The Wonder Product of the

Fiji Islands:

FIJI Water
Report by David Myers
April 30th, 2006

HIST 416
“Pacific Dreams, Pacific Empires”

1
 Professor Del Testa
Bucknell University
In today’s age of nutrition obsession health fanatics are driving down the demand

for sugar-loaded drinks and bottled water is quickly taking its place as a popular

commodity and beverage. According to the International Bottled Water Association

(IBWA), in 2005 the total bottled water volume reached an all time high of over 7.5

billion gallons, which is a 10.7 percent increase over 2004.1 Investors are flocking to this

market, but to distinguish oneself as a prominent company specializing in bottled water,

carving out a niche in the industry is critical. That is why FIJI Water, when entering the

game in 1995, realized that the answer would be found in an “Iconic Square Bottle,”

separating themselves from the rest of the pack.2 This distinctive square-shaped bottle

feels unordinary in the hand of the consumer, invigorating an instinctive imprint on the

consumer’s mind. FIJI Water’s success is largely derived from the impressionable shape

and label of the bottle, as well as its association with the island nation it borrows its name

from. With a unique back panel graphic of an energized waterfall and idyllic scenery set

behind a front panel graphic of tropical flowers, the product’s design is aimed to

transplant the consumer to the romantic, heavenly and tranquil Fiji Islands. The label

implies a sense of status and an association with what is natural, illustrated in the gold

borders and nature-inspired artwork, consequently appealing to a wide array of patrons

from the Hollywood elite to the granola-munching outdoorsmen.

FIJI Water is proudly imported from the Republic of the Fiji Islands, and the back

of the bottle is not shy in boasting this fact, as well as the fact that FIJI Water is
1 PR Newswire US, “Bottled Water: More Than Just a Story About Sales Growth,” 13
April 2006.
2 Los Angeles Times, 5 October 2005.

2
supposedly one of the most natural waters, as it is literally “untouched by man.” FIJI

Water, a heavy weight contender in the bottled water industry, is classified as “artesian”

water. Artesian water, unlike spring or glacier water, is extracted from an artesian

aquifer, which is a chamber of water confined within impermeable rock walls of a

primordial volcanic crater; in this case it is nestled at the “edge of a primitive rainforest.”3

This water within the massive aquifer is said to be rich with mineral deposits of rainfall

from over 450 years ago, 200 years before the Industrial Revolution.4 As this water is

encapsulated within the rock, it does not have contact with the “outside world”; it is

brought directly from the source to the bottle having never touching the hands of man.

Much like the unspoiled environment of an isolated island, the water is free from

“environmental pollutants and other contamination” that plague alternative water

sources.5

In 1995, with an initial investment of $15 million, FIJI Water was established

under the name Natural Waters of Viti Limited and in the Republic of Fiji it still operates

under this name.6 The product concept is described as being the “brain-child” of

Canadian-born David Harrison Gilmour, who before bottling this artesian water earned a

fortune in gold mining, real estate and hospitality.7 It was his hotel investments that

3 FIJI Water, “What Is Artesian Water?” FIJI Water Online [home page on-line];
available from http://fijiwater.com/artesian_water.html; Internet; accessed 3 May 1999.
4 Matelita Ragogo, “Fiji Water Making Waves: Pristine Taste and Savvy Marketing Are

Driving Fiji’s Biggest Export,” Pacific Magazine, July 2003.

5 FIJI Water, “What Is Artesian Water?”, http://fijiwater.com/artesian_water.html

6 Jim McMaster and Jan Nowak, “Natural Waters of Viti Limited—Pioneering a New

Industry in the Fiji Islands,” Journal of the Australian and New Zealand Academy of
Management 9, no. 2 (2003): 37.
7 Besty McKay and Cynthia Cho, “Water Works: How Fiji Brand Got Hip to Sip,” Wall

Street Journal, 16 August 2004, B1.

3
brought him to the Fiji Islands when he founded the celebrated and picturesque Wakaya

Island Resort on Gilmour’s personal island. Gilmour established Natural Waters of Viti

Limited with the concept to bottle natural artesian water in Fiji and market it globally as a

“unique and exotic product”.8 The high-quality water that Gilmour sought was located

with the help of geologists from another one of Gilmour’s ventures, Barrick Gold

Company, as well as geologists provided by the Fijian Government,.

