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Business envoy November 2021

Pacific Agreement on Closer Economic Relations Plus (PACER Plus): A landmark trade and development agreement

The entry into force of Pacific Agreement on Closer Economic Relations (PACER) Plus for eight countries on 13 December 2020 is a significant achievement for the Pacific region.

As a regional free trade agreement, PACER Plus facilitates the growth of existing business while attracting new business to the region. This is supporting economic growth in the Pacific, and most importantly economic recovery from COVID-19.

PACER Plus strengthens Australia's long history as a major trade and investment partner with the Pacific. Australian and Pacific business will benefit from an increased ease-of-doing-business, through more certainty, transparency, and openness in the PACER region.

PACER Plus outcomes, including its lower tariffs and flexible rules of origin, provide a foundation for partnerships between Pacific and Australian companies, even more important given the ongoing travel restrictions in the region.

The services sector, the single biggest component of all our economies and the principal generator of jobs, is also set to benefit from better market access, including in the tourism, education, and financial services sectors. This comes at a critical time, given the severe impact COVID-19 travel restrictions have had on important sectors like tourism.

Australian investment into the Pacific has also received a boost, though increased transparency and certainty under the agreement. This will facilitate Australian business to realise the investment opportunities in the region, including in the growing infrastructure sector. This investment will help meet the region's need for capital and will raise productivity, creating jobs and strengthening skills development in the region.

The Department of Foreign Affairs and Trade is working closely with other PACER Plus members to make sure business can realise the benefits from PACER Plus. The PACER Plus Implementation Package, funded by Australia and New Zealand, will help Pacific members implement the agreement, tackling key barriers to trade and investment in the region.

Considerable progress has been made to establish a bespoke Implementation Unit in Apia, Samoa, to deliver this $25 million package. Personnel have been recruited, including the head of the unit Mr Roy Lagolago, and over the last few months, the unit has developed a work program, based on key priorities identified through consultation with the private sector and governments across PACER Plus members.

The initial suite of activities will focus on boosting business' ability to use the agreement to trade and invest in the region. In addition to awareness raising among the private sector on how to use the agreement, the Unit will also undertake training to help businesses utilise the specialised customs system ASYCUDA, rolled out in preparation for entry into force. Training will also be provided to assist help countries update relevant customs rules and procedures on national online trade portals, which will in turn support businesses' increased access to essential customs information for trade in goods.

Keep up to date on news and the benefits of PACER Plus by visiting pacerplus.org and dfat.gov.au

Introducing Roy Lagolago, Head Pacer Plus Implementation Unit

 

I was born and raised in Samoa, and from the villages of Fagalii, Fasitoo Uta and Sapapalii. I went to Victoria University in Wellington and graduated with a Bachelor of Arts in Criminology and Sociology as well as a Masters in Public Management. I started my public service career in 2002 with the New Zealand Customs Service and my career has taken me to a lot of interesting places where I have been able to serve and protect Pacific communities.

In my spare time I coach my daughter's netball and rugby team. This year I volunteered to coach the Stokes Valley Rhinos premier two rugby team after they were not able to find a coach. It was great opportunity to give back to the community to grow the game of rugby at the grassroots level. I am very privileged to be taking up the role as the Head of the PACER Plus Implementation Unit (PPIU) and will be relocating to Samoa.

The PPIU supports parties to PACER Plus to implement a first-of-its-kind treaty in the Pacific. As Head of the PPIU, it is my role to work with partner countries to implement the agreement within and between the countries, and realise the sustainable development advances these commitments offer. I took up the role in July this year and the team that we have on board already are working on strategic planning with partner countries to achieve their desired outcomes by 2025. We want to provide support to countries to ensure that they can implement the agreement, but we also want to build public and private sector capabilities around trade and investment in the region. And that's the real value of PACER Plus – it's an agreement that puts in place the foundations to support business in our region – to make it easier for new businesses to flourish and established businesses to expand across the Pacific. Watching new investment be shared between our Pacific family is a win for all our communities, and I'm proud to be leading the team to support that change.

Attending a community event celebrating Samoan language week
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