RESTRICTED  
  
WT/TPR/G/ 444 
24 May 2023  
(23-3518) Page: 1/17 
Trade Policy Review Body   Original: English  
 
 
TRADE POLICY REVIEW  
REPORT BY  
FIJI 
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the 
Marrakesh Agreement Establishing the World Trade Organization), the policy statement by Fiji is 
attached.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: This report is subject to restricted circulation and press embargo until the end of the first 
session of the meeting of the Trade Policy Review Body on Fiji. WT/TPR/G/ 444 • Fiji 
 
- 2 - 
 
 Contents  
1   INTRODUCTION  ................................ ................................ ................................ ..........  3 
2   ECONOMIC DEVELOPMENT  ................................ ................................ ..........................  4 
2.1   Macroeconomic developments  ................................ ................................ .....................  4 
3   PERFORMANCE OF MAJOR SECTORS  ................................ ................................ ............  5 
3.1   Micro, small and medium enterprises (MSMEs)  ................................ ...............................  5 
3.2   Agriculture (non -sugar)  ................................ ................................ ..............................  5 
3.3   Agriculture (sugar)  ................................ ................................ ................................ .... 6 
3.4   Manufacturing  ................................ ................................ ................................ ...........  7 
3.5   Textile, clothing and footwear ................................ ................................ ......................  7 
3.6   Mining  ................................ ................................ ................................ .....................  8 
3.7   Forestry  ................................ ................................ ................................ ...................  8 
3.8   Fisheries  ................................ ................................ ................................ ..................  9 
3.9   Services  ................................ ................................ ................................ ..................  10 
3.9.1   Tourism  ................................ ................................ ................................ ................  10 
3.9.2   Business process outsourcing  ................................ ................................ ..................  11 
3.9.3   Audio -visual  ................................ ................................ ................................ ..........  11 
3.9.4   Registration of skilled professionals  ................................ ................................ ..........  12 
4   TRADE DEVELOPMENTS AND INVESTMENT POLICY  ................................ ...................  12 
4.1.1   Trade policy objectives  ................................ ................................ ...........................  12 
4.1.2   Domestic laws and regulations governing trade  ................................ ..........................  13 
4.1.2.1    Investment reforms  ................................ ................................ .............................  13 
4.2   Regional Trade Agreements  ................................ ................................ .......................  14 
4.2.1   Melanesian Spearhead Group (MSG)  ................................ ................................ .........  14 
4.2.2   Pacific Island Countries Trade Agreement (PICTA)  ................................ ......................  14 
4.2.3   The European Union (EU) - Pacific Interim Economic Partnership Agreement  ...................  15 
4.2.4   The United  Kingdom (UK) -Pacific Interim Partnership Agreement  ................................ .. 15 
4.2.5   Trade and Investment Framework Agreement (TIFA)  ................................ ..................  15 
4.2.6   Indo-Pacific Economic Framework (IPEF)  ................................ ................................ ... 15 
4.2.7   Agreement on Climate Change, Trade and Sustainability (ACCTS)  ................................ . 15 
5   FIJI AND THE GLOBAL TRADING SYSTEM  ................................ ................................ .. 16 
5.1   Implementation of WTO Agreements  ................................ ................................ ...........  16 
5.2   Preferential Trading Arrangements (PTA)  ................................ ................................ ..... 16 
5.2.1   South Pacific Regional Trade and Economic Cooperation Agreemen t (SPARTECA)  ............  16 
5.2.2   Generalized System of Preferences (GSP)  ................................ ................................ .. 16 
6   CONCLUSION ................................ ................................ ................................ .............  17 
 
 
  WT/TPR/G/ 444 • Fiji 
 
- 3 - 
 
 1  INTRODUCTION  
1.1.  Fiji is pleased to submit its fourth Trade Policy Review (TPR) report. Since the last Review in 
2016, the Fijian economy has faced many challenges emanating from internati onal as well as 
domestic events. The Fijian economy experienced nine consecutive years of growth from 2010 to 
2018 followed by a small contraction of 0.6 % in 2019.  In 2020 and 2021, however, the economy 
was severely impacted by the COVID -19 pandemic becaus e of the need to halt international travel 
and tourism, which is the engine of the Fijian economy, in order to curb the spread of the disease.  
During the pandemic, Fiji also experienced three devastating cyclones.  As a result, the Fijian 
economy suffered its largest ever annual drop in output of 17.0 % in 2020, which was followed by a 
further contraction of 5.1 % in 2021.  
1.2.  While the economic consequences of the pandemic still linger, the Fijian economy is on its path 
to recovery. After vaccination t argets were met and the international borders were reopened in 
December 2021 and tourism resumed, the economy is estimated to have grown by 15.6 % in 2022, 
recovering much but not all ground lost during the pandemic.  
1.3.  The tourism -led economic turnaround is accompanied by a significant increase in activity in 
several major service sectors including the accommodation and food services; transportation and 
storage; wholesale and retail trade; and business service sectors (primarily the finance and 
insurance sect or).  
1.4.  In terms of merchandise trade, between 2016 and 2022, total annual exports rose by 20.3 % 
to FJD 2,323 million, while total annual imports increased by 36.9 % to FJD 6,599 million.  
1.5.  Since the last TPR, Fiji has undertaken reforms to promote investment,  trade and economic 
growth. As part of the reform package, Fiji now has an Investment Policy Statement that sets the 
vision, objectives and principles of the Fiji Government for investment growth.  The Investment Policy 
Statement identified the policy and s trategic changes required to further improve the investment 
environment in Fiji.  The Statement set out a pathway for legislative review and reform.  To make Fiji 
a competitive and dynamic investment destination, the Investment Reform Map identified the need  
to attract "efficiency -seeking " investments, that is, investments that are targeting exports. These 
strategies reinforced the overall vision of the "Trade Policy Framework 2015 -2025" to "Position Fiji 
as an internationally competitive, dynamic and vibrant  economy serving as the hub of the Pacific ".  
1.6.  To enhance the opportunities for micro, small and medium enterprises (MSMEs), with the 
growing manufacturing base and integration of the Fiji economy into the global economy, significant 
policy and structural r eforms were undertaken. In 2017, over 20,850 MSMEs were registered in Fiji, 
which meant 97% of all businesses established were MSMEs. MSMEs contribute 18% to the GDP and 
employ 37% of Fijians who are in formal employment. However, these figures did not ful ly capture 
the MSME contribution to Fiji 's economic growth.  Reforms initiated in 2017 were intended to 
formalise the informal MSME sector.  
1.7.  In 2018, a central coordinating agency for MSMEs was established, called MSME Fiji.  This saw 
the repeal of the Small and Micro Enterprise Development Act 2002 in 2019, and the role of the 
National Centre of Small and Micro Enterprise Development absorbed by the Ministry of Trade, Co-
operatives  and Small and Medium Enterprise s. In 2020, Fi ji's first MSME Policy Framework was 
launched.  
1.8.  The Fiji Government recognizes MSMEs a s a critical component for sustainable economic growth 
and strongly believes that a robust and healthy economy can be built through coordination and 
collaboration between  and among all the players in the economy. Since 2016, a number of policy 
initiatives and programmes have been announced to assist MSME growth. These initiatives provided 
targeted support to MSMEs through grants, micro -loans, business -related training and mentoring.  
In 2018, the Young Entrepreneur Scheme was launched to provide support for people between 18 
to 40 years, who want to start a business, by providing grant funding for start -ups. 
1.9.  The MSME Policy Framework also seeks to facilitate the growth of th e MSMEs through 
streamlining business approval processes.  WT/TPR/G/ 444 • Fiji 
 