Having had prior investments in the islands, Gilmour certainly was attracted to

Fiji for the many advantageous reasons for investing within the country. The Fiji labor

force, described as “adaptable, productive, industrially disciplined and English

speaking…with competitive wage rates,” is incredibly favorable to foreign investment.9

Due to the strong educational system within Fiji, 80% of the workforce has had at least a

secondary school education.10 The U.S. Department of State recognizes the efforts taken

by the Fijian Government to attract foreign investment and attributes much of this to the

need for new industries within Fiji due to the current decline in reliance of the previously

celebrated staple products: sugar and textiles.11 The Government of Fiji has established

several incentives encouraging economic development within Fiji, which Viti Limited

has profited from. The Reserve Bank of Fiji offers incentives to those investing in Fiji as

well as exporting products from Fiji. For instance pre-shipment or post-shipment

8 McMaster and Nowak, 37.

9 Fiji Islands Trade & Investment Bureau, “Good Reasons to Invest,” Fiji Islands Trade
& Investment Bureau Online [home page on-line]; available from
http://www.ftib.org.fj/invest-fiji-reasons.cfm; Internet; accessed 27 April 2006.
10 U.S. Department of State, “Fiji 2006 Investment Climate,” U.S. Department of State

Online [home page on-line]; available from

http://www.state.gov/e/eb/ifd/2006/63533.htm; Internet; accessed 27 April 2006.
11 Ibid.

4
financing are offered to approved and eligible borrowers. Exporters who are ineligible

are those producing traditional exports, which comprise of “sugar, molasses, gold,

coconut oil, timber, garments, textiles, processed fish and tuna fish.”12

The staple of this product would certainly be its home in the Pacific Island nation

of Fiji. But the heart of the product, the water, would be far from the sandy beach resort

setting of the founders other investment in Fiji. The source of the water is high up in the

mountains on the northeast part of the largest island, Viti Levu, in the Fijian archipelago

that makes up 322 islands. The Yaqara Range of the Nakauvadra Mountains, which is

separated from the ocean by 1,500 km, hosts the “virgin ecosystem” that lends to the

pristine taste of the water.13 The first bottling plant was built here in 1996 at the location

of the artesian water source. Land in Fiji is split up amongst three categories: Native

Land, Crown Land, and Freehold Land. The Native Land consists of 83% of the land in

Fiji and the indigenous Fijians reserve the right to this land, which may not be sold;

Crown Lands are the 10% owned by the government and the remaining land, Freehold

Land, is open to private purchase.14 The land, which is Crown Land, is subleased from

the Yaqara Pastoral Company, a government-owned cattle ranch, but the traditional

landowners are split up amongst five Fijian villages within the Yaqara basin.15 At the

outset of acquiring the land Viti Limited paid $14,800 to Fiji’s Director of Lands, and

12 Fiji Islands Trade & Investment Bureau, “Export Incentives,” Fiji Islands Trade &
Investment Bureau Online [home page on-line]; available from http://www.ftib.org.fj/fiji-
export-incentives.cfm; Internet; accessed 27 April 2006.
13 Ibid.

14 U.S. Department of State, “Fiji 2006 Investment Climate.”

15 Fiji Government Online. Press Releases. Government Ministers and French

Ambassador Visit Yaqara. (Janurary 25, 2005) http://www.fiji.gov.fj/cgi-

bin/cms/exec/view.cgi/48/4074.

5
pays an annual rate of $6,000.16 The long-term lease of the 20-acres of Native Land that

the plant sits on was highly endorsed by the Government of Fiji, which actively supports

international investment within Fiji.17 After the 99-year lease was signed, Gilmour

invested $48 million more of his own money “to get every detail right.”18 Natural Waters

of Viti Ltd. has 93 employees of which 84 come from the five villages and the plant only

employs one expatriate.19 The sole expatriate at Natural Waters of Viti Limited is

bottling plant general manager Ian Lincolne.

The name FIJI Water, which appears on the front of the bottles, is a sister

company of Natural Waters of Viti Limited and was established for marketing purposes

within the US market. FIJI Water is based in Denver, Colorado. FIJI Water employs 35

staff that manages the business aspect of the product—marketing and logistics.20 The

CEO of FIJI Water is Doug Carlson who has brought FIJI Water to the forefront of the

US bottled water market through “unique product positioning, innovative packaging,

premium product pricing, effective distribution, and image-creating publicity.”21 There

are no FIJI Water television commercials or other explicit advertising campaigns in major

cities, however FIJI Water has marketed its product in a less conventional, implied

fashion. As if the product were an actor, FIJI Water’s own agent works hard to find

placement for the identifiable bottle, landing it key rolls in movies and television shows,

16 Parliament of Fiji Islands, 9th Parliament, Meeting of the Senate. Daily Hansard, 9th
March, 2005:Questions and Replies. (Suva, Fiji, 2005).
http://www.parliament.gov.fj/hansard/viewhansard.aspx?hansardID=333&viewtype=full
17 Ragogo, 2003.

