Fijians could face sugar shortages if cane crushing is delayed, FSC warns

FSC says national sugar stocks could run out by the end of the month if harvesting does not pick up quickly, as delays in farmer readiness continue to slow the start of the crushing season.

FSC Chief Operating Officer Mikaele Daukoto appeared before the Standing Committee on Economic Affairs in Suva yesterday and said mill operations had been delayed because of extremely low cane delivery readiness.

He said some areas had recorded only four per cent of Memorandum of Gang Agreement (MOGA) submissions, compared with about 60 per cent at the same time last year.

Mr Daukoto said the situation was placing pressure on national sugar supplies.

“We are supposed to be starting Rarawai Mill on June 16 and Labasa Mill on June 17. But at the moment, the figure hasn’t changed much. It is still around five to six per cent compared to previous years.

“If nothing changes over this weekend, we may have to defer crushing, which will threaten supply to the nation from early July.”

FSC chief executive Bhan Pratap Singh said the Government’s decision on Thursday night to increase cane delivery payments by $5 a tonne was expected to encourage harvesting gangs to begin operations.

“The delivery prices that they expected have been fulfilled through an additional funding of $5 per tonne, and that is expected to help them start operations,” he said.

However, concerns remain over farmer participation, with Mr Singh acknowledging that harvesting gangs have been slow to confirm their readiness.

At the same time, he said the industry remained under severe financial pressure, with rising debt levels and ageing mill infrastructure contributing to inefficiencies.

Mr Singh told the committee that without major structural reforms and increased investment, the industry would continue to struggle to meet production targets.

He said 11 resolutions were passed during recent meetings organised by the National Farmers Union in the Ba, Lautoka and Nadi areas, and that FSC and the Government would need to address farmers’ concerns to encourage harvesting to proceed.