Fiji’s sugar industry is facing significant challenges, with production currently estimated at just 1.6 million tonnes, a far cry from its historical peak of 3.2 million tonnes recorded in 2006. Minister for Sugar, Charan Jeath Singh, expressed concerns that the present production levels do not substantiate the viability of the industry. Addressing the standing committee on the Sugar Industry (Amendment) Bill (Bill No 23 of 2024), Singh underscored the ongoing government support aimed at sustaining the sector. “The Government is pouring in money day in, day out to run the mill,” said Singh.
Despite persistent financial backing, the impact of declining numbers of active sugarcane farmers—down from 22,000 to just 12,000, with only 10,000 of those being productive—has raised doubts about claims of 200,000 people relying on the industry. Singh argues that these figures are inflated, indicating a more realistic dependence of about half that number. He acknowledged that Fiji is fortunate to have a sugar industry, which he believes can be sustained despite widespread views labeling it as “dying.”
The minister highlighted that in 2006, the industry was still profitable and operationally sound, benefiting from favorable arrangements with the European Union. However, the abrupt end of these preferential prices led to adversity, contributing to the current low levels of production. Singh recalled that while other sugar-producing nations like Mauritius and Guyana seized opportunities for funding from the EU to diversify their industries, Fiji missed out due to political disputes that stifled potential support and funding.
This backdrop of declining production mirrors concerns expressed by previous articles, reinforcing that the sugar sector’s troubles have been exacerbated by political instability, challenges in land leases, and a lack of investment in modernization. Recent reports indicated that the industry’s capacity to rebound may lie in strategic partnerships and reforms aimed at diversification, including the exploration of by-products such as biomass energy and ethanol.
While the current state of the sugar industry is concerning, there are hopeful signs. Government initiatives, such as increased prices for sugarcane and targeted financial support for farmers, are steps towards revitalizing the sector. Past discussions have emphasized the critical necessity for a renewed approach, encouraging collaborative efforts to uphold a sustainable future for Fiji’s sugar industry, which historically has served as a backbone of the national economy.
In conclusion, amidst the challenges, Minister Singh’s optimism for the sugar industry points towards the potential for transformation and resilience as stakeholders engage in strategic planning and operational efficiency improvements. By leveraging past experiences and addressing contemporary challenges, Fiji’s sugar industry may yet find a way to thrive again in the agricultural landscape.
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