- 4 - 
 
 1.10.  In 2018, the Fiji Government initiated legislative and process reforms to facilitate doing 
business in Fiji. The reforms focused on policy, legislation and procedures to increase efficiency and 
improve productivity. The reforms also laid the foundation for the harnessing of technology and the 
digitalisation of the processes. This first required a business process review and the identification of 
any redundancies and process overlaps. The reforms esta blished an online platform that for the first 
time provided investors with relevant information on a single online platform.  The repeal of 
unnecessary legislation and processes has led to improvement in business processes and savings in 
compliance costs fo r businesses.  A risk -based process for starting a business was adopted in 2020.  
1.11.  On the fiscal front, Fiji has undertaken initiatives to improve financial accountability, good 
governance and public expenditure management. Financial Management Reform initia tives will 
continue to be implemented by the Government to strengthen accountability and transparency, as 
well as prudent management of public resources.  
1.12.  Fiji has continued to work towards international economic integration by participating actively 
in the  Melanesian Spearhead Group (MSG), the Pacific Island Countries Trade Agreement (PICTA), 
the African and Caribbean Group of States (ACP), and the World Trade Organi zation (WTO).  
1.13.  As a small island developing states  (SIDs) trade remains an integral part of t he Fijian 
economy. Fiji remains committed to pursuing policies aimed at enhancing international market 
opportunities for Fijian goods and services, as well as the diversification of Fiji 's export product base.  
1.14.  Following Fiji 's General Election on 14 Decemb er 2022, a new Coalition Government was 
formed. The previous Government had been in power for 16 years. The Fiji Government hosted a 
National Economic Summit on 20 –21 April 2023. A wide cross -section of the community and 
stakeholders from the private secto r, civil society, academia, union representatives and industry 
leaders were invited to participate and contribute towards this important national policy dialogue 
and consultation process. These discussions will help inform the Government 's short, medium, a nd 
long term economic policies and strategies.  The twelve thematic areas of Macroeconomic 
Management, Key Growth Sectors, Governance and Reforms, Human Development, Rural and Outer 
Island Development, Land Based Activities, Marine, Indigenous Participation , Water Resource 
Management, Transport and Energy were identified to structure the work towards the Government 's 
overarching objectives of inclusive economic security, social justice, conscientious governance, 
political stability, indigenous participation in development and environmental sustainability.  
2  ECONOMIC DEVELOPMENT  
2.1  Macroeconomic developments  
2.1.  The Fiji economy has changed over the last few decades and is now predominantly made up of 
services (70.6%) followed by manufacturing (19.1%) and the primary s ector, including agriculture, 
forestry and fisheries, production (10.3%) in terms of composition. The domestic economy grew by 
an average 4.0 % from 2015 -2018 and rebounded strongly by growing 15.6 % in 2022 after 
recording three consecutive years (2019 -2021) of decline.  
2.2.  Inflation rate stood at 1.4 % in 2015 and 4.3 % in 2022. The spike in inflation in 2022 was 
largely due to supply side shocks caused by the Russia n Federation  – Ukraine war and the spillover 
of higher prices (particularly on food and energy) in Fiji 's major trading partners.  
2.3.  In the period under review,  Fiji continued to pursue prudent fiscal policies with the objective 
of consolidating fiscal discipline, reducing non -priority expenditures so as to direct more resources 
to priority areas, and prudent budget execution.  
2.4.  Fiji's external position improved si gnificantly during the review period. Total foreign exchange 
reserves increased from FJD 1.9 billion in 2016 to around FJD 3.4 billion in 2022, which is sufficient 
to cover 6.9 months of retained imports of goods and non -factor services. As at March 2023, foreign 
reserves stand at FJD 3.3 billion, equivalent to 6.1 months of retained imports of goods and non -
factor services.  
2.5.  Generally, the Fiji economy during the end of last review recorded economic decline. The 
economic growth decline was partly caused by the spill -over effects of the global slowdown, impacts WT/TPR/G/ 444 • Fiji 
 
- 5 - 
 
 of natural disasters, pandemic and other structural impediments. Growth in the past review period 
was also constrained by external factors such as reduction in sugar preferential prices and the 
erosion  of tariff margins for textiles and clothing exports.  
2.6.  In 2019, Fiji's recorded level of investment was 19.4 % of GDP. Because of the impact of the 
COVID -19 pandemic, the level of investment in Fiji declined to 16.2 % of GDP in 2020. The 
forecasted level of  investment in 2021 is above 18 % of GDP.  
2.7.  The key indicators supporting growth for 2022 include investment lending (25.0%), imports of 
investment goods (13.6%), new jobs advertised  (140.1%), personal remittances (23.1%), visitor 
arrivals (1 ,912.5%) and dom estic cement sales (20.3%). Other contributors to the growth for 2022 
include increase in new commercial bank lending (5.2%), sugar production (17.0%), new vehicle 
sales (30.4%), new consumption lending (32.1%) and electricity consumption (15.8%). Another 
major factor contributing to a sustained increase in growth is the business -friendly initiatives of the 
Government (including tax breaks and incentives) and implantation of policies to facilitate 
investment.  
3  PERFORMANCE OF MAJOR SECTORS  
3.1  Micro, small and medium enterprises (MSMEs)  
3.1.  The Fiji Government has a dedicated department for MSMEs called MSME Fiji under the Ministry 
of Trade , Co-operative s and  Small and Medium Enterprises.  This was established following the repeal 
of the Small and Micro Enterprises De velopment Act in 2019.  
3.2.  MSME Fiji is responsible for formulating, implementing and enhancing policies and strategies 
for the development of MSMEs. In particular, MSME Fiji facilitates business training, business 
advisory and access to finance. MSME Fiji is  also responsible for monitoring and evaluating the 
implementation of MSME -related projects.  
3.3.  MSME Fiji currently administers five grant funding programmes for MSMEs. These are the 
Young Entrepreneurs Scheme, the National Export Strategy, the Trade Enhancem ent Programme, 
the Northern Development Programme and the Integrated Human Resources Development 
Programme.  
3.4.  The Fiji Government continues to work with stakeholders, including the Reserve Bank of Fiji, 
Fiji Revenue Customs Services, Fiji Commerce and Employ ers Federation and Business Assistance 
Fiji, to accelerate development within the sector. This includes the drafting of legislation, the 
collection of MSME data and coordinating with financial institutions to enhance access to affordable 
finance.  
3.5.  Improvin g MSMEs access to finance forms one of the four core pillars under the National 
Financial Inclusion Strategy 2022 -2030 and remains a key focus of Government efforts post -
pandemic to help MSMEs recover.  
3.2  Agriculture ( non-sugar ) 
3.6.  The non -sugar agriculture sec tor is an important part of Fiji 's economy and on average 
contributes 8 % of the GDP, and accounts for around 3.8 % of domestic exports.  
3.7.  Food and nutrition security, and income and employment generation through a resilient 
agriculture sector is the primary focus of Government policy in this sector. The main commodities in 
this sector include root crops (dalo, cassava, yams, sweet potato and  yaqona), tropical fruits 
(pineapple, pawpaw and mango), vegetables, pulses, ginger, tobacco, rice, turmeric, spices, cocoa, 
and coconut products. The livestock industry produces beef, dairy, pork, poultry meat, eggs, sheep, 
goat and bee products. Major ag ricultural exports are kava, taro, turmeric, cassava and ginger and 
other fruits and vegetables.  
3.8.  Crop imports make up an average of 90% of the total volume of agriculture imports. The main 
crops imported are wheat, vegetables, rice, potatoes and fruit. Liv estock products make up an WT/TPR/G/ 444 • Fiji 
 
