In the vast ocean of economic discourse, sometimes a single voice stands out—not because it is the loudest, but because it speaks with clarity and reason. One such voice recently came from Ruikui Wang on Facebook. As someone from an Asian background, Wang brings a unique external viewpoint to Vanuatu’s economic reality—one that deserves serious attention.

Wang’s observation is sharp:

“Vanuatu produces almost no industrial goods and has to import everything. In recent years, prices have skyrocketed. It’s not because too much money has been printed, nor is it because businessmen are greedy. It’s because of imported inflation.”

For many of us in Vanuatu, we instinctively feel the pressure of rising prices. Everyday goods—from rice and fuel to construction materials and medicine—have become harder to afford. The public outcry often points fingers at local retailers, government policy, or even foreign monopolies. But Wang’s commentary compels us to step back and view the bigger picture: the global supply chain and the flow-on effects of international inflation.

Understanding Imported Inflation

Imported inflation refers to the rising cost of goods that a country brings in from overseas. Since Vanuatu relies heavily on imports for nearly everything, from food to vehicles to building materials, any price changes in supplier countries like Australia, China, or Fiji ripple directly into our domestic economy.

Think of it this way:
If a bag of rice that costs AU$20 in Australia goes up to AU$25 due to fuel costs, labor shortages, or supply chain disruptions, then Vanuatu importers have no choice but to pay more. That increase is passed on to us, the consumers, through no fault of our own—or theirs.

What makes Wang’s commentary powerful is how it cuts through the noise. He reminds us that this is not a uniquely “Vanuatu problem,” nor is it the fault of the local shop owner. Countries like Australia and China are themselves struggling with inflation. And when inflation hits them, it inevitably hits us, because we depend so deeply on what they produce.

Two Practical Solutions

Wang doesn’t just diagnose the problem—he offers two possible solutions:

1. Lower import tariffs to offset rising prices.
2. Encourage domestic investment to create local alternatives.

Let’s break these down.

1. Lower Import Tariffs

Tariffs are taxes placed on imported goods. Governments often use them to protect local industries or generate revenue. However, in a time of imported inflation, these tariffs can worsen the situation. If prices are already high, adding a 10-15% tax only makes essential items less affordable.

Lowering tariffs—at least temporarily—could relieve some of the burden on consumers. It’s not a permanent fix, but in times of crisis, small reductions could make a big difference to households and small businesses struggling with rising costs.

2. Encourage Local Investment and Substitution

This second point is where Wang’s insight becomes truly transformative.

The long-term solution lies not in reactive policies, but in strategic vision. If we want to insulate Vanuatu from external shocks, we must produce more ourselves.

This isn’t about trying to become fully self-sufficient overnight. That’s unrealistic. But we can begin by investing in sectors where we already have potential—agriculture, fisheries, renewable energy, food processing, and local manufacturing.

If we can grow more rice, process our own cassava chips, make our own soap, or build furniture from local timber, then we reduce our dependence on imports. Each step we take towards self-reliance is a buffer against the next global crisis.

An Asian Lens on Resilience

It’s no coincidence that this message comes from someone of Asian origin. Many Asian economies—China, Vietnam, South Korea, Malaysia—were once poor and dependent on imports too. But through deliberate planning, investment in skills, and government-private sector collaboration, they became manufacturing powerhouses.

Wang’s comment is, perhaps, not just economic advice—it’s a cultural perspective. It reflects the values of self-reliance, long-term strategy, and productivity. Asian countries have learned that waiting on others to solve your problems leads to more vulnerability. Instead, building internal strength—even slowly—leads to independence.

For Vanuatu, the lesson is clear: we must stop seeing ourselves as helpless consumers at the mercy of foreign suppliers. We have land, resources, talent, and innovation. What we need now is coordination, vision, and leadership.

The Road Ahead

Ruikui Wang’s perspective should not be ignored. It may have been just a Facebook post, but sometimes the most powerful truths are hidden in simple words.

Imported inflation is real. It’s hurting us. But we are not powerless.

Let us advocate for smarter policies, like reducing tariffs where it makes sense. Let us support local entrepreneurs and producers. Let us teach our youth to create, not just consume.

Vanuatu can’t control what happens in Beijing, Sydney, or Suva—but we can control what happens in Port Vila, Santo, and Tanna.

And perhaps, just perhaps, in that control lies our freedom.

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