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Australia offers fresh proposals under SPARTECA

08
Jul '06
Garment manufacturers of Fiji have been lobbying for the local content requirement of 50 percent under SPARTECA to be reduced to 25 percent.

Proposals offered by Australian Government hard to accept by garment operators as they had offered to modify rules of origin under SPARTECA, subject to certain conditions.

The condition imposed that any fabric not available from Australia and sourced from a third country would be deemed local.

Non inclusion of wool fibre comes as a huge dent to Fiji exports.

Another condition attached is for Fiji to establish a credible audit and compliance system.

Secondly, productivity has to be increased and training to be conducted under the structural adjustment system.

The proposal to allow garment suppliers to export to Australia with only 25 percent of local content could not be implemented, if the aforesaid conditions were not met.

The garment manufacturers must take full advantage of the proposal to improve the sector as the changes are quite substantial.


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