- 6 - 
 
 average of 10% of the total volume of agriculture imports. The majority of which is fresh and chilled 
lamb, beef and chicken products that are imported from New Zealand and Australia.  
3.9.  The performance of the sector continues to be  undermined by a combination of factors including 
vulnerability to natural disasters, inadequate infrastructure, restrictive bio -security measures by 
trading partners, high production and transportation costs, poor husbandry practices, market 
deficiencies and limited access to finance by farmers.  
3.10.  The Fiji Government has developed a strategy to increase production and productivity in the 
rural areas with a focus on poverty alleviation.  The Government has initiated, implemented and 
managed a number of initiat ives that supports the revitalisation of the sector. These initiatives 
include the Food Security Expansion Growth and Strategy. It covers the distribution of home 
gardening seed packages, securing household and village rice production and supply, securing village 
nutritional security, and village and settlement household poultry meat supplementation.  
3.11.  The Government has adopted other programmes including ( i) the Commercial Agriculture 
Development Programme (CADP) which aims to accelerate the transition from  subsistence farming 
to commercial agriculture level and ( ii) the Our Community Agriculture initiative to link farmers to 
nearby hotels. The latter initiative aims to promote the use of local products in the tourism sector 
and create new markets for the ru ral farmers.  
3.3  Agriculture ( sugar)  
3.12.  The sugar industry is a crucial sector in the economy of Fiji. It provides direct and indirect 
employment to over 200,000 people, contributes significantly to the country's foreign exchange 
earnings, and supports the liveli hoods of many rural communities. However, the industry has faced 
numerous challenges in recent years, including the end of the European Union 's preference scheme 
in 2017, declining yields, low prices, competition from other sugar -producing countries and cl imate 
change. From 2016 to 2020, two category -five storms inflicted nearly US D 100 million on the 
industry and damaged some 600,000 tonnes of cane. Since 2017, only three of the four mills were 
still operational. The fourth mill was shut down after sustain ing damage during tropical Cyclone 
Winston in 2016.  
3.13.  Fiji's sugar exports have been declining over the past few years. In 2016, Fiji exported 
139,888 metric tonnes (MT) of sugar, which increased to 152,924 MT in 2017. However, in 2021, 
Fiji's sugar exports  dropped to 80,368 MT. The sugar export normali zed in 2022 again, with 
144,280  MT of sugar exported in that year. The increase in exports can be attributed to higher 
production levels and the opening of new markets. The top export destinations for Fiji's s ugar are 
the European Union, United Kingdom, United States, Republic of  Korea, New Zealand, China and the 
Pacific Island Countries.  
3.14.  The world sugar market was adversely impacted by COVID -19 and the global lockdown. Due 
to a shortage of sugar in the world m arket, the world sugar price increased during the pandemic but 
dropped back afterwards. For Fiji, sugar sales to the domestic market and Pacific Island Countries 
saw positive growth.  
3.15.  The industry recorded some positive developments over the past few years,  including the 
modernization of its mills, the use of advanced farming technologies, and a focus on developing new 
value -added products. One of the major challenges facing the sugar industry in Fiji is the decline in 
cane production. Factors contributing t o this decline include ageing cane fields, declining soil fertility, 
and the impact of climate change. To address these challenges, the industry is exploring innovative 
solutions, such as the introduction of new cane varieties, improved farming practices, and the use 
of precision agriculture technologies. Guided by the research institute, Fiji 's sugar industry is 
currently implementing green manuring technology that increases soil fertility without reliance on 
chemical fertilisers that contaminate waterways . 
3.16.  These changes have improved the quality of the sugar produced in Fiji in several ways. These 
improvements have enabled the national industry to shift from exporting raw sugar in bulk to 
developing and marketing sugar as a finished, branded product for hi gher-value markets. These 
higher -quality, branded products have experienced rapid uptake in markets in New Zealand and 
several Pacific Island Countries (PICs). In 2018, Fiji resumed the shipment of sugar to the Chinese WT/TPR/G/ 444 • Fiji 
 
- 7 - 
 
 market. The Fiji Sugar Corporation la unched the "Sugars of Fiji " retail and export brand 
23 October  2019.  
3.17.  To further support the growth of the sugar industry in Fiji, the Government has launched 
several initiatives, including the Sugar Cane Industry Strategic Plan 2016 -2020 and the Sugar 
Industry Master Plan 2021 -2035. These plans provide a roadmap for the industry's growth, focusing 
on areas such as modernization, diversification, and value addition. Additionally, the Government is 
exploring opportunities to partner with international org anisations and investors to provide funding 
and technical expertise to support the industry's growth.  
3.4  Manufacturing  
3.18.  Fiji's manufacturing sector plays a vital role in the country's economy, accounting for 11 % of 
Fiji's GDP in 2021 and providing employment t o over 25,031 local workers or 10.1 % of total 
employment in Fiji in 2019. In 2016, the sector's contribution to the GDP was 11 %. The sector's 
contribution to employment and export earnings makes it a crucial part of Fiji 's economic growth 
and development plans. Fiji's manufacturing sector consists of various industries, including food and 
beverages, mineral water, textiles and clothing, tobacco, building materials, wood and wood 
products, and chemical and pharmaceutical products. The manufacturing sector a ccounted for 
25.7% of Fiji 's merchandise exports by value in 2021.  
3.19.  The food and beverage industry is one of the largest industries in Fiji's manufacturing sector. 
The industry comprises a wide range of subsectors, including sugar refining, beer and soft dr ink 
production, and canned fish production. The textiles and clothing industry is another significant 
industry in Fiji's manufacturing sector, contributing approximately 17% of the sector's total output. 
The industry produces clothing, footwear, and textil es, with garment production being the largest 
sub sector. The wood and wood products industry is a small but growing industry in Fiji's 
manufacturing sector, contributing approximately 2% of the sector's total output. The industry 
includes the production o f furniture, timber, and wood products such as plywood. The chemical and 
pharmaceutical products industry is a growing industry, contributing approximately 4% of the 
sector's total output. The industry includes the production of pharmaceuticals, soaps and detergents, 
and cleaning agents.  
3.20.  The Fijian Trade Policy Framework (FTPF) aims to improve and facilitate investment in the 
manufacturing sector with a view to increasing value addition and exports. Fiji has implemented 
several policies and initiatives aime d at promoting the growth and development of its manufacturing 
sector. The Government has provided tax incentives for investment in the sector, and there have 
been efforts to modernize and upgrade existing industries. Moreover, the Government has 
establish ed several export promotion agencies to facilitate market access for manufactured goods.  
3.21.  The Fiji Government also recogni zes the importance of certifying Fiji timber produced from 
sustainably managed and legally operated operations to ensure continued acce ss to export markets. 
Fiji has registered its own "Fiji Pure Mahogany " brand in 22 countries and completed associated 
certification processes for its unique and sustainable mahogany resource.  
3.22.  The Government also intends to continue working towards strengt hening the linkages 
between the MSMEs supplying raw and intermediate materials and large manufacturing firms in 
order to ensure sustainable domestic value chains.  
3.23.  Overall, the Government, as part of its strategy to diversify the country 's exports and impr ove 
earnings, will seek to encourage further value addition processes in the manufacturing sector.  
3.5  Textile, clothing and footwear  
3.24.  Textiles, Clothing and Footwear (TCF) sector is one of Fiji 's largest source of manufactured 
exports despite a downsizing of the industry, which has seen the number of factories fall from a 
peak of 130 in 1999 to between 35 -40 (in 2014) factories producing for the export and local markets. 
The TCF Council estimates indicated that the largest 6 -8 firms in the industry account for  85% of 
the industry 's exports and around 80 % of total employment in the industry.  WT/TPR/G/ 444 • Fiji 
 
