When island nations drown, who owns their seas? by Francisco Blaha

The Boston Globe, published a interesting article by Latif Nasser on this subject and quotes Blaise Kuemlangan a friend from PNG whom we worked together in Rome. Here I quote the parts I found more interesting from the original.

So far, the world’s attention has rightly focused on how much these places have to lose: their homes, their communities, their cultures, their vistas. But these countries have another, less visible set of assets at stake as they consider their survival—assets that won’t necessarily be lost, but which raise substantial questions. These are their large and valuable maritime zones.

comic-vanishing-islands2.jpg

Countries like Kiribati gained control over their surrounding oceans under the UN Law of the Sea, adopted in 1982, back when the prospect of a drowning nation seemed far-fetched. The law granted every country with a coastline economic domain over water 200 nautical miles (230 miles) off its shore, a descendant of the 17th-century “cannon-shot rule,” which gave nations authority over as much water as they could defend with coastal artillery.

These substantial economic rights belong to inhabitable islands, but generally not to—to use the technical term—rocks. The UN has strict criteria to tell one from the other. An island must be “naturally formed” and higher than high tide; part or whole of a nation recognized by other nations; and a place that can “sustain human habitation or economic life of [its] own.” If it doesn’t meet those criteria, it is a rock, and doesn’t merit territorial rights.

When it comes to nations like Kiribati and Tuvalu, however, the patch of ocean largely is the country. Tuvalu’s ocean-to-land ratio is 34,600 to 1. It would be more accurate to think of them not as small island states with a claim on the ocean, but rather as gigantic ocean states with a patch of land in the middle.

In the decades to come, many low-lying nations will start to look more like uninhabitable rocks. Wave “over-wash” will degrade the fragile lens of fresh groundwater, leaving residents dependent on rain or imported bottled water. The warming ocean will result in degradation and bleaching of reef ecosystems that protect the islands from erosion. The elevating sea level—rising as much as a meter by 2100, according to last year’s IPCC report—may inundate the lowest-lying islands of archipelagos such as the Maldives (average elevation 1.6 meters), Tuvalu (1.83 meters), Kiribati (1.98 meters), and the Marshall Islands (2.13 meters).

If these islands do become rocks, the question of their maritime holdings is complex, as they’re inhabited and have their own seats at the United Nations; they also draw a significant portion of their gross domestic product from those ocean rights. According to the UN’s International Covenant on Economic, Social, and Cultural Rights, “In no case may a people be deprived of its own means of subsistence.”

As long ago as 1990, a scattering of international law scholars began to imagine approaches to the problem, including ones that might even help threatened nations with their resettlement efforts.

One early proposal from Fred Soons of the Utrecht University School of Law is a solution that is part physical and part legal. Soons assumes that the islands’ adaptation efforts will include man-made barriers, and perhaps in the long run, even more ambitious efforts that amount to artificial islets. In that case, he suggests broadening the legal definition of “naturally formed” islands to include such land-preservation efforts. In other words, so long as an island was initially natural, Soons believes it ought to count as an island, even if it later becomes enhanced—and even potentially supplanted—by artificial components. (Soons points to the example of Okinotorishima, a remote atoll that Japan has spent more than $700 million to protect with steel blocks and concrete embankments, though its claim to islandhood—and the surrounding ocean—remains contested by neighbors.) Even Soons himself doesn’t see this as a permanent solution, however: Artificial barriers simply delay the inevitable, and the price tags for buttressed or artificial islands are, to use the IPCC’s words from 2007, “well beyond the financial means of most small island states.”

Other legal scholars have focused on ways that the maritime territory can be preserved as a national asset even if the people leave. Several, including UC Berkeley School of Law’s David Caron, have observed that changing sea boundaries aren’t just a problem for islands: The rising ocean promises to redraw every coastline on the map. Instead of constantly updating maps every time a beach is submerged, they suggest, why not freeze the boundaries in place? For low-lying islands, this would mean that the sea as currently measured around Kiribati would become the permanent patrimony of its people—and wherever in exile they end up, the population would continue to receive royalties from its former coastal waters.

Rosemary Rayfuse of the University of New South Wales in Australia takes a different route to a similar outcome. “An equitable and fair solution,” she writes in a 2013 anthology documenting a Columbia University conference on Threatened Island Nations, “would be the recognition in international law of a new category of State, ‘the deterritorialized state.’” Rayfuse argues that the creation of such a category would enable island nations—even if they lost their land—to keep both their nationhood and their maritime zones, despite not having a piece of land to call home. Remarkably, such a landless state does exist today. The Knights of Malta (not to be confused with the country of Malta) are a 900-year-old lay Catholic order who today have no land, but do have a nonvoting seat at the United Nations. Their example, Rayfuse suggests, provides a seamless way to incorporate submerged nations into the international community.

The main hitch to both of these plans—frozen baselines and deterritorialized states—is that they depend on international legislation, which is notoriously slow and unwieldy. The UN Law of the Sea’s amendment procedure, for instance, has never been used. Nor does it help that the island nations have little geopolitical clout. Rayfuse noted in 2013 that “freezing baselines does not appear to be high on the international agenda at the moment.”

There’s a final strategy for these island nations to be able to keep their maritime zones, a strategy that doesn’t depend on sea walls or international legislation. Rayfuse called it “the most straightforward and appealing solution” to the maritime zone dilemma. If each island nation can find a friendly neighboring nation willing to sell it some territory, it can move to that territory and continue to operate its preexisting maritime zones, so long as any part of the island is still above water. Kiribati’s president announced earlier this year that at Fiji’s invitation, his country had purchased land from the Anglican Church on Fiji’s second-largest island as part of an effort to migrate with dignity.

A major catch with this strategy is that few countries are willing to swallow whole another country, and those that are often want something for themselves out of the deal. In 2001, when Tuvalu approached Australia and New Zealand for some land, Australia rejected the deal out of hand. New Zealand agreed to host only those Tuvaluans who were under 45, spoke English, and had a job offer in New Zealand—requirements that excluded approximately 9,000 of the 11,000-person country. Even Kiribati’s recent land deal has come under suspicion; Atlantic reporter Christopher Pala visited the plot of Fijian land that Kiribati bought for $8.7 million, and found that the land was too small to feed or house Kiribati’s population, and that in fact, the land was already inhabited.

If they cannot find deals on better terms, these island nations may have to merge with neighboring nations, using their valuable maritime rights as a bargaining chip. In effect, it would be a flat-out trade: asylum for control of the maritime zones.

These strategies—redefining “natural,” freezing maritime zones, creating deterritorialized states—amounts to a kind of thought experiment, a radical tweak to our idea of how fixed nations are and should be.

PI Fishing (2).jpg

It’s not clear when islanders will need to turn these thought experiments into real-world legal strategies. Some geoscientists project that coral reefs supporting atoll islands will grow along with rising seas, meaning that only those living close to shore will lose their homes; parts of the atolls may actually rise as other parts sink. Other researchers claim that regular flooding, food insecurity, and lack of fresh water will render the islands uninhabitable sooner rather than later. Whatever the timeline, as Rayfuse put it in an e-mail, “there is a presumption of the continuity of states, and the international community will deal with the issue of disappearance if and when it happens.”

At the moment, the value of their maritime assets seems to be going up: The United States recently purchased its 2015 tuna fishing rights from a collective of Pacific island nations for $90 million dollars, up from the $21 million it paid in 2009. There’s also more than money at stake—by law, islands can use their control of the zones to enact environmental standards, though they are too small and resource-strapped to enforce them without help.

For now, the island nations face the first and most basic step to securing their maritime zones: mapping them. To chart out existing ocean borders now would shore up their claims as their outlying islands become uninhabitable and their zones begin to shrink. Even this is far from trivial: An exact surveying effort involves extrapolating outer limits from base-point coordinates on shore, negotiating any overlaps with neighboring countries, and then formally depositing them with the United Nations in New York, a project beyond the technological and financial capacities of most island countries.

Blaise Kuemlangan, who works for the FAO and encourages Pacific Island nations to map their boundaries, expects that—unless the countries themselves or the international community make a special effort now—mapping will not be completed for at least another 20 years. By then, these islands will most likely still be inhabited. But they’ll need, even more urgently, to understand exactly what they have to trade for their future.

The EU "greencards" Fiji and Vanuatu, but red for Sri Lanka. by Francisco Blaha

The European Commission has today proposed to ban imports of fisheries products from Sri Lanka to tackle the commercial benefits stemming from illegal fishing. The move comes after four years of intense dialogue with the country after which it could not demonstrate that it sufficiently addressed illegal, unreported and unregulated (IUU) fishing.

In contrast, the Commission today confirmed that Belize, Fiji, Panama, Togo and Vanuatu, which had received warnings at the same time as Sri Lanka, have successfully taken measures to tackle illegal fishing. Consequently, the Commission proposes to lift the trade measures imposed in March this year against Belize.

According to the Commission's assessment, Sri Lanka has not sufficiently addressed the shortcomings in its fisheries control system identified in November 2012. The main weaknesses include shortcomings in the implementation of control measures, a lack of deterrent sanctions for the high seas fleet, as well as lacking compliance with international and regional fisheries rules.

As a result, the Commission tables a ban on fisheries products caught by Sri Lankan vessels being imported into the EU. In order to avoid disrupting ongoing commercial contracts, the full trade measures will only come into force in mid-January 2015, which is three months after the decision is published in the EU's Official Journal.

