Rising costs squeeze Fiji's shipping industry, company warns

Fiji's maritime sector faces a critical juncture as Goundar Shipping Limited calls for government intervention to mitigate the impact of escalating operational costs. The company is urging the administration to include relief measures for the sector in the upcoming National Budget, warning that the industry's long-term viability is at risk.

Managing Director George Goundar highlighted the severe financial strain on the sector, noting that freight rates have seen virtually no increase over the past 14 years. This prolonged period of stagnant pricing stands in stark contrast to the significant rise in operating expenses, creating a widening gap that is squeezing the profitability and sustainability of shipping operations.

Goundar Shipping Limited's appeal underscores a broader concern for Fiji's maritime industry, which plays a vital role in inter-island transportation and trade. The company's warning suggests that without timely support and adjustments, the sector could face severe disruptions, impacting both businesses and the communities reliant on these services.

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freight rates have remained largely unchanged for the past 14 years, despite significant increases in operating costs.