Traditional Economy Coastal Resources are an Important Basis for Stability and Sustained

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II. FIJI IS A COASTAL NATION

A. Coastal Resources are an Important Basis for Stability and Sustained

Growth Coastal areas are of vital importance to Fiji society and its national development. Most of the urban centers and a vast majority of villages are located on the shore, along with much of the population, agriculture, industry and commerce. Income from tourism and fisheries is directly tied to the condition and productivity of critical ecosystems and shoreline features such as coral reefs, beaches, seagrass beds and mangroves. The Fiji Strategic Development Plan for 2002 – 2004 August, 2001 review draft produced by the Ministry of National Planning focuses mainly on short term measures for rebuilding confidence for stability and growth in Fiji. However, this document also looks ahead by clearly stating that: Governments commitment to sustainable economic growth means that growth must not be allowed to lead to the long term degradation of the environment. [para. 34] Further, The proper management of the environment and sustainable use of its natural resources is critical for the sustainable development of Fijis largely natural resource based economy [para 12.67]. Marine resources need to be managed in a way that maximizes resource owner and community benefit whilst ensuring bio-diversity and conservation issues are taken fully into account [para 9-30]. Finally, Protecting the environment is closely linked to disaster management and mitigation. The effects of many disasters e.g. floods can be reduced by taking better account of the environmental risks of development [para. 34]. The Environment section of the Strategy also mentions the need for minimizing the degradation of natural resources, enacting the Sustainable Development Bill, and raising public awareness on environmental issues. This section reviews the importance of the coast to the traditional village and rural life of Fiji, its role in sustaining the current economy, and further contributions toward sustainable development of the country.