Shark-apocalypsis now in Beruwella

Shark-apocalypsis now in Beruwella

The Commission has today also proposed to remove Belize from the list of non-cooperating third countries in the fight against illegal fishing and to end the trade measures imposed against the country in March 2014. Belize has demonstrated its commitment to reforming its legal framework and adopting a new set of rules for inspection, control and monitoring of vessel. The Council will take a decision in this respect.

In a similar vein, the Commission also announced the termination of steps against Belize, Fiji, Panama, Togo and Vanuatu who all received a formal warning in November 2012. The countries have taken concrete measures in addressing established shortcomings and shown commitment to complete structural reforms in order to address illegal fishing.

The Commission has prolonged the cooperation with Korea, Curacao and Ghana until January 2015. Despite some progress achieved in these countries, which have received formal warnings in November 2013, more time is needed in these countries to make changes.

source here

Fish for Nutrition and Food Security by Francisco Blaha

More than 2 billion people worldwide suffer from micronutrient deficiencies. Fish is rich in essential fatty acids and micronutrients like vitamin A, iron and zinc, and as part of a balanced diet can improve the health and wellbeing for millions of women, men and children across the globe.

Nice Infographic by WorldFish 

Back in Papua New Guinea at a time of substantial changes by Francisco Blaha

Back to work in Papua New Guinea (PNG) at a really interesting time in the fisheries management and politics of the country. PNG is the “big pella” of tuna fisheries in the Pacific, (I wrote about them before here) and a couple of weeks ago NFA (the National Fisheries Authority) communicated trough a Public Notice in the main newspapers there a change in their stands in regards Tuna Industry development policy and their foreign access conditions. The Notice cover various issues, but is motivated by something I wrote about before (here), mainly is seeing little domestic return on contributing fishing days to the foreign fleets.

As most fisheries issues isn’t simple… PNG is part of the FSMA (Micronesia Arrangement for Regional Fisheries Access) Agreement, wich was put in place to fulfill socio-economic objectives prior to the VDS (Vessel Day Scheme). This resulted in a “new class” of fishing licenses, requiring vessels to undertake economic activities in the PNA region, such as offloading, provisioning, infrastructure investments and employment, in exchange for access to all eight PNA countries' waters. The FSMA is highly attractive to purse seiners since it allows vessel owners to use the fishing days in the zones which are most attractive to fish within the entire PNA, throughout the year.

PNG contributes fishing days to the FSMA to fulfill the social and economic objectives, but the nations does not seems to get the expected results, as many PNG domestic and LBFV (locally based foreign fishing vessels) have had FSMA endorsement to fish/source tuna regionally. However, the NFA (PNG fisheries authority) has not seen a single fish transshipped outside PNG being returned for processing in PNG-based plants. 

Most of it is seen moving to canneries in Thailand and Philippines where processing is cheaper… however is a egg or chicken dilemma… are PNG high production cost not caused by the fact that processing companies with generous fishing concessions are simply not landing fish in the country? Instead, they are offloading in other destinations, and creating a shortage in PNG plants, lessening efficiencies of the operators, and driving local costs of production up further. Hence NFA hopes that a cut in generous concessions will change the current situation, and increase the volume of raw material being processed domestically.

NFA plans for 2015 a drastic shake up of the division of tuna fishing days in PNG waters. Starting next year, it would work on the removal of unassociated (not associated with a PNG-based tuna processing plant) foreign effort, access to Archipelagic Waters (AW -aka the Bismarck Sea) reducing effort from 9,000 to 5,500 days and Domestic industry will also have priority over fishing days in the Exclusive Economic Zone (EEZ) waters.

For the vessels linked to onshore processors, the 5,500 days shall be allocated based upon actual processing tonnage that is being achieved, or cans or loins processed, This will be a considerable change from the current system, where it notes that days are "merely allocated based on declared proposed processing capacity or the number of associated boats". And warns that "Where domestic AW and EEZ catches are not reflected in increased tuna processed in 2015, the concessional days afforded to the domestic vessels under each processing ventures will be reviewed".

most PNG coastal citizens version of a "fishing day"

most PNG coastal citizens version of a "fishing day"

Foreing companies, which have been fishing in PNG waters, can no longer count on automatic renewal of usual privileges. The abolishment of these concessions by the NFA is because "all foreign access agreements had been required to land 10% of their catch for processing onshore, yet not one fish has even been landed for processing."

Consequently NFA will require that each foreign company or foreign flagged vessel that has had access in 2013 shall receive only 20 % of what it had in 2013 individual usage and this will be at the regionally agreed benchmark price of USD 8,000 a day for next year's licensing period. Previously, fishing days had been awarded at very low prices or even for free.

Now the NFA says it will invite those fishing companies to tender for up to 70 % of their previous years usage. Risks for those vessel owners bidding too low is that they will not be able to secure any additional days and only remain with the base of 20 %. With more than 40 new seiners coming into the global tuna fisheries, the competition between fleets to secure these days is expected to become fiercer. 

NFA said that, "each player in the fishery can make a conscious decision on the value to them, to get additional days to fish and have a day's 'right' to use during the year, to fish whenever they want it, with no race to fish," which is usually the case when a maximum quota is applied and closed upon exhaustion.

And while this all sounds good, is to be seen if will conduct to a stabilization of effort and catches (last year was the biggest catch ever), beyond better economic returns for PNG and the region.

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What would I be doing?

Thankfully my job is much simpler that answering working ion the political side of these decisions!.  But rather deal with the basics... Any change in policy needs to be “controlled” during operations under a structure called MCS (Monitoring, Control and Surveillance) and I will be training people on some specific aspects of that and in regards the Catch Certification that provides the official guarantees that all these MCS elements have been complied with prior the fish entering the world market.

Pacific Island nations secure $90m tuna deal with United States by Francisco Blaha

Pacific Island countries and the United States have reached a $90 million tuna deal, which is believed to be the world's most lucrative fishing access agreement. The deal was secured in the final minutes of a three-day negotiating session in Hawaii.

US - South Pacific Tuna Treaty Boundary

US - South Pacific Tuna Treaty Boundary

Interestingly, in August, the  U.S. State Department proposed more than $20 million in its fiscal year 2015 budget for the South Pacific Tuna Treaty, also known as the Multilateral Treaty on Fisheries, which in July during the New Zealand negotiations finished in a ‘no deal’ leaving the United States tuna fleet without fishing access to the Pacific Ocean in 2015 

But obviously, tuna is worth more and the money came out at the end

Under the agreement, the 17 member countries of the Pacific Island Forum Fisheries will receive $US90 million from the US government and its tuna industry in return for 8,300 fishing days in 2015.

"We have been renegotiating this treaty since 2009, when its total value was in the order of $21 million," said James Movick, director general of the Forum Fisheries Agency (FFA). "During that time, the Pacific Island parties were able to secure an increase to $42 million in 2011, and then again to $63 million in 2012."

As tuna stocks in the rest of the world dwindle, the Pacific has become the global epicentre for the industry. More than 60 % of the world's tuna is caught in the Pacific by vessels from powerful distant water fishing nations such as China, Japan, Taiwan South Korea, Spain and more from North and South America. For many Pacific Island nations, tuna licence fees are a budget mainstay.

The region's negotiating success down to collective bargaining and to the Vessel Day Scheme (VDS), introduced by the eight Pacific nations that are parties to the Nauru Agreement (PNA). The VDS sets a region-wide quota for fishing days and a minimum price per day. It aims to reduce the number of days on offer and ratchet up the price. Since it began in 2005, it has been successful in improving economic returns for Pacific Island nations but not in halting the decline in fish stocks.

Scientists say stocks of Bigeye tuna are now down to 16%of their original numbers and are calling for tougher conservation measures. Pacific countries are due to meet with the distant water fishing nations in December to agree on a long-awaited new conservation measure.
In the past 12 months, Japan has indicated a new willingness to support stronger conservation action but other nations remain unconvinced.

The new deal with the US sends a strong signal to the other distant water fishing nations the seriousness with which the Pacific countries take both conservation and the economic maximisation of their tuna resource.

Despite its success this may be the last such deal with the US. "In my view we will have to seriously reconsider the structure of the US treaty," Mr Movick said. All Pacific Island members of the Forum Fisheries Agency, including those with no tuna, benefit from the current arrangements with the US. That does not sit well with some of the tuna-rich nations, which have to forgo income to help their neighbours.

Talks to decide on allocating revenue from the US deal are difficult and time-consuming. "These internal negotiations among ourselves place a lot of stress on the regional co-operative mechanisms and relationships and I don't think that is necessary or beneficial, so I am asking the [Pacific fisheries] ministers to consider recommending to [Pacific] leaders that a different approach be taken.

"I recognise the treaty has been an important diplomatic tool between the Pacific Island governments and the United States, so [a new kind of arrangement] has political dimension which also has to be addressed."

source here

More on China's non fisheries controls by Francisco Blaha

China Tuna Industry Group (CTIG) recognises that international efforts to control are not of concern to them. 

CTIG with the help of Frankfurt headquartered Deutsche Bank AG, last month launched a US$100 million to US$200m IPO on the Hong Kong Stock Exchange to fund a massive and sophisticated expansion of South Pacific tuna fishing.

