Harvest delays cost farmers $3.5 million weekly – FSC

Listen to this article:

FSC Chairman Nitya Reddy – FILE

Fiji Sugar Corporation Chairman Nitya Reddy is urging cane farmers to begin harvesting immediately, warning that continued delays are denying farmers almost $3.5 million in weekly income and placing further strain on the sugar industry and the national economy.

Reddy said the Lautoka, Rarawai and Labasa mills have been ready for crushing since 1 July, and current weather conditions provide an ideal opportunity for harvesting to begin.

“We urge farmers to take advantage of the current favourable weather conditions and commence harvesting without any further delay.”

He warned that delaying harvesting into the rainy season would significantly increase transport and harvesting costs, create labour shortages and reduce the availability of mechanical harvesters.

“The continued delay also carries serious consequences for the national economy and the sugar industry, which cannot be ignored.”

Reddy said one of the biggest impacts is the loss of income to farmers.

“Even at a conservative crushing rate of 25,000 tonnes per week per mill, farmers are being denied access to income of nearly $3.5 million per week, amounting to a cumulative $11 million over three weeks.”

He said delays would also result in significant sugar production losses.

“We estimate that approximately 250,000 tonnes of cane could be affected by a three-week extension to the season, resulting in a revenue loss of at least $3.5 million.”

Reddy added that around 400 seasonal employees are waiting for crushing to begin while losing an estimated $125,000 in wages each week, while FSC continues to employ 1,205 staff at a cost of approximately $112,000 per day in preparation for the season.

He also revealed that FSC has exhausted its local sugar stocks, requiring the importation of 635 tonnes of sugar, while approximately 4,300 tonnes are needed to meet demand in Fiji and regional Pacific markets.