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Home»Pacific Islands»Sugar budget shift clarified – FBC News
Pacific Islands

Sugar budget shift clarified – FBC News

TMC PalauBy TMC PalauJuly 27, 2026No Comments2 Mins Read
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The reduction in the sugar sector allocation under the 2026–27 Budget does not mean less support for cane farmers, but a shift in how assistance is provided, says Sugar Minister Tomasi Tunabuna.

He stressed that while direct funding for sugar has decreased, support through the cane price subsidy and stabilisation funding has increased by 10 percent to provide greater relief to farmers.

The Sugar Minister says some funding has been shifted to support farmers who are diversifying into other agricultural areas.

“We moved some of the budget from sugar into non-sugar agriculture so that they can diversify. But not all of them would want to plant sugarcane. Some are already diversifying, and those are the ones we want to assist through the non-sugar agriculture budget.”

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Tunabuna added that the Sugar Industry Special Committee has received submissions from key stakeholders and feedback from farmers, which will be compiled before finalising its report and recommendations for the industry.

Government MP Professor Biman Prasad says the Government has supported sugarcane farmers by improving their income and productivity.

“As a result of that meeting, farmers understood what the Government has been providing to sugarcane farmers. I am very pleased to say that harvesting has now started in full swing. This is what we have been told, and stakeholders have already submitted their views to the Parliamentary Select Committee.”

The Sugar Industry Special Committee has gathered submissions from farmers and stakeholders in the West and will soon travel to the North to hear directly from farmers there.



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