The Fiji Sugar Corporation says the forecast cane price for this year is $53.69 per tonne compared to $66.08 forecast for last year.
The FSC says the reduction is largely driven by lower global sugar pricing.
However, in a statement, the FSC has assured cane growers that notwithstanding the current forecast cane price, set in terms of the Master Award, cane farmers can look forward to the certainty of a guaranteed cane price of $85 per tonne for this year.
The FSC says the significance and foresight of the government’s setting of a guaranteed cane price of $85 per tonne of cane in the current situation cannot be ignored and the purpose of this guaranteed cane price is to create stability and certainty for cane farmers and shield them from adverse market conditions prevailing in world commodity markets.
The FSC says that the world sugar price has experienced extreme volatility in the last 12 months and year on year has dropped by nearly 20 percent due to large production surpluses that have arisen in major sugar producing nations such as India, Thailand and Brazil.
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