Jevon Groves and his men made the Cup quarter-finals through the back door when they qualified with a superior points difference from pool play. Canada and Portugal along with Wales all finished Pool D with one win apiece while South Africa finished top, unbeaten with three victories.
Wales took on Fiji in the Cup quarter-finals and had the chance to gain revenge for their Gold Coast showdown at the same stage where the free-running South Sea Islanders claimed the honours in the opening round of the series.
But Fiji were in no mood to relinquish their stranglehold over Wales and raced over for five tries in the first spell to race to a 31-0 lead at the break.
Wales fought back in the second half with Luke Morgan and Jason Harries scoring with Rhodri Davies scampering 70m to score a third try but the damage had already been done and Fiji held on for a comfortable 31-17 victory.
Wales then completed the tournament against Scotland in the Plate semi-final but basic mistakes gifted the Scots tries through Colin Gregor and Scott Ridell before Tomos Williams put his side back in the frame with an individual try, which he converted.
But three further tries saw Scotland finish 31-7 victors to dump Wales out of the competition.
Wales head to Port Elizabeth where they will face Dubai champions South Africa, for the third time on the trot, USA and Kenya in Pool B.
After round two of the HSBC Sevens World Series, Fiji have 39 series points and a two-point lead over South Africa (37) with Australia (29) and New Zealand (28) also occupying top-four places. Wales (20) are in eighth spot.