Fiji will be phasing out duties in the committed tariff lines on imports from European Union Members States, referred to as basket of tariff lines, as part of its move to fully implement the Interim Economic Partnership Agreement (IEPA), a trade pact between the European Union and a number of countries in the Pacific.
The joint announcement was made in Suva yesterday by Deputy Prime Minister for Trade, MSME and Communications Manoa Kamikamica and executive vice-president of the European Commission and Commissioner for Trade Valdis Dombrovskis.
“The IEPA is a trade and development agreement, which liberalises bilateral trade, in order to promote sustainable development and the integration of Fiji into the world economy,” the Trade Ministry said in a statement.
“While the European Union had already eliminated customs duties and quotas on all imports originating from Fiji, the Government of Fiji has now taken the decision to phase out the duties in the committed tariff lines on imports from European Union Members States. These are referred to as committed basket of tariff lines.
“Tariffs on selected imports from the European Union will remain or continue to apply, primarily to protect Fijian food security and the development of domestic value chains. This is called the exclusion basket of tariff lines.”
For Fiji, apart from helping source cheaper inputs for Fiji-made products, the IEPA is expected to boost the fisheries sector, especially the tuna business.
“Global sourcing provision in the IEPA grants a significant and unique concession by the EU through improved rules of origin for processed fisheries (tuna).
“In essence, fish brought on-shore by foreign vessels but processed in any Pacific IEPA State can be exported to the EU duty-free and quota-free, regardless of where the fish was caught.
“Once operational, these provisions will allow Fiji to export processed fish to EU that are sourced from approved foreign flagged vessels.
“Fiji hopes to attract more investments to emulate similar success in fisheries exports to the European Union member states as its fellow IEPA Partner, Papua New Guinea.”
The EU and Fiji signed the IEPA in 2009. While the EU started provisional application immediately afterwards, Fiji decided to start applying it in 2014.