According to the draft prospective issued by the company to the Hong Kong Stock Exchange, the Chinese fleet had for years breached international fisheries agreements, breaking quotas on catches of the “vulnerable” bigeye tuna in both the Pacific and Atlantic. But as neither the international associations nor the Chinese government sets any quotas for individual companies or vessels, there is no risk of them being held responsible.

CTIG submitted its application documents to the Hong Kong Stock Exchange in June. And in earlier presentations of its prospectus it said it hoped to raise between US$100m and US$150m to expand its fleet, build processing capacity and develop the Chinese retail market. Its listing has now, reportedly, been delayed.

Chinese Longliners in Suva harbour

Chinese Longliners in Suva harbour

According to the prospectus, CTIG has a fleet of China Tuna operates a fleet of 24 ultra-low temperature longline fishing vessels, which are specifically designed for temperatures of minus 55 degrees Celsius or lower. The two premium tuna species it catches, the bigeye and yellowfin, are under international management systems. In the first quarter of 2014 those two species accounted for 96.3% of the company’s profits.

According to data from two regional fisheries management organisations (RFMOs), the Western and Central Pacific Fisheries Commission (WCPFC) and the International Commission for the Conservation of Atlantic Tunas (ICCAT), China, a member of the commissions, has breached the quotas in a number of years. Quotas are allocated to different fishing nations to limit the overall catch and protect vulnerable species from extinction.

In 2006, 2009, 2010 and 2012 the actual catch by Chinese fishing vessels was in excess of the quota allocated to China by the WCPFC – by a total of 7,998 tonnes over the four years. And between 2005 and 2007 Chinese vessels also breached the ICCAT quotas, by a total of 3,799 tonnes.

According to the prospectus, assessments of fishery resources carried in 2013 and 2010 found that the bigeye tuna had not been, or was no longer being, overfished. 

However, the scientific committee of the WCPFC published an evaluation of bigeye tuna stocks on last July 25, saying that stocks were at a warning level and an immediate halt to fishing was necessary to allow recovery.

CTIG admitted that tuna stocks are limited and that any strict quotas enforced by RFMOs or the Chinese government would affect the commercial and financial circumstances of the firm. However, the company’s prospectus said the quotas set by RFMOs are not binding on member states. What's more, it said that Chinese companies and vessels are not held to account for overfishing.

According to the prospectus, international fishing organisations have not established any sanctions for overfishing. This explains why the Chinese fleet has not yet been punished for breaching quotas. The document also quotes the company’s legal advisors, Liaoning Haida law firm, as saying that even if the international fishing organisations do implement sanctions, China will not be punished for historical violations.

eight_col_Chinese_fishing_boats__Suva_Harbour__620.jpg

With Tuna stocks falling, there are likely to be stricter catch limits in the near future, suggest observers. In December 2013 the WCPFC adjusted national quotas: up to 2017 China’s bigeye tuna quota will be gradually reduced to 7,049 tonnes, from 10,673 tonnes in 2013. 

The company prospectus did not reveal actual catch figures, but sales and profits figures indicate that sales of premium tuna species have increased annually: by 1.6 times between 2011 and 2013, to more than 7,000 tonnes.

According to consulting company Frost & Sullivan, the China Tuna Industry Group is China’s largest tuna fishing company, with profits accounting for 22% of the sector's total.

The Chinese government rarely makes any public response to overfishing by Chinese vessels in far-off waters, despite frequent international criticism. 

No long ago I wrote about Chinese Distant Water Fleet and IUU... is sad to see no one taking action. Where is the EU IUU Regulation Implementation in these occasions? 

After the backlash caused by the admissions and a clever action by Greenpeace, the company may suspend its IPO, but not its fishing operations... 

main source here

The most dangerous job in the world by Francisco Blaha

Fishing at sea is probably the most dangerous occupation in the world. In 2009 it was estimated that 24,000 fishermen die every year, but the number are surely higher. I spend most of my life working with fellow fisherman, and I learned a lot from all of them, be this post a sign of my gratefulness and respect to them.

India

India

FAO estimates that roughly 30 million fishers are working aboard 4 million fishing vessels operating in capture fisheries, 1.3 million decked and 2.7 million undecked vessels. About 98% of these vessels are below 24 metres in length, and not covered adequately by international rules and regulations. It seems plausible that the fatality rate in countries for which information is not available might be higher than those that supply statistical information. Thus, the number of global fatalities might be considerably higher than the figure of 24 000 deaths world-wide per year estimated by ILO.

Philippines

Philippines

Billions of people are depending on the scarce marine resources, they are depending on the fishermen and the fish that they bring home. A lost vessel and a lost fisherman have a vital impact on the coastal community.

Widows in Guatemala

Widows in Guatemala

Excessive fishing effort; increased competition; reduced profitability; economies in vessel maintenance, equipment and manpower; fatigue; recklessness; fisheries management measures (which do not take sufficient account of the human element or fishermen safety into consideration); diversified fishing operations unaccompanied by training, traditional experience and skills; these are some of the factors which have resulted in fishing being the most dangerous occupation in the world.

Mozambique

Mozambique

The consequences of loss of life fall heavily on the dependents. In developing countries, these consequences can be devastating: widows have a low social standing, there is no welfare state to support the family and with lack of alternative sources of income, the widow and children may face destitution.

Many developing countries face the need to design and implement a system to manage their fisheries and may look for external advice and aid to further their goals.

Solomon Islands

Solomon Islands

There are a number of areas where improvements can be made at the national level to improve safety for fishermen, provision and analysis of data identifying the cause of accident; education and training of trainers, extensionists, fishermen and inspectors; improved fisheries management, safety regulation and enforcement; develop safety guidelines, increased collaboration between fishermen, fishermen's organisations and government. 

India

India

But critically, the fishermen and the people in the fishing villages have to be part of the safety for fishermen initiatives, it is important to have a participatory approach, to reach out to the fishermen with the message. The involvement and commitment by local communities are vital for the success of the work... No fisherman would believe anything form a guy that does not looks like it has been at sea many times.

Various organisations devote resources to this topic, here are some of them collected by FAO and by SPC.

India

India

Is the investing in tuna processing in the Pacific, a conduit for fishing rights access? by Francisco Blaha

My colleague Richard Banks, is (among other 100 jobs he does) an economist working for PNA. In a recent report has brought up some interesting questions in response to the cyclic investments developments in fish processing in the Pacific Islands Countries.

Toll boot in the outer islands channel (SI)

Toll boot in the outer islands channel (SI)

From work undertaken with PNG's National Fisheries Authority and with the Solomon Islands MFMR (where he is a offshore fisheries adviser), he suggests based on considerable evidence that the investments models are driven more as a means to secure fishing rights at heavy market discounts rates, in the promise of generating employment that a commercial reality. Out of the existing plants in these countries, there is evidence that 2-3 plants are striving to operate at a level above 100-120 M/T per day, which for tuna processing is not a lot. 

No doubt, the lure of "big" (1000+)  job creation is seen by politicians as a huge attraction, but the real issue for Pacific island countries is to balance the "opportunity costs" of losing high access fees from vessels, which then could serve (assuming transparency and due diligence) to provide much needed income for the Island countries beyond the temporary employment of a few thousand people.

He confirms something I have seen particularly in PNG... foreign companies provide promises on job creation, gaining major tax concessions and and cheep fishing rights, catch the fish, find some initial excuses (that then become permanent) and send the raw materials for processing in the Philippines or Thailand.

His work shows, that out of the companies operating to date, only one or two that are striving to make a profit. The most notable example being SolTuna in Noro (I wrote about then here, and still in my opinion the way fishing should be in the Pacific), where the company has an excellent track record in pushing fish caught through the plant and processing more than 75% of its product in the factory.

Catch Certification training in Noro

Catch Certification training in Noro

He says (and I completely agree) that this situation could be addressed with some strategies that fit perfectly with work we are doing in parallel in these countries (see here and here), like:

  • Efficient Catch Documentation Schemes, to check what is being processed and what is not, against fishing rights provided. So that plants are made to pay commercial fee rates (for example the value of a Vessel Day: USD 8,000/day) for fish that they don't process in country.

  • A high commitment to employment by examining proposed plant throughput against jobs created. It is comparatively easy to measure investment commitment and proposed throughput against jobs, with around 12-15 people employed per ton of fish to be processed.

  • Not allowing access until the plant is assessed by independent evaluators as being ready to operate.

  • Careful scrutiny on tax concessions provided, which should be balanced against the access fee concessions given, and the value of the jobs created.

He also suggest that there  is space for balance, too stronger focus on taxing at source will stifle investment and will only prevent the factories from operating at a profit. 

Agreements where PI Governments may provide concessions, but the foreign companies must agree to process at least 75% of its product in country, would be a good compromise.

He goes further to suggest revising many of the processing agreements that are currently in place, a recommendation that I fully agree with!

 

What is Overcapacity in Fisheries, and what does it looks like? by Francisco Blaha

Although the word 'capacity' is frequently used to describe capabilities, competencies, or skills, in fisheries discussions the term 'capacity' may also be used to describe several other categories of specialized issues that reflect the relationship between the concept of capacity, the harvesting of fish by fishing vessels, and the biological concept of fishing mortality (the killing of fish). Because the management implications of these different definitions can be significant, it is extremely important to be very clear about what sort of capacity is being discussed.

