Photo: Minister for International Trade and Investment, Hon. Richard Maru
Papua New Guinea (PNG) is ready to commence the feasibility study on a proposed free trade agreement with the People’s Republic of China. This study has been in the pipeline for some time and finally, with the grant funding of K1 million from the Chinese Government to the PNG National Trade Office, the study will commence in the new year, 2023.
Minister for International Trade and Investment, Hon. Richard Maru said that with PNG adopting its first ever National Trade Policy 2017-2032 in 2017, it is now a requirement that a Cost-Benefit Analysis (CBA) be conducted and all affected stakeholders to be consulted as a prerequisite before committing the country to any form of Trade Negotiations or prior to signing any Trade Arrangement/ Agreement amongst other guiding principles and measures.
“Therefore, prior to any bilateral trade negotiations, PNG must conduct proper feasibility studies to assess the impacts on PNG’s economic and social sectors in order to determine PNG’s offensive and defensive interests of our people and business as stipulated under the National Trade Policy to ensure that the possible trade deal will be in the interest of PNG,” said Minister Maru.
Minister Maru further stated that the feasibility study will be undertaken by an independent body to inform of the possible scope of the proposed free trade agreement with China.
“Whether it will be a full-blown agreement or a partial scope agreement that we can build on in the future,” Minister Maru added.
