Survey Suggests Need For

Fiji's Future

Survey Suggests Need For New Industries

rpHOUGHTFUL people in Fiji spent A some little time in December over an article, dealing with the im mediate economic future of the Colony, contributed to the “Fiji Times” by Mr.

Pat Costello. It has beerf pointed out that Fiji sugar soon will meet world competition again, that Fiji gold is being plotted against by Socialistic Govern ments and that Fiji copra will be finished with boom conditions. Then what?

Mr. Costello says he does not like what he sees ahead—and he probably has given offence to the Government (now under Socialist direction) by making a strong plea that private enterprise be encour aged to help the Colony’s structure by developing new industries.

He points out that, on two previous occasions, the Colony escaped serious ec onomic trouble through unexpected visits from Father Christmas. In the early thirties, when copra and sugar markets were sick, Tavua was discovered and the rich gold industry was established. Out of this windfall, and big revenues, the Government built its £250,000 block of offices. In 1940, with Germany astride of Europe, the outlook was dismal; but in 1942, as soon as Japan attacked, the whole situation altered, Fiji’s old pro ducts were in sharp demand, flourishing new industries were established, and Am erican and New Zealand Servicemen left between £3.000,000 and £4,000.000 in the Colony. Father Christmas had called again.

Mr. Costello takes Fiji’s industries one by one, and examines their present con dition. He points out that Fijian sugar is subsidised £5/5/- per ton —equal to £745,000 per annum. How long will the over taxed, underfed British tax payer continue that arrangement?

The gold mines produced rich revenues for Fiji. But now they are being sav agely taxed by the Fiji Government, so that enterprise is being discouraged. The Theodore Companies have returned £400,000 out of their £1,000.000 capital and appear reluctant to develop; the Mt.

Kasi gold mine has ceased operations— its area is worked out and it is not en couraged to develop new country. The Burns Philp Co. is shifting some of its capital.

Copra is a profitable product now, but its life is limited. The banana industry, lacking encouragement, is steadily de clining. The dairy industry has not made the progress expected during the last few years. There is no future in rubber.

Says Mr. Costello: “It thus appears that we are not stand ing on our own feet. Our sugar lives by the subsidy from the United Kingdom; the gold mines are operating to get as much as possible from their as sets; copra may have three years on a payable price; bananas may have a slightly increased output; butter and ghee are highly priced and have a small out put and rubber will probably cease at the end of the year.”

Fiji at the moment, is very prosperous, and Mr. Costello’s summary may seem pessimistic. But one cannot dodge his facts. The Government would be wise to turn a non-socialistic eye onto the sit uation, and do everything possible to in duce private enterprise to find and de velop new industries.