Drought Dilemma: Fiji’s Sugar Shipments in Jeopardy

Prolonged drought conditions linked to the El Niño phenomenon have significantly affected sugarcane crop production for 2024, leading the Fiji Sugar Corporation (FSC) to announce that it may struggle to fulfill one of its shipment commitments.

The FSC had already pledged to export approximately 84,000 tonnes of sugar, which includes a shipment to the United States and two shipments to a refiner in South Korea. FSC CEO Bhan Pratap Singh indicated that they also plan to supply around 35,000 tonnes of sugar to local and regional markets.

“The fourth shipment now appears unlikely, as we have revised the anticipated sugar volume from an initial estimate of 153,021 tonnes down to 121,272 tonnes,” Singh stated.

He explained that their original forecast for November 2023 estimated cane production at 1.51 million tonnes for 2024. However, due to the ongoing drought, projections as of August 2024 have been lowered to 1.30 million tonnes.

“The extended drought has adversely impacted not only the 2024 crop but also poses a risk to the 2025 crop due to insufficient planting during the crucial planting months from March to July and inadequate establishment of harvested ratoon crops,” he added.

Singh expressed concern that even with potential rainfall in the coming months, late planting and reduced productivity could remain significant issues. “The FSC is closely monitoring the situation and is dedicated to supporting farmers during these difficult times. We are also exploring all possible options to mitigate the impact of such droughts on future crops.”

The FSC reported that between October and December of the previous year, rainfall decreased by 82 percent at the Lautoka mill, by 87 percent at Rarawai, and by 59 percent at Labasa. Singh noted these substantial reductions in rainfall resulted in a 20 percent decline in crop output at the mills on Viti Levu and a 4 percent decrease at Labasa mill.

As of August 12, 2024, Lautoka mill had crushed 208,768 tonnes of cane and produced 16,066 tonnes of sugar; Rarawai crushed 153,564 tonnes of cane, generating 13,677 tonnes of sugar; and Labasa processed 239,388 tonnes of cane, resulting in 23,796 tonnes of sugar.

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