SUVA, July 31 Xinhua -- Fiji's Sugar Corporation (FSC) managed to ship out of the country 32 million Fiji dollars (15.7 million U.S. dollars) worth of sugar on Friday, giving hope to the Pacific island country's ailing industry.

    The shipment for London, delayed earlier in the year, is the first this year.

    FSC chief executive Deo Saran said the bulk destined for the Tate and Lyle refinery would be paid next week.

    "Despite the difficult start to the 2009 season as a result of the floods and commissioning issues faced by all sugar mills in Fiji after upgrades is pleasing that the shipment," he said.

    The European Union announced that it was suspending 2009 payment of 24 million Euro in subsidies to help prop up Fiji's sugar industry after the illegal takeover by Voreqe Bainimarama's government.

    European Commissioner for Development and Humanitarian Aid, Louis Michel, said that Fiji should have received the payment if it would have had a "legitimate government" in place.

    He was referring to the events that began in December 2006 when Bainimarama dissolved Parliament and overthrew the government of Laisenia Qarase, which he called corrupt and racially divisive.

    It marked Fiji's fourth military coup since 1987.

    Sugar is a passionate industry in Fiji with 130 years of history.

    It remains a source of income for thousands of families that depend on it and while its status has declined in the past two decades, Fiji's sugar industry has been a backbone of Fiji's economy for the past century.

    It contributes to roughly seven percent of the country's GDP, brings in a large amount of foreign earnings and directly supports a quarter of the population.