- 8 - 
 
 3.25.  TCF exports contributed around 9 % of GDP in 2018. With the impact of the COVID -19 
pandemic, TCF exports declined to 8.8 % and 7.0 % of GDP, respectively. The forecasted contr ibution 
of TCF exports in 2022 is above 5 % of GDP. As of 2019, the TCF industry created employment for 
over 4,000 workers . 
3.6  Mining  
3.26.  The mining sector is emerging as an important economic sector and there is potential for it 
to become one of the key sectors for growth in future. Current mining sites are for gold (2), bauxite 
(2), silver (2), iron sand (1) and polymetallic (1).  In 2022, there were 8 mining leases but this 
number will decrease in 2023 to 6 as the bauxite sites are due to close.  
3.27.  Although intere st in deep -sea mining is intensifying, Fiji has reinforced its moratorium on 
deep-sea mining for 2020 to 2030 by making a commitment to that effect at the UN Ocean 
Conference in Lisbon, Portugal in 2020.  
3.28.  Mineral exploration licences and mining licences lea ses have decreased over the past five 
years due to the relinquishing or non -renewal of licences by the Department of Mineral Resources 
based on a review of performance of exploration companies in conducting bona fide exploration 
work. Licenses of explorati on companies performing poorly are either not renewed or relinquished.  
3.29.  The Fijian government 's encouragement of further exploration may produce discoveries of 
new prospects and advance existing projects towards mining. The new Tuvatu Gold Mine in Nadi, 
which is expected commence operation later in 2023, was the result of the discovery of high -grade 
gold ore.  
3.30.  The Government will continue to uphold the importance of sound regulatory environment to 
support the development of the mining industry. The Governmen t continues to ensure that 
environmental and social impact assessments and stakeholder engagements are undertaken prior 
to commencement of mining projects, and occupational health and safety standards are complied 
with.  
3.7  Forestry  
3.31.  Forests cover approximately 1.1 million hectares (ha) of Fiji 's landmass, which is equivalent 
to 60% of the country 's total land area. The forest cover comprises natural forests (82%), softwood 
plantations (7.4%), hardwood plantations (6.5%) and mangrove forests (4.1%).  
3.32.  The sector contributes 1.7% of Fiji 's real GDP and has the potential to grow further through 
sustainable forestry. Forestry and logging contributed 0.3 % to GDP in 2020, sawmilling and planning  
of wood contributed 0.7 %, and manufacture of furniture, wood p roducts, pulp and other articles 
thereof contributed about 0.6 %. 
3.33.  Exports of wood and articles of wood have been increasing since 2019 (rising from FJD 59 
million in 2018 to FJD 118.8 million in 2020) which is attributed primarily to growth in the productio n 
and export of pine wood chips to Fiji 's major markets, China, and Japan.  
3.34.  Guided by Fiji 's commitments to various conventions such as the Paris Agreement, United 
Nations Framework Convention on Climate Change, and the recent Seoul Forest Declaration, the Fiji 
Government  is dedicated to protecting, restoring and sustainably using and managing forests as one 
of the building blocks for social, environmental, and economic development.  
3.35.  Fiji's National Development Plan (2017 -2036) sets out strategies to sustaina bly manage and 
develop Fiji 's forest resources with policies to strengthen sustainable forest management, encourage 
private sector participation in plantation development and encourage the development of more 
timber products.  
3.36.  The forest sector is also shap ed by global and environmental programmes for climate change 
mitigation and adaptation. The areas identified under the REDD+ project not only protects Fiji 's 
Forests but boosts financial capacity through carbon trade mechanisms. There is currently a total of 
16 Forest Reserves (Yarawa, Suva/ Namuka Harbour, Naboro, Savura, Colo I Suva, Maranisaqa and WT/TPR/G/ 444 • Fiji 
 
- 9 - 
 
 Wainiveiota, Qoya, Vago, Draunibota, Buretolu, Nadarivatu, Saru Creek, Lololo, Wabu, Korotari, 
Taveuni) covering a total area of 13,191.72 ha and a total of 8 Nature Reserves Listing (Labiko, Vuo 
Island, Nadrivatu, Tomanivi, Naqaranibuluti, Ravilevu, Kiobo and Vunimoli) that covers a total land 
area of 5752.28 ha.  
3.37.  A 5-year Emission Reduction Programme Agreement (ERPA) signed between the Forest 
Carbon Partnership  Facility of the World Bank and the Fiji Government enhances Fiji 's tree planting 
programme, restoring ecosystem services and natural wealth in 20 Emission Reduction Programme 
sites. Apart from contributing to climate change mitigation, this Programme has the potential to 
generate up to US D 12.5 million (approximately F JD 26 million) in results -based payments for 
increasing carbon sequestration and reducing emissions from deforestation and forest degradation. 
It aims to reduce emissions by 2.5  million ton nes over 5 years.  
3.38.  Overall, the Fiji Government 's strategy is to establish a sustainable life cycle management, 
improve socio -economic impact of forests, and invest in the diversification and value -addition of 
forest products. The Government als o aims to improve forest research and publication of validated 
research, ensuring that its initiatives are guided by science. The Ministry of Forestry through its 
Research Division (FRD) shifted its research focus and priorities from timber -focused managem ent 
to far greater focus on protection, conservation and multiple -use management that gives attention 
to a wide range of goods and services.  
3.8  Fisheries  
3.39.  Fiji is located in the hub of the Pacific and has an exclusive economic zone (EEZ) of around 
1.28 million  sq. km and approximately 75% of Fiji 's population live within 5 km of the coast. As the 
third largest natural resource -based sector in the Fijian economy behind sugar and agriculture, the 
fisheries sector contributes around 1 % to GDP and 10 % of Fiji 's total export earnings in 2020.  
3.40.  The main contributor to the sector is commercial fishing, especially offshore tuna catches. 
Other significant elements include bêche -de-mer, aquaculture and inshore or coastal fishing. As per 
the Fiji Agricultural Census 2020, out of the 70,991 agricultural households reported in the country, 
29,450 households or 41.5 % were involved in fishing activities. Offshore fisheries are dominated by 
the commercial Tuna fishery. Generally, 42% of the Tuna caught is supplied to canneries, 37% as 
fresh fish export and 21% for domestic sales.  
3.41.  Inshore commercial fisheries consist of reef fish, invertebrates such as bêche ‐de‐mer and 
others. Reef fish and invertebrates are sold at urban domestic markets and roadside stalls. It is 
interesting to note the linkage between artisanal fisheries caught in rural areas and sold to urban 
dwellers in towns and cities around Fiji. Despite limitations in data, estimates of the value of inshore 
artisanal fisheries range between FJ D 14.6 million to FJD 53.7 million per year. Bêche ‐de‐mer is an 
export commodity and valued at an average of FJ D 11.0 million. Coastal inshore fisheries can be 
considered in two categories including subsistence fishing and artisanal fisheries.  
3.42.  The fisheries sector is crucial to Fiji 's economy; however, the sustainable development of the 
industry is impeded by illegal, unreported and unregulated (IUU) fishing, the impacts of climate 
change, natural disasters (warmer climate), instances of overfishing, and exploitation of inshore 
fishing  communities. The Government policy has been focused on combating illegal, unreported and 
unregulated (IUU) fishing, implementing sustainable fisheries management, enhancing Fiji 's food 
security, harnessing the full potential of Fiji 's aquaculture and insh ore fisheries, marine biodiversity 
conservation, and effective disaster management.  
3.43.  The compelling issue facing the offshore fisheries sector is the declining catch of tuna species, 
ageing fishing vessels, and the lack of financing facilities and infrastru cture to support the tuna 
industry. Concerns raised by the private sector are that foreign fishing fleets from Distance Water 
Fishing Nations (DWFN) are dominating offshore fishing in the Pacific and that they benefit from high 
subsidies received from thei r governments. The viability of Fiji 's domestic tuna industry is under 
threat because of the catches of these foreign fishing vessels. Future viability of the tuna industry 
in Fiji is at risk as climate models indicate that albacore will migrate further so uth while bigeye and 
yellowfin tuna will move eastward. It is critical for Fiji 's domestic tuna industry to improve its 
efficiency and foreign fisheries subsidies are controlled to cushion the impact of climate change and 
position the industry for future g rowth.  WT/TPR/G/ 444 • Fiji 
 
