Relationship with trading partners should be on ‘acceptable terms’

AN open door policy on trade and investment is welcomed but must be done on terms that are commercially, socially and politically acceptable, according to the Papua New Guinea Chamber of Commerce and Industry (PNGCCI).
Responding to questions from The National, president Ian Tarutia said the country needed to continue to attract direct investment to bring foreign exchange, create jobs, pay taxes, train locals and stimulate the overall PNG economy.
Tarutia’s comments follows a 60 Minutes Australia report on security concerns expressed by Australia over China’s apparent interest in having a military presence in the Pacific.
“We note Prime Minister (James) Marape’s response that aside from the usual trade, commerce and investment opportunities under current bilateral arrangements, no Chinese military presence will be set up in PNG,” he told The National.
“From a trade, commerce and investment perspective, PNGCCI welcomes an open door policy of friends to all, enemies to none.
“But this must be done on terms and conditions that are commercially, socially and politically acceptable to both parties and not disadvantageous to our country.
“We must continue to attract direct foreign investment, so it brings in forex, creates jobs, pay taxes, train our people and overall stimulates our economy.”
Tarutia said on trade, outside of oil, gas and minerals exports, PNG needed overseas markets to continue buying its agricultural commodities and for downstream capacity to be improved. “We must continue all endeavours to become economically sustainable as a country,” he said.
Tarutia added that it was an opportune time to revisit and reset trade, commerce and investment criteria with traditional partners such as Australia, the United States, Europe and Japan in order to optimise outcomes for our businesses and the people.
He said tourism was an underdeveloped sector in the country which could benefit from this refocusing.
Tarutia added that more Papua New Guineans could also be recruited under the labour mobility programme and for easier visa approvals for Papua New Guineans to travel to Australia.
“Outside of government contact, we need more business-to-business and people-to-people engagement on the ground to make things happen,” he said.
“Australia’s renewed interest and commitment to step up relations with Papua New Guinea and the Pacific is timely and we look forward to further engagements at political level to pave the way forward for our businesses and people to engage better and more meaningfully.”