Competing Interests Over Yaqara Leave Ministry With Hands Full: Minister

The Ministry of Lands has its hands full over competing interests over the proposed development of “Yaqara City”, in Ra.

Minister for Lands, Jone Usamate, confirmed the matter.

“There are competing interests for Yaqara that the ministry has been dealing with,” he said, in response to queries over plans to boost the economy in Yaqara,” he said..

“Several expressions of interests have been received by the department to develop the site that is available. Those that have shown interest are both local and foreign investors.

“As per the policy of the Ministry and according to regulations to ensure fairness and transparency, the advertisement of the subject land will be placed in the Fiji Sun on January 9, 2021.

“All expression of interests to develop the subject site will go through a thorough and stringent process as per policies of the Ministry.”

When it first started

In 2000, major plans were unveiled for the development of “Studio City” in Yaqara. This was to be a global  centre for the production and distribution of film, television, music, computer software and e-commerce.

The then Mahendra Chaudhry-led Labour government had then ordered Yaqara Pastoral Company Limited to surrender 5500 acres of the land lease to Yaqara Group Limited.

Yaqara Group Limited was initially established to develop a 5500-acre site for a state-of-the-art studio city.

A business consortium led by Philip Gerlach, Lyndon Driscoll and Frank Yourn, who combined extensive experience in Fiji with the entertainment, computer and IT industries, worked closely with the Chaudhry  government.

This was done through a Government Task Force chaired by Jesoni Vitusagavulu, chief executive of the Fiji Trade and Investment Board, to establish the industry in Fiji.

The 5500 acres lease that was surrended by Yaqara Pastoral Company Limited to Yaqara Group Limited is said to start from this point on towards Tavua. Photo: Susana Hirst-Tuilau

It now owns more than 15,000 acres of Crown land with an office on site.

The enterprise owns more than 4000 cattle and is expected to produce an estimated 150 tonnes of beef a year, which translates as 600 cattle at 250 kg carcass weight.

Yaqara produces quality, steer beef under 36 months and has a supply arrangement with South Pacific Butchery.

South Pacific Butchery Company Limited provides high quality fresh and cooked meats, locally reared Fijian and imported beef, lamb, pork and chicken it is based in Denarau, Nadi.

Yaqara Pastoral Company Limited chief executive officer, Adrian Ram, confirmed that talks started 20 years ago.

He said: “There has been so many talks, plans and attempts to develop the place into Yaqara City.

“I do believe they never had enough capital to invest, apart from the land dispute amongst the landowners and with the foreign investor.”

SunBiz was reliably informed that architectural designs were being drafted to develop a master plan for the tax-free zone city that would include:

• a financial centre
• an industrial park; and
• a sports academy.

Tax legislation

The Chaudhry-led government in 2000 had a Cabinet-approved legislation designed to establish Fiji as the best location in the world for the production and distribution of film, television, music, computer software and e-commerce.

The tax legislation would provide for the following incentives:

• Between 100 per cent to 150 per cent tax deduction for capital investment in audio visual projects, depending on local content and participation.
• A Studio City Zone offering tax free operating status for companies involved in audio visual production and distribution, and tax-free status for audio visual income of individuals in the audio-visual industry (including sports men and sports women), and those who took up residence in the studio city zone.
• The legislation allowed Fiji to participate in world copyright conventions.

Chaudhry’s government announced the legislation in July 2000.

Southern Cross Optic Fibre

Paradise Entertainment also planned the private placement of initial venture capital.

Paradise Entertainment Limited had an agreement in principle with Telecom Fiji Limited for a joint venture for the provision of internet and telecommunication services and infrastructure to the Studio City Zone.

The infrastructure would be supported by the Southern Cross optic fibre cable linking the West coast of USA with the East coast of Australia, and passing through Fiji, giving Fiji the communications capacity to participate in global information transfers.

But this did not become fruitful until 2018,  when the Fiji First Government made the $16 million investment.

It followed  Fiji International Telecommunications Limited’s  (FINTEL) successful negotiations  for the Samoa to Fiji sub-sea cable Tui-Samoa to branch into Savusavu.

The Tui Samoa cable system contractors are Alcatel Submarine Networks.

They are the same contractors that built the Southern Cross Cable Network, which links Fiji with the world.

Connecting with Southern Cross is significant as it provides direct links with Australia, New Zealand and the United States.

Feedback:  susana.tuilau@fijisun.com.fj