- 10 - 
 
 3.44.  The total provisional catch by the domestic longline fleet (catches inside and outside Fiji EEZ) 
for 2020 was 12,661 mt of which 11,186 mt or 88 % were tuna catches. Despite the slight increase 
in catches in 2018 and 2019 at around 15,000 mt on aver age, by 2020 there was a significant drop 
in catch to around 12,661 mt. It may be inferred that COVID -19 affected the economics of the tuna 
industry where the number of Fiji -flagged operating licensed vessels declined from 60 vessels to 40 
vessels.  
3.45.  The Nat ional Ocean Policy (2020 –2030) sets out how Fiji will meet its international, regional, 
and national commitments on oceans and progression to the integrated management of Fiji 's entire 
EEZ by 2030. The policy aims to achieve 5 % marine protected areas with in Fiji 's EEZ by 2024, with 
eventual expansion to reach 30 % of the country 's waters by 2030. The policy also supports greater 
inclusion of women in ocean management and to restore and maintain the health of Fiji 's ocean 
areas, provide food security, guide  the management and development of sustainable fisheries within 
the offshore, inshore and aquaculture sub -sectors, as well as creating more ecotourism 
opportunities. The marine protected areas will need to be carefully considered and balanced with the 
needs of the industry to ensure its sustainability.  
3.46.  Fiji is also signatory to other key conventions and protocols that are geared towards 
addressing loss of biodiversity resources such as the Cartagena Protocol on Biosafety, the Nagoya 
Protocol, Wetlands Conv ention, Convention on Biological Diversity and Convention on International 
Trade of Endangered Species of Wild Flora and Fauna (CITES). Implementation through policy and/or 
legislative instruments has been slow. Operationalization has met capacity challeng es for lead 
agencies including vague policy directions, funding constraints and limited technical capacity. In 
2019, Fiji ratified the Port State Measures Agreement to prevent, deter and eliminate IUU caught 
fish landing in Fiji 's ports. As already noted, Fiji reinforced its support for a 10 -year moratorium on 
deep sea mining (2020 to 2030) at the UN Ocean Conference in Lisbon, Portugal in 2022.  
3.47.  It is widely acknowledged that fisheries subsidies contribute to overcapacity and overfishing. 
Fiji actively part icipated in the World Trade Organi zation (WTO) negotiations on the Agreement on 
Fisheries Subsidies that aims to discipline subsidies that contribute to overcapacity and overfishing 
and to eliminate subsidies for illegal, unreported and unregulated fishing . If the 'second wave ' of the 
negotiations are successfully concluded, a major step forward will be taken to ensure sustainable 
ocean fishing and securing the future of Fiji 's fishing industry.   
3.9  Services  
3.9.1   Tourism  
3.48.  Tourism is Fiji 's largest earner of foreign exchange.  Growth in to urism earnings will continue 
to be critical to Fiji achieving sustainable economic growth objectives.  
3.49.  In 2016, the industry was adversely affected by the devastation caused by tropical Cyclone 
Winston. The wrath of the cyclone led the Fiji Government to re -examine its approach to sustainable 
growth, specifically in the tourism sector.  The result was the development of Fijian Tourism 2021, a 
5-year development plan for the sustainable growth of the sector and the aim of making tourism a 
FJD 2.2 billion indus try. The principal focus of the plan is to maximise tourism yield, while achieving 
a sustainable growth rate of visitor arrivals. Increasing the value that tourism brings to Fiji is central 
to the strategy. The plan also provided strategies for linking the  sector to other economic sectors, 
infrastructure development, and development of quality tourism products. All elements of the plan 
had sustainability at the core.  
3.50.  In 2019, Fiji was well on track to achieving its vision of a FJD 2.2 billion industry.  Tourism 
earnings in 2019, was approximately FJD 2.1 billion, with 894,389 visitors.  However, in 2020 the 
visitor numbers took a nosedive.  With the rapid onset of COVID -19 globally and with the international 
borders closing in March 2020, the thriving industry came to a halt; wiping out 40% of the Fiji 
economy with over 100,000 people losing their jobs in the tourism industry.  
3.51.  Strong Government action permitted Fiji to become among the first countries in the world to 
open its international borders to tourists in  December 2021. The requirement for pre -departure 
tests, COVID -19 vaccination, amongst other strategies ensured the safe re -opening of the tourism 
industry. The tourism industry earnings rebounded from FJD 36 million in 2021 to FJD 1,449.3 million WT/TPR/G/ 444 • Fiji 
 