China, source here

China, source here

Concepts relating to fish harvesting capacity are not as clearly understood by fishery managers as the biological concept of overfishing, and much of this confusion arises because many times the terms 'overcapacity' and 'excess capacity' are incorrectly used as synonyms and even though they are quite different. To make matters even more confusing, the concepts of excess capacity, overcapacity, overfishing and overcapitalization are closely related, yet different.

1 image, 10000 boats... Peru

1 image, 10000 boats... Peru

To accommodate these two perspectives, FAO has adopted a definition of fishing capacity that is: the amount of fish (or fishing effort) that can be produced of a period of time (e.g. a year or a fishing season) by a vessel or a fleet if fully utilised and for a given resource condition.

Peru

Peru

Measuring overcapacity – either quantitatively or qualitatively - provides fishery managers with information on the ability of a fishing firm or industrial fleet to harvest the target level of capacity at its lowest cost for a given desired stock abundance level. It can be measured at the target levels as well as at economically efficient levels of production.

China, source here

China, source here

Assessing overcapacity is of critical importance because overcapacity is a harmful, longrun phenomenon that does not self-correct itself and will persist indefinitely if not addressed.

Peru

Peru

If this is all to technical... just let the images speak for themselves... you don't need to be fisheries person to know what overcapacity look like.

India

India


The worst names in IUU fishing in the southern Pacific by Francisco Blaha

It was sad to read about the biggest “fishing boat” in the world, belonging to one of the fishing companies with the worst compliance records in the world, was reflagged to Peru and is now hanging around the Pacific… Particularly because they are still playing this dodgy game around after a long time.

Length × Breadth: 228.61m × 32.24m... the smaller one is just a big fishing boat.

Length × Breadth: 228.61m × 32.24m... the smaller one is just a big fishing boat.

Back in 2011 I was doing the evaluation on the EU IUU catch certification system in Peru, I found that there were some quite suspicious dealings by vessels owned by a company totally hypocritically called Sustainable Fishing Resources S.a.c, wich is allegedly in turn a proxy company of Pacific Andes, one of the worst offenders in terms of IUU fishing worldwide, which in turn is allegedly owned by the China Fishery Group, that has dodgy written all over it… which you will never know when you look at their websites.

All my enquires started with a vessel called “Franziska” that I found funny for a Peruvian Vessels, so I went in to find that it was a monster of 120 m in length, 19 beam, and holding capacity 4000 tons! The owner of the vessel in Peru, is a company named Pelagic Fishing Group S.A.C. 

Franziska when she was registered in Callao under Peruvian Flag. She is back Dutch now

Franziska when she was registered in Callao under Peruvian Flag. She is back Dutch now

The vessel became Peruvian in 2009 in order to benefit from Peruvian high seas fishing permits under “Decreto Supremo 022-2009-Produce, que establecen medidas de ordenamiento para la extracción comercial a mayor escala de recursos hidrobiológicos transzonales (jurel y caballa) en la alta mar”. 

The permits allow fishing outside the 200 miles limit (alta mar) for two species - Caballa Scomber japonicus peruanus (Mackerel) and Jurel Trachurus spp. (Horse mackerel), in the context of creating historical catch records for the  “Organizacion Regional de Ordenamiento Pesquero del Pacifico Sur” (South Pacific RFMO), as noted under “Considerandos” (Considerations) Section, as well as Articles 2 and 12 of the decree. In fact, during 2009 the vessel caught fish in order to create “catch history” for both the EU and Peru, which is already per se contentious, leading to a claim under the SPRMFO.

At the time (2011) they were 12 vessels on Peru’s fishing permits register operating within this regulatory framework (they are currently 16 vessels!). However only 2 were operating in the pacific, 4 were in peruvian ports, and at least 6 were fishing in the Atlantic Ocean (!), one of this was the Franziska. The other vessels fishing in the Atlantic (former Russian Flagged vessels) were owned by Sustainable Fishing Resources S.a.c

The african pacific

The african pacific

This was an infringement of the permit, and all catches have to be considered IUU. Furthermore the permit requires vessels to have VMS transmission and a Tecnico Cientifico de Investigacion - TCI (equivalent to an on-board fisheries observer) in article 13 and under Obligations (Clausula Quinta).  Moreover, the “Obligations” protocol requires them to limit fishing activities to just the two authorised species, to submit logbooks and to report arrivals to foreign ports. 

At the time (and I’m sure now too) the Peruvian Fisheries Authority only could access their position, but had no other records of compliance in terms of the requirements of the permit.

Peru, as part of its obligations as a flag state, should have taken measures against the vessel and its owners. As it is possible that unless proven otherwise, illegal landings and transhipments have taken place, and that a number of Peruvian flagged vessels are operating wholly outside functional Flag State control.

Zoom to the present

While the Franziska got his permit suspended and then re-flaged back to Holland (and now is named by Greenpeace as one of the 20 of the most destructive fishing vessels operating under European flags, ownership or management).  The other vessels that I found fishing illegally in the Atlantic still listed in the Peruvian Fisheries Authority Website, and still owned by the same company (Sustainable Fishing Resources), which has added a new vessel… 

Under this same permitting structure, we have now the biggest fishing factory in the world, the Ex Russian- and  Mongolian flagged Lafayette, which is now called Damanzaihao that has a Peruvian flag since July 16… and this one has also a stinky story. 

The Damanzaiha/Lafayette is a 49,367-gross ton converted oil tanker, that passed through New Zealand's exclusive economic zone in February and lingered in international waters to the east of NZ for several months, with a fleet of fishing trawlers, the Aurora, Pacific Champion, Pacific Hunter and Liafjord (from the same shell companies). 

heading our way

heading our way

Since Aug. 13  Peru’s production ministry Produce requested SPRFMO for the vessel to take part in the fishery. Flag states must inform the secretariat of any vessels they authorize to fish under the SPRFMO at least 15 days prior to the vessels’ entry into the convention area. However, these Peruvian vessels (often linked to transshipment activities with Lafayette) showed up in the convention area on Sunday, Aug. 24. Obviously the ship is s transhipping jack mackerel without the permission of SPRFMO and is instead creating fake data something the Franziska was doing too.

its position on the 23/9/2014

its position on the 23/9/2014

So… the dodginess continues, and I’m very disappointed that Peru continuous to play this game, because in reality… they don’t need to, they are a proud fishing nation that could lead Latin America in terms of compliance. In fact most of the “normal” fishing industry is surely is not aware of what is going on… and that this is just tarnishing the good name in terms of management and sustainability they are trying to build.

Unfortunately, this is a "game" played by people very high up, with closer ties to the power… as I found up when in 2011 an official complaint was made to the EU in regards my report, saying that all the findings i made (even if you could straight to the links in their database and i have pdfs of all the elements quoted), were not correct, luckily i was backed by my contractors and the report still stand.

Working with the Amazon river's fish farmers by Francisco Blaha

While normally dealing with commercial fisheries in the Oceans, once in a while I get the opportunity to do a “unusual job” and I really like them! Working in the Amazon river is not the “usual” deal for me, and Arapaima (paiche) is really an unusual fish.

this are my fish, señor

this are my fish, señor

Arapaima can reach lengths of more than 2 m (6 ft 7 in), in some exceptional cases even more than 2.5 m (8 ft 2 in) and over 100 kg (220 lb). The maximum recorded weight for the species is 200 kg (440 lb), while the longest recorded length was 4.52 m (15 ft).

As one of the most sought-after food fish species in South America, it is often captured primarily by handheld nets for export, by spearfishing for local consumption, and consequently, large arapaima of more than 2 m (6 ft 7 in) are seldom found in the wild today.

Commercial fishing of the arapaima has been banned, however is difficult to control this, furthermore it has a really delicate in flavour, and boneless. So there great incentives to farm them, but as you may see from the pictures, is not an easy task.

would you mind coming here?

would you mind coming here?

The arapaima is torpedo-shaped with large blackish-green scales and red markings. It is streamlined and sleek, with its dorsal and anal fin set back near its tail. Its local name, paiche, derives from the indigenous words for "red" and "fish".

not your usual fish farm

not your usual fish farm

To make him more unusual, it has a fundamental dependence on surface air to breathe. In addition to gills, it has a modified and enlarged swim bladder, composed of lung-like tissue, which enables it to extract oxygen from the air. This is an adaptation to the often hypoxic conditions of the Amazon floodplains, but requires the arapaima to surface for air every 5 to 15 minutes. This tendency to come at the surface makes it more vulnerable to be catch by spear fishermen.

Not just because the size, and the fact that there is no sexual dimorphism (male and females looks the same), hence the sexing is done by measuring hormone levels in blood; but also because the animal's life cycle is greatly affected by the seasonal flooding and this need to be imitated. 

boy or girl?

boy or girl?

The arapaima lays its eggs during the months when the water levels are low or beginning to rise. They build a nest about 50 cm wide and 15 cm deep, usually in muddy-bottomed areas. As the water rises, the eggs hatch and the offspring have the flood season to prosper, during May to August. Therefore, the yearly spawning is regulated seasonally. 

The arapaima male is supposed to be a mouthbrooder, like his relative, the Osteoglossum, meaning the young are protected in his mouth until they are older.

So what this has to do with me? Well the swiss government programme I’m working with, is evaluating this operation as to support the creation of employment via increase of exports possibilities, in function of a set of environmental and social practices. In the case of this farm, they are eliminating the use of fish meal based feeds, and farming some of the local small fish that are the natural diet of paiche, which besides being much better from a general "sustainability" perspective, has increased conversion ratios (kg food given vs kg gain in body weight), so a win win situation.

