1 May 2012

US manufacturer admits political risk to Fiji business

1:04 pm on 1 May 2012

The head of the US company, Gibson Guitars, says Fiji's political situation does increase the risk of doing business there but he's confident the country is returning to democracy.

The company is expanding its operations in Fiji, and is in talks with the regime over a new mahogany processing factory, which could employ more than 2,000 people.

Its CEO, Henry Juszkiewicz, says an unelected government creates more risk for any business.

"Change could happen at any time, for all kinds of reasons. So it's not a good thing. Our own government has restrictions on the Fiji government. But my personal read, having talked to the Prime minister and many of the government officials, is that they are committed to bringing Fiji back into the democratic realm in 2014."

Henry Juszkiewicz says the company is committed to doing business sustainably and with social responsibility, and is working with the government on that.