- 11 - 
 
 in 2022,  which is 72.6% of 2019 levels. The sector also contributes (directly and indirectly) to the 
employment of close to one third of Fiji 's total labour force.  
3.52.  To maintain the sustainable growth of the industry, the Fiji Government is working towards a 
new Nat ional Sustainable Tourism Framework that will serve as a successor to the Fijian Tourism 
2021 Development Plan. The 10 -year framework will aim to provide a roadmap to revitalize and 
enhance Fiji Tourism industry's competitive positioning and equitable grow th and to anticipate the 
future state of visitor needs and visitor markets. It will articulate the strategic direction of the tourism 
sector and will provide the blueprint for the industry.  
3.9.2   Business process outsourcing  
3.53.  The business process outsourcing (BPO) industry in Fiji currently employs about 3,000 Fijians 
and contributes approximately FJD  70 million in foreign exchange annually.  Services offered by the 
BPO industry in Fiji are offered in multiple languages including English, Fijian, Hi ndi, Spanish, French, 
Italian, Dutch, German, Swiss German, Portuguese and Tamil. The services include call centre 
service, airline reservations, back office administrative support, accounting and bookkeeping, back -
end transactional support, data entry, de bt collection, Helpdesk services, software support, website 
development, graphics design, telemarketing, social media and web marketing.  
3.54.  The COVID -19 pandemic saw the recognition of Fiji as a risk diversification location for global 
businesses within the BPO industry due to the continuity of its operations throughout lockdown and 
restrictions. This has seen companies transferring not just portions but outsourcing all of their 
operations to Fiji. Australia and New Zealand remain the largest source market fo r BPO.  
3.55.  Fast and secure internet is provided by the Southern Cross Cable which connects New 
Zealand, Australia and the U nited States. The Fiji Government is also planning a second cable to 
provide an added contingency. BPO firms invest in back -up generator s and uninterruptible power 
supply systems to ensure business continuity.  
3.56.  The BPO industry has provided opportunities for global exposure, economic growth and 
development, job creation and employment opportunities, and skills, knowledge and technological 
development.  
3.9.3   Audio -visual  
3.57.  The audio – visual sector plays a key role in the sustainable growth of the economy. The Fiji 
Government in 2019 announced an amendment to the film rebate from the previous 47% qualifying 
spend to 75% of local spend.  The 75 % tax re bate scheme led to a boost in productions.  
3.58.  In 2019, a total of 107 productions were shot in Fiji which generated new economic activity 
worth FJD 444.21 million and created 2,787 jobs during the productions. In 2020, the number of 
productions decreased to 13 which generated new economic activity worth FJD 946,148 and created 
only 10 jobs during the productions. This decline was contributed by the closure of borders and 
restriction of entries due to the COVID -19 pandemic.  
3.59.  In light of the socio -economic impa ct of the COVID -19 pandemic, the Fiji Government 
announced a temporary suspension of film rebate payments and processes. However, in 2021, an 
arrangement for a 5 -year payment period to settle the payments of film rebates to productions was 
announced by the  Government. As such, FJD 40 million is being allocated for each financial year to 
settle outstanding film rebates. The Fiji Government continues to remain committed in settling these 
rebate payments.  
3.60.  In 2022, the Fiji Government announced the reduction o f the film tax rebate scheme from 
75% to 20 % of local expenditure. Despite this reduction, Fiji continues to receive interest from film 
productions under the 20 % film tax rebate incentive. The sector still faces challenges in attracting 
bigger budget film productions. This has been compounded by th e lack of necessary infrastructure 
such as film studios, a large water tank (for underwater filming), adequately trained and skilled crew 
and support actors.  WT/TPR/G/ 444 • Fiji 
 
- 12 - 
 
 3.61.  In order to facilitate the growth of the sector, the Fiji Government will continue to support the 
promotion of film and television productions because it increases Fiji 's visibility on the international 
stage, which boosts tourism.  
3.9.4   Registration of skilled professionals  
3.62.  The Skilled Professionals Evaluation Committee (SPEC) is empowered by the Registrati on of 
Skilled Professionals Act (2016) to process applications for work permits and professional registration 
expeditiously in sectors where Fiji needs skilled professionals. An application can be made for special 
registration of skilled professionals so l ong as the specialized skills are scarce within the Fijian labour 
market.  
3.63.  Since its inception in 2016, SPEC has received a total number of 128 applications from a range 
of sectors.  Applications inform the SPEC on potential sectors facing shortages in skill ed professionals.  
The top three  sectors that make up most of SPEC applications are pharmacists, veterinary surgeons 
and providers of speciali zed areas of medicine such as cardiothoracic surgeons.  
4  TRADE DEVELOPMENTS AND INVESTMENT POLICY  
4.1.  Fiji remains commit ted to pursuing liberal policies aimed at promoting the expansion of markets 
at bilateral, regional and multilateral levels as well as to the diversification of Fiji 's exports of goods 
and services and export markets. The Government during the review perio d continued to engage 
with partners within the region under the frameworks of the MSG, Pacific -African Caribbean Pacific 
(PACP) States as well as PICTA.  
4.2.  Fiji is currently in the process of negotiating the Agreement on Climate Change, Trade and 
Sustainabil ity and the Indo -Pacific Economic Framework, and continues to actively participate in the 
African Caribbean Pacific (ACP) States integration and in the multilateral trading system.  
4.3.  The Fiji Government continues to place the utmost importance on internation al trade and seeks 
bilateral, regional and multilateral integration with like -minded countries. It views international trade 
as a key mechanism to achieve sustainable economic growth, diversify its economy, generate 
employment, improve international compet itiveness and establish Fiji as the hub of the Pacific. Fiji 
continues to promote international trade and maintain market access to its traditional markets and 
create pathways in emerging markets.  
4.4.  Fiji's major trading partners are Australia, New Zealand, t he People 's Republic of China, 
Singapore, the United States , Japan, the United Kingdom and Pacific Island countries. Altogether, 
these countries account for 76.5 % of Fiji 's total goods. Between 2016 and 2022, Fiji continued to 
pursue opportunities to trade  with other countries and diversify the range of products and services 
exported.  
4.5.  Duty free access to products was provided in line with Fiji 's commitments within both the MSG 
and PICTA.  High transport and communications costs continue to be the greatest ba rrier to 
deepening integration within regional and global markets.  This is mainly due to inadequate and poor 
state of infrastructure in Fiji and the region.  In addition, the combination of non -tariff barriers in 
foreign markets and institutional capacity l imitations to effectively deal with sanitary and 
phytosanitary measures and technical barriers to trade inhibit Fiji 's ability to increase exports.  
4.1.1   Trade policy objectives  
4.6.  The Ministry of Trade, Co -operatives and Small and Medium Enterprises is the princip al 
Government body responsible for trade policy formulation and implementation. It collaborates 
closely with other government departments and agencies responsible for implementation of other 
aspects of trade policy.  
4.7.  Fiji has institutionali zed the involvem ent of the private sector in trade policy through 
consultative forums and committees which meet regularly to discuss trade and related issues 
relevant to Fiji. The main institutional framework to implement trade policies is the National Trade 
and Developme nt Council (NTDC), which is composed of representatives of the public and private WT/TPR/G/ 444 • Fiji 
 
