8 knowledge relating to biodiversity.  This work aims also to produce model provisions for member countries to consider and adopt as necessary. Trade related legislation The Forum Secretariat is now working to develop trade related legislation made necessary by recent regional trade integration initiatives in the region and as a result of international obligations under multilateral trade rules of the World Trade Organisation (WTO).  In 2001, the region entered into the Pacific Island Countries Trade Agreement (PICTA), a free trade agreement that came into force in 2003.   A separate economic cooperation agreement (the Pacific Agreement for Closer Economic Relations or PACER) was also entered into in 2001 between the Forum island countries on the one hand and Australia and NZ on the other, and came into force in 2002.  PACER aims to improve trade facilitation in the smaller island countries in support of free trade under the PICTA.  The legislation framework and model/s being developed will help identify areas for reform in domestic legislation or new legislation to be enacted.  Legislative reforms being targeted include in particular: review of customs laws to give effect to tariff reductions; new tax systems and laws to introduce, for example, value added tax; and trade facilitation laws relating to customs (valuation), quarantine and technical standards. Commercial and business environment There has also been recognition that weak private sector development and a declining level of private investments are among the major challenges for many Pacific island States.  While recent reform efforts in some Pacific countries have directly or indirectly attempted to address these problems to varying degrees, much remains to be done to achieve progress in developing the private sector in island countries. Many commercial and business laws in the Pacific are outdated.  They were historically patterned after laws of countries with very different institutional frameworks and capacities, and as such do not operate as intended in smaller countries with weaker institutions and do not achieve the economic objectives for which they were created.   Such laws do not always provide for the constraints that are common to most island countries such as remoteness and small market size.  The fear is that in an internationally competitive environment, the constraints also serve as a disincentive for foreign direct investment in light of the more attractive options available in many other countries.   To help attract foreign investment the Pacific Islands Forum Economic Ministers Meetings (FEMM) since 1999 have progressively taken steps to bring the commercial legal environment in Pacific island countries in line with modern international practices.   At the 2003 FEMM, Pacific Ministers endorsed in principle a programme of technical assistance from the Asian Development Bank (ADB) that will tackle the task.  The programme illustrates importance of careful planning, and the value of regional effort. The programme aims to improve the legal business environment in the Pacific islands to support the development of a strong and dynamic private sector, including improved corporate and public governance, and increased productivity and investment.  A