 Again life keeps surprising positively me with the opportunities it put in from of me.

not your average fish!

not your average fish!

Back in Peru with the Swiss connection by Francisco Blaha

The work I'm doing here is quite a “odd one out” in comparison with my more common work portfolio.  Is not a job for the European Union, FAO, SPC, GIZ, NZAid or AusAID… this is for the Swiss government, a rather odd player in the fish world...

reality is always better than fiction

reality is always better than fiction

Switzerland Global Enterprise (S-GE) (that used to be called OSEC) is a Swiss government organization that carries out its federal mandates of export, import and investment promotion, with «Enabling new business» as its value proposition. 

Under the Import section they have the Switzerland Import Promotion Programme (SIPPO) that aims to facilitate the entry of a range of food and non food products produced by Small and Medium Enterprises (SMEs) from certain countries into the European Union, Switzerland and other EFTA markets, as indirect way of promoting employment via the expansion of these companies markets.

They provide the SMEs chosen with information about product requirements offer matchmaking services and training courses and put them in touch with potential buyers via trade fair participations as well as buying and selling missions over a period of 3 years.

However, to qualify, these SMEs need to comply with a series of very specific requirements in terms of: structure, capabilities, safety/food safety, social responsibility, sustainability and ethical sourcing to join the programme, and them maintain a reporting schedule of advances

My jobs are: 1) to do the selection of the companies that will be accepted in to the program, by evaluating all the prior mentioned aspects and reporting to Zurich my findings, 2) with the help from my friend Raul from Freshfish.co.nz we design SIPPO’s promotional materials for the selected companies, 3) assist the selected companies on technical issues during the Brussels seafood show (the biggest in the world- I wrote about it here), and 4) write and (typeset for pre-press with the help of Vibeke) technical/training manuals in regards seafood safety regulatory requirements, non IUU sourcing and Ecolabels.

Furthermore, my “boss” is an really nice guy, that takes his job seriously but not himself seriously, so the job feels like a road trip with a lot of laughing, great food and good work done.

It is a “refreshing” job, because I don’t deal with any government organization, the assistance is direct to small and medium companies, and I have seen incredible results in really short terms… the type of results they only dream on the more conventional sorts of “international development” work.

For example 3 years ago, I went up to Sechura (really the middle of nowhere) to evaluate a small company that does rearing of scallops in vertical tube nets in a open bay. The company (pompously named Seacorp) belongs to 2 brothers (both surfers) that refined the ideas and concepts behind the process and wanted to do things their own way. I liked that attitude from them and the really open and transparent approach (besides that we belong to the surfers sub-tribe)

initial stage scallops to be grown

initial stage scallops to be grown

The impact of that type of operation is minimal (smaller than a mussel farm in NZ), as the scallops just filter naturally available plankton that grows plentiful in the bay, and (as a difference of the mussels) is much more labour intensive, hence employing much more local people as the scallops require changing positions to different mesh size “tubes” as they grow.

When I went to their “farm” in 2011 they had 7 employees, as shed and few hectares of sea-based production scallop enhancing area, now they have 35 full time employees (plus 50 seasonal), their own ever growing hatchery (hence no impact on natural populations) and the production area expanded to over 200 hectares of maritime concessions of paid local coastal owners and authorities in two different areas.

From the sales from the 1st year in Brussels, they reinvested in sustainable energy and their local crew. All the electricity on the site is provided by wind turbines and solar panels. They only employs people who live locally, and knowledge is willingly shared through training and courses. They also works with young offenders, giving them a chance at a life outside of crime or prison.

Basically a "Feel Good Story" all around, and only in 3 years with no loans, credits, subsidies, nothing just the opportunity to be where the buyers are and a good product with a good story behind

Even the dream trip to surf the Mentawai islands in Indonesia is to be achieved!

And there are other companies with similar stories, so I see results... I see good people getting the outcomes they deserve by doing things right, so what is not to like from this “odd one out” job.

The relative power of unity by Francisco Blaha

In the Tuna world there is always change... but some stuff seem to be always the same

When the Western and Central Pacific Fisheries Commission (WCPFC) was established by treaty 10 years ago, the Distant Fishing Water Nations (DWFNs) despite its active participation in negotiations leading up to the treaty, were hesitant to sign on at the first opportunity. Despite being part of the negotiations, they wouldn’t back the newly established regional fisheries management organization for the Pacific. Ind fact, many of these nations still not play their part... WCPFC former director Glenn Hurry, recently quit his job, and as i reported earlier, he wasn't pleased with the bigger players.

The Parties to the Nauru Agreement (PNA), which has set itself up as a fisheries cartel, established a vessel day scheme for selling fishing days, with the goal of limiting the then-uncontrolled level of purse seine fishing to conserve tuna and increase its value. PNA has certainly been successful in the latter (tuna revenue flowing to the eight member nations has risen from US$60 million annually in 2010 to over US$250 million last year), if not as successful at the former.

Transhipping in port area is getting better

Transhipping in port area is getting better

But when PNA started enforcing the vessel day scheme, most distant water fishing nations balked at accepting it. They had been used to sending fisheries teams to island capitals once a year to negotiate license fees, which historically paid just pennies compared to the profits reaped by the fishing countries. These countries were not about to change a style of operation that had fed their fishing industries for two generations. Now, with the exception of the European Union, all distant water fishing nations with purse seiners operating in the region are fishing under the vessel day scheme. Shall we take bets on the EU’s ultimate acquiescence to the vessel day scheme?

Then there are the Americans, who have enjoyed preferential access to PNA waters since the late 1980s, when a U.S. State Department-backed fishing treaty came into play with all Forum Fisheries Agency islands. The treaty ended years of U.S. flagged boats fishing without paying, ignoring rules, and generally giving the U.S. a bad name in the region. When the treaty’s financial package came up for renegotiation several years ago, the U.S. was paying US$21 million annually. The PNA demanded triple this amount. ‘It’s too much,’ said U.S. negotiators. ‘We can’t pay it.’ Over the ensuing years of negotiation the U.S. side finally agreed to pay $63 million a year, a deal that went through in 2013. Now PNA has upped the access ante because it is increasing the fishing day fee from US$6,000 to US$8,000 come January 1. And the U.S. has tentatively agreed to US$87 million a year to secure fishing access for it vessels. ‘Can’t afford it?’ The better question is, ‘do you want to keep fishing?’ And the U.S. government and industry clearly know the answer to this question.

With it now clear that bigeye tuna are being over-fished, the move for greater control of the longline fishing industry is gaining momentum. Since the 3,000 longliners plying the Pacific generally fish on the high seas, they are more difficult to manage than the purse seiners that fish ‘in-zone’. Still, PNA has announced plans to extend a vessel day scheme to longliners to bring it under the control and management of Pacific islands.

As pointed out last week at a fisheries meeting by Phil Roberts, the managing director of global tuna supply company Tri-Marine International, ‘When PNA banned high seas transshipment for purse seiners, there were some grips. But then everyone started doing in-port transshipment.’ In-port transshipment meets dual conservation and economic development goals for Pacific islands: it increased the opportunity for monitoring vessel catches, while offering numerous spinoff economic benefits to Pacific ports. One of the key proposals on the table is to halt longliners trans-shipping on the high seas, which is where virtually all of the distant water fishing fleet currently off-loads its catches of tuna—a system that is problematic for effective fisheries management and producing accurate stock assessments.

The longline industry of Japan, S. Korea, Taiwan and China is not helping matters, either. The fact that these four nations have, since the start of Tuna Commission a decade ago, failed to provide operational catch data that is a requirement of membership appears finally to be coming to a head. The 17-member Forum Fisheries Agency (FFA) issued a strongly worded statement in August calling for action by these four nations to provide data to reduce gaps in stock assessments. An increasing number of Pacific fisheries officials want the WCPFC to sanction these countries for failure to provide the required data.

History tells us that if island countries stay unified, they can gain control over an industry long dominated by distant water fishing nations. Enforcing ‘best practice’ management rules is the only way to ensure the future viability of tuna stocks not only for Pacific islanders, who depend on this for food security, government services and jobs, but for the rest of the world that is increasingly dependent on tuna fish as a food source. The fact that distant water fishing nations have had to be forced, sometimes kicking and screaming, by the PNA, FFA and the WCPFC  to comply with changes to sustain and stabilize the industry, while sharing the benefit with island nations, simply underlines the point that unity works.

The PNA and FFA have proved over the years that there is power in numbers. It’s an example of success for the region that could easily be applied to other economic areas, including deep-sea mining.

Source: here

Fishing in the South China Sea by Francisco Blaha

Competition over resources is one of the primary drivers of tension between China and its neighbors in the South China Sea. This infographic, prepared by the Sumitro Chair at CSIS, provides data on one key flashpoint between China and Vietnam: fishing.

And highlights the obsene ammount of subsidies provided as well...

