25 Jul 2006

Indian sugar technical mission cancelled, says Fiji Labour Party leader

6:28 pm on 25 July 2006

The Fiji Labour Party leader, Mahendra Chaudhry, says the government has cancelled the contract of the Indian Sugar Technical Mission which was to have restructured the ailing industry.

Mr Chaudhry has told Radio Fiji that the mostly state-owned Fiji Sugar Corporation has decided to take on the restructure itself.

He says unfortunately the credentials of the FSC to do this are suspect because it has run the industry into the ground.

Mr Chaudhry, who is also the general secretary of the National Farmers Union, says he cannot see the FSC substituting effectively and efficiently for the work that the Indian Sugar Technical Mission was to have done.

He says the government's failure to inform the public about the cancellation of the contract is worrying.

Sugar cane production in Fiji has declined from a peak of 4-point-5 millions tonnes a year to just 3-million and milling efficiencies are very low by world standards.