Pacific Agreement on Closer Economic Relations: PACER. An agreement adopted in August 2001 by the Pacific Islands Forum which sets out the framework for the development of trade relations between the Forum members. It is not a free-trade agreement, but it allows for the establishment of free-trade areas. One of these is the Pacific Island Countries Trade Agreement. PACER entered into force on 3 October 2002. See also SPARTECA.

Pacific Community: an organization to promote economic and social cooperation in the Pacific area. Its members are American Samoa, Australia, Cook Islands, Federated States of Micronesia, Fiji, France, French Polynesia, Guam, Kiribati, Marshall Islands, Nauru, New Caledonia, New Zealand, Niue, Northern Mariana Islands, Palau, Papua New Guinea, Pitcairn Islands, Samoa, Solomon Islands, Tokelau, Tonga, Tuvalu, United States, Vanuatu and Wallis and Futuna. It is administered by the Secretariat of the Pacific Community, located at Noumea.

Pacific Free Trade Area: PAFTA. An idea for a regional preferential trade arrangement that has been around since the 1960s. Most of the various proposals brought forward over the years have included either the United States or Japan, often both, as the centre of any prospective arrangement. None of them have reached the negotiating stage. Some say that the formation of APEC has made PAFTA redundant. See also Free Trade Area of the Asia-Pacific, OPTAD, PBEC and PECC.

Pacific Island Countries Free Trade Agreement: PICTA. A free-trade agreement adopted in August 2001 by the Pacific Islands Forum.