Govt, US working on trade deal

Business

By DALE LUMA
THE Government and the United States of America are working on a trade and investment framework agreement to boost trading between them.
US ambassador to PNG Erin Mckee told The National that the focus would be bilateral trade opportunities in agriculture and other sectors. She said they needed to increase the trade volume between the two countries.
“It (trade volume) is not big enough,” Mckee said.
“We have been working hard to conclude what’s called a trade and investment framework agreement.
“It is not a free trade agreement,” she said.
“It’s a foundational agreement between our two countries to start exploring specific two-way trade opportunities whether it’s in the agricultural sector, creative industry sector or other areas.
“We can use this as the basis to ultimately form a free trade agreement. But it is not enough and is something that I must improve while I’m here.”
In 2017, PNG’s total exports to the US was valued at US$113 million (K397.55mil) of which US$395,000 (1.3mil) comes under generalised systems of preference (GSP).
The GSP programme is a US government arrangement that enables market accessibility into the United States by focusing on non-tariff products and providing duty free access.
The US tariff schedule included 4,084 products including water, wood, most energy and metallic ores, vanilla, coffee, fresh fish, coral, turmeric, information technology, medicines and medical equipment.
Around 3,256 products were eligible for GSP benefits including sugar, fresh and chilled taro, ginger, value-added wood products, jewellery and crafted goods.

6 comments

  • It’s good to see that now US is waking to our need after after Chinese assistance towards PNG. I see this point as stepping to cut chinese influence in the Pacific

  • USA too late. You were not here for us when we needed you absconded. In your absence we already have a look north policy and have a good working relationships with Asian countries including China. China is our second biggest partner in trade, USA will match this investment.

  • Excellent work this should be promoted and transfer the products going to China to now work with the USA.
    China has already screwed PNG and stolen our local economy.

  • Long overdue USA.

    Thank you also to China for waking up USA and Australia to start taking notice of PNG’s worth in the Asia Pacific region!

    Good to see USA having a permanent Embassy Building in PNG like Australia – a sign of good things to come between USA and PNG.

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