Fiji’s sugar industry is struggling to remain viable, with the current production of 1.6 million tonnes of sugarcane insufficient to sustain the sector, according to Minister for Sugar Charan Jeath Singh, reports The Fiji Times.
Speaking during the submission of the Sugar Industry (Amendment) Bill (Bill No. 23 of 2024) to the Standing Committee on Justice, Law, and Human Rights on Tuesday (18/02), Singh highlighted the government’s ongoing financial support to keep the industry afloat.
“The government is continuously injecting funds to ensure the survival of the sugar industry,” Singh stated. “The government is pouring money into the sector day in and day out to keep the mills running.”
He also addressed the commonly cited figure of 200,000 people dependent on the sugar industry, noting that this number may no longer be accurate. “When the data was collected, there were 22,000 active sugarcane farmers. Today, that number has dropped to 12,000, with only 10,000 being productive farmers. The number of people dependent on the industry has likely decreased by half,” he explained.
Despite the challenges, Singh emphasised the importance of preserving the sugar industry in Fiji. “We are fortunate to have a sugar industry in this country. Fiji is the luckiest nation in the Pacific to have such an industry, thanks to the efforts of the late Ratu Mara and his government. While many call it a dying industry, I believe the sugar industry will not die,” he asserted.
Singh reflected on the industry’s past performance, noting that in 2006, Fiji produced 3.2 million tonnes of sugarcane, which was enough to sustain profitability across the country’s four mills. “At that time, the industry was breaking even, and we still benefited from preferential pricing. However, even then, farmers struggled to see a bright future in the sector,” he said.
He also recounted a missed opportunity when the European Union (EU) offered 300 million euros to diversify the sugar industry. “When the EU ended the preferential pricing, they offered funding to help the industry explore alternatives beyond sugar. Unfortunately, due to political disagreements, Fiji lost access to that funding. Other countries like Mauritius and Guyana took advantage of the EU’s support, but we missed out,” Singh explained.
The minister’s remarks underscore the challenges facing Fiji’s sugar industry, as well as the government’s commitment to sustaining this vital sector despite declining production and financial pressures.
