Fijians could lose Millions - New Three Month Law

by Fiji Times/Sail-World Cruising on 12 Jan 2008 The allure of Fiji for the cruising sailor has had a severe blow with the sudden announcement of a three month limit on cruising yachts. Previously visiting yachts had the option of leaving their boats in specially constructed cyclone holes for the duration of the season. Alarmed industry players say that the country stands to lose millions of dollars to neighbouring countries as a direct result

The Vuda Marina has already put a $30-million development project on hold as it anticipates crews sailing onto other nations because of new State measures.

Another proposed marina for 150 vessels and a bunkering facility in the Mamanuca Group is under review.

One company at the marina has begun to lay off workers because of cancellations.

Interim Finance Minister Mahendra Chaudhry announced in the 2008 Budget yachts and their crews would only be allowed to stay in Fiji for three months.

After that they had to apply for an extension, cutting the previous initial permissible stay by half.

Marina manager, Milika Marshall said the reduced period was unrealistic, especially since yachts arriving at the marina could undergo maintenance and repair for three to four months.

She said Fiji's yachting industry comprised of a huge local workforce that directly benefited from visiting yachts.

'Just imagine a yacht arriving in Fiji could undergo repairs valued at about $180,000,' she said. 'All this revenue will be lost to countries like Tonga, Samoa, Vanuatu, Australia and New Zealand that have longer grants for yachties,' she said.

Baobab Marina director Brian Smith said over the past week he had laid-off six workers because of the drop in business.

Mr Smith has 26 employees and expects to lay off more.

He said if the decision was reviewed and changed soon, the country would be able to rescue the industry.

Australian investor and director of Amanuca Island Resort, Bill Bennett said he could not understand government's decision.

In a letter dated January 7, Home Affairs, Immigration and National Disaster Management, permanent secretary Malakai Tadulala said the length of stay for yachts had been cut to enable authorities to effectively monitor the movement of vessels in Fiji waters.