18 McKay and Cho, 2.

19 McMaster and Nowak, 45.

20 Ibid, 42.

21 Ibid, 45.

6
costarring alongside some of the finest actors in Hollywood.22 FIJI Water has also

marketed its product while simultaneously humanizing its image through sponsoring

charity events, living up to its reputation as a company concerned with larger social

issues instead of just financial interests.23

FIJI Water can attribute much of its success to the country that hosts its water

source. By linking itself to the Pacific, Viti Limited was able to effectively make the

‘Pacific Leap’, and the achievements made by the U.S. FIJI Water LLC have allowed for

this leap to be sustained, creating a gratifying, practical bridge that simultaneously

benefits the two countries. Mr. Gilmour has described the product as Fiji’s “little square

ambassadors”.24 By giving the consumer the realization of the beauty of artesian water,

FIJI Water appeals to those concerned with organic, health-oriented, environmentally

sound products. In the fall of 2005 FIJI Water showcased a new design for its water

bottles. A Los Angeles Times article unveiling the “new look for iconic square bottle,”

claimed that “the enhancements to the bottle will emphasize FIJI Water’s unique artesian

source”.25 In fact, the choice to remove the trademark waterfall imagery from the inside

back panel was because the company did not wish to mislead the consumers by implying

that the water had come from an above-ground source that would take away from the

22 CNN “Market Call” Transcript “David Haffenreffer Interviews Doug Carlson, CEO,
FIJI Water, LLC,” 19 August 2004.
23 McKay and Cho, 2

24 U.S. Department of State, “2004 Ace Award Presentation to Fiji Water,” U.S.

Department of State Online [home page on-line]; available from

http://www.state.gov/secretary/former/powell/37731.htm; Internet; accessed 19 April
2006.
25 “FIJI Water Unveils New Look for Iconic Square Bottle; Innovative Use of Back Panel

and New Graphics Showcase Water’s Purity and Fijian Origin,” Los Angeles Times, 5
October, 2005, B1.

7
purity associated with the artesian source.26 The new imagery, which contains ground-

plants, is meant to convey the untapped, below-surface feature of this artesian water.

There are four versions of the outside back panel, all of which attempt to inform the

consumer of the distinct qualities of the artesian water FIJI Water prides itself in bottling

as well as the exclusivity of its origin. These labels are titled: “What ecosystem is your

water from?”; “Untouched by man. Until you drink it”; “What is artesian water?” and

“Bottled in Fiji. Shipped to you”.27 The novel label has won several awards and is highly

praised within the international label industry.28

FIJI Water has not only been blessed with the product’s gift of being able to sell

itself, allowing the title and design to be at the core of the advertising campaign. The

company is also fortunate in that bottling water is a fairly simple process involving

limited machinery. The procedure of bottling this water is fairly straightforward; the

water is extracted from the ‘bore-hole’ and brought through a pipe to the factory. Once

the water is brought into the factory through pipes the three different sizes of bottles—

0.5, 1.0 and 1.5 liters—are filled directly from the pipes with the water. The water is

easy to extract, the layer of rock around the water pressurizes the water so that

mechanical pumps are not necessary.29 Unlike many other bottled water manufacturers

there is no filtration process involved at the production plant of Natural Waters of Viti
26 Ibid.
27 Ibid.
28 The Jenkins Group, “Our Company Awards,” The Jenkins Group Online [home page

on-line]; available from http://www.jenkinsgroup.co.nz/our_company_awards.html;

Internet; accessed 30 April 2006.
29 Fine Waters, “Water Labeling Classifications: Artesian Water,” Fine Waters Online

[home page on-line]; available from

http://www.finewaters.com/FAQ/Water_Labeling_Classifications.asp#answer1; Internet;
accessed 30 April 2006.

8
Limited in Yaqara as the artesian source allows “Mother Nature” to takeover this

process.30 It is said that engineers designing water treatment plants for municipal water

systems have begun to attempt to imitate the natural filtration process of FIJI Water’s

artesian aquifer, with the water filtering through layers of basalt, sandstone and silica.31

While the bottles are produced in-house, the caps, PET resin, and labels all are imported.

The PET resin as well as the bottle caps are imported from Australia, while the labels are

supplied by a New Zealand company: Jenkins Labels.32 PET is a type of plastic,

commonly preferred over PVC when molding bottles in the bottled water industry; this is

due to its lightweight, transparency and malleable properties; it is environmentally a

better choice as it can easily be recycled.33 The bottles are ready for transportation after

they have been packed in cartons that are also produced in Fiji by Golden

Manufacturers.34 The only available information found on Golden Manufacturers is in an

article from Fiji Times that states the Centre for Development of Enterprise (CDE), which

has been very influential to Fiji’s private sector, has provided this company with

substantial aid.35
30 McMaster & Nowak, 37
31 Fine Waters, “FIJI Water,” Fine Waters Online [home page on-line]; available from
http://www.finewaters.com/Bottled_Water/Fiji/Index.asp; Internet; accessed 30 April
2006.
32 PETplanet Insider, “Bottled in Fiji Designed in Canada,” PETplanet Insider Online

[home page on-line]; available from

http://hbmedia.net/petplanet/petplanet/insider/2002/09/articles/bottlemaking1.shtml;
Internet; accessed 29 April 2006.
33 WWF, “Bottled Water: Understanding a Social Phenomenon,” WWF Online [home

page on-line]; available from http://assets.panda.org/downloads/bottled_water.pdf;

Internet; accessed 28 April 2006.
34 Jim McMaster and Jan Nowak, “Natural Waters of Viti Limited—Pioneering a New

Industry in the Fiji Islands,” Journal of the Australian and New Zealand Academy of
Management 9, no. 2 (2003): 38.
35 Fiji Times, “Private Sector Benefits from CDE,” 28 March 2006.

