Retailers call for an Economic Think Tank

The Fiji Retailers Association is calling for an Economic Think Tank to be set up to make suggestions on assisting businesses during the difficult economic conditions currently being faced in Fiji.

Among the Association members' concerns is that the current high costs of doing business and high interest rates in Fiji is contributing to more and more businesses facing problems leading to winding up for some of them.

Some businesses have had to resort to the private funds of their owners or borrow from overseas to pay off debts and meet overheads.

Currently, businesses may borrow (up to a stipulated limit) from abroad to meet their business needs. On the other hand, foreign investors are required to bring in their own funds for setting up businesses in Fiji. Foreign investors running businesses may borrow only to meet their working capital needs from banks and financiers in Fiji.

Note : Businesses that need assistance with funding and investment in Fiji can use our company, Gilbert & Samuels Company Limited, for advice. To contact us, you can call telephones (679) 3396427 or (679) 9921427 or e-mail gilbert@connect.com.fj.

Revised National Budget : Priority Sectors and Incentives

In the Revised National Budget 2007 that was delivered by the Interim Government two weeks ago, Government has identified priority sectors as including :

• Forestry;
• Agro-business;
• Marine products;
• Audio Visual;
• Information and Communications Technology; and
• Mineral Water.

Plans are also underway to create economic zones where small and medium enterprises can be established. Part of this plan has seen to the development of the Kalabu Tax Free Zone and the upcoming Vatuwaqa Industrial Zone in Suva.

Government also announced plans to reduce the cost of doing business in Fiji by deregulating and opening up the telecommunications sector to allow more companies into that sector and thus promoting competition, and also to review all concessions to place everyone on a level playing field.

It says that it will continue to support businesses and investment and ensure that "the climate is conducive, the policies are consistent, everyone is treated uniformly and that incentives .... are effective".

In an upcoming post, we will put up incentives that are being offered specifically for promoting development and business at Vanua Levu, Fiji's second largest island.

Note : Those that need advice or assistance on setting up business or investing in Fiji can contact our company, Gilbert & Samuels Company Limited, by e-mail on gilbert@connect.com.fj or by telephone on (679) 3396427.

Fiji telephone rates on par with other developed countries?

Telecom Fiji Limited says that its telephone rates are on par with other developed countries and are much cheaper than those of island neighbours including Vanuatu, Papua New Guinea and the Cook Islands. The company was responding to a report titled, 2007 Telecoms, Mobile and Broadband in the South Pacific Islands, which said that penetration rates of telecom services in the South Pacific remained comparatively low and that basic telecom services remained relatively expensive.

Petrol prices drop today

Petrol prices will drop from today after an announcement by the Prices and Incomes Board (PIB). The reduction in retail prices of petroleum products is reflective of the October/November 2005 world product market conditions, according to the PIB.

The reductions are as follows :

• Motor Spirit falls from F$1.83 per litre to F$1.65;
• Kerosene from F$1.65 per litre to F$1.18;
• Diesel from F$1.60 per litre to F$1.42;
• Premix Outboard fuel from F$1.78 per litre to F$1.58.

The Fiji Chamber of Commerce has welcomed the reductions which he said would ease business costs.