IMO, Fiji has a much higher Soverign risk than Indonesia or many African countries and is more akin to PNG
without PNG's pretense of democracy. For example , its taxation regime on foreign ownership is unreal. New
imported equipment is very highly taxed with exemptions given for special projects (wink, wink, say no more)
The bottom line is that if a corporation decides to re-export the equipment later, that the PNG Government will
insist on the Import Tax which "gained" exemption is paid before an export licence is issued. So if an enterprise
fails ( as did logging projects in the 1980's & 90s) the plant and equipment has to be left in Fiji because its
used value is invariably less than the re-export tax.
Government decisions which are made without proper environmental studies can be readily reversed depending on
outcomes and this dredging operation has the potential to do massive environmental damage, so as they say
in the "Dragons Den"..."I'm Out".