9
 Instrumental to the production and manufacturing success of Viti Limited is a

Canadian company, Husky Injection Molding Systems Ltd, with manufacturing sites in

the United States, Canada, Luxembourg and China. Husky is “the world’s largest brand

name supplier of injection molding equipment and services to the plastics industry.”36

The help of a factory-planning group within Husky allowed Viti Limited was able to

manufacture the plastic plant in Yaqare without harming the “virgin ecosystem”.

Because of the environment, and the need for continued purity, it was no easy task to

build such a plant: “The challenge was building a water-bottling plant with in-house

bottle production, in an environmentally sensitive area atop an aquifer.”37 The

remoteness of the location meant that a diesel power generator would need to be installed

since there was no power grid; Husky also did this. Gilmour, a proponent of

environmental protection within the corporate world, did everything from: “sound-

proofing to using renewable energy sources” in the construction of the plant.38

Another innovative feature of the factory, also designed by Husky, is the ability

for the factory to expand without limiting production. Ian Lincolne applauded Husky in

their design concept that has “allowed us [Fiji Water] to seamlessly integrate additional

production capabilities without disrupting current operations.”39 And Viti Limited

36 Husky Injection Molding Systems Ltd., “About Husky,” Husky Online [home page on-
line]; available from http://www.husky.ca/abouthusky/index.html; Internet; accessed 29
April 2006.
37 Bill Bregar, “Husky Factory Planning Unit Seeks Customers Worldwide,” Bolton,

Ontario, 17 November 2003, 13.

38 Heather Todd, “On An Island Paradise, Fiji Water Sets a Standard of Social

Responsibility,” Beverage World, 15 January 2005, 10.

39 Husky Injection Molding Systems Ltd., “2002 Annual Report,” Husky Online [home

page on-line]; available from http://cache.husky.ca/pdf/2002_annual_reportv2_en.pdf;

Internet; accessed 29 April 2006.

10
certainly took advantage of this capability. In 1999 the 17,000 sq. ft. facility expanded an

extra 90,000 sq. ft and this enormous endeavor required over 90% of the materials and

equipment necessary to be imported from four continents.40 This is evidence of FIJI

Water’s almost immediate power to penetrate the global bottled water industry and create

rapid demand.

On December 2nd, 2004 Roll International Corporation, a privately held company

based in Los Angeles, announced that it acquired FIJI Water. Within Roll, FIJI Water

would continue its operation with its existing management team. Roll International is a

very prominent company, with some of its holdings being Paramount Farms, POM

Wonderful, Teleflora, Martha Stewart Living, Hallmark, AgraQuest, and 1-800-

FLOWERS.COM. The “centerpiece” of Roll International was once The Franklin Mint a

large collectibles firm, which was acquired by Roll’s current CEO Stewart Resnick and

his wife, Lynda, in 1985. At the time that Roll bought FIJI Water it was the second

largest selling imported water brand in the United States.41

While FIJI Water, Viti Limited’s sister company, has not heavily focused its

efforts on advertisement, distribution strategy has been key to the success of this

company. Distribution, not advertisement, is what has been paramount to FIJI Water’s

rapidly increasing revenues.42 One strategy FIJI Water has implemented, although not

terribly ingenious, is maximizing shelf-space. In regards to this, in a 2000 interview, Mr.

40 PETplanet Insider, “Bottled in Fiji Designed in Canada.”

41 Hoover’s, Inc. “Roll International Corporation,” Hoover’s Online Report Builder
[home page on-line]; available from
http://premium.hoovers.com/subscribe/co/factsheet.xhtml?ID=40398; Internet; accessed
3 March 2006.
42 Ibid, 43.

11
Carlson noted that, “when you have more space, you create perception in the minds of the

consumers that your brand of water is a solid brand”.43 When the cartons of water are

loaded onto boats in the outdated ports of Suva and Lautoka on Viti Levu, they are either

destined to one of three major U.S. distribution centers: Los Angeles, New Jersey and

Miami. Shipments to Canada arrive in Vancouver and are mainly distributed within that

region of Canada. For the water that is sold within Fiji, Viti Limited uses Coca-Cola

Amatil, located in Suva, to distribute cartons of FIJI Water.44 Coca-Cola Amatil “is the

principal Coca-Cola licensee in Australia,” producing and distributing carbonated and

non-carbonated beverages in Australia as well as New Zealand, Papua New Guinea, Fiji,

South Korea and Indonesia.45

FIJI Water can be found in a number of retail, grocery, convenience, and specialty

stores as well as restaurants and other venues throughout the United States and in

particular international markets, including Australia, Canada, Mexico, the United

Kingdom and the Caribbean. The water is also available for home delivery within the

United States through its website at http://www.fijiwater.com/, with a popular “perks”

club for frequent customers.46

In July 2002, Fiji’s main exports earned F$1,007 milion, of which F$24.7 million

came from exporting Fijian mineral water.47 Since its first appearance on the US and
43 P. Yavala, “Fiji Water Travels,” Fiji Times Weekend, 18 November 2000, Business 5.
44 Ibid, 43.
45 Coca-Cola Amatil, “About CCA,” Coca-Cola Amatil Online [home page on-line];

available from http://www.ccamatil.com/about_cca.asp; Internet; accessed 28 April 2006.

