International trade is a major contributing factor to the economic success of every country in the world today. While most developing countries have capitalized on the expansion and changing patterns of international trade, Pacific Island countries are at the crossroads on whether to tap into the benefits and opportunities of international trade or being left behind. Small country size and isolation from global economic markets are the two major constraints that contribute to these moderately weak economic and development growths of most Pacific Island Countries.
However, the changing patterns, expansion and interconnectedness of global trade present Pacific Island countries with a unique opportunity to engage meaningfully and capitalize on these opportunities with Asia and other regions. Therefore, the first section of this paper will present a brief overview of how international trade has evolved over the years and its benefits.
But the main focus of this study is to analyze and discuss the economic performance of Pacific Island Countries (PICs) at the regional and International level. Further, it identifies and analyses PICs comparative advantages. Also, it identifies the major impediments that have hindered the economic growth of most PICs.
The study concludes with recommendations and proposals on alternative trade strategies for policy makers to consider in order improving trade performance and economic growth not to mention, to promote the region and to engage meaningfully in international trade.
