[Photo: FILE]

The Fijian Competition and Consumer Commission has approved an increase in cane harvesting and lorry cartage rates to help operators manage the fuel price surge.

This action follows a sharp rise in global fuel prices, which contributed to a significant increase in the operational costs for harvesting and transporting sugarcane.

FCCC Chief Executive Senikavika Jiuta says the approved increases mean that harvesting operators and lorry drivers will be paid more per tonne of sugarcane, ensuring they can continue to operate despite the fuel spike.

To provide clarity on the regulated services, she states the mechanical harvester rates apply to services provided by mechanical machinery used to cut and harvest sugar cane in the field, whereas the lorry cartage rates are applied to lorry and truck services responsible for transporting harvested sugar cane from Rakiraki to Rarawai.

Jiuta explained that the adjustments, which has taken effect from yesterday, are intended to ensure the continued availability of critical harvesting and transportation services during the 2026 crushing season, while the government moves to cushion the impact on cane growers through a temporary subsidy arrangement.

She adds that following its assessment, FCCC determined that mechanical harvesting rates required a temporary adjustment of 30.3 percent, increasing from $18.90 per tonne to $24.63 per tonne.

FCCC also approved a temporary 25.4 percent increase in authorized sugarcane cartage rates to reflect the significant rise in diesel costs experienced in recent months.

She says these interim measures are intended to support sugar cane harvesting and transportation operators, and ensure sustainability of the sugar industry during this period of global fuel price volatility.

The FCCC CEO said the Commission’s assessment found that diesel prices had increased substantially due to recent global market disruptions, placing considerable pressure on harvesting operators and lorry service providers whose operations are heavily dependent on fuel.

“Our analysis focused on fuel cost fluctuations and their direct operational impact. The adjustments reflect only the necessary increases tied to fuel, ensuring transparency and fairness in the process.”

Jiuta said as a country heavily reliant on imported fuel, fluctuations in the global markets and international fuel prices would continue to have a direct impact on domestic fuel prices and associated operational costs across various sectors of the economy.

FCCC will continue to monitor fuel markets and industry conditions.