The Opposition has welcomed the increase of rental and stumpage rates in the Mahogany Industry but it says it should have been done a long time ago.
SODELPA MP Ratu Kiniviliame Kiliraki says the increase in stumpage rate, lease payment as well as licensing reforms is something landowners should not be excited about.
He says the Mahogany Industry Council should have properly consulted landowners about the changes as he believes that the landowners are being ignored.
Kiliraki claims that the Mahogany Industry Council has only met three times since 2012.
Prime Minister, Voreqe Bainimarama has said that consultations on the licensing restructure were conducted with existing licensees and the Fiji Mahogany Trust which represents mahogany landowners.
Bainimarama had also said that the rates for landowners engaged in mahogany leases with Fiji Hardwood Corporation Limited have been reviewed for the first time since 2010.
He says that rental and stumpage rates will increase by 19 per cent and premium rates will increase by 20 per cent.
These rates will be back dated to 1 January 2016.
Bainimarama says they the Council will meet on a quarterly basis to monitor the progress of these initiatives.
The Mahogany Industry Council has approved a restructure of the mahogany license issuance framework to reflect industry developments since the establishment of the licensing system in 2011.
The restructure is expected to begin on 1st January 2017.
The Prime Minister says that the new licensing system is based on a more realistic annual log production capacity of 75,000 cubic metres and will also standardise log prices, limit licenses to two per log grade and revise purchase protocols.
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