The decline of Fiji’s sugar industry has been linked to political upheavals stemming from the 2006 coup, according to Finance Minister Professor Biman Prasad. In response to criticism from National Farmers Union general secretary Mahendra Chaudhry, who blamed the current coalition government for the industry’s struggles, Prasad pointed out that sugar production had sharply decreased, nearly halving to less than 2 million tonnes in recent years.
Citing the impact of the coup, Prasad noted that subsequent actions by the European Union, which ended its support for the sugar sector in 2007, further exacerbated the industry’s challenges. He shared that plans for a restructuring program in 2006 aimed to improve livelihoods and mill operations could not proceed as intended due to the political disruptions.
Despite these setbacks, the government is taking steps to support sugarcane farmers. Recent funding initiatives have seen $70.1 million allocated to increase sugarcane prices and motivate farmers. The government also awaits a report from the Fiji Financial Intelligence Unit to evaluate further restructuring and efficiency improvements needed in the industry.
The backdrop of these developments includes similar observations made by other industry leaders. Minister for Sugar Charan Jeath Singh highlighted how operational difficulties, coupled with unresolved land lease issues, were significant factors in the industry’s decline. The emphasis on rejuvenating the sector continues, drawing attention to strategic planning and coordination among stakeholders to overcome existing challenges.
Overall, the commitment to support farmers and revitalize the sugar industry offers a glimmer of hope. While past political events have contributed to the industry’s current state, ongoing government initiatives aim to restore its significance to Fiji’s economy, could lead to a resurgence in production and profitability in the future.
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