HON. KALAVETI RAVU - PARLIAMENTARY STATEMENT

17/04/2024


Honourable Speaker Sir 
Honourable Prime Ministers
Honorable Deputy prime Ministers
The Honourable Leader of the Opposition
Honourable Members of Parliament 
Ladies and gentlemen
Good morning Ni sa bula Vinaka,  
Honourable Speaker Sir, I rise to deliver a statement on the Wood Utilization Project,  the main objective of which is maximizing wood resource utilization through the use of harvesting and processing residues as an alternative source of raw materials for wooden products manufacturers. 
The project focuses on utilising mahogany wood left in the forest after a harvesting operation and, in this regard, works closely with the Fiji Hardwood Corporation Ltd.  
 
Honourable Speaker Sir, the Ministry completed the baseline survey, extraction, processing and classification of wood residues using specialised machines at our Ministry of Forestry workshop in Nasinu. 
 
Following the internal research and information gathering, the project started an initiative to engage and train selected mahogany landowners on how to utilise these mahogany harvesting residues and to operate as small cottage industries. 
 
Consultations were undertaken initially in three (3) villages within the Nukurua Mahogany Station (i.e. Sote, Savu & Naimasimasi) where mahogany harvesting was being undertaken. The main objective was to engage and select suitable young men and women from these villages to be trained in wood processing and furniture making at the Ministry’s Timber Industry Training Center in Nasinu. 
 
Honourable Speaker Sir, the Government, after taking up Office in December 2022, saw the potential of this initiative to significantly improve the livelihoods of our rural communities and jobless youths.
 
Additionally, this programme was seen to have potential to enhance forestry’s contribution to the National GDP and identified that the level of funding was not sufficient to invest in this initiative.
 
As the Minister responsible for Forests Honourable speaker, it is my aim to have the forestry sector adequately supported such that it is able to continue to enhance its capacity to improve the livelihoods of our people, especially our rural landowning communities. And this can be achieved through increasing our investments in the training of our people to have the right skills and knowledge, and also in having the appropriate value adding machines and the application of new technologies. 
 
Honourable Speaker Sir, In line with this objective, Government, during the financial year of August 2023 to July 2024, announced an increase in the budget allocation for the Forest Subsidy Grant from $50,000 in the previous financial year to $200,000 which is an increase of $150,000. This grant is supporting our people to purchase value adding machines, especially our mahogany landowners that were trained at the Ministry’s Timber Industry Training Center to operate as small cottage industries.
 
Honourable Speaker Sir, We are currently engaging four (4) small cottage industries and one registered cooperative. 

The Gaunavou Coperative, comprising the villages of Sote, Savu and Naimasimasi, has also recently received the Ministry of Trade and Investment approval to use the Fiji Brand on their products. Three (3) cottages are currently working on manufacturing products, while members of one (1) are currently undergoing training in wood processing and manufacturing.
 
Honourable Speaker Sir, At this juncture, I would like to inform this house that my Ministry is not only providing training and technical advice to support the above initiative, but has also taken the step to connect the cottage industries to the markets. Market outlets for the wooden furniture items to be produced were arranged and each cottage industry was taught to focus on a specific product. 
 
Honourable Speaker Sir, In April last year a contract agreement between Gaunavou Cooperative and Vision Group was signed by the two parties for the supply of mahogany wooden Beds through Courts (Fiji) Ltd. Gaunavou Cooperative managed to supply eighty (80) Beds and with the support of the Forest Subsidy Grant of $28,864.00 managed to Generate a total revenue of $70,200.00. The other three (3) Cottage industries also supplied mahogany wooden products which generated a total revenue of $220,500.00. 
 
Honourable Speaker Sir, currently, there is ongoing discussion between my Ministry and the Ministry of Rural Development for the funding of a workshop for Gaunavou Cooperative. This is crucial as it provides the opportunity for Gaunavou Cooperative to run on their own using their own facility. 
 
Honourable Speaker Sir, the Ministry of Forestry is happy to inform the house that one of the Cottage industries from Kalabu Village has begun construction of their own workshop at Colo I Suva. With their own workshop and machines, the cottage industries will be in a better position to be hived off from the Ministry and to operate on their own.
 
Honourable Speaker Sir, the Ministry will continue to monitor the cottage industries once they are hived off focusing on the quality of products being produced and also in terms of their administration and finances. 
 
During their engagement period in Nasinu, each cottage industry is expected to build sufficient working capital to allow smooth operational transition once they are relocated to their own premises. The support and assistance of other arms of government are also being solicited to strengthen our monitoring of these cottage industries.

The Ministry of Fisheries and Forestry has plans to widen its scope of assistance of cottage industry and value addition to the fourteen (14) mahogany based stations and other interested forest based communities. 
 
Honourable Speaker Sir, The Ministry of Forestry believes that this initiative will boost economic activities for the rural sector will contribute to rural economy and improving livelihoods. 
 
The engagement of young men and women in forest based businesses will reduce urban migration, alleviate poverty, reduce crime, including drug related activities, and also create a generation of people who are contributing positively to the development of their communities. 
 
Vinaka vakalevu, thank you and May God Bless Fiji.