Fiji Trade Commission

Potential Investment Areas

The main areas of investment in Fiji include:

Manufacturing
Tourism-related investment concessions
Film industry and audio-visual incentives
Mining investment concessions
Aquaculture/Fisheries sector investment concessions
Agriculture
Information Communication Technology (ICT)

Investment Incentives
One of Government's key objectives is to attract much needed private sector investment into the country. The Fiji Islands offers private investors an attractive and generous package of incentives and concessions, including:

Accelerated depreciation allowance - Fiji offers a generous and extended accelerated depreciation allowance on all buildings constructed.
Low import duties on production inputs - Fiji offers a low three percent duty rate on imported production inputs.
Low import duties on construction materials and capital machinery - the duty rate on imported construction materials is a low three percent, whilst capital machinery can be imported duty free.
Duty suspension scheme - the duty and value added tax (VAT) levied on any raw materials used in the production of exported goods is waived. Provided that imported goods are intended for manufacturing and processing than exported.
Tax deductions on export income - Fiji offers a schedule of generous tax concessions on export incomes.

Nature of Business	Tax Concession	Duty Concession	Duty Concession-Raw Materials	Remarks
Manufacturing for exports-Textile Footwear & Clothing, including furniture etc.	1st year-100% tax exemption. 2nd year-75% tax exemption	Free fiscal duty on plant machinery & equipment	Free fiscal duty	12.5% Value Added Tax (VAT) is payable up front-which is refundable.
Tourism	20 year exemption for investments over $40 million. 10 year exemption for investments less then $40 million	Free fiscal duty + VAT on capital equipment	Free fiscal duty + VAT on the importation of construction materials	This applies for investments that fall under SLIP & HALF SLIP (Short Life Investment Package)
Mining	31% corporate tax. Tax losses incurred in any year may be set off against profits earned during the next succeeding eight years subject to continuity of ownership or carrying on of the same business	Free fiscal duty + VAT on mining equipment for 2 years	3% for production inputs (raw materials); 3%-27% for construction materials	40% investment allowance on the purchase of capital assets of not less than $50,000 per annum. A 20 depreciation for acccelerated write-off of assets.
Offshore Long Line Fishing	1st year-100% tax exemption 2nd year-75% tax exemption	Free fiscal duty + VAT on Vessels	Free fiscal duty + VAT on bats, specialized equipment	At least 30% local equity required.
ICT - back office processing etc.	10 year tax exemption	Free fiscal duty + VAT on computers	Computer accessories is also duty free	Applies for companies located within the ICT zone.
Agriculture	1st year-100% tax exemption. 2nd year-75% tax exemption	Free fiscal duty + VAT on capital equipment	Free fiscal duty + VAT on the importation of construction materials.	At least 40% local equity required.

Other Incentives Available:

Low Corporate Tax of 31%
Partial exemption from tax
No withholding tax on dividends
Accelerated depreciation allowances on buildings-20% until 2010
Carry forward of losses for 8 years
Export Income Deduction
Repatriation of Profits permitted.

Freedom to Repatriate Funds
Under the current exchange control regulations, local investors are free to remit funds abroad to meet the costs of obligations incurred overseas.
In addition, foreign investors are able to remit profits and capital earned from its operations in Fiji. The Reserve Bank officials can readily provide investors with complete information on the requirements relating to remittances offshore.

Financing Investment
Foreign investors (companies) are allowed to borrow $3 for every $1 invested in Fiji and up to a total of F$10m per business entity from local lending institutions without the approval of the Reserve Bank of Fiji. Foreign investors wishing to borrow more than this delegated limit must apply to the Reserve Bank of Fiji through their designated lending institution. Individual foreign investors may also borrow locally up to F$0.5m without the approval of the Reserve Bank of Fiji.

Investment Registration Application
When applying for Foreign Investment Registration Certificate please include these important documents along with the application:

Shareholder’s copy of passport
Background information on all the shareholders including details about current business
Shareholder’s Bank Reference to confirm availability of funds
Copy of Loan Arrangement if shareholder is seeking loan as part of capital
Detailed Business Plan and/or feasibility study report that will include estimated annual revenue
Letters of support from relevant Government authorities in Fiji (if applicable)

Click here for Registration Application Form>
For more information on investment opportunities, please visit http://www.ftib.org.fj.