MECHANICAL harvesting operators will need to seek clarification from the Fiji Competition and Consumer Commission (FCCC) over the recent review of harvesting rates, says Sugar Minister Tomasi Tunabuna.
Mr Tunabuna was responding to concerns from operators after FCCC revised the mechanical harvesting rate from $24.63 a tonne to $20.52 a tonne following a decline in fuel prices.
The revised rate represents a 16.7 per cent reduction from the previous interim rate.
Some operators have raised concerns that the reduction could affect their ability to provide harvesting services.
Mr Tunabuna said FCCC was responsible for explaining the basis of the review and how the revised rates were calculated.
“The FCCC will answer that,” he said.
“I’m not sure how they formulate their formula charges. They will have to explain.”
He said adjustments to harvesting rates were part of the normal review process and were linked to changes in fuel costs.
“The fuel subsidy that was given to them will be readjusted when there is a change in fuel. That’s very normal practice.”
Mr Tunabuna said stakeholders should engage with FCCC over the revised rates, as mechanical harvesting operators remained an important part of the sugar industry.