46 FIJI Water, “Home Delivery” FIJI Water Online [home page on-line]; available from

https://www.fijiwater.net/catalog/jsp/buyer_registration.jsp?
supplier_id=247&destination_url=../products/index.jsp?
_fnet_catalog_id=81%26_section_id=261 ; Internet; accessed 4 April 2006.
47 Robert Keith-Reid, “Fiji Water Creating Waves in the United States,” Pacific

12
Canadian market, consumption of FIJI Water has skyrocketed, with the square bottles

popping up in stores and venues across the continental U.S. In October of 2004 Colin

Powell presented FIJI Water with the Secretary of State’s 2004 Award for Corporate

Excellence. The following month one of the largest freighters ever to land in Fiji arrived

with new equipment to meet the rapidly rising demand of FIJI Water. This new 88-ton

machine was expected to boost the production of FIJI Water by nearly 100 percent

allowing the factory to produce 12 bottles per second.48

What is important is whether or not Viti Limited and FIJI Water are taking in the

concerns and wellbeing of those whose land they are leasing and whether or not native

tradition and custom is being respected. In a 2002 interview with Ratu Lalabalavu, the

Minister for Lands and Mineral Resources of the Republic of the Fiji Islands, claimed,

“Fijians do not see land as a commodity or something that can be traded. It is part of their

being, it is an important part of their life and is part of their heritage. It is a part of their

family.”49 Because of this FIJI Water and Viti Limited have given the locals the respect

they deserve and has offered financial and social incentives to the local villagers.

However, as Ratu Lalabalavu explained, the native Fijian’s deep seeded cultural

connection to the land has also proved troublesome for the company. In the wake of the

2000 coup, some local villagers, presumably those not employed by Viti Limited or

directly benefiting from the company, attempted to takeover the plant. This takeover was

Magazine, July 2002.

48 “’Huge Demand’ Sees Fiji Water Bottler Boost Output,” Fiji Times, 25 November

2004.
49 World Investment News, “Interview with Hon. Ratu Naiqama Tawake Lalabalavu”

WINNE Online [home page on-line]; available from

http://www.winne.com/topinterviews/naiqama.htm; Internet; accessed 2 April 2006.

13
not justified legally, but to an “innate relationship with the land that transcends any

alienation of the land consequent upon vesting it in the Native Land Trust Board.”50

British Colonial Officials asserting the native Fijians natural right to the land, and

subsequently denying foreigners, particularly the Indo-Fijians, of the entitlement to the

land, set up The Native Lands Commission and Native Lands Trust Board when Fiji was

first colonized. The fickle land issues have forced Viti Limited and other foreign

investors to be careful with how the approach issues regarding the land.

Viti Limited taken great strides to hire locally, provide environmental safety and

preservation, along with respect local custom through many meetings with local chiefs,

but Viti Limited and FIJI Water have also poured money back into the community

through establishing schools and achieving other humanitarian goals. In 2005 Natural

Waters of Viti Limited donated “essential assistance” through its quadrilateral bottles to a

Fijian hospital facing water shortages.51 The respective companies, adhering to Fijian

custom, have respected the heritage and importance of family in Fijian culture.

Viti Limited has not only worked with the local villagers, but has also carefully

complied with the national government, has been a motivator in Fijian policy making,

and inspired a gold rush like atmosphere in the craze to strike it rich in the mineral water

industry, with other companies like Aqua Fiji investing in Fijian bottled water. In the

same 2002 interview, the Fijian Minister for Lands and Mineral Resources spoke of

economic goals: “There is a need for us to develop our economic base so there is a need

for us to explore other possible areas that have the potential to take off economically and
50 Sally Engle Merry and Donald Brenneis, eds., Law and Empire in the Pacific Fiji and
Hawaii (Santa Fe, NM: Oxford, 2003).
51 Fiji Times, “Hospital Thanks Water Supplier,” 9 April 2005.

14
these are areas that we are looking at: underground water business and mining. We have

to shift away from the sugar.”52 The success of mineral water sales, particularly those of

Viti Limited, have allowed for the Republic of Fiji to gain revenue in markets previously

unknown to the small island nation. Breaking away from the stereotypical colonial

export products of sugar and coconuts, mineral water brings modernity and shows

development in Fiji’s export industry. FIJI Water has become a feisty and successful

company within the international bottled water industry. According to an October, 2005

press release, Fiji Water “is the fastest-growing super-premium bottled water” and has

received premier ratings amongst bottled water taste tests conducted by the likes of

Cook’s Illustrated Buying Magazine, Men’s Health Magazine, and Boca Raton

Magazine.53 However, The Boston Globe did a taste test along with a lab analysis of

several bottled waters, and while FIJI Water was favorable in the taste test, receiving two

thumbs up, the lab results did not get the same praise. A test was conducted to check

whether conditions were present within the waters that would lead to bacteria growth.