- 13 - 
 
 sector and civil society. Fiji 's judiciary plays a role in the interpretation of statutes and laws as well 
as resolution of trade related disputes.  
4.8.  The primary objectives of Fiji's trade policy are as follows:  
− To transform Fiji into a vibrant, diversified and internationally competitive export -led growth -
oriented economy, by enhancing the performance of the manufacturing and services sectors 
contribution to economic growth, as  well as, focusing on other growth areas in the priority 
sectors;  
− To facilitate the engagement of Fiji in bilateral, regional and multilateral trade frameworks 
with a view to expand and securing meaningful market access for Fiji 's growing industrial 
base and integrate the Fijian economy into the global trading environment;  
− To use trade policy to contribute to creating the conditions for the sustained increase in the 
contribution of investment and the increase in total factor prod uctivity (i.e., the efficiency 
with which the economy utilizes its available resources), that will be required in order for Fiji 
to realize its long -term growth aspirations;  
− To stimulate and encourage value -addition activities through research and developm ent with 
a view to increasing national export earnings, improve current account position and creating 
employment opportunities;  
− To assist domestic firms to increase their levels of efficiency and competitiveness, and 
therefore withstand increasing competit ion in domestic and international markets;  
− To facilitate for the growth of the micro, small and medium enterprises development as 
backbone of the Fijian economy;  
− To support the improvement of trade related infrastructure aimed at facilitating the smooth 
flow of trade thereby reducing the cost of doing business, positioning Fiji as a strategic 
location for global value chains and Hub of the Pacific ; 
− To support investment promotion and facilitation aspects to attract both domestic and 
foreign direct investmen ts with a view to stimulate investment flows into export -oriented 
areas in which Fiji has comparative advantages and use this as a strategy for inducing 
innovation and technology transfer in the national economy;  
− To facilitate capacity building development  in human capital in all the priority sectors to 
ensure high level productivity; and  
− To facilitate the mainstreaming of gender, environmental protection and other related 
policies to ensure coordination and policy coherence.  
4.1.2   Domestic laws and regulations governing trade 
4.1.2.1    Investment reforms  
4.9.  Fiji has continued to pursue structural reforms designed to improve and promote economic 
development by reducing the time and cost of doing business.  The World Bank Group 's Doing 
Business Report was in the past used as a  benchmark to identify areas of improvement.  In early 
2016, the Fiji Government recognised the need to review and revise the investment framework in 
Fiji. This was done through an amendment to the Foreign Investment Act 1999, which provided that 
a Foreign Investment Policy will be developed to identify the areas of investments. This led to the 
Fiji Government and the World Bank Group/International Finance Corporation to begin work on a 
comprehensive Investment Reform Map, development of an Investment Policy  Statement and a 
substantial revision of the Foreign Investment Act.  
4.10.  In 2019, the Investment Policy Statement was endorsed by the Cabinet, following which work 
on the Investment Act began.  The purpose of a new Investment Act was to provide a simple 
legislative framework for investments that provides rights and responsibilities of the State and WT/TPR/G/ 444 • Fiji 
 
- 14 - 
 
 investor and provides national treatment of foreign investors.  The Investment Act was passed by 
Parliament in 2020 and came into force in 2021. The Investment Fiji A ct was passed in 2022.  
4.11.  This made registration of investment in Fiji simpler; allowing investments in key sectors, 
whilst protecting domestic investment in MSMEs. The reserved and restricted list of investments is 
now more focused and streamlined.  
4.12.  The Inv estment Act also provides for protection of essential industries, through assessment 
of investments by foreigners in resources and critical sectors. These sectors include energy, 
transport, communications, and data storage or financial infrastructure. With  the reforms in the 
investment regime, there was an adjustment of Investment Fiji 's role so that it would focus on 
investment promotion, rather than the screening of investors.   
4.13.  To support the investment reform, the Fiji Government saw the importance of modernisation 
of business processes of investment approval agencies. In 2018, a programme for the digitali zation 
of government processes began. In 2019, the bizFiji online portal was launched, which for the first 
time provided investors infor mation, application forms, checklists, and links to online processes in 
one online portal.  In 2021, the transformation of the bizFiji portal to an application and approvals 
platform began. By the end of 2023, it is expected that the starting a business pro cess will be 
completely online. By the end of 2024, the building permit approval systems should be online. The 
Integrated Permits and Approval System created through this project will potentially host other doing 
business approval processes.  
4.14.  Other critical  reforms included the digitalisation of online tax registration, online 
company/business registration, repeal of Business License Act in 2020 and the move towards risk -
based business operation process. The World Bank Group estimated that the removal of bus iness 
licences led to FJD 3.5 million in direct compliance cost savings to the private sector.   
4.2  Regional Trade Arrangements   
4.15.  Fiji has continued to pursue regional integration with its neighbouring Pacific Islands Countries 
(PICs) through the Melanesian Spe arhead Group Trade Agreement, Pacific Islands Countries Trade 
Agreement (PICTA) and the Interim Economic Partnership Agreements (EPA) with the EU and the 
UK. Fiji is currently party to the Indo -Pacific Economic Framework (IPEF) negotiations, which will 
better connect Fiji with many large economies in the Indo -Pacific region.  
4.2.1   Melanesian Spearhead Group (MSG)  
4.16.  The MSG was conceived in 1986 between the three Melanesian Pacific Island Countries (PICs) 
namely Papua New Guinea (PNG), Vanuatu and the Solomon Islan ds. The Melanesian Spearhead 
Group Trade Agreement (MSGTA) was agreed in 1993 by these countries. Noting MSG 's cultural, 
historical, political and trade importance, Fiji acceded to the group in 1996 and the MSGTA in 1998. 
New Caledonia is represented by th e Front de Liberation National Kanak Socialist (FLNKS) as an 
observer to the group. Fiji has fully liberali zed its trade with the MSG partners.  
4.17.  Trade amongst the MSG parties under the MSGTA was limited. However, under Fiji 's 
leadership in 2012, trade becam e the top agenda item for the MSG. This led to MSG members 
making commitments to the regional trade agenda and subsequent removal of duty by PNG and 
Vanuatu, which led to trade under the agreement to boom. Solomon Island fully liberali zed in 2017. 
The MSG region provides a combined market of approximately 8.2 million people (excluding New 
Caledonia). Fiji remains committed to the MSG processes and will encourage New Caledonia 's full 
participation in the MSG.  
4.2.2   Pacific Island Countries Trade Agreement (PICTA)  
4.18.  PICTA is an instrument agreed to by Forum Island Countries (FICs) to promote regional 
cooperation and integration via trade. The FICs are Cook Islands, Federated States of Micronesia 
(FSM), Fiji, Kiribati, Nauru, Niue, Republic of Marshall Islands (RMI), P alau, PNG, Samoa, Solomon 
Islands, Tonga, Tuvalu and Vanuatu. Only 12 of the 14 FICs signed PICTA.  WT/TPR/G/ 444 • Fiji 
 
