The Fiji Water company is closing its operations in Fiji, due to the governmentâ€™s major tax increase on the bottled water company. The California owners of Fiji made the announcement on Monday. They are cancelling orders â€œfrom suppliers and putting on hold several construction contractsâ€ in Fiji.â€
Fiji Water owners, Lynda and Stewart Resnick, believe the military appointed government singled out their company for a massive tax increase. The bottle water comes from â€œan aquifer deep underground has been the source of one of the world's most popular bottled water brands.â€
The Fiji Water company was willing to chat with the countryâ€™s government, but the owners were forced to make the difficult decision to shut down their bottled water production in Fiji.
President John Cochran of Fiji Water explained that â€œFiji's government announced last week that it was imposing a new tax rate of 15 cents per liter on companies extracting more than 3.5 million liters (920,000 gallons) of water a month â€” up from the current one-third of one percent rate. Fiji Water is the only company extracting that much water.â€
Wow! Fiji is creating an unreasonable tax increase. It is no wonder the American company is forced to shut down their operations in Fiji. Can you imagine how expensive the Fiji water would be if the company decided to continue their bottled water production in Fiji? It would be like 5 bucks a bottle! Admittedly, Fiji water tastes the best of all the bottled waters, but it is already expensive enough!
It certainly sounds like the government of Fiji wanted the bottled water company out of their country! Will the closing of Fiji Water affect your bottled water consumption?
Photo Source: Fiji Water Closing Doors
Â© Bo Richards 2010