Fiji should move ahead with plans to establish an ethanol plant and expand its sugar industry operations to create alternative fuel sources and safeguard the sector’s future, according to Public Enterprises Minister Charan Jeath Singh.
Singh said the proposal to build an ethanol plant in Rakiraki, first discussed during his time as Sugar Minister, was aimed at reducing the country’s vulnerability to fuel shortages while opening new opportunities for the sugar industry. The project could also support the production of aviation fuel for the nation’s airline sector, Fiji Sun reported.
He stressed that Fiji must begin preparing now for future energy needs, noting that ethanol production could provide a new direction for the sugar industry and help reduce its reliance on ongoing government support.
According to Singh, diversification into ethanol is essential if the sugar sector is to remain sustainable in the long run. He said the Fiji Sugar Corporation and the Ministry of Sugar would need to play a leading role in developing the industry beyond traditional sugar production.
The proposed ethanol facility, however, would require substantial investment. Singh estimated that close to FJ$200 million would be needed to establish the plant and suggested that financial support may have to be sought from international lending institutions such as the World Bank or the International Monetary Fund. He added that any funding arrangement should be structured as a long-term soft loan or grant.
Singh said the success of the project would depend on a significant increase in sugarcane production. At present, the Fiji Sugar Corporation receives around 1.5 million tonnes of cane for crushing annually.
He noted that cane deliveries stood at about 1.3 million tonnes during his tenure as Sugar Minister and have since increased to nearly 1.5 million tonnes. The corporation is targeting 1.7 million tonnes this year.
For an ethanol plant to operate efficiently, annual sugarcane production would need to reach approximately 3.5 million tonnes, he said. If production rises by around 200,000 tonnes each year, Fiji could achieve that target within the next ten years.
Singh said the government is interested in pursuing the investment, but farmers must contribute by increasing cane production to ensure there is enough raw material to support ethanol manufacturing.
Meanwhile, Sugar, Agriculture and Waterways Minister Tomasi Tunabuna said the industry must continue adapting to fuel-related challenges.
He confirmed that a fuel rebate programme is available for sugarcane transport operators, including tractor owners and cane truck operators, through fuel supplied at Fiji Sugar Corporation facilities.
Tunabuna also said the Sugarcane Growers Fund is providing assistance to farmers to help offset the impact of high fuel prices, offering additional support to growers as the industry works through current fuel cost pressures.
The push for ethanol production comes as Fiji explores ways to strengthen both its sugar industry and energy security, with policymakers viewing diversification as a potential pathway for long-term growth and stability.
