The Sugar Industry in Fiji

The Sugar Industry in Fiji
The sugar industry has perceived as the backbone of the Fiji economy. It was started as a colonial strategy to promote economic growth. The sugar industry has become one of the leading industries in the country’s economy over the years. Sugar production was the one of the key export; therefore, sugarcane farming drove the development agenda in Fiji. It contributes 7 percent of gross domestic product and generates 22 percent of total exports. This industry has become vital and dominant position in Fiji economy.
Sugarcane is currently grown in the two main islands of Fiji, Viti Levu and Vanua Levu, in proximity to the four mills, three in Viti Levu and one in Vanua Levu. Sugar has become one of the most successful export commodities and local consumption shows preference to local sugar. It significant to the economy of Fiji, contributes employment to the people in the rural to develop and promote growth to the Fiji economy.
However, the sugar industry has been experiencing problems over the last decade and soon this vital industry and its dominant position in the economy might change. Currently, there are many problems faced by the industry which show a negative impact of the economy in the country. The expiring of land lease was one of the major problems faced. This issue have lead to the displacement of the sugarcane farmers.   Consequence of loss of source of income and employment in which would be immensely devastating especially in the rural areas where the poor would suffer. During the milling season, broke down of machine in the sugar mills usually happened and it an unsatisfactory performance of capital. Export decreased due to this minor obstacle, lead to the downfall of foreign earning, resulted fall in the government expenditure and real consumption. Transportation was another issue which have increased the cost of sugar in the market due to the suspension of the rail system which was previously used in the some part of the...