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Despite widespread perceptions of a struggling sector, sugar remains one of Fiji’s most profitable public investments.
Permanent Secretary Dr. Vinesh Kumar says recent figures clearly demonstrate the industry’s strong financial return.
In 2021, a government investment of $53 million generated $147 million in export revenue.
In 2022, a $72 million investment returned $135 million, and last year, a $45 million allocation produced $209 million in export earnings.
Dr Kumar says the sugar industry continues to deliver significant value as an export earner and domestic commodity market.
“When we view this through the lens of national self-sufficiency and trade balance, the sugar industry stands out to be one of the Fiji’s strongest primary sectors. Fiji’s domestic sugar consumption is valued at around 55 to 60 million annually. And this, again, ladies and gentlemen, the industry fully meets the demand by supplying approximately 30,000 tons of sugar each year.”
Kumar admits that while the industry faces numerous challenges, it still plays a unique role in Fiji’s economic and food security.
“Fiji imports around 50 to 60 million tons of rice and oil, and over $130 million worth of dairy products, including nearly 60% of all the milk consumed. And again, on the same essence, we import around more than $1.1 billion in agricultural products overall. I’m not saying that the sugar industry does not have problems, but what we are saying is sugar is one of the very few commodities which Fiji is self-sufficient, helping to cushion the economy from deeper trade deficit while strengthening national food and commodity security.”
Kumar says these facts make clear that sugar, despite challenges, remains a stabilizing force for the economy, supporting rural livelihoods and protecting Fiji from greater import dependence.
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Praneeta Prakash