SUVA (Pacnews) — Fiji’s sugar industry has been described as a story of “human tragedy.”
The gloomy picture was painted by the chairman of Fiji Sugar Corp., Gerald Barrack, while addressing an academic seminar at the University of the South Pacific.
“The industry is on the verge of collapse if the government will not endorse proposed reforms to improve the industry,” Barrack said.
He said one of the drawbacks of the industry is that it is “highly politicized.”
“The political costs I can safely say is into hundreds of millions of dollars,” he said.
One of the biggest problems faced by the industry now is the renewal of land leases.
“This is a sad situation because we are looking at between two to three thousand cane farmers being displaced. In Fiji, not only the farmers are victims but also the landowners,” he said.
“It’s a human tragedy.”
Barrack said Prime Minister Laisenia Qarase’s government needs to have the political will to decide on reforms to the industry, which is one of the backbone of Fiji’s economy.
“We have put together a restructure plan on what we think are the best practices to bring the industry out from its problems to face new horizons,” Barrack said.
Under the proposed restructure, four companies are to be set up in the country’s four sugar mills. The new companies would operate in partnership with landowners, cane growers, mill employees and government.
“I urge the government to give the industry the green-light to go ahead with the planned reforms.” Barrack said.
He also highlighted that problems facing the country’s sugar industry is not “unique to Fiji.”
Barrack said successful sugar producing countries like Mauritius and Guyana have also collapsed.
“Fiji is not alone. We are one of the few small producers that are subject to extreme pressures.”
