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$859.4 Million Forecast For Manufacturing Sector

The manufacturing sector is forecast to generate almost $859.4 million this year which is contributed through informal manufacturing and from the manufacture of food and beverages. This is approximately 14.1
01 Oct 2016 07:22
$859.4 Million Forecast For Manufacturing Sector
Minister for Trade Faiyaz Koya (left) with Textile Clothing and Footwear Council of Fiji (TCF) President, Kaushik Kumar during their annual general meeting at Fiji Club last night. Photo: RONALD KUMAR.

The manufacturing sector is forecast to generate almost $859.4 million this year which is contributed through informal manufacturing and from the manufacture of food and beverages.

This is approximately 14.1 per cent of our Gross Domestic Product (GDP).

Minister for Industry, Trade and Tourism, Faiyaz Siddiq Koya, highlighted this during the Textile Clothing and Footwear (TCF) Council annual general meeting (AGM) this week.

Mr Koya said wearing apparel is estimated to contribute $64.8 million (almost one per cent of GDP) in 2016 and is expected to further grow by $68.1 million in the year 2017.

“This is an indication there is a huge potential in the manufacturing sector and a lot more that can be achieved to further enhance the growth and development of the sector,” he said.

“The Fijian textile industry contributes substantially to Fiji’s export earnings as revealed through a report generated by the Fiji Exports Council.”

In 2016 alone, he said the industry’s new export market contributed close to $5 million with about 460 new employees provided with employment opportunities.

“New investment was about $4.6 million whilst new business activities generated accounted for almost $12.5 million,” Mr Koya said.

He said the TCF Industry is encouraged to improve its market access into Australia and NZ through improved access under Developing Country preference.

“There is a need for more investment directed into value-added and niche products,” Mr Koya added.

“The TCF Industry must tap into more of the Pacific Island nations, and into the Asian markets.”

Mr Koya further said the industry is encouraged to explore more opportunities through its participation at expos, exhibitions and trade shows to expose Fijian talents, brands and quality products.

“More investment into advertising, web development, market research and trainings is needed to optimise the grant provided by the Ministry,” he said.

 

TCF industry

The industry started in the early 1980s; few businesses were involved in exports.

Today, Mr Koya said the industry has grown much larger and bigger in terms of size, membership, contributions towards our GDP, employment and national development as a whole.

“The Fijian Government over the past seven years has continued to assist the TCF industry with a marketing grant of $100,000 a year,” he said.

“This has enabled the industry players to group together to explore new markets and reinforce themselves in the existing markets.

“The TCF industry’s main aim is to increase exports and create more employment opportunities.

“Therefore, there is confidence in the country’s garments export to grow over the next few years.

“Furthermore, the Fijian Government will continue to explore ways to support the further development of the TCF Industry.”

 

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