The Vanuatu agreement is the most significant regional achievement of the new government

This week the Foreign Minister and the Pacific Minister have visited Vanuatu, the Federated States of Micronesia and Palau.

Significantly Penny Wong was accompanied by Shadow Ministers Simon Bermingham and Michael McCormack.

The most significant part of the tour was the two days spent in Vanuatu.

Vanuatu, after PNG, is our closest Pacific neighbour. It was prior to Independence controlled by France and the UK.

Australia had minimal engagement despite our proximity to Vanuatu.

It is a parliamentary democracy and is a member of the Commonwealth. It maintains good relations with France and the UK. Australia's aid totals about $46 million a year. That is a modest figure.

Vanuatu has been a major target for China because of its strategic location. Under former Vanuatu governments China was making real progress. There were even reports China would seek to build a naval base.

Australia was slow in responding. But we eventually agreed to expand the main port, enabling Australian naval vessels to berth. That was opened by Penny Wong this week.

The new government has given Vanuatu the priority it deserves.

China had been seeking a military-security pack with Vanuatu. The former Vanuatu Government was seriously considering it. It would have been a serious threat to the Australian national interest.

There is a new government in Vanuatu, one clearly more disposed to closer relations with Australia.

This week it signed a comprehensive security and defence co-operation agreement with Australia.

This is a huge win for Australia. China has suffered a serious setback.

We must now build on it comprehensively and urgently. That involves discussing with the Vanuatu Government it's priorities and engaging with Australian business on how it can play a greater role

We should also look at how we can support the Vanuatu tourism industry and encourage more Australians to holiday in Vanuatu. It is an excellent holiday destination.

Vanuatu participates in our Pacific labour scheme but there are clearly problems that must be addressed. My reports are they are highly regarded by farm employers etc.

This is a real achievement but it must be built on.

Having Vanuatu and PNG on our side, broadly, isolates further the Solomon Islands.

Hopefully we can further strengthen ties with the new Fiji Government.

Palau is a small island nation. But its location is strategic. It's close to the US in defence and security issues. But it has been a China target.

Our greater engagement helps strengthen its alliance with the USA and with Taiwan, which it recognises.

The Federated States of Micronesia has different challenges including maritime surveillance.

What has impressed me has been the warmth of the reception the delegations has received.

The bi-partisan nature of the delegation has been a master stroke.

The island hosts have seen a parliament working how it should on policies on our region.

Bipartisan and united.

The Prime Minister is visiting PNG in January. He needs to consider a visit to Vanuatu in particular.

And then he needs to invite the heads of all our friendly regional neighbours to a summit in Australia.

At the same time they should meet the Opposition and MPs and Senators.

This has been a very good week for Australia in our immediate region.

We can and must build on it. If you are looking for a holiday destination can I recommend Vanuatu?

Our regional standing has made remarkable progress this year.

It behooves all our leaders to focus on our immediate region.

And we need opinion writers to do the same!