The recommended maximum is 500 colony-forming units per milliliter; FIJI Water had

an estimated 1,800 colony-forming units.54 While these alarming levels do not

necessarily indicate a health risk, there is possibility that it denotes a sanitation problem

at the plant in Yaqara.55 It can be speculated that the Fijian Government, developing

better plant sanitation regulations and legislation relevant to the emerging bottled water
52 Ibid
53 “FIJI Water Unveils New Look for Iconic Square Bottle; Innovative Use of Back
Panel and New Graphics Showcase Water’s Purity and Fijian Origin,” Los Angeles
Times, 5 October, 2005, B1.
54 Bruce Mohl, “Water Wars,” Knight Ridder Tribune Business News, 18 September

2005, 1.
55 Ibid

15
industry in Fiji, can lower these high amounts of colony-forming units through

inspections and guidelines. However this could also be the fault of third parties involved

in the process. In a 2005 brief in the Pacific Magazine, it was reported that container

loads of FIJI Water were declared unfit for consumption and take to a waste recycling

plant. Natural Waters of Viti Limited recognized this problem in a routine test, but was

unable to offer further information because the “matter is subject to potential litigation

involving one of its overseas suppliers.56 This illustrates the difficulty of production

when various aspects of the product are being pooled from a variety of countries.

After the success of Natural Waters of Viti Limited everyone hopped on the

bottled-water-bandwagon in Fiji, it “was like a gold rush,” explained Fiji’s Minister for

Lands and Mineral Resources, Hon. Ratu Naiqama Tawake Lalabalvu.57 However, the

success of Viti Limited was not shared by most of its predecessors. As Hon. Ratu

Lalabalvu explained, “this is a fairly new development for us here in Fiji and we are still

drawing up legislation, and guidelines.” The feasibility of such a project was not

recognized by many trying to make it rich in bottled water and similar sectors.58 The

Minister also said that the concept of water quality and extraction of water is new to Fiji

and the government will have to develop this area in the future. However, in 2005, due to

the success of FIJI Water and an expected 10 million cases of water to be exported that

56 Pacific Magazine, “Fiji Water Consignment Fails Quality Test,” Pacific Magazine
Online [home page on-line]; available from
http://www.pacificmagazine.net/pina/pinadefault2.php?urlpinaid=15361; Internet;
accessed 17 April 2006.
57 World Investment News, “Interview with Hon. Ratu Naiqama Tawake Lalabalavu,”

WINNE Online [home page on-line]; available from

http://www.winne.com/topinterviews/naiqama.htm; Internet; accessed 17 April 2006.
58 Ibid.

16
year, the Fijian Government helped to protect FIJI Water’s prime resource by creating an

80 km buffer zone around the artesian aquifer.59 The protection of this artesian aquifer

promises stability and protection against possible environmental encroachments.

The average wage per hour for the factory workers at Viti Limited is $3.35 (May

2002), which is quite good and considered “attractive” for Fiji’s workforce.60 According

to the US Department of State’s 2005 Country Reports on Human Rights Practices,

produced by the Bureau of Democracy Human Rights and Labor, there is no national

minimum wage in Fiji.61 The International Labor Organization said that the government,

in accordance with the Wages Councils Act, has the ability to establish wages councils if

there is no collective bargaining mechanism within a particular sector or industry’s

workforce.62 These wages councils can suggest a fixed rage and propose this to the

Minister of Labor who may deem this proposal as an Order at which point it enters a 30-

day objection period, where all objections must be heard by the Minister. Currently there

is no wages council for the bottled water industry, or anything remotely similar, however

there is a wages council for the garment industry. The garment industry, on of Fiji’s

larger industries, as of 2002 had an average hourly wage of $1.26.63 The $3.35 is

especially attractive considering the fact that Yaqara is remote, in a rural location, thus
59 Global News Wire, “Government Moves to Protect Multi-Million-Dollar Water
Entity,” 10 February 2005.
60 McMaster & Nowak, 45

61 U.S. Department of State, “Country Reports on Human Rights Practices 2005: Fiji,”

U.S. Department of State Online [home page on-line]; available from

http://www.state.gov/g/drl/rls/hrrpt/2005/61608.htm; Internet; accessed 17 April 2006.
62 International Labor Organization, “Minimum Wages: Fiji,” [home page on-line];

available from http://www.ilo.org/travaildatabase/servlet/minimumwages?

pageClass=org.ilo.legislation.work.web.ReferencePage&LinkId=1529; Internet; accessed
19 April 2006.
63 McMaster & Nowak, 46

17
bringing wealth and aid to the economy in a location that would otherwise not see such

improvement in its typical subsistence economy.

