The Pacific Agreement on Closer Economic Relations Plus (PACER Plus) is a landmark trade and development agreement that aims to create jobs, raise standards of living and encourage sustainable economic development in the Pacific region.
What is the purpose of the agreement? PACER Plus aims to strengthen economic growth prospects of the Forum Island Countries through: • Targeted capacity building and strengthening export capabilities • Improving access opportunities for doing business in the region • Increasing the attractiveness of the region for trade and investment
Who are the partners to the agreement? Eleven Pacific Island Forum countries are signatories to the agreement: Australia, Cook Islands, Kiribati, Nauru, New Zealand, Niue, Samoa, Solomon Islands, meeting on Pacific Labour Mobility (the ‘PLMAM’), which Tonga, Tuvalu and Vanuatu. All Pacific Island Forum will become the principal forum for advancing regional members are encouraged to join in the future. labour mobility initiatives including: • Building institutional capacity of agencies that Why is the agreement important to manage labour mobility Nauru? • Promoting and improving current visa categories to PACER Plus provides a valuable opportunity to deepen facilitate greater circulation of temporary workers regional trade and economic integration in the Pacific, • Tertiary vocational education and training; and increasing regional trade, investment and labour flows and thereby growing the private sector, creating jobs • Recognition of qualifications and registration of and raising standards of living in the Pacific. occupations • Discussion of regional labour mobility priorities Labour Mobility Initiative such as enhancing existing initiatives and exploring options for new areas of cooperation Alongside PACER Plus, the Parties concluded a Labour Mobility Arrangement (LMA) which provides The PLMAM will provide an opportunity for Nauru to a new platform for enhanced dialogue and regional address topics of interests and new labour mobility cooperation on labour mobility. Australia and New initiatives. NZ will host the next PLMAM in late 2019. Zealand have committed to funding an annual regional
Disclaimer – This document is for information purposes only, and does not constitute legal advice. Benefits to Nauru • New Zealand and Australia are offering over $33 • Nauru will receive technical assistance for revenue million in development and economic cooperation planning to mitigate the impact of tariff reductions assistance for Pacific Island signatories over time • Access to cheaper and higher quality imported goods • Commitments to affording protections to foreign investments will signal to investors that the Pacific • A new $10 million Pacific Business Hub to grow and economies are sound and stable environments to do improve small and medium enterprises in the region business and improve their market-readiness • New Zealand and Australia have committed to invest • Improved Rules of Origin will reduce the amount 20% of its total Official Development Assistance in of duty levied on Kiribati exports to PACER Plus ‘Aid for Trade’ to support Forum Island Countries countries build their capacity to trade and attract investors • Nauru has been identified as a priority country for receiving customs support to update their tariff framework and border management systems to HS 2017, improving trade facilitation. • Reduced tariffs and red tape for exporters and investors, increasing the attractiveness of the region for trade and investment
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