Infographic-South-China-Sea.jpg

The potential for conflict among these two cannot be underestimated. Aggressive law enforcement actions, even military action, are not unheard of in the history of fisheries. The Atlantic Ocean offers some examples. While most would say the Atlantic today is a source of fewer security threats than the Pacific, between the 1950s and 1970s the United Kingdom and Iceland had a series of confrontations in the North Atlantic in the so-called “Cod Wars.” In 1995, Canada arrested the Spanish fishing vessel Estai on the High Seas in the North Atlantic when it was fishing for Greenland Halibut stocks claimed and protected by Canada. This “Turbot War” led to a highly contentious dispute in international law. Furthermore, France has arrested vessels on several occasions that it accused of illegal fishing for Patagonia Toothfish in the South Atlantic.

China’s Distant Water Fishing Fleet and IUU fishing by Francisco Blaha

China has been the world’s largest producer and exporter of fish since the early 2000s, with around half its seafood production being exported to developed countries; China is also the largest consumer of seafood. With depleted domestic fisheries, the Chinese fishing industry (and the government agencies that support them) has looked into aquaculture and distant water fisheries to satisfy domestic and export demand.

According to the United Nations Convention on the Law of the Sea (UNCLOS-1994), countries have jurisdiction over resources in the waters within 200 miles off their shores, the exclusive economic zone (EEZ). UNCLOS further stipulates that distant water fishing (DWF) fleets can harvest surplus fish in countries that do not have adequate capacity to exploit their fishery resources, in return for compensation to the host country. In theory this allows for more efficient fishing in developing countries that lack capacity and benefits those countries financially and technologically. China ratified this convention in 1996. Although UNCLOS addresses fishing within a state’s EEZ, it largely fails to address the problem of high seas fishing.

The UN created other global instruments such as the Agreement for the Implementation of the Provisions of UNCLOS Relating to Conservation and Management of Straddling Fish Stocks and Highly Migratory Fish Stocks, and the Agreement to Promote Compliance with International Conservation and Management Measures by Fishing Vessels on the High Seas to address oversight of marine fisheries. The former outlines principles for conservation and management of certain fish stocks, stipulating the use of the precautionary principle and the best available information to form the basis for management of certain fish stocks. The latter was adopted in 1993 and puts responsibility on the flag state for upholding measures for international conservation and management.

China’s DWF fleet is comparatively young, but it is also the largest in the world. As fish extraction rates from China’s coastal waters dropped dramatically in the 1980s, China created its DWF fleet in 1985 and since then Beijing’s policy has encouraged its development over that of domestic fisheries through preferential tax policies and funding allocations.  This fleet has grown tremendously—to over 2,000 vessels—and is likely to see continued expansion.

A study by the European Parliament estimated that, in the last decade (2000-2011), China’s DWF extracted 4.6 million tons of fish annually, the vast majority of which (3.1 million tons) came from African waters, followed by Asian waters, and smaller amounts from Oceania, Central and South America, and Antarctica. Of the 3.1 million tons extracted from Asian waters, the study shows, 2.5 million tons were IUU. 

Fisheries or Geopolitics?

Fisheries or Geopolitics?

As domestic pressures in their electorates increases, DWF fishing entities like the EU and Japan are required to make an effort to improve their practices, China may take advantage of the thus decreased fishing effort and compensate with an increase in Chinese fishing.

China does not disclose fishing information regarding the countries with which it has bilateral fisheries access agreements. Thus, in practice, all activities of the Chinese DWF—whether or not they are legal—are not transparent. The EU Parliament report notes that “the activities and catches of the Chinese distant-water fleets are almost completely undocumented and unreported, and often, as we shall see, may actually be illegal, thus spanning the entire gamut of IUU fishing.”

There is evidence suggesting that China over-reports its domestic catch numbers to the FAO because Chinese local government officials are rewarded with promotions for exceeding planned catch numbers. In contrast, China’s distant water catch may be under-reported due to international pressure. Overall, Chinese vessels have been reported in 93 countries and Antarctica, though Chinese sources produce a much lower number; the coastal waters in which Chinese fishers have not been spotted are those of the EU, the United States, and the Caribbean.

One of the major reasons for the increased IUU fishing is increasing global demand, especially increasing domestic demand in China. As Chinese citizens are lifted out of poverty and the middle class continues to grow, demand for meat and fish, both of which are relatively expensive, grows as well. Increased consumption of meat is desirable not only because of its high protein content, but also because of its indication of higher social status. A Rabobank study of China’s seafood industry indicates that as incomes rise the percentage of income spent on terrestrial protein decreases and the percentage spent on aquatic protein increases, because certain species of seafood are particular markers of status.

China’s demand for seafood has tripled since 1990 in per capita terms, but it is not just Chinese demand that is fueling IUU fishing, but demand from Japan and Western countries as well. Most of China’s high-value species and about half the overall catch are exported to the EU, the United States, and Japan, and the other half is brought back to China and sold domestically.

In addition to feeding global demand for fish, expansion of China’s DWF industry is a component of the central government’s goals of asserting the country as a rising power and implementing China’s ocean economic development plan. There is a sense of nationalism associated with this expansion, and also an idea that China deserves their fair share of the global fisheries pie. It is also important to note that China is very much emulating more established DWF nations such as the EU and Japan in the expansion of its own DWF industry.

Although China has been the largest exporter of marine fish products, significant portions of this amount are fish caught by other countries (i.e. a lot of NZ’s hoki), exported to China for processing cheaply under joint ventures and then re-exported out of China.

This importation requires a Certificate of Origin (CO) and a Health Certificate (HC) (and a Catch Certificate –CC- if going to the EU). The CO is concerned mainly with setting the appropriate tariff level and does not require fully addresses specific information about catch location or catch circumstances. The HC deals with sanitary issues (food safety) and while it in principle includes traceability of the fish to capture, it is not designed for catch origins and volumes purposes.  Their sanitary authority “China’s Inspection and Quarantine Bureau” assigns each incoming batch of fish a unique number and does not permit mixing of different batches, which is the closest measure to traceability that exists within the system, as these identification numbers are reported again when the fish are exported from China. Although there have been improvements in Chinese traceability efforts in recent years, these changes have mostly been driven by concern for sanitation standards rather than fish extraction origins. The EU CC, while in principle was design to address the legality and volumes of the harvested catch, did not took in consideration the complexities of the fisheries value chain, and is (unfortunately) easily fraudable. 

And while the EU has the means to pressure to China in terms of proving the legality of the catches caught and imported under the “control” of Chinese authorities, under the frame of their IUU legislation. It has chosen to focus their attention on smaller and less developed countries such as Togo, Cambodia, Belize, Fiji and Vanuatu; only recently started identifying DWFN players such as Philippines, PNG and Korea (a good move!). Not by coincidence, these countries are not key trading partners for the EU. 

Getting serious with China, on the other side could have serious trade consequences for the EU… even if it could have a massive impact in terms of global IUU fishing. So unfortunately, this Chinese “power card” allows them to continue with “business as usual”.

Key source:  Katie Lebling  -  Wilson Center

Fishy futures and stock exchange by Francisco Blaha

Dr. George Sugihara has gone from an academic career in biological oceanography to the world of high finance, and back again. “Basically, I modeled the fear and greed of mobs that trade.” Now he is applying the lessons he learned in business to the management of fish stocks.

Sugihara’s experience of the markets has changed the way he thinks about managing the ocean’s natural resources. For decades, investors have traded on markets for the future prices of virtually every commodity, from grain crops, through orange juice, to oil. Yet despite worldwide sales of at least US$80 billion a year, there is no futures market for fish. Sugihara hopes to change that. By providing people with the means to make money, and offering a structured financial environment for the worldwide catch and sale of fish, he argues, it should be possible to prevent stock depletion.

tent_ts.jpg

He has the luxury of being able to support some of his own research, using a trust fund set up during his Deutsche Bank days. In part, that was how he funded his work, on an analysis of environmental fluctuations and ecological catastrophes in the North Pacific. This suggests that fishing quotas may need to be set more conservatively, and adjusted more frequently to compensate for environmental conditions, than is typically the case. “The way fish quotas are set is wrong,” says Sugihara. “It doesn’t fit nature or reality.”

Imagine, he says, a 1000 Kg fish in an aquarium. Feed it more, and it gets fatter. Feed it less, and it gets thinner. The population (of one) is stable. But put 1,000 1kg fish in that aquarium, and food shortages could result in the deaths of hundreds, because the small fry have less stored body fat—and therefore cannot ride out a short famine. Food abundance does not necessarily mean all the fish get bigger, either; it could en­courage reproduction and a population boom—which might in turn overwhelm the food supply and lead to another bust. It is an unstable system. “That’s the reality of fisheries, of economies, of a lot of natural systems”.

But this instability is not understood by people who run fisheries, Sugihara insists. By law they manage fisheries for “maximum yield.” The notion that such a maximum yield exists implies that fish grow at an equilibrium rate and that the harvest can be adjusted in accordance with that growth to keep yields stable. In contrast, Sugihara sees fisheries as a complex, chaotic system, akin to financial networks.

The practical implications of Sugihara’s work are clear. Current fishing regulations usually have minimum size limits to protect smaller fish. That, Sugihara maintains, is exactly wrong. “It’s not the young ones that should be thrown back but the larger, older fish that should be spared,” he explains. They stabilize the population and provide “more and better quality offspring.”

Most regulations consider each species—sardines, salmon or swordfish—in isolation. But fishing, he says, is like the stock market—the crash of one or two species, or a hedge fund or mortgage bank, can trigger a catastrophic collapse of the entire system. 