i. Traditional Economy

Around 90 of Fiji’s 800,000 people may be considered coastal dwellers. Despite increasing urbanisation 54 of the population is rural Leslie and Ratukalou 2001. Local communities, especially in rural areas, are still heavily dependent on subsistence utilisation of natural resources for their livelihood. 4 Agriculture Subsistence agriculture contributes between 30-40 of total agricultural GDP and is of significant importance to local villages and communities. Subsistence agriculture is practiced all over Fiji and based upon a mixture of staple root crops dalo, cassava, yams, sweet potato and tree crops bananas, breadfruit, mangos and other fruit trees and vegetables. It provides a source of nutritional benefits and through the selling of surplus crops, income MAFF 1999. Fisheries The inshore fishery is of vital importance to the rural sector. Most of Fiji’s coastal villages and settlements rely on subsistence fishing for a large part of their protein intake, however, there is a lack of detailed information on this fishery. If the estimated volume of the subsistence fishery could be sold at current domestic prices it would be worth nearly F50 million Watling and Chape 1992. In 1999 it is estimated that 17,800 metric tonnes finfish and non- finfish were caught and consumed by subsistence fishermen. This volume represents twice the size of the artisanal fishery MAFF 1999. Mangrove Resources A large proportion of Fijis coastal villages have access to and utilise mangrove areas. These communities have a significant dependence on mangroves. Mangrove areas provide crabs, prawns, fish, molluscs and other fisheries as well as an important source of firewood, building materials, dyes, medicines and a variety of other uses. The direct and indirect benefits are free and self-sustaining thus are important determinants of the quality of life of many coastal communities Watling 1985. ii. Existing Economic Sectors Fiji’s economy is largely dominated by sugar and tourism although private investment has continued largely in construction, tourism, other agriculture, forestry and the garment industry. The dependence of Fijis economy on natural resources and the environment is still an overriding feature. Most of the socio-economic activities are located on the coast including tourism, fisheries, agriculture, industry, and infrastructure. Tourism Tourism, which is mainly private sector driven, has grown significantly over the years and has now become Fiji’s largest gross foreign exchange earner. The tourism industry is highly focussed on the western region of Fiji in Nadi, the Mamanuca Islands, and the Coral Coast, and has great potential to deliver economic benefits to rural Fijians. In 1999 it contributed approximately 16 of GDP and 22 of foreign exchange. Tourism provides employment directly and indirectly to around 40,000 people. The sector relies heavily on the state of coastal areas and proper management of coastal uses. Recently, a number of new hotels have been built in the country and most of the major resorts are situated on the coast. Ecotourism is also an important and growing form of tourism. Visitor arrivals have recorded a 5 steady growth reaching a record level of 409,000 in 1999 then declining to 294,070 in 2000 as a result of the coup. Visitor arrivals have begun to increase again in 2001 in which they reached 348,014 Ministry of National Planning 2001. Agriculture Agriculture accounts for the largest sector of Fiji’s economy, accounting for 43 of foreign exchange and contributes 19 of Fiji’s GDP. It provides around 40 of total employment MAFF 1999. The main agricultural activities are concentrated on Viti Levu and Vanua Levu where much of the suitable land is under cultivation for commercial crops such as sugar cane and subsistence crops. There is limited land suitable for expanding agricultural opportunities. Sugar is still the backbone of the agricultural economy with annual production in 2000 at 0.33 million tons. The industry generated sales revenue in excess of 280 million in 2000. It is also responsible for the employment of around 25 of Fiji’s labour force and contributed around 14 of total of foreign exchange Ministry of National Planning 2001. Root crops and yaqona are expanding as export crops. Production of dalo for export in 1999 was 8058 tonnes earning 8.8 million. In 1999, 245 tonnes of yaqona were exported. MAFF 1999. Commercial Fishing In 1999 the domestic commercial catch of fresh and frozen finfish was around 5102 tonnes worth 16.9 million and for non- finfish approximately 4870 tonnes worth 6.2 million. Main species caught include several inshore finfish species, mangrove crab, prawns and bivalves. In 1999 it is estimated that F87.5 million worth of sashimi tuna and 7 million of loin product were exported to mainly Japan and United States markets. PAFCO exported canned and loin tuna to the value of F15.9 million. Export of aquarium fish was worth 519,000. MAFF 1999. Manufacturing Manufacturing is now a significant part of the economy contributing 15 of GDP and employing around 28,000 people. Main components of the sector are textiles, clothing and footwear, beverage and tobacco production, food processing, and wood-based industries. The textile, clothing and footwear industries experienced major growth in 1999 contributing around 25 of total exports, however output fell sharply in 2000 as a results of the political crisis Ministry of National Planning 2001. 6 iii. Future Economic Growth and Sustainable Use of Coastal Resources The Fiji Strategic Development Plan for 2002 – 2004 sets the stage for future investments in infrastructure, capacity building and resource management which need to be in place to take advantage of opportunities while also improving quality of life and avoiding degradation of the environment over the long term. Tourism is a sector which is now recovering and has good growth potential. One part of the vision is to link tourism with other parts of the economy including horticulture, floriculture, fisheries and aquaculture [para. 10.8]. For example, success in the fresh tuna export trade depends on the availability of international flights to market destination [para 9.24]. There is untapped potential for the development of small and medium scale businesses by indigenous Fijians for the tourism industry such as handicrafts, ecotourism ventures, diving, and other water sports. Community-based tourism projects that are well designed and managed can bring about substantial economic benefits to the local population, particularly to the resource owners. In addition, ecotourism also promotes the conservation of Fijis biodiversity, indigenous Fijian culture and tradition, and the natural environment [para 10.13]. Development of the fisheries sector could include export of an expanded variety of fresh fish, cultured seaweed and other marine products such as giant clams and cultured black pearls. The sector is expected to grow 1.7-2.5 given the expanding tuna industry and the provision of fishing equipment. Some of the investment barriers include limited shore based facilities and rural infrastructure and there is a key concern about the need to improve how marine products are handled to avoid losses, and to permit Fiji to benefit from a greater number of value-adding steps and processes Ministry of National Planning 2001. Diversification of high value niche crops and traditional food crops is also needed as sugar cane production declines. Rural to urban migration has resulted in significant urban development and encroachment onto first class arable land as well as generated a number of spillover problems such as water pollution, draining of wetlands and flooding.

B. Fiji’s Coastal Habitats and Ecosystems are of National and