
Last year, PNG exported K16.6 million worth of products to Fiji and imported K52.2 million worth of Fiji products – a trade deficit of K36.6 million.
In 2014, PNG exported K4.4 million worth of goods to Fiji and imported K48.6 million.
Maru has been banging his head against the wall trying to get Fiji’s minister for trade, tourism and industry to clarify the restriction on some PNG products. And it seems that his counterpart’s reluctance is giving him more than a headache. Maru’s threat of a trade war is the culmination of a decade of ignorance and arrogance on the part of our Melanesian neighbours.
There will be no winners in such a conflict but PNG stands to lose much less than Fiji, hence it is in their interests to respond promptly and favourably to Maru’s request for clarification on product restrictions.
Historically, PNG has always given Fiji preferential treatment, more so than the smaller island nations.
As members of the Pacific Islands Forum and the Melanesian Spearhead Group, the two countries have developed a very special bond that goes beyond trade and economic borders.
It started during the heydays of founding prime ministers and avid golfers Sir Michael Somare of PNG and late Ratu Sir Kamisese Mara of Fiji.
Indeed, Melanesian politics and the annual Ratu Mara Cup golf tournament set the stage for this unique relationship that has flourished under successive governments.
PNG continues to recognise Fiji’s successive military regimes despite loud protests from Australia and New Zealand.
While Fiji is a business destination for some PNG companies, including Bank South Pacific, Mineral Resource Development Company and Credit Corporation, it is a popular travel destination for many of our citizens, some of whom have families and homes there.
Likewise, PNG offers employment, business and investment opportunities for Fiji citizens and companies.
Prior to Telikom PNG’s recent takeover of EMTV and Digicel’s entry into online media, Fiji companies virtually controlled our electronic media industry.
A PNG-Fiji joint venture, Bemobile-Vodafone, is competing against Irish giant Digicel for our lucrative mobile phone market.
There is a sizeable Fiji community in Port Moresby, whose members benefit through employment and business opportunities.
Sadly, this special bond may be severed if Fiji refuses to lift its restriction on some of our products.
Hopefully, the Bainimarama regime will come to its senses and respond favourably to PNG’s expression of concern.
As our trade general warned, a negative response will result in a serious trade war.