PM RABUKA’S REMARKS AT THE RARAWAI MILL TOUR
31/10/2023
Ladies and gentlemen,
As we gather here against the backdrop of our magnificent land, I want to talk about a sector that has been a cornerstone of our economy, the sugar industry.
For generations, our sugar industry has been more than just a source of income; it has been a symbol of resilience and tenacity.
Year after year, it has contributed more than $200 million in foreign revenue, reinforcing its significance as one of Fiji's economic pillars.
Yet, like all great stories, our sugar industry has weathered its share of formidable challenges.
The rollercoaster of global sugar prices, land tenure disputes, the impacts of climate change, an aging farming population, scarcity of new-generation farmers, labor shortages, and aging infrastructure are some of the trials it has faced.
In the face of these adversities, your Coalition Government will support the industry.
Our commitment to the sugar industry goes beyond mere words.
We will continue to provide crucial support through a range of measures, including subsidies, incentives, and investments in infrastructure.
Our goal is to safeguard the industry's pivotal role in Fiji's economic landscape.
Our mission is not just about preserving, but enhancing.
We are determined to boost both the efficiency and sustainability of the sugar industry.
This endeavor encompasses every step of the value chain, from the farms to the mill, involving enhancements at the farm level, streamlining of harvesting and transportation procedures, and optimising efficiency during processing and milling phases.
We are also dedicated to addressing the environmental footprint of the industry.
We are not just stopping at traditional sugar production; but venturing into value-added products such as refined sugar, ethanol production, and power co-generation.
Our sugar industry remains highly adaptable, resilient, and attuned to the dynamic shifts in global markets and consumer preferences.
Historically, and even more notably during the COVID-19 pandemic, the sugar sector has been one of the primary drivers of our local economy.
It has consistently made a substantial contribution to our foreign revenue.
Recognising the pivotal role our sugar industry plays, your government has taken proactive measures by allocating crucial funding to strategic areas, with the objective of reinforcing the industry's sustainability in both the short and medium term.
In the short term, our immediate target is to achieve two million tonnes of cane within the next couple of seasons.
However, we are acutely aware of the challenges that stand in our path such as waterlogged farms, poor flood gates and drainage systems due to lack of maintenance in past years.
You work hard but have to contend with inadequate rewards and incentives for growers, a guaranteed cane payment that falls below $85 per ton, labor issues on hilly land, land lease disputes, stray animal problems, and the abolishment of Growers' elections in 2009.
To overcome these challenges, we recognise that major policy interventions are necessary, a holistic approach that involves all relevant players in the industry.
In the immediate term, the government has allocated funding designed to address the critical issues facing the industry. These programs include;
- A fertilizer subsidy: In the face of rising costs, we will continue to subsidise fertiliser that our sugarcane farmers purchase. Fertilisers are essential for the healthy growth of sugarcane plants, and we are dedicated to supporting our farmers in this crucial aspect.
- Through the Sugarcane Development and Farmers Assistance or Cane Planting Grant our goal is to increase cane production by the 2024 season which can be achieved through under-utilised land, technological adoption, best practices, and improved soil health.
- Weedicide Subsid to helpi our sugarcane farmers afford effective weed control measures, ensuring their crops thrive.
- New Farmers and Lease Premium Assistance to support new farmers and lease premium assistance, ensuring that financial barriers do not hinder those who wish to invest in the sugar industry. Encouraging new farmers is vital to securing a continuous supply of sugarcane and promoting our sector's growth.
As we embark on this journey to secure the future of our sugar industry, we do so with an unwavering commitment.
Our industry is not just a source of income; it is a source of strength and determination. We stand united, determined to overcome the challenges that lie ahead.
Together, we shall rise above the trials of our time, and together, we will ensure that the Fiji sugar industry remains a symbol of resilience, sustainability, and economic progress.
Thank you.