Foreign Affairs takes over US tariff talks

The Ministry of Foreign Affairs has taken over responsibility for negotiating US tariff reductions, with officials acknowledging America holds "an upper hand" in ongoing discussions.

Director Multilateral Anare Leweniqila told the Standing Committee on Foreign Affairs and Defence that the external trade function had recently been transferred to the ministry.

"That function has just been recently transferred to the Ministry for Foreign Affairs," Mr Leweniqila said during Tuesday's submission on the ministry's 2019-2021 annual reports.

"It will be a joint exercise between the officials in the Department of External Trade and our diplomatic missions to work out a solution with the US in terms of the tariff level."

Mr Leweniqila said while the US had leverage in negotiations, Fiji would look for areas to bargain for better outcomes.

"The US has an upper hand on Fiji in terms of when it comes to this negotiation," he said.

"But that is also something that we can use other areas that we can leverage with the US to ensure that we can come to an amicable solution on the tariff level that will be applied."

Manager Policy Division Sherleen Lal told the committee the ministry now has dedicated leadership including a permanent secretary, assistant minister and minister, which "adds to the accountability and transparency and the work that needs to be done."

The ministry is now led by Foreign Affairs Minister Sakiasi Ditoka, who was appointed following a Cabinet reshuffle that took effect on January 19.

Trade negotiations were previously led by then Deputy Prime Minister and Minister for External Trade Manoa Kamikamica, who secured a reduction in US tariffs from 32 per cent to 15 per cent in August last year.

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