Minister for Sugar Charan Jeath Singh has criticized the previous government’s decision to dismantle and sell the Penang sugar mill for just $300,000, branding it as “outright daylight robbery.” Singh highlighted the drastic cost of establishing a new mill, estimating that a facility of similar size would require around $250 million to build today. He stated that the Penang mill could have been refurbished for approximately $10 million, urging the public to remember the mill’s historical significance.
In response to ongoing calls for the mill’s reinstatement, Singh noted that a new mill is being planned for Rakiraki and revealed recent discussions with Chinese investors willing to fully fund its construction without any government support. The local landowners are enthusiastic about accommodating these investors in sustainable farming efforts to rejuvenate the sugar industry in the region.
Singh’s remarks echo concerns raised by Fiji Sugar Corporation chairman Nitya Reddy, who has expressed both optimism and caution regarding the new project. Reddy acknowledged that while efforts are being made to revitalize sugar production in Rakiraki, challenges remain, including the need for significant investment and market justification. In previous statements, Singh has also mentioned the alternative of acquiring a second-hand sugar mill from China as a potentially more feasible solution compared to building a new facility from scratch.
The developments surrounding the Rakiraki sugar mill potential mark an important opportunity for the sugar industry to rejuvenate its operations, creating jobs and bolstering local economies. The engagement of Chinese investors reflects a spirit of collaboration aimed at addressing the region’s agricultural needs while hopefully securing a sustainable future for sugar production in Fiji. By applying lessons from the past and fostering international partnerships, there is a hopeful outlook for the revitalization of the sugar sector.
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