A gradual and consistent increase in global sugar prices, along with improvements in economic performance worldwide means good news for the sugar industry in Fiji, says the Sugar Ministry.
In a statement issued yesterday, the ministry said Sugar Minister Charan Jeath Singh, met John Ireland, the associate director for Czarnikow Company — one of the world’s biggest traders — to explore pathways and opportunities for Fiji’s sugar export markets.
Mr Ireland projected a positive outlook for the sale of Fiji sugar in the upcoming 2023 production season.
Czarnikow Company is presently the main broker for the export of raw sugar from Fiji to foreign markets.
“The positive sales forecast was attributed to strong sales trend observed in the previous year (2022), which was the best in recent years,” the ministry said.
“The global sugar market is currently at an 11-year high and is one of the highest in comparison to previous years, with increasing global consumption being another contributing factor. Moreover, the tightening situation in Europe’s sugar markets, due to changes in crop volume and policy, is expected to boost demand and imports.
“This will lead to a better commercial premium for Fiji sugar in the EU market.”
Mr Ireland said in addition to marketing Fiji’s raw sugar was the importance of the Fiji sugar industry focusing on investments in ethanol production and power cogeneration.
He said those areas of investment had proven to be a significant source of revenue for major sugar-producing countries such as Brazil and India.
Mr Singh said his ministry’s priority was to boost cane production, and one approach under consideration was to provide incentives to growers based on their yield output.
Fiji exports raw sugar to several Asian markets such as Japan, Malaysia, Korea, and China, as well as the United Kingdom and the United States. Notably, the United States market purchases Fiji sugar at 25 to 30 per cent higher than the world sugar price.
