KEY POINTS:
Brad Johnstone, a former All Black who owns a resort in Fiji, says New Zealand should keep out of Fijian politics.
Other New Zealanders in Fiji are struggling to attract tourists to their resorts and are angry that Prime Minister Helen Clark is warning people to stay away.
Helen Clark said New Zealanders should think twice before visiting Fiji, warning that resentment against New Zealand could boil over.
Mr Johnstone, who owns the Funky Fish Beach Resort in the Mamanuca island group, said that was "a load of rubbish".
"Fiji was safer during the coup than Queen St on a Saturday night."
The former prop forward played 13 tests for the All Blacks from 1976 to 1980 and coached the Fijian rugby side. He built his resort just 15km off Nadi two years ago.
He said occupancy was down about 20 per cent from last year.
"It's only been the Australians and New Zealanders not coming."
Mr Johnstone said he did not agree with sanctions that hit the small people: "Why should New Zealand tell another country how to run its affairs?"
Jim Sherlock, a New Zealander who for eight years has run the Lagoon Resort on Viti Levu, said New Zealand could take some of the blame for the deterioration in relations between the two countries.
"It is petty politics on both sides."
He said stopping New Zealanders visiting Fiji would achieve nothing but damage to the local economy and harden the military's attitude.
Mr Sherlock said he had been hit particularly hard because of his resort's perceived proximity to Suva even though it was 50km away at Pacific Harbour.
On Friday he had four no-shows from New Zealanders booked into his resort and another four emails cancelling trips yesterday - "So thank you Helen Clark."
Mr Sherlock said he had never felt under threat because of his nationality and there was no obvious tension.
Adrian Walters, who manages the Wananavu Resort on Viti Levu's northern coast, said it was normally running at 70 per cent occupancy but was now down close to 30 per cent.
About half his market came from New Zealand and Australia, he said.
He said while it was fine for Helen Clark to take the moral high ground it was pretty rough for the operators.
"Business is tough and we have people from our own country going against us."
Annemarie de Vos, who with her husband is building a resort on the Coral Coast, said it was rubbish Fiji was not safe.
"It's safer here than in New Zealand with its crime rate."
Ms de Vos said New Zealand had interfered in Fiji and she was not surprised High Commissioner Michael Green had been expelled as he had been "saying the wrong things in the wrong places".
"If I had a kid to stay the night and he had an issue I'd send him home."
Bevin Severinsen, who owns construction businesses in Suva, said he had not had any problems.
He defended Mr Green as a seasoned and experienced diplomat who had done a good job since he took on the role about three years ago.
The New Zealand Government is advising travellers to exercise caution in Fiji and says there is some risk to their security. A travel advisory said there had been reports of intimidation, detention and interrogation involving the military and the police.