Shania Shayal Prasad 
[Source: Parliament of the Republic of Fiji/ Facebook]
The Agricultural Marketing Authority admits that it is buying from suppliers at a loss compared to other exporters.
Executive Chair Jone Sovalawa revealed this while making a submission to the Standing Committee on Public Accounts.
He says some exporters are purchasing at much cheaper prices.
[Source: Parliament of the Republic of Fiji/ Facebook]
Sovalawa says this is because the model they currently use is designed to support farmers; however, this is putting a strain on them to remain financially viable.
“We have to streamline our operations, similar to what other exporters are doing, and also master the price. Because right now, some of the exporters are buying at $1.80 and $1.00, while we are still buying at $2.80 and $2.00. What we are doing in terms of our pricing is we get a break-even price for every commodity.”
He agrees with the sentiments by members of the committee that they need to explore partnerships with private exporters to enhance market access and improve profitability.
Sovalawa says they will focus on aggregation and quality control roles, supplying consistent and certified produce to private sector buyers, a model that could cut operational costs and scale reach.
He adds this move could also help resolve logistical constraints currently facing AMA, including limited storage, poor cold chain infrastructure, and restricted purchasing capacity.
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