7 year concession on corporate tax for bottled water industry to encourage new and existing operators – PM

7 year concession on corporate tax for bottled water industry to encourage new and existing operators – PM

By Vijay Narayan
Wednesday 12/07/2023
Prime Minister Sitiveni Rabuka [Image: Parliament of the Republic of Fiji]

The seven-year concession on corporate tax for the bottled water industry is to encourage new players who wish to enter the industry in Tailevu, Ra and Ba, and existing operators who wish to expand operations.

Those are the words of Prime Minister Sitiveni Rabuka as he says it is unfortunate that certain politicians are manipulating information for political gain.

He says it is important that people should check their facts before making wild allegations.

The Prime Minister clarified that tax arrangements for the water bottling industry which were announced in the Budget is a commitment made in the People’s Alliance manifesto which clearly states the intent that Government will “review the current water legislation to revitalise the bottled water industry”.

Rabuka says in addition, in Chapter 5 of the PA manifesto “Public Finance”, the party undertook to “reform the current taxation system to ensure compliance using the existing and new Information Technology systems; and improving the current system to make it simpler and more transparent.”

He says he also made it clear in his State of the Nation Address, that the revenue policy reforms will be guided by principles of fairness, simplicity and revenue-adequacy.

The Prime Minister says therefore, all the announcements in the Budget 2023-2024 are consistent with his commitments as outlined in the 2022 manifesto.

Rabuka says he has taken a keen interest and keeps tabs on the water industry since he opened the bottling plant in Yaqara in 1996 during his first term as Prime Minister. He says he has always been interested in their success as they bring great benefits to Fiji, and continue to do for the communities of Ra, the workers, and the country as a whole.

Rabuka says in addition, a number of investors came to his office expressing their interest in entering the bottled water industry in Fiji – including in Tailevu, Ra and Ba.

He says in their discussions with officials at the Prime Minister’s Office, these investors stated that Fiji needed a transparent, fair and equitable tax regime rather than one that penalized some and favoured other investors.

He says he had the opportunity to meet the owners of Fiji Water and other investors on his return from the Ocean’s Summit in Panama earlier this year.

Rabuka says their discussion with the owners of Fiji Water centred around improving logistic arrangements for transportation of their product to Lautoka wharf, options for renewable energy given the factory is not connected to the EFL grid, possible investment in other key sectors where they have a comparative advantage, and a transparent and fair tax system for the water bottling industry.

The Prime Minister says the revenue measures in the 2023/2024 Budget for the water bottling industry i.e. the water resource tax has increased to 19.5 cents per litre (an increase of 1.5c per litre) means that the company will pay more in taxes to the Fiji Revenue Customs Service.

He says contrary to claims, the Fiji Water company is not exempted from paying taxes in Fiji under the 2023/2024 Budget revenue measures.

2023-2024 Budget Address

Full Budget Coverage and Documents

FEATURE NEWS
Some drug users are raping their mothers and sisters – ACP Ganivatu
Serious concerns continue to be raised on the impact drug use has on the lives of youths in the country, with some committing heinous crimes such as r...
6 hours ago
LATEST NEWS
There has been no theft of 1 tonne of meth, drugs are kept under tight security - Acting COMPOL
Police have rejected claims in New Zealand's 1News report that about a tonne of methamphetamine seized in Nadi earlier this year, is missing. When ...
5 hours ago

Chaudhry attacks PM after PM says Chaudhry a selfish and weak-hearted leader
Following Prime Minister Sitiveni Rabuka's reference to former Prime Minister and Fiji Labour Party leader Mahendra Chaudhry as a selfish and ...
5 hours ago

Dialogue underway to ban Pseudoephedrine in the country
Minister of Health Doctor Atonio Lalabalavu is currently having dialogue with various Ministries and stakeholders regarding the ban of ...
5 hours ago

Government Financial Management Information System to go online from 1st August – Prof. Prasad
The Government's Financial Management Information System is scheduled to go online from 1st August 2024. This has been revealed by the Deputy ...
10 hours ago

Athletics Fiji mourns the loss of President Vuli Waqa
The President at Athletics Fiji and Secretary at Fiji Secondary Schools' Athletics Association Filimoni Vuli Waqa, affectionately known as Vuli Waqa, ...
11 hours ago



fijivillage Straight Talk with Vijay Narayan
Latest Videos

Stay tuned for the latest news on our radio stations

CFL radio frequencies
yb
IN DEPTH
Ministry of Home Affairs Talanoa Session on Illicit Drugs and Substance Use Disorders in Fiji
The pervasive threat of illicit drugs has emerged as a pressing concern, rapidly infiltrating and destabilizing our society therefore the Republic of ...
6 days ago

Bainimarama and Qiliho hearing in dismissal of 2 police officers case
Acting Director of Public Prosecutions John Rabuku says he wants the hearing of former Prime Minister Voreqe Bainimarama and suspended Police ...
6 days ago

Sayed-Khaiyum case on alleged payment of Saneem's taxes without proper approval
It is alleged that between the 30th of June, 2022 and the 12th of July, 2022 in Suva, whilst being employed in the civil service as the Acting Prime ...
6 days ago

TOP