- 15 - 
 
 4.19.  PICTA was signed in 2001 and the implementation of the agreement commenced in 2007. 
Out of the 12 that have signed, only seven countries namely Cook Islands, Fiji, Niue, Samoa, 
Solomon Islands, Tuvalu and Vanuatu have announced their readiness to trade und er PICTA and are 
currently implementing the Agreement. The FICs combined population is approximately 9 million 
people and is a very important market for Fijian products. In the true Pacific spirit, Fiji will remain 
committed to assisting other FICs to impl ement PICTA Trade in Goods.  
4.2.3   The European Union (EU) - Pacific Interim Economic Partnership Agreement  
4.20.  Fiji in 2009 signed the Interim EPA to avoid disruptions to its exports to the EU. It continued 
to participate in the regional effort to conclude a develop ment friendly and mutually beneficial 
Comprehensive EPA with the EU. Negotiations however stalled. In 2014, Fiji began to provisionally 
apply the Interim EPA and is in the process of fully implementing the agreement.  
4.2.4   The United Kingdom (UK) -Pacific Interi m Partnership Agreement  
4.21.  The United Kingdom formally exited the European Union on 31 January 2020. The UK 's 
withdrawal from the EU is known as "Brexit ". A trade agreement was necessary to ensure that there 
were no trade disruptions to trade between Fiji an d the UK. Therefore, the UK and PACPS concluded 
a UK-Pacific Interim EPA that replicated virtually all of the provisions of the EU -Pacific Interim 
Economic Partnership Agreement (IEPA). Fiji signed the UK -Pacific IEPA on 14 March 2019, and has 
been provisi onally applying it since.  
4.2.5   Trade and Investment Framework Agreement (TIFA)  
4.22.  TIFA is a bilateral arrangement between the United States of America (US) and Fiji, which 
was signed on 20 October 2020. The TIFA creates a platform on which to further expand and de epen 
bilateral trade and investment ties between the two countries. The US -Fiji TIFA is also the first such 
trade agreement signed by the United States  with a Pacific Island Country. TIFA is aimed at 
strengthening the economic commitments between the two c ountries. Under the TIFA, the United 
States and Fiji will consult on a wide range of issues related to trade and investment. The two sides 
also aim to explore ways to increase trade in goods and services, and to encourage further 
investment between the two  countries.  
4.2.6   Indo -Pacific Economic Framework (IPEF)  
4.23.  Fiji is currently negotiating the IPEF. The IPEF is a United States -led initiative and was 
launched by partners in May 2022. The 14 participating countries of Australia, Brunei, Fiji, India, 
Indonesia, Jap an, Republic of Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand, 
and Viet  Nam, together represent 40 % of the world's Gross Domestic Product. IPEF has four pillars: 
i) trade, ii) supply chain , iii) clean economy, and iv) anti-corruption a nd taxation.  
4.24.  IPEF provides an excellent opportunity to contribute to Fiji 's ambition of trade development, 
supply chain resilience, long -term climate ambition, and preventing and combatting corruption and 
curbing tax evasion. Fiji, as a small island devel oping state, is vulnerable to the impacts of climate 
change, trade shocks caused by external factors, and global supply chain disruptions. Therefore, we 
are committed to participating in international initiatives, such as the IPEF, that aim to address thes e 
vulnerabilities through a multi -faceted approach that involves building resilience and promoting 
sustainable economic development.  
4.2.7   Agreement on Climate Change, Trade and Sustainability (ACCTS)  
4.25.  Fiji was negotiating the Agreement on Climate Change, Trade a nd Sustainability (ACCTS) 
initiative with Costa Rica, Iceland, New Zealand, Norway and Switzerland. The ACCTS initiative was 
launched in the margins of the United Nations General Assembly in 2019. It aims to create synergies 
between trade, climate and envi ronmental goals. The Agreement has four substantive elements: 
trade in environmental goods, trade in environmental services, fossil fuel subsidies reform and 
voluntary eco -labelling program mes.  WT/TPR/G/ 444 • Fiji 
 
- 16 - 
 
 5  FIJI AND THE GLOBAL TRADING SYSTEM  
5.1  Implementation of WTO Agre ements  
5.1.  Fiji became a member of the World Trade Organization (WTO) in 1996 and has since been an 
active participant in the organization's activities. Fiji is a member of the Small Vulnerable Economies 
(SVE) group. Fiji is also a member of the African Caribb ean and Pacific (ACP), G –90, G -77 and the 
Pacific Groups.  
5.2.  Fiji has established a National Trade Facilitation Committee to oversee the implementation of 
the Trade Facilitation Agreement and has developed a National Trade Facilitation Roadmap. Fiji also 
actively participates in ministerial conferences, demonstrating its commitment to international trade 
and cooperation. Fiji played an important role during the 12th WTO Ministerial Conference and in the 
negotiations on the Agreement on Fisheries Subsidies.  
5.3.  Fiji is participating in the Trade and Environmental Sustainability Structured Discussions 
(TESSD). Fiji, together with other WTO Members, have launched an open -ended informal dialogue 
on plastics pollution and environmentally sustainable plastics trade. It i s also a co -sponsor of the 
Ministerial Statement on Fossil Fuel Subsidies. Fiji will continue seeking meaningful market access 
and outcomes in the negotiations that support the development aspirations of Fiji and facilitate the 
smooth integration of the co untry into a rules -based global trading system.  
5.4.  However, it is worth noting that challenges remain in Fiji 's ability in the short to medium term 
to implement the agreements. Limited financial and human resources, institutional and technical 
capacity, and h igh turnover within the civil service remains problematic in implementing the 
agreements.  
5.5.  The high costs of transportation logistics and the remoteness of the country to major markets 
make it difficult for Fiji 's private sector to effectively and competit ively participate in the regional 
and global economy to take full advantage of the benefits of integration.  
5.6.  There are plans to review and update Fiji 's Trade Policy Framework, and incorporate 
recommendations from domestic and international stakeholder con sultation, including the National 
Economic Summit and WTO Trade Policy Review.  
5.2  Preferential Trading Arrangements (PTA)  
5.7.  Fiji currently benefits from PTAs such as the Generali zed System of Preferences (GSP) offered 
by developed and some large developing coun tries as well as the South Pacific Regional Trade and 
Economic Cooperation Agreement (SPARTECA) offered by Australia and New Zealand.  
5.2.1   South Pacific Regional Trade and Economic Cooperation Agreement (SPARTECA)  
5.8.  SPARTECA is a non –reciprocal trade agreement under which Australia and New Zealand provide 
duty free access to all products originating in the Forum Island Countries (except sugar in case of 
Australia). SPARTECA has played an integral part in Fiji 's development and achievement of 
sustainable economic growth. The Agreement was signed in 1980 and implemented in 1981. Fiji 
continues to export under SPARTECA. From 2009 to 2014, the Fijian Textile, Clothing and Footwear 
(TCF) sector benefitted from the SPARTECA –TCF scheme. The Scheme ha s since been replaced by 
the Developing Country Preference Scheme (DCPS) in 2015 in Australia.  
5.2.2   Generali zed System of Preferences (GSP)  
5.9.  Fiji currently benefits from GSP accorded by countries such as Australia, Canada, Japan, New 
Zealand, Norway, the Russian  Federation, Switzerland, Turkey and the United States to name a few. 
The Fiji Government will continue to encourage its exporters to take full advantage of the GSP 
schemes and improve their competitiveness in those respective markets and increase Fiji 's export 
earnings.  WT/TPR/G/ 444 • Fiji 
 
- 17 - 
 
 6  CONCLUSION  
6.1.  Fiji reaffirms its strong commitment to the World Trade Organization and an open, transparent, 
and rules -based multilateral trading system. As a small island developing nation, Fiji recognizes the 
importance of free and fair trad e in promoting economic growth, job creation, and poverty reduction.  
6.2.  However, Fiji continues to face challenges stemming from limited access to foreign markets 
and barriers to trade, high transportation costs, and vulnerability to climate change and natura l 
disasters and other exogenous shocks. These ongoing challenges were exacerbated by the COVID -
19 pandemic, which severely impacted Fiji's tourism industry and exports.  
6.3.  Fiji remains committed to working with the WTO and its Members to respond to these 
challenges and ensure that the benefits of trade are more widely shared. The WTO can play an 
important role in helping Fiji to build capacity and address supply -side constraints, including through 
the provision of technical assistance, to support its integrati on into the global trading system.  
6.4.  Fiji recognizes that trade can be a powerful engine of economic development. By promoting 
the integration of small and vulnerable economies like Fiji into the global trading system, and by 
providing targeted technical ass istance and capacity -building programmes, the WTO can help Fiji to 
enhance its competitiveness, improve its productivity, and achieve its development goals.  
6.5.  Fiji looks forward to working closely with our fellow WTO Members to build a more inclusive 
and sus tainable global trading system that benefits all people, particularly the most vulnerable. We 
remain committed to engaging constructively in the ongoing multilateral negotiations, and to 
strengthening our bilateral and regional trade relationships.  
_______ ___