CARTAGE BUSINESS

At Tailevu Holdings, we pride ourselves on delivering reliable and efficient cartage services tailored to meet the diverse transportation needs across Fiji. With a commitment to excellence and customer satisfaction, our cartage division provides a range of logistical solutions to support businesses and communities.

Tailevu Holdings CPL has been transporting milk and water for Fiji Dairy Limited (then Rewa Dairy Cooperative Limited) since 2006. In the supply chain, the company collects milk from dairy chilling centres that serves dairy farms across Viti Levu. The decline in the dairy industry had a direct impact on the cartage business as a result of dairy farm closures and chilling centres, reduction in routes and days travelled.

The three milk-tanker trucks collects milk from the farm, ensuring income to the dairy farmers and carts water from the milk-factory in Nabua to a number of chilling centres. Relationship with Fiji Dairy Limited influenced a refinancing arrangements and a lower interest rate of 5.25% per annum of truck loan repayment.

The impact of COVID19 took its toll on the Cartage Business with high vehicle running costs as major contributor to its loss, since 2021. There are varied factors that have influenced the loss and challenges faced by cartage business. Efforts for performance improvement through cost-saving measures and negotiations for cartage rate review. Fiji Dairy in 2022 first raised the cartage rate which boosted an improvement to overall running of this business.

A new 10-wheeler truck was purchased in February 2024, marking the drive for improved performance following the rising costs of repairs and maintenance resulting from minimal or little attention to fleet maintenance in the past. This initiative is a boost to its partnership with Fiji Dairy Pte Limited and mileage to continued negotiation for cartage review. FDL increased its cartage rate by 30% in 2022 and recently an increase by 15% in November 2024. Furthermore, the company is exploring partnership with FDL on carting of goods and commodities come 2025. This initiative is also strategy in acknowledgement of the slow and declining dairy industry.