FSC privatisation an option, says PM
Mr Rabuka made the comments when asked about proposals from critics to privatise FSC under a shareholder arrangement model.
Saturday 25 July 2026 | 08:30
Prime Minister Sitiveni Rabuka says privatising the Fiji Sugar Corporation (FSC) remains an option, but the Government's priority is to treat the state-owned enterprise as a strategic national asset while pursuing reforms to improve its performance.
Mr Rabuka made the comments when asked about proposals from critics to privatise FSC under a shareholder arrangement model.
He said FSC, as a public enterprise, had the capacity to improve its financial position by implementing effective reforms.
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Responding to questions about consultations with sugarcane farmers in the Western Division on reviving the industry, Mr Rabuka confirmed similar consultations would soon be held with farmers in the Northern Division.
He said the special committee on the sugar industry would compile views and recommendations from the consultations before formulating a way forward.
Mr Rabuka also acknowledged that "too much" money had been invested in sustaining the sugar industry while funding in other areas remained limited.
Permanent Secretary for Finance Shiri Gounder revealed that FSC had become an insolvent entity and was unable to meet its debt obligations.
Opposition Independent Member of Parliament Alvick Maharaj said privatisation remained a viable option and believed the industry could recover its former strength.
He said FSC had become overly dependent on Government funding, with millions of dollars injected into the state-owned company to support its operations.
Mr Maharaj said the Energy Fiji Limited (EFL) model could be considered for FSC.
"This will mean farmers supply cane to the mill and are paid immediately for their tonnage instead of waiting and told to survive because payment will be done next season," he said.
He said timely payments would improve farmers' financial capacity and allow them to plan more effectively for future planting seasons.
Minister for Agriculture, Waterways and Sugar Industry Tomasi Tunabuna said there was room for improvement and farmers needed to ensure cane supply targets were met.
Mr Tunabuna said the low volume of cane delivered to the two Viti Levu mills was concerning but expressed hope that deliveries would improve in the coming days.
He added that while some businesspeople might see FSC as a worthwhile investment opportunity, the corporation remained in a difficult financial position.