Factories within Fiji are heavily regulated and the wellbeing of the factory

workers is pivotal to the success of Fiji’s praised labor force. In the Fiji Factories Act it

states that if the Minister of Labor is informed of poor conditions within factories that do

not meet the guidelines laid out in the Act then he will send inspectors to the given

factory. The powers of the inspectors are almost limitless and is allowed to “make such

examination and inquiry as may be necessary to ascertain whether the provisions of this

Act are complied with, so far as respects a factory and any persons employed in a

factory.”64 The Act, coupled with the Employment Ordinance, “an act to provide for the

control of conditions of employment,” extensively protects the workers in Fijian factories

with globally accepted standards of labor.65 Natural Waters of Viti Limited’s plant is

surely under these same jurisdictions and given these governmental protections, as well

as the high hourly wage, it is presumed that the plant is a very alluring for employees.

One of the major problems for Natural Waters of Viti Limited is poor government

transportation routes and other rocky infrastructures within Fiji, much of this due to

Yaqara being distanced from major towns. The government-run public access road,

Kings Highway, leading to the plant is virtually untraceable in Fiji’s season of torrential

64 International Labor Organization, “Fiji Factories Act, Act No. 56 of 1971,” ILO Online
[home page on-line]; available from
http://www.ilo.org/dyn/natlex/docs/WEBTEXT/16905/64820/E71FJI01.htm; Internet;
accessed 19 April 2006.
65 United Nations Economic and Social Commission for Asia and the Pacific, “Fiji

Employment Ordinance,” UNESCAP Online [home page on-line]; available from

http://www.unescap.org/esid/psis/population/database/poplaws/law_fiji/fiji_006_1.htm;
Internet; accessed 19 April 2006.

18
rain.66 Viti Limited is also confronted by a faulty supply of electricity, an insufficient

port, and inadequate telecommunication services, typical in a developing nation.67 The

government is attempting to reach solutions to such problems, but these issues will not be

solved immediately and FIJI Water will inevitably be placed on “Fiji Time,” commonly

known as “Island Time,” awaiting improvements.

While there is little to be concerned about with FIJI Water and Natural Waters of

Viti Limited’s practices in the present, the future leads to trepidation. Since Fiji has just

begun to recognize environmental concerns stemming from development, its systems

have not yet worked out the kinks, leaving potential room for error when attempting to

solve environmental issues. Having not developed sufficient regulatory processes,

environmental and health issues could arise in the near future as research and control

progress. However, the future could also prove beneficial to FIJI Water. According to a

2003 report on drinkable water supplies conducted by the World Wide Fund for Nature

(WWF), “the average supply of water worldwide per person is expected

to drop by a third” as the demand significantly grows.68 Much of this is

“due to higher pollution levels and habitat degradation,” but fortunately

for FIJI Water, the source of extraction is concealed and thus impermeable to pollution

and wastewater. This could put FIJI Water in a position of heightened dominancy within

the worldwide bottled water industry, as several popular bottled water companies, such as

66 Ibid, 38.
67 Ibid, 38.
68 WWF, “Water Facts and Figures,” WWF Online [home page on-line]; available from

http://assets.panda.org/downloads/worldwaterforumwaterfacts.pdf; Internet; accessed 28

April 2006.

19
Alhambra, acquire their water from springs and other unprotected sources.69

While a company similar to Viti Limited would have many environmental concerns

in a developing country like Fiji, or alternatively could abuse the surrounding

environment, Viti Limited is fortunate in that the Republic of Fiji is committed to

sustainable development and protection of the environment. In fact, Fiji leads the Pacific

Islands in concern for sustainable human development. In May of 1994 fourteen other

Pacifc Island Governments signed the Suva Declaration on Sustainable Human

Development for the Pacific, which was drafted by Fijian Government Officials. This

declaration provides “essential requirements for achieving sustainable human

development,” while committing such development to concern for the environment.70

While it calls for improvement of access to lands and provide opportunities to rural and

subsistence sectors, it pleads for this to be done in an environmentally conscious manner.

Fiji has begun to take the necessary steps to ensure protection of the natural, attractive

environment of Fiji while simultaneously developing the country. Legislation in the

Sustainable Development Bill of 1998 improved the existing environmental and resource

management legislation by “consolidating, integrating and updating” the various pieces.71

Fiji is entrenched in a long history of racial tension between the native Fijians and

the Indo-Fijians, brought from India in the 19th Century as contract laborers during British

colonial rule. In 2005 native Fijians comprised 54% of the population of Fiji, while Indo-

69 Bottled Water Web, “Bottlers Profile: Alhambra,” Bottled Water Web [home page on-
line]; available from http://www.bottledwaterweb.com/bottlersdetail.do?k=2; Internet;
accessed 27 April 2006.
70 Parliament of Fiji, Human Development Department. Sustainable Development Vol 3.

No. 1 prepared by Malakai Tadulala (Suva, Fiji, 1998).

