This is the view of Trade Minister Richard Maru who met his Australian counterpart Don Farrell in Australia.
Over nearly half a century, the trade balance had been weighted in Australia's favour, The National newspaper reported.
"PNG's exports to Australia are mainly gold and other precious metals which comprise over 98% of total exports," he said.
"This means less than 2% is from the non-extractive sector, and is valued at K50 million a year.
"Australia's total exports to PNG is estimated at over K500 million. It translates to a ratio of 1:10 - a huge trade imbalance."
Maru said that PNG would like to see a win-win situation where PNG could export more of its goods and services into Australia.
"Without taking action to shrink this huge trade deficit with Australia, PNG is losing thousands of job opportunities and income especially for our villagers, farmers and our tax revenue," he said.
"This is why PNG withdrew from the Pacer-Plus trade negotiations which were not addressing the issues which continued to see PNG locked of exporting its products and services to Australia.
"Without attending to these issues, the current PNG-Australia bilateral trade assessment study will be another a waste of time."
Maru requested Australia to assist PNG in building its capacity to export to the Australian market in terms of both market access and market entry. "I want to see our local farmers export taro, cassava, banana and others to the Australian market, particularly targeting over 60,000 Papua New Guineans diaspora living and working in Australia," he said.
"The two countries need to work together to ensure the bio-security issues and other technical barriers to trade that is affecting PNG's exports are addressed especially in getting PNG produce on the shelves in big Australian supermarkets such as Coles or Aldi."