2 Sep 2009

Fiji Sugar Corporation suffers further losses

11:56 am on 2 September 2009

Fiji's 20 percent devaluation of its dollar in April this year has contributed to an unrealised foreign exchange loss of 12 million US dollars on the Fiji Sugar Corporation's long term loan of 50 million dollars from the EXIM Bank of India.

Fiji Live reports the corporation's managing director, Deo Saran, said the foreign exchange loss, flood damage of around 3 million US dollars and loss associated with the divestment from South Pacific Fertilizers Ltd of around a million increased the operating loss before income tax to 18 million.

This compared with a net loss of more than 9 million US dollars in 2008.

The 50.4 US dollar million long term loan from India's EXIM Bank is established as a line of credit for the FSC's mill upgrading program.

Deo Saran said cane production for the 2008 season decreased to 2.3 million tonnes compared to 2.5 million tonnes in the previous season.