The final Lease Security Bonus Payment for landowners leasing their land to Fiji Pine Group Limited was distributed on Wednesday, 30 October, amounting to $6 million. 

Since its start in 2013, total LSBP payouts have reached $42.5 million, with this year’s payment bringing the total to $48.5 million. 

Forestry Minister, Alitia Bainivalu, stressed that these payments act as annual dividends based on industry performance and highlight the importance of landowners to the company’s success.

“Since its inception in 2013, the Lease Security Bonus Payout has amounted to a remarkable $42.5 million paid out to our Pine Landowners, with $6 million to be distributed this year. With the 2024 payout, we will reach $48.5 million, marking the 11th consecutive year that the Pine Group has paid dividends to landowners—a clear demonstration of our resilience and dedication,”

Ms Bainivalu stated that new changes to the Fiji Pine Limited Board have been implemented to enhance operations and drive innovation, ensuring continued returns to landowners. 

In 2025, dividends will be distributed more accurately based on industry performance. 

“This change is part of our ongoing governance enhancements. The uniqueness of the pine industry and similar forestry ventures is often misunderstood.”

She highlighted that successful investments in the pine industry require understanding expected returns, certainty of those returns and the investment timeframe, which averages $5 million annually, acknowledging  a growth period of 20 to 25 years. 

“Before making investments, investors seek three key things: expected returns, the certainty of those returns, and the timeframe for realising them. At Pine Group, we invest an average of $5 million each year into our forests, knowing that it takes 20 to 25 years to reap the rewards.”

The model’s success relies on strong collaboration with resource owners.