Hence we need to work on new kinds of fisheries management schemes. One is the notion of tradable “bycatch” credits. Bycatch refers to the turtles, sharks and other animals that fishing fleets do not seek but catch accidentally. In the tradable bycatch credits plan, fishing boats could be allocated a certain number of credits. As they used those credits, they would need to stop fishing or buy more credits on the open market. As the bycatch increased, the number of outstanding credits would fall, and their price would increase. Fishing boats would thus have financial incentive to minimize their bycatch—because by doing so, they could keep fishing longer.

He has set the Ocean Resource Exchange hoping it will provide an incentive to preserve fish stocks that doesn’t rely on a detailed understanding of complex biological systems, and instead taps into people’s baser instincts. “Show them how to make more money,” he says. The first derivative is likely to be a futures contract for a certain percentage of a fisherman’s catch at an agreed price at a specified time. Another planned derivative is an instrument for trading fish quota allotments, called an ‘individual transfer quota’. “Essentially, these are tradable poker chips or options for fishing rights,” Sugihara says.

Fishermen and investors could hedge their bets, which should reduce the tendency for catches to swing between boom and bust, and give all stakeholders a tangible financial incentive not to cheat and plunder the ecosystem for the maximum short-term return. The motive here is public service,” he says. “I think we can use market forces for conservation.”

Sources: here and here

Mozambique ratifies the FAO Port State Measures Agreement (PSMA) by Francisco Blaha

The government of Mozambique has today became the third African country to ratify the FAO Port State Measures Agreement (PSMA), this is part of the measures towards curve Illegal fishing which is estimated to be responsible for a $35 million loss for Mozambique each year.

Muito legal!!

Muito legal!!

African countries are highly targeted by distant water fishing vessels that undertake Illegal, Unreported and Unregulated (IUU) fishing activities.  This is due to insufficient fisheries monitoring and governance in the region.  Mozambique joins Seychelles and Gabon in Africa and other countries globally that have already ratified the agreement.  

The ratification means that Mozambique will be better able to curb illegal fishing practices, close its markets to illegally caught fish and close its ports to illegal operators.

The key identified IUU fishing risks in Mozambique includes fishing without a license, unauthorized transhipments, failing to report catches and making false reports, keeping juvenile fish or fish that are otherwise protected, fishing in closed areas or during closed seasons, or using prohibited fishing gear that damages ecosystems. These practices endanger community livelihoods bearing in mind that two-thirds of Mozambique’s population lives along the coast and depends on fish as a key source of food and employment.

The Port State Measures agreement is a cost-effective way to ensure national and international action to prohibit vessels that are suspected of illegal activity from landing at ports or receiving port services.

The Port State Measures Agreement was brokered by 92 nations through the United Nations Food and Agriculture Organization and was opened for signature on November 23, 2009. The agreement will take effect once 25 parties have signed it.

If fully enforced, this agreement will help close ports to vessels suspected of illegal fishing and block illegally caught fish from entering the global market.

At a personal level it is very satisfying as I lived with my family there in 2002, working on a Fisheries MCS (Monitoring, Control and Surveillance) regional strengthening project, and made friends that are today the responsible for the implementation of this agreement. Parabéms!

The warming depths by Francisco Blaha

Over the past few years one of the biggest questions in climate science has been why, since the turn of the century, average surface-air temperatures on Earth have not risen, even though the concentration in the atmosphere of heat-trapping carbon dioxide has continued to go up.

This “pause” in global warming has been seized on by those sceptical that humanity needs to act to curb greenhouse-gas emissions or even (in the case of some extreme sceptics) who think that man-made global warming itself is a fantasy.

People with a grasp of the law of conservation of energy are, however, sceptical in their turn of these positions and doubt that the pause is such good news. They would rather understand where the missing heat has gone, and why—and thus whether the pause can be expected to continue.

The most likely explanation is that it is hiding in the oceans, which store nine times as much of the sun’s heat as do the atmosphere and land combined. But until this week, descriptions of how the sea might do this have largely come from computer models. Now, thanks to a study published in Science by Chen Xianyao of the Ocean University of China, Qingdao, and Ka-Kit Tung of the University of Washington, Seattle, there are data. 

Dr Chen and Dr Tung have shown where exactly in the sea the missing heat is lurking. As the left-hand chart below shows, over the past decade and a bit the ocean depths have been warming faster than the surface. This period corresponds perfectly with the pause, and contrasts with the last two decades of the 20th century, when the surface was warming faster than the deep. The authors calculate that, between 1999 and 2012, 69 zettajoules of heat (that is, 69 x 1021 joules—a huge amount of energy) have been sequestered in the oceans between 300 metres and 1,500 metres down. If it had not been so sequestered, they think, there would have been no pause in warming at the surface.

Hidden depths
The two researchers draw this conclusion from observations collected by 3,000 floats launched by Argo, an international scientific collaboration. These measure the temperature and salinity of the top 2,000 metres of the world’s oceans. In general, their readings match the models’ predictions. But one of the specifics is weird.

Most workers in the field have assumed the Pacific Ocean would be the biggest heat sink, since it is the largest body of water. A study published in Nature in 2013 by Yu Kosaka and Shang-Ping Xie of the Scripps Institution of Oceanography, in San Diego, argued that cooling in the eastern Pacific explained most of the difference between actual temperatures and models of the climate that predict continuous warming. Dr Chen’s and Dr Tung’s research, though, suggests it is the Atlantic (see middle chart) and the Southern Ocean that are doing the sequestering. The Pacific (right-hand chart), and also the Indian Ocean, contribute nothing this way—for surface and deepwater temperatures in both have risen in parallel since 1999.

This has an intriguing implication. Because the Pacific has previously been thought of as the world’s main heat sink, fluctuations affecting it are considered among the most important influences upon the climate. During episodes called El Niño, for example, warm water from its west sloshes eastward over the cooler surface layer there, warming the atmosphere. Kevin Trenberth of America’s National Centre for Atmospheric Research has suggested that a strong Niño could produce a jump in surface-air temperatures and herald the end of the pause. Earlier this summer, a strong Niño was indeed forecast, though the chances of this happening seem to have receded recently.

But if Dr Chen and Dr Tung are right, then the fluctuations in the Atlantic may be more important. In this ocean, saltier tropical water tends to move towards the poles (surface water at the tropics is especially saline because of greater evaporation). As it travels it cools and sinks, carrying its heat into the depths—but not before melting polar ice, which makes the surface water less dense, fresh water being lighter than brine. This fresher water has the effect of slowing the poleward movement of tropical water, moderating heat sequestration. It is not clear precisely how this mechanism is changing so as to send heat farther into the depths. But changing it presumably is.

Understanding that variation is the next task. The process of sequestration must reverse itself at some point, since otherwise the ocean depths would end up hotter than the surface—an unsustainable outcome. And when it does, global warming will resume.

Original source here.

New fish labelling rules are to apply EU-wide from 13 December. by Francisco Blaha

The new rules are part the revamp of the EU’s Common Fisheries Policy, specifically its Common Market Organisation regulation, which also covers fishing, production and marketing. The regulation 1379/2013 – (OJ L 354 of 28.12.2013), covers both wild caught fish and aquaculture products.

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The 13 December application date is important because it was chosen to ensure consistency with the date that most labelling requirements apply under the food information to consumers regulation (1169/2011). Existing fish labelling rules will apply to 12 December and products labelled or marked before 13 December 2014, which do not comply with the new regulation, may be sold until stocks have been used up.

The new regulation covers all fishery and aquaculture products sold to consumers or mass caterers in the EU. However, the regulation allows Member States to exempt small quantities of products sold directly from fishing vessels to consumers. It requires fishery and aquaculture products either to be labelled - or for retail sale of non pre-packed products, the mandatory information to be provided by means of commercial information such as billboards or posters - to show:

  • {the commercial designation of the species and its scientific name;
  •  the production method, in particular by the following words “… caught …” or “… caught in freshwater …” or “… farmed …”;
  • { the area where the product was caught or farmed, and the category of fishing gear used in capture of fisheries, choosing from seines, trawls, gillnets and similar nets, surrounding nets and lift nets, hooks and lines, dredges or pots and traps;
  • whether the product has been defrosted (apart from ingredients present in the final product, foods for which freezing is a technologically necessary step in the production process and fishery and aquaculture products that have either been previously frozen for health safety purposes or which have been defrosted before the process of smoking, salting, cooking, pickling, drying or a combination of any of those processes); and,
  •  the date of minimum durability, where appropriate.

For a mixed product that consists of the same species but which has been derived from different production methods, the method for each batch shall be stated. Where the mixed product consists of the same species but which has been derived from a variety of catch areas or fish–farming countries, at least the area of the batch which is most representative in terms of quantity shall be stated, together with an indication that the products also come from different catch or fish-farming areas.

Catch area

The regulation also lays down origin labelling rules for the indication of the catch or production area. In the case of fishery products caught at sea, it says that the label should state the name in writing of the sub-area or division listed in the FAO fishing areas, as well as the name of this zone “expressed in terms understandable to the consumer, or a map or pictogram showing that zone.” However, a waiver clause, allows labels to give the bigger FAO fishing area, as long as fish were not caught in the Northeast Atlantic (FAO Fishing Area 27) and Mediterranean and Black Sea (FAO Fishing Area 37).

