- FijiKava (FIJ) commences work to upgrade its medical-grade kava extract facility in Levuka, Fiji
- The new upgrade will at least double output by April 2022 and will cost FJ$200,000 (A$130,000)
- The upgraded program will span five months to allow for production to continue while works are undertaken
- Over the upgrade period, the company will focus on drink-based kava products to ensure no drop in production capacity
- On the market, FijiKava is down 5.88 per cent and is trading at eight cents per share
Medicinal kava company FijiKava (FIJ) has commenced work to upgrade its medical-grade kava extraction facility in Levuka, Fiji.
The new upgrade will at least double output by April 2022 and will cost FJ$200,000 (A$130,000).
The upgraded program will span five months to allow for production to continue while works are undertaken.
FijiKava’s biggest investment is a new state-of-the-art heat pump dryer, which will address a critical bottleneck in production and allow for higher value, lower moisture content extracts to be produced in the future.
Additionally, conveyor technology, mechanical peeling and closed liquid handling systems are also being installed in line with a series of new processes aimed at continuing health and safety improvements seen since June.
Over the upgrade period, the company will focus on drinking kava products to ensure no drop in production capacity.
Notably, demand for drinking kava in the Australian market is expected to drive significant new sales in 2022, following the anticipated commercial importation trial being announced.
“Over the course of 2021 the production facility in Levuka has been able to recognise a number of key productivity gains in terms of extract potency and increased yields. As we approach optimisation of these processes, the time is right to invest in increasing our production capacity,” CEO Anthony Noble said.
“This upgrade will also take critical steps in green kava preparation from manual to automated processes, which will further reduce OH&S risks to our team.”
On the market, Fiji Kava was down 5.88 per cent and is trading at eight cents per share at 2:51 pm AEDT.