The Government of Fiji has announced significant changes to its trade and customs system aimed at lowering food prices and enhancing market competition. Finance Minister Professor Biman Prasad made this declaration today, emphasizing the need to dismantle long-standing trade barriers and reduce import tariffs to combat excessive mark-ups and outdated protectionist practices.
During his address in Parliament, Prof Prasad stated, “Tariff protection should be temporary, targeted, and transparent,” highlighting how prolonged tariff protections have resulted in inefficiencies and a lack of incentive for businesses to lower prices. As part of the upcoming 2025-2026 Budget, tariff protection on chicken portions and offals will be reduced from 32% to 15%, while the duties on frozen fish will be eliminated entirely, aligning them with reduced tariffs on canned fish items.
A newly formed Government taskforce, which includes members from the Fiji Commerce Commission (FCCC), Fiji Revenue and Customs Service (FRCS), the Consumer Council, and the Ministry of Finance, will oversee market pricing to ensure that reductions are passed on to consumers effectively. Prof Prasad issued a stern warning to businesses that failure to comply would not be tolerated.
In tandem with tariff reductions, the Biosecurity Authority of Fiji will be reviewing import protocols that currently restrict the importation of essential items, contributing to high food prices and limited consumer choice. The government aims to broaden its array of international trading partners to boost competition and lower supply-side costs for consumers.
This announcement aligns with previous government efforts to address the rising cost of living in Fiji. Addressing such economic issues has become a focal point for the government, especially as external factors like inflation and geopolitical tensions have exacerbated financial pressures for many Fijians. The proactive steps taken currently demonstrate both a commitment to enhancing economic resilience and a hopeful vision for increased stability and accessibility in the marketplace.
Overall, these reforms signal the government’s determination to create a more efficient and competitive economic environment in Fiji, which may ultimately lead to improved living conditions for its citizens.
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