Fiji Sugar Corp encourages mechanised commercial farming

THE Fiji Chamber of Commerce believes the sugar industry could improve if the Fiji Sugar Corporation encourages mechanised commercial farming.

However, chamber president Swani Maharaj said this should be done through a subsidiary.

In its 2010 Budget submission, the chamber said the subsidiary company could target an annual production of one million to three million tons annually.

"Fifty per cent of sugar research land should be transferred to the FSC. The FSC should target the lease of all unused land from mataqali and engage them in share farming," Mr Maharaj said.

The chamber also recommended multi-cropping and that future farms should follow the Sugar Research farm in Ba.

Meanwhile, Sada Reddy, the governor of the Reserve Bank of Fiji, said the sugar industry must increase its production to 300,000 tonnes within the next three years. This is possible because Fiji had produced half a million tonnes in 1994.

Mr Reddy has identified sugar as one of the industries that could help raise our exports because the trade imbalance currently stands at $2billion.

Outlining the strategies to achieve this target, Mr Reddy said land reforms must be carried out. In addition, the milling capacity should be increased, FSC operations improved and transportation costs decreased.

He recommended diversification such as the production of ethanol and cogeneration.

Low sugar production has forced Fiji to miss out on $66million in sugar earnings and capitalising on some of the highest world sugar prices in recent times.

The sugar industry is contracted to supply Tate & Lyle of England with 300,000 tonnes of raw sugar a year until 2015. Sugar Ministry permanent secretary Parmesh Chand confirmed that the local industry would, however, be able to meet a 240,000 tonne target this season.

Source: fijitimes