Fiji Water, which earlier closed its operations in Fiji in response to a higher water extraction tax hike proposed by the Fijian government, has changed its mind and will re-open its factory on Wednesday.
The Monday abrupt shutdown by the company, which is owned by L.A. billionaires Stewart and Lynda Resnick, came after the government announced its 2011 budget, which proposes increasing Fiji Water’s “extraction tax” to 15 cents a liter up from one-third of a cent.
Fiji Water President John Cochran said at the time that the company hoped to work with the government to resolve the tax dispute, but added that “the country is increasingly unstable, and is becoming a very risky place in which to invest.” Fiji Water called the tax “discriminatory” since it only applies to companies bottling more than 3.5 million liters per month—that is, only Fiji Water.
•CLICK HERE to read the Time story.
•CLICK HERE to read an earlier Mother Jones story.