Labelling on aquaculture products, should state the Member State or third country in which the product reached more than half of its final weight or stayed for more than half of the rearing period or, in the case of shellfish, underwent a final rearing or cultivation stage of at least six months.

Additional voluntary information

In addition to the mandatory information Article 39 allows labelling to give other information on a voluntary basis, provided that it is clear and unambiguous. This can be:

  • date of catch of fishery products or the date of harvest of aquaculture products;
  • the date of landing of fishery products or information on the port at which the products were landed;
  •  more detailed information on the type of fishing gear, for example Danish seines, pelagic pair trawls or driftnets;
  • in the case of fishery products caught at sea, details of the flag State of the vessel that caught those products; environmental information;
  • information of an ethical or social nature;
  • {information on production techniques and practices; and,
  •  information on the nutritional content of the product.

However, the regulation makes clear that voluntary information shall not be displayed to the detriment of the space available for mandatory information on the marking or labelling. It also states that no voluntary information shall be included that cannot be verified.

To prevent fraud between different fish species especially with cheaper species being substituted for more expensive ones, the regulation provides for DNA testing and other techniques to be used. “For the purpose of consumer protection, competent national authorities responsible for monitoring and enforcing the fulfilment of the obligations laid down in this Regulation should make full use of available technology, including DNA-testing, in order to deter operators from falsely labelling catches,” a recital states.

Ecolabelling

A key aim of the CFP overhaul was to ensure sustainable fisheries, yet the new labelling provisions do not include eco-labelling.

A standard EU eco-labelling scheme for fish could come later as the regulation acknowledges, “The use of an eco-label for fishery and aquaculture products, whether or not they originate from inside or outside the Union, offers the possibility of providing clear information on the ecological sustainability of such products.”

The regulation adds, “It is therefore necessary for the Commission to examine the possibility of developing and establishing minimum criteria for the development of a Union-wide eco-label for fishery and aquaculture products.”

Article 36 also states, “After consulting Member States and stakeholders, the Commission shall, by 1 January 2015, submit to the European Parliament and to the Council a feasibility report on options for an eco-label scheme for fishery and aquaculture products, in particular on establishing such a scheme on a Union-wide basis and on setting minimum requirements for the use by Member States of a Union eco-label.”

Assisting PNG with the EU's "yellow card" in terms of IUU fishing by Francisco Blaha

In June the EU (via DG Mare) enacted two decisions (2014/C 185/02 and 03) warning the Philippines and Papua New Guinea that they risk being identified as countries it considers non-cooperative in the fight against illegal, unreported and unregulated (IUU) fishing.

The decision highlights that these countries (in the EU view) are not doing enough to fight illegal fishing. It identifies concrete shortcomings, such as lack of system of sanctions to deter IUU activities or lack of actions to address deficiencies in monitoring, controlling and surveillance of fisheries.

The decision does not, at this stage, entail any measures affecting trade. Both countries are being given a 'yellow card' warning and a reasonable time to respond and take measures to rectify the situation. The Commission has also proposed an action plan for each country to address the shortcomings. Should the situation not improve within six months, the EU could take further steps, which could entail trade sanctions on fisheries imports, as was done recently with Guinea, Belize and Cambodia (IP/14/304).

The decisions follow a long period of informal discussions with the countries in question since 2012. A formal procedure of dialogue with these countries to resolve the identified issues and implement the necessary action plans will now take place.

And as it happens in these cases there is a bigger and longer history behind… PNG and the Philippines have been “fishing bedfellows” for a while now, hence both had to be in the spotlight even if Philippines carries a much bigger “fault” on this than PNG, said so… they have been quite complacent too.

PNG has a big EEZ and the northern waters are very good tuna fishing grounds, Purse seining is by far the most significant fishery accounting for 98% of the total tuna catch (over 700,000 tons). Not surprisingly, PNG has an established onshore tuna processing industry with four companies in three locations, these plants collectively employ more than 8,000 workers as well as generating further upstream and downstream benefits.

PNG is an ACP (Africa, Caribbean and the Pacific) country, and as such has tariff free access to the EU market under the Cotonou Agreement. Duty free access to the EU market, coupled with the recent Rules of Origin relaxation under global sourcing provisions, enables PNG to compete against lower cost sites of production for exports to the EU.

Picture by my brother Hugh Walton (actually!)

Picture by my brother Hugh Walton (actually!)

Philippine companies were clever and over 12 years ago took an early advantage of this opportunity, and diverted much of its processing capacity and fleet to PNG. And it paid off… (but they took a big gamble, PNG is not an easy place).

In parallel, during 1998/99 (my fist time there under a ADB programme), PNG itself came up with a new operating model for its fisheries authority, instead of the usual ministry/department that get its (normally pathetic) operating funds from the Ministry of Finance/Treasury, PNG created a independent National Fisheries Authority, who directly collects all fisheries related revenues, covers it budget and then passes the surplus funds to treasury (a brilliant move). This reform was lead by  through a team of mainly national experts including PNG's own Blaise Kuemlangan at FAO, led by then Secretary for Fisheries Joseph Gabut, who reviewed the outdated 1978 Fisheries Law in 1992/93 and legislatively incorporated the NFA through the Fisheries Management Act of 1994.  The 1994 Act was later reviewed, repealed and replaced by the 1998 Fisheries Management Act.  The latter Act did give additional powers to NFA but most of what you see in the Fisheries Management Act of 1998 was already there in the Fisheries Management Act of 1994.

Fisheries related income exploded, and as a consequence NFA has been the best funded Fisheries Authority I ever worked with… but as we seen before (not only in fisheries) economical expansion and growth need to be accompanied by a parallel development on controls and transparency… and that has not been the case.

In 2013, of the 259 purse-seine vessels authorised to fish and land in PNG, only 15 were PNG-flagged, 43 were PNG-chartered (domestic-based mostly Philippine flagged vessels) and 201 were foreign vessels fishing under access agreements. Imagine the difficulties arising of managing and controlling such a fishery… particularly when you have various different access agreements and the pressures that DWFN (with not regards for transparency) can exert.

At the same Spanish based tuna industry did not like much all this tuna catching and processing explosion, because they rely on foreign caught whole tuna that they could process there and make add value, hence having that tuna caught and process by the competitors in other places that allowed them enter duty free their market wasn't part of the idea. They have been on each other case for years now.

With the introduction of the EU IUU regulation and Catch Certification Scheme the EU closed its market to fish that cannot be proven to come legal origins, and that is exclusive responsibility is from the “Flag State” for validate the certificates saying that fish was legally caught… so from that perspective PNG only should deal with the landings of its “own” 15 vessels, but at the same time deal with tons of certificates provided by other countries and deal with “processing and non processing statements” over these Catch certs.

But the EU points that “The PNG authorities confirmed their awareness that information on catch certificates issued by flag States for fish directly landed in PNG for processing are regularly incorrect. This incorrect information in catch certificates is mainly due to the fact that PNG authorities do not share data available to them, in particular Vessel Monitoring Scheme (VMS) and landing declarations, with the flag State, and not even in cases where irregularities are established. Consequently, the flag State authority has to base its catch certificates on the information available to it, which may be incomplete, incorrect and not verifiable. PNG authorities however sign processing statements in full awareness that the catch certificates issued for the catch processed in PNG are incorrect.”

Now this has a few readings: on one side, if the other nations do not have the “the information available to it, which may be incomplete, incorrect and not verifiable” how come they validate their certificates?  They should just not do it until they get the necessary Information. Furthermore, under which authority does PNG becomes a “police man” type role where it becomes its responsibility to question the “legality” of these other countries certificates.

Now this does not exonerates PNG of responsibilities under Port State Measures and is very clear as well that they have not lived up to their own required standards in terms MCS and licensing arrangements, where lack of transparency and clarity leads to a confusing situation particularly with their bilateral arrangements as ‘special conditions’ are applicable to approximately 80 % of PNG fishing licenses.

So my job here is to support capacity building of the NFA personal that way strengthen its role to satisfy their international obligations and the EU objections

this is reality here, not a show for turists

this is reality here, not a show for turists

Further Context 

In parallel to all this, PNG is going trough a resources explosion bonanza… gas, oil, mining, and so on are fuelling the economy to an incredible pace, and with that the issues of transparency and the dripping down effect of wealth are major… add that the country pretty much went from a completely fragmented tribal structure to a full independent nationhood in a period of less that 100 years. Politics are quite complex here (a year ago the country had 2 parallel governments at once!). Infrastructure is very basic on one side and completely out there on the other (I have seen here the biggest helicopters ever!)

And you don’t have to dig deep to find that clan structure and traditional believes to still very present, almost in your face, (if you are a good observer) along the latest mobile phones, late model Land Cruisers, fully fenced compounds, great smiles and full on in your face violence and danger.

I’m not even mention the untouched beauty of some of the places and the difficulties of making a nation with over 700 distinctive languages.

I never worked anywhere as challenging and fascinating as PNG, and after so many years I come to work with friends. Yes they have many issues, but they are doing what they can with the same right to make mistakes the rest of the world had over 1000 years without punishing scrutiny. 

 Disclaimer 

 The EU made a game changer with IUU Catch Certificate and the IUU regulation, with all it intrinsic failures it requires countries to upgrade their fisheries control systems and that is a good thing, we just need to make the system better and more fair. Furthermore, while the EU put the rules (beyond how good they are) they also put the assistance to the countries. I'm here  via funds from the NZ government and a EU funded programme.