The Fijian Competition and Consumer Commission are urging all Fijians to be responsible spenders since the global supply market for goods has shown a pattern of concern with the Russia-Ukraine war has negatively impacted Fiji’s recovery efforts.
FCCC Chief Executive Officer Joel Abraham says Russia this week has banned the exports of gas to Poland and Bulgaria causing a further strain on an already increasing commodity cost while Indonesia has banned exports of edible oil used primarily in the manufacture of biscuits, margarine, laundry detergents and chocolates.
He says Fiji is not immune to the effects of these global price hikes as we are a price-taker in an import-based market.
Abraham says the increase in fuel prices will have a trickle-on effect on other services that rely heavily on fuel and also confirmed that they have received submissions from bus operators seeking a 60% increase in Stage 1 fares and a 25% to 30% increase in the other stages.
He says they have a stringent bus fare review process that will determine if a change in the bus fare is needed and by how much.
The CEO adds they are in the final stages of assessing the cost components and is expecting the completion of this exercise by early May.
He confirms the bus fares will change, but they will do their best to balance the interests of bus companies with those of all travelling Fijians.
Speaking at a press conference this afternoon, Abraham says the impact of the war is also directly felt in food prices, which has been further exacerbated by the supply chain crisis initially caused by COVID-19.
He says it has increased the prices of basic commodities and driven up freight prices due to the cost of transportation.
Abraham says they have also received submissions from bread companies and biscuit manufacturers for an increase in bread and biscuit prices since the fuel and supply chain crisis has added to the cost of wheat.
The CEO says they are also working with the Australian Competition and Consumer Commission on avenues to address shipping issues and are hopeful they can find a way to keep costs as low as possible for Fijian consumers.
