Number 95/4 in the Economics Division Working Papers South Pacific. This paper examines the effect of the SPARTECA (South Pacific Regional Trade and Economic Co-operation Agreement) treaty on trade between Forum Island Countries (FICs) and Australia and New Zealand, and attempts to determine whether or not the treaty has achieved its stated objectives. Includes a list of recent publications by the Economics Division, Research School of Pacific and Asian Studies, the Australian National University. Roman Grynberg is senior lecturer in the economics department at the University of the South Pacific, Suva. Matthew Powell is statistical advisor to the Ghanaian Statistical Office, Ghana.