Sugar Minister Charan Jeath Singh

Efforts are underway to transform the initial $102 million loan from the Exim Bank of India into a grant, according to Sugar Minister Charan Jeath Singh.

This loan, which has now ballooned to approximately $900 million, was originally acquired in 2005 for the purpose of enhancing sugar mill infrastructure.

Regrettably, Singh explains that the firm responsible for executing the project failed in its mission, thereby burdening the Fiji Sugar Corporation with substantial debt.

Singh says they are attempting to leverage influential connections to secure the forgiveness of this debt.

“One of the things that I have mentioned to our Prime Minister, Honourable Rabuka, is that if he can talk directly with the Indian Prime Minister, Mr. Modi, I am pretty sure that if we talk to him, we can turn this current loan into a grant.”

Singh reveals that he has engaged in dialogue with the Indian High Commissioner in Fiji, along with India’s Foreign Affairs Minister, Jai Shankar.

According to Singh, the Indian contractors profited significantly from the upgrade project. However, they not only delivered substandard work but also supplied machinery that was unsuitable for use at the mills.

“The quality of the steels that were used is mostly rusting. I don’t know what type of steel was put there because the original steel is still intact. But the ones they have put there are all rusting and falling apart.”

The Sugar Minister asserts that valuable lessons have been gleaned from past experiences, and they will exercise added caution when awarding contracts for forthcoming projects.