Fiji Kava and BSP Life, one of Fiji’s largest institutional investors, today announced a $2million investment program that will support a 5-year plan for expanded operations across Fiji.
BSP Life is the first local company to invest in Fiji Kava Ltd via Convertible Notes which will support operational expansions and social impact programs.
The investment will support increased processing of kava in Fiji Kava’s Levuka Facility as well as the establishment of regional nurseries and logistics hubs linked to kava growing cooperatives across the country that will be established with the support of the iTaukei Trust Fund Board.
“The 5-year plan includes increasing the capacity in Fiji Kava’s Levuka plant to allow for processing of up to 300 MT of kava per year, which will be purchased from Fijian farmers and cooperatives. The impact investment will also be used to provide support to Fijian farmers including additional training, access to desirable Noble Kava plantlet varieties and aiding their transition to larger scale operations that meet Fiji Kava’s supply requirements on a commercial basis,” Fiji Kava Chief Executive Officer, Anthony Noble said.
“With existing partners, commercial nurseries will be established in various regional locations around Fiji to grow and supply Noble Kava plantlets to contracted farmers. In addition, Fiji Kava will develop opportunities for graduates of the Tutu Rural Training Centre as post-graduate fellows on Fiji Kava’s nucleus estate in Cawatara, Ovalau. Tutu is a highly successful training institute for aspiring farmers, with the farming of kava as a core component of the curriculum,” he added.
This investment adds to BSP Life’s current portfolio of F$900 million. BSP Life Managing Director Michael Nacola stated, “we are delighted to partner with Fiji Kava and support them realise the large potential that exists within the kava industry, particularly with the export market. The growth in kava exports will assist in diversifying our country’s economic base and generate more revenue for farmers. The empowerment of rural communities through this venture ties in with our core value of Vanua & Community, and as rural community livelihoods improve, we also create future customers for BSP Life.”