Fiji has approximately 497,787 hectares or 28% of land available for agricultural purposes. Agricultural land use is broken down into temporary crop land, fallow land, permanent crop land, pastures, coconuts, natural forest, planted forest and non-agricultural land. The highest percentage of actual land use (37%) is for permanent crops followed by pastures (19%) and natural forest (17%).
The crop sub sector is mainly driven by the root crops and horticulture industry. The major commodities are taro, ginger, papaya, pineapples and Bilateral Quarantine Agreement (BQA) commodities such as eggplant, okra and breadfruit. Taro and cassava are the most planted root crops with taro geared mainly for the export market. The livestock subsector is dominated by beef and dairy production.
Fiji has existing trade agreements and favorable quarantine arrangements that allow the trade of agricultural produce with countries such as Australia, NZ, US, Europe, Canada, China and neighboring Paciﬁc Island countries. The domestic market, particularly the tourism industry, oﬀers the biggest opportunity for expansion in the agricultural sector.
To meet the growing demand, the majority of tourism operators are importing fruits and vegetables from Australia and New Zealand as local producers are unable to supply the required quantity and quality of such commodities. Volatility in production levels and inconsistency in quality have also hindered the development of value-adding industries in the country. This has resulted in increased reliance on imported raw materials.
The Value of Crop and Livestock domestic export for both fresh/ chilled and value added product has increased signiﬁcantly from $146.23 million in 2009 to $197.98 million in 2015 with a 5% average annual growth rate. Fiji usually imports around $506 million worth of Crop and Livestock commodities (fresh/ chilled & value added) yearly for the past decade.
The income of any new activity in commercial agricultural farming and agro-processing approved and established from 1 January 2015 to 31 December 2018 shall be exempt from tax as follows:
10 year tax holiday is available to a taxpayer undertaking a new activity in processing agricultural commodities into bio-fuels as approved by the Commissioner from 1 January 2009 to 31 December 2018. To qualify, the taxpayer must have:
Fiji Trade Commission – Office 5, Level 5, Harbourside West Tower, Stanley Esplanade, Downtown, Port Moresby
© Fiji Trade Commission (PNG) 2019