National Federation Party leader Professor Biman Prasad has called on the Government to immediately introduce fuel subsidies for sugar cane harvesters and lorry operators, warning that growers are not ready for the 2026 crushing season.
In a letter sent on Sunday to Minister for Agriculture, Waterways and Sugar Industry Tomasi Tunabuna and copied to Prime Minister Sitiveni Rabuka, Professor Prasad proposed subsidies of $5 per tonne for harvesters and $6 per tonne for cane lorry operators.
“The Government should immediately announce fuel subsidy for sugar cane harvesters and cane lorry operators that will act as assurance for cane growers to start preparing for this season’s harvesting and crushing season,” he said.
Professor Prasad said the subsidy was necessary to ease growers’ fears of financial hardship caused by rising fuel prices.
“I have recommended an additional $5 per tonne for cane harvesters and $6 per tonne for cane lorry operators. These rates should be added to the varying current rates charged by harvesters and lorry operators and should be subsidised by the Government.”
He said consultations over the weekend with cane growers, harvesting co-operatives, lorry operators and other industry stakeholders informed his proposal.
Citing figures obtained from Fiji Sugar Corporation chief executive officer Bhan Singh, Professor Prasad said grower readiness remained critically low.
“As of Saturday 13th June, only a handful of gangs in each mill area have submitted their MOGA,” he said.
The figures showed that in Lautoka, 31 of 454 gangs had submitted their Memorandum of Gang Agreement (MOGA), representing seven percent. In Labasa, 12 of 536 gangs had submitted, or two percent, while only six of 638 gangs in Rarawai had done so, representing one percent.
Professor Prasad said the collapse of the rail network since 2009 had increased reliance on road transport, with more than 85 percent of harvested cane now moved by lorries.
“Due to rising fuel costs, harvester and lorry operators are demanding an increase to their harvesting and cartage rates. And growers simply cannot afford to pay increased rates because of their slim profit margins,” he said.
He argued that cane growers are unable to pass on rising costs unlike producers in other agricultural sectors.
“We must understand the basic fact that cane growing is a business, which requires hard work but yields the least profit of all businesses due to pricing mechanisms,” he said.
Professor Prasad said diesel prices had doubled since last year’s harvest and argued the proposed subsidies were fair and necessary.
“This will surely revive the confidence of growers and result in them preparing in earnest for this year’s harvesting. And if this is implemented and announced immediately, this year’s harvesting season should be able to start at the end of June,” he said.
