The Fijian government is taking significant steps to secure the future of its rapidly expanding kava industry by launching a National Kava Policy and proposing a Kava Bill, aimed at ensuring quality, increasing exports, and enhancing rural livelihoods. Kava, locally known as yaqona, is not only culturally significant but also economically vital for many rural communities in Fiji, where alternative income sources are limited.
In 2024, Fiji exported 730 tonnes of kava, generating $53 million in revenue, surpassing earnings from other staple crops like dalo and ginger. This achievement underscores kava’s role as a key foreign exchange earner for the nation. The draft policy indicates a growing global appetite for kava, particularly in the United States, where it is increasingly found in health and wellness beverages, extracts, and supplements. The product is also gaining traction in kava bars across the U.S., with more than 350 establishments dedicated to serving it.
Markets in New Zealand and Australia are witnessing similar demand increases, bolstered by labor mobility schemes and relaxed import regulations. However, despite this expansion, the kava industry has historically lacked a cohesive national strategic framework, leading to challenges such as inconsistent supply, varying quality standards, and growing regulatory hurdles in international markets.
The Ministry of Agriculture and Waterways emphasized that the new policy and legislation are designed to fill these regulatory gaps. The draft policy acknowledges that, while domestic and international demand for quality kava continues to rise, regulatory measures have lagged. It highlights the absence of a national strategic direction to safeguard the industry.
Recent census data emphasizes kava’s significance in Fiji’s rural economy, revealing that there were over 83,000 farmers nationwide as of the 2020 Agriculture Census. A survey in 2024 identified more than 14,500 kava farming households. Many of these farmers are smallholders engaged in subsistence or semi-commercial farming. The Northern Division leads in kava production, contributing 42% of the farmer population.
The economic potential of the kava industry is evident, with a 2017 value chain analysis estimating gross income from kava sales at approximately $320 million, predominantly from domestic sales. Rising farm-gate prices and an increasing number of farmers further bolster this perspective. However, the industry is not without its challenges, including access to farmland, threats from plant diseases like kava dieback, and stricter quality and safety standards enforced by importing countries.
The proposed National Kava Policy envisions a “sustainable, resilient, and prosperous” kava industry that uplifts the national economy while celebrating the cultural legacy of yaqona. The goals include boosting national kava production by 50% over the next five years, ensuring compliance with international standards, and entering at least five new international markets by 2030. There is also a strong focus on inclusivity, aiming to increase participation from youth, women, individuals with disabilities, and residents of remote areas by 30% throughout the kava value chain.
The initiative is anchored by five strategic priorities: enhancing quality assurance and regulation, advancing infrastructure, fostering research and innovation, facilitating market access and trade, and building capacity and inclusivity within the industry.
The development of this policy and the accompanying Kava Bill represents Fiji’s first comprehensive effort to regulate and protect its rich kava industry, emphasizing its deep-rooted traditions while paving the way for its vital role in the nation’s economic future. With a clear policy direction, government agencies and industry stakeholders will be better equipped to collaborate effectively and prioritize investments, ultimately positioning Fiji to meet the surging global demand for kava.
Leave a comment