Fiji sugar industry questions viability

FIJI – A Fiji sugar expert says hard questions need to be asked about the future of Fiji’s sugar industry.

Last week Zimbabwe-born Graham Clark was announced as the new CEO of the Fiji Sugar Corporation (FSC) and a hold was put on a number of projects until further feasibility studies were undertaken.

The proposed ventures were seen as part of the industry’s diversification programme aimed at strengthening its future, but the FSC says there is a now an urgent need to consolidate.

The sugar industry has suffered in recent years, impacted by plummeting international sugar prices and cyclone damage to crops.

Academic Padma Lal said the sugar farming sector and number of growers had declined and there was a lack of confidence in the production sector.

Dr Lal saidbuyer nations were also beginning to talk about measures like sugar taxes in a health conscious era.

“These are changes that are taking place that nobody can deny. It is important to look at and ask honestly, can Fiji sugar’s industry survive? And if so, in what condition, at what scale and producing what kinds of products.”

An opposition MP in Fiji says the new management of the Fiji Sugar Corporation has a chance to be more inclusive than its predecessors.

Biman Prasad said it was important that the FSC go back to basics instead of focussing so much on diversification.

Dr Prasad said the new CEO and board should not take knee-jerk action.

“The real issue in the industry is that the cane production in the last several years has declined and farmers have lost confidence in the way the FSC was managed in the past.”

The former FSC CEO Abdul Khan resigned in October, citing health reasons but Dr Prasad had called for an investigation into allegations of nepotism and mismanagement.

- RNZI