Group feels impact

THE impact of the COVID-19 pandemic is being felt by small and large companies with majority of the operators in the tourism sector feeling the brunt of the situation.

One of the heavyweights on the South Pacific Stock Exchange (SPX), Fijian Holdings Ltd (FHL) has also felt the impact of the coronavirus pandemic on its subsidiary companies.

In a market announcement yesterday, FHL said the immediate effect of COVID-19 and travel restrictions announcement by the government was felt by the tourism sector and as a consequence, South Sea Cruises had decided to call off services with closure of resorts in Yasawa and the Mamanuca.

FHL board acting chairman

Yogesh Karan said Basic Industries Ltd, Merchant Finance and Pacific Cement Pte Ltd were also affected with lockdown of Lautoka City.

He said the Lomolomo quarry supplied raw materials to Standard Concrete in Nadi and these transfers were also affected as the Lomolomo quarry was within the lockdown zone.

According to the company the effects are expected to spread across all sectors of its investment with this economic decline and diminishing domestic demand mainly because of the reduced hours of work and redundancy in extreme cases.

“The board of respective subsidiary companies and management are working closely on sustainable strategies in respect of business operations and managing resources at this time,” he said.

He said business continuity plan across the group had been activated and all prescribed policies would be followed during business hours or in the event of total lockdown.