71 Ibid.

20
Fijians made up 37% of the population.72 The native Fijians have held the majority of

power throughout Fiji’s history post-independence. Much of this power is derived from

their entitlement to the Native Lands and other customary laws present in the nation’s

politics developing from the era of Indirect Rule. The U.S. Department of State declare,

“ethnic Fijians' traditional beliefs, cultural values, and self-identity are

intimately linked to the land,” illustrating the perplexing land dilemma

within Fiji.73 While it is unclear whether or not Indo-Fijians live within

the Yaqara region, there can be speculation that only native Fijians

receive jobs at the Viti Limited plants since they are essentially entitled

to the land and thus somehow bargained to limit Indo-Fijians from

working in the factory; this could lead to concern within Viti Limited’s

labor practices. If Viti Limited wants to support Fiji in achieving

economic modernity then it will have to speak out against racial

discrimination within Fiji.

Fiji’s two largest exports are sugar and garments, both sharing an unpredictable,

perhaps unfavorable, future.74 The impending fold of the sugar industry would be the

result of the European Union phasing out “preferential price agreement,” along with poor

administration acting as somewhat of a lesson for future exports, particularly bottled

water that desperately needs to form better regulations in the developing industry.75 The
72 Fiji Islands Bureau of Statistics, “Population and Demography,” Fiji Islands Bureau of
Statistics [home page on-line]; available from
http://www.statsfiji.gov.fj/Social/popn_summary.htm; Internet; accessed 27 April 2006.
73 U.S. Department of State, “Country Reports on Human Rights Practices 2005: Fiji”

74 U.S. Department of State, “Bureau of East Asian and Pacific Affairs: Fiji,” U.S.

Department of State Online [home page on-line]; available from

http://www.state.gov/r/pa/ei/bgn/1834.htm; Internet; accessed 27 April 2006.
75 Ibid.

21
cheap labor, abundance of laborers, and sufficient infrastructure has taken many of the

jobs in the garment industry out of smaller countries like Fiji and into China. Because of

a potential loss of reliance on these two exports, Fiji will need to quickly increase

contemporary, faithful exports stemming from supportive, reliable industries with

companies resembling those of Viti Limited.

Natural Waters of Viti Limited has been exemplary in establishing new industry

and growth within the Republic of the Fiji Islands. In 2004 FIJI Water won the Secretary

of State’s Award for Corporate Excellence, which is given to American companies to

prove that they “can do best while doing good in the global marketplace.”76 The award

recognized the company’s ability to create a “sustainable, new industry” within Fiji, one

that dealt with a very precious commodity.77 In his acceptance speech, chairman and

founder of FIJI Water, David Gilmour, exclaimed, “it is in the heart and soul of Fijian

people that has led to FIJI Water’s success.” Not only does he reaffirm the linkage of this

product to Fiji, and the utmost importance of the water hailing from Fiji, but he also takes

pride in the fact that his products’ success is acclaimed by the native Fijians who work

for the company. In this case Natural Waters of Viti Limited has not only acted as a

model for future businesses throughout Fiji, but it was chosen for this award because it

can act as a model across the globe. As David Lyon, US Ambassador to Fiji said, “it is

our hope that companies in Fiji and around the world will take not of, and strive to

emulate, Natural Waters’ ability to make money while also contributing in so many ways
76 U.S. Department of State, “2004 Ace Award Presentation to Fiji Water,” U.S.
Department of State Online [home page on-line]; available from
http://www.state.gov/secretary/former/powell/37731.htm; Internet; accessed 19 April
2006.
77 Ibid.

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to the people of the Yaqara region and to Fiji as a whole.”78

It is incredibly difficult for island nations to enter the global economy and reap the

same benefits as a larger country with a greater diversity of resources, yet Fiji has learned

from witnessing FIJI Water’s success how developing natural resources and marketing

them globally can bring change. It has lead others within the business sector of Pacific

Islands Nations to realize that products that are marketed as a “quality” good will sell

better. In a Pacific Magazine interview with Misa Telefoni Retzlaff, Samoan Minister of

Finance, Retzlaff said “for our products in the Australian/New Zealand market, we’ve

had a hard time competing with countries like Phillippines and Thailand on price. So

we’ve decided we’ll just compete on quality…I mean it’s a bit like FIJI Water. If there’s

ever been an example of successful marketing, it’s that. You can buy it on Rodeo Drive

in Los Angeles because it’s perceived now as the water of all waters.”79 FIJI Water and

Viti Limited LLC have brought their South Pacific wonder product literally out of a hole

in the ground to mainstream American consumer culture, and the Republic of The Fiji

Islands has attempted to emerge onto the world-stage as well, hopefully reaping the same

success as the water bottled in Yaqara. FIJI Water has certainly aided the country of Fiji

in this process not only financially, but they have also acted as an important model for

future businesses in Fiji. FIJI Water/Viti Limited not only serve as an inspiring

representation of foreign investors working to improve developed nations, but also as a

model company within our own country.

78Ibid.
79Samisoni Pareti, “Misa Telefoni Big on Bridging Wealth Gap: He’s a Big Supporter of
the Disadvantaged,” Pacific Magazine, July 2003.

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