Cabinet has approved the $200.2 million write-off of the government debt owed by the Fiji Sugar Corporation to the Government, after the decision was made on the 15th of July this year.
This was highlighted in the FSC’s 2024 annual report.
The debt forgiveness is expected to significantly enhance the Corporation's liquidity and financial position.
The report states that the Corporation will pursue increasing the area under cane cultivation, improving productivity, revenue optimisation from large scale sugarcane plantations, cost cutting initiatives, sale of non-core assets, power generation income and better marketing of Sugars of Fiji for local and regional markets.
The management plans to invest in refurbishing and upgrading the mills to achieve improvements in mill efficiency and mill performance together with consistent, improved quantity and quality of cane supply and thereby generate adequate profits and cash flows from future operations to meet its obligations as and when they fall due.
The report says the Corporation has debt repayment commitments amounting to $156.1 million during the financial year ending on the 31st of May, 2025.
