Sugarcane farmers in the Western Division were encouraged to fully support the Fairtrade Initiative, which was launched in Lautoka yesterday.
Fairtrade is a global movement for poverty alleviation and improvement of livelihoods of poor and marginalized producers around the world.
Sugar is one of several commodities that come under fairtrade.
Fairtrade Certification project co-ordinator for Fiji sugar, Mohammed Habib said the eventual objective of this programme was to acquire and maintain Fairtrade certification for all sugar producers in Fiji so that they could benefit from the Global Fairtrade Movement.
Mr Habib said now was the time for farmers to get certified so that Fiji could benefit in the long run.
“For Fiji sugar, we started this initiative in Labasa last year with an official launch by the Prime Minister in June. We have acquired certification as of January, 2011. The associated benefits of fairtrade is that over and above the price of cane and sugar, there is a premium paid to a certified producer organization,” Mr Habib said.
“Last year, Labasa Cane Producers Association started this certification program and got certified at the beginning of this year and as a result, they received a premium of $4.2 million which was paid directly into the Cane Producers Association account.”
Mr Habib said they brought this initiative to the western farmers so that all cane producers could benefit from fairtrade.
“The idea is to develop two producer organisations in Viti Levu, just like the one in Labasa. Once they are able to establish that organization and get it registered, have their own offices and bank accounts, they will apply for certification. Fairtrade Labeling Organization (FLO) will send its auditors to come and check whether we are in compliance with fairtrade requirements and standards. If we are, then these organisations are entitled to fairtrade premium,” he said.
The premium associated with fairtrade is $US60 per tonne of sugar.
Mr Habib said based on the quota that Fiji was allocated by our buyers Tate & Lyle, there were substantial amounts of benefits, which could go towards development programs.
“The premium can be used for increasing productivity, they can go towards social and communal benefits such as education of children and health care. There is an opportunity for farmers to have a voice in the decision making and decide where the funds can be best used for their benefits,” he added.
“There are plans to establish two small (sugar) producer organisations in cane belt areas in the west.
“One of the associations will constitute members from Sigatoka to Lautoka and the other association will have Ba, Tavua and Rakiraki cane producers combined into one. It constitutes of the 14 sectors in each organisation.”
Once these organisations start selling sugar to Tate & Lyle after certification, there is a potential for $3m-$4m premium for 30,000 tonnes of sugar for Viti Levu mills.