
Fiji Water, the most fashionable and popular bottled water brand in the U.S. and the world, has been going through some major turmoil this week and nearly closed down its plants that draw and bottle water from an aquifer in Fiji.
Last week, the military government of Fiji ordered Ratu Epeli Ganilau to deport David Roth, Director of External Affairs at Fiji Water. Ganilau then actually resigned from his position as Minister of Defense, National Security, and Immigration rather than go through with the order. Instead, Attorney-General Aiyaz Sayed-Khaiyum gave the order and deported Roth for behaving "in a manner prejudicial to good governance and public order."
Following this major blow, the Fijian government imposed an "extraction tax" of 15 cents per liter of water taken from the aquifer--an astronomical increase from the one third of a cent per liter they were paying up until now. This tax affects companies extracting over 3.5 million liters month in Fiji... which ends up being only Fiji Water. In response, Fiji Water announced on Monday that it would be closing it plants in it's namesakes country.
This is the second time this tax has been proposed. In 2008, the government tried to impose
a 20 cent/liter tax and after Fiji Water temporarily closed its plants, the
government backed down. The
company ships $150 million of water each year, which adds up to about 20% of
Fiji's exports. They also spend
over a million dollars each year on local projects and employ hundreds of residents.
Fiji Water President John Cochran said just days ago that "[Fiji] is increasingly unstable, and is becoming a very risky place in which to invest." However, in a statement issued this evening, the company declares that "Fiji Water will reopen its bottling plant, effective Wednesday morning, Dec. 1... Through our discussions, we have also agreed to comply with Fiji's new water tax law." They also added that their company "is committed to working with the Fijian government, and remains dedicated to helping the country's economy and its people."
Photo Credit Fiji Water













