MercoPress. South Atlantic News Agency

Fisheries News.

Headlines: Chile leads in farmed salmon production; EC calls for closures in some fishing grounds; South Africa grants large pelagic rights locally; N Z seafood industry thankful for additional quotas; Chilean salmon industry acquires Norwegian laboratory; Fishmeal and Fish Oil landings of 15.3 million tons; RCEP calls for fishing species protection in UK.

Chile leads in farmed salmon production

Chile expects to end 2004 as the world's leading producer of farmed salmon with 36% of the global market according to Chilean government and private sources. "If production tendency remains stable, we should end 2004 just above Norway the leading producer at the moment", said a source from the Chilean Fisheries Department. However in 2005, Chile will be leading, since the Chilean salmon industry is expanding 20% annually, while Norway will be involved in costs adjustments. Between January and October, Chile's salmon exports reached 276,285 tons equivalent to 1,12 billion US dollars. Japan and United States are the main markets absorbing almost 75% of exports. In 2002 Chile almost became the world's leading producer with 506,000 tons compared to the 530,000 tons of Norway. In 2003 production dropped because a slump in prices forced a contraction in exports. However Rodrigo Infante, Salmon-Chile CEO is rather cautious and believes it's too soon to consider the competition in 2004 will be won by Chile. Furthermore, there's growing concern with a request to the European Commission from Irish and Scottish salmon farmers to limit imports from outside the EU or establish safeguards. They are proposing a specific "dumping" claim against Norway, which could easily become extensive to Chile. The Chilean salmon industry has boomed in two decades, becoming one of the world's top exporters together with Norway, Scotland and Canada. Good environment conditions such as the ideal water temperature but also local know-how and excellent management have achieved one of the most dynamic industries of the country. Salmon farmers however are not entirely satisfied because farms have developed on concessions extended by the government which limits access to credit since they can't be used as collateral.(MP)

EC calls for closures in some fishing grounds

In releasing its proposed total allowable catches (TACs) for 2005, the European Commission (EC) said that its mission was to replenish depleted stocks and protect healthy populations, as well as considering the economic needs of the fishing industry. Thus, the EC not only garnered advice from scientific advisory panels, but paid close attention to recommendations issued by industry stakeholders. The biggest cuts came last month when the EC proposed measures to safeguard deep-sea species. For other species such as cod in the North Sea, Kattegat, Skarregak, the eastern English Channel, the west of Scotland, and the Irish Sea, the EC called for further restrictions including fishing bans in certain areas. For those stocks where recovery plans are underway, the EC called for specifically tailored TACs and other measures to boost recovery. For mixed fisheries, like the North Sea and the west of Scotland where haddock and whiting are caught with cod, the EC moved to protect depleted stocks. In all, 60% cuts have been proposed for herring catches in Skarregat and Kattegat, 34% for cod in Kattegat, and 51% for Atlantic salmon in part of the Baltic Sea. The EC Fisheries and Maritime Affairs Commissioner, Joe Borg, said that further measures were needed to protect weakened stocks, adding that the proposals were meant to strike a balance between stock recovery and the industry's economic viability. The EC proposed cuts in saithe, plaice, skate, common sole, and whiting in some fishing grounds, as well as a 14% slash in North Sea sandeel quotas and a 10% reduction in Norway lobster landings. The proposal also took stock of fish abundance in certain areas by recommending a 61% in whiting landings in some zones, as well as rises in hake, blue whiting, and haddock in others. Included in the proposal are a number of measures to heighten port controls and cut the number of days in fishing grounds like the west of Scotland, where cod stocks are down to alarming levels. The EC recommendations, which are less stringent than those proposed by the International Council for the Exploration of the Sea (ICES) and the EC scientific committee, will be reviewed by European Union fisheries ministers in Brussels before the end of the year. (FIS/MP).-

South Africa grants large pelagic rights locally

The South Africa Department of Environmental Affairs and Tourism (DEAT) has granted longline fishing rights for tuna and swordfish to local fishers, thus fulfilling its commitment to establish a truly South African fishery to exploit their own valuable large pelagic fish industry. The licence grants, issued 7 December for a 10-year period, are the result of almost two years of negotiations and policy changes, upon the expiration in early 2003 of previous licences held by foreign fishers which was followed by the decision to establish a national pelagic fishery. This reworked policy led to the publication of the Policy for the Management and Allocation of Commercial Fishing Rights in the Large Pelagics (Tuna and Swordfish Longline Fishery), commonly referred to as "the large pelagics policy," in March 2004. The DEAT at that time issued an open invitation to apply for licences up until September of this year, and received 107 requests for licences, of which 69 were for tuna and 38 for swordfish. Selection was made according to criteria which included participation in an experimental pelagic fishery programme, sources of funding for the fishery, nationality of the crew, marketing strategies, among other considerations. Preferential allocation was granted to those that employed mostly South African resources. The DEAT granted 26 of the 50 available licences, 12 for pelagic tuna and 14 swordfish longline fishing. Each licence will be valid for a 10-year period. All the companies granted permits are South African owned, with 92% of the selected applicants for tuna and 78.6% of the selected applicants for swordfish being owned by so-called Historically Disadvantaged People. Applicants were issued letters informing them of the DEAT decision and its assessment of their application request. (FIS/MP).

N Z seafood industry thankful for additional quotas

New Zealand Seafood Industry Council (SeaFIC) expressed its satisfaction over the Cabinet's decision to grant tuna fisheries an additional 7 million US dollars worth of additional quotas for five by-catch species. The measure aims to compensate for a gap between the catch history period for catches taken as a reference to establish quotas for of by-catch species and tuna quotas. The species included in the additional quota package are blue shark (Prionace glauca), mako shark (Isurus oxyrinchus), moonfish (Lampris guttatus), porbeagle shark (Lamna nasus), and ray's bream (Brama brama). Swordfish (Xiphias gladius), also a frequent by-catch species, was left out of the list. SeaFIC CEO, Owen Symmans stated in a press release issued 7 December that "The industry is appreciative of the government's action and it will provide certainty and a framework that will allow fishers to get on and make the best commercial decisions for their business." He later added that fishers "have been left in limbo until now, as they have not known how they would manage the by-catch species which are caught as part of the normal tuna fishing operation." Mr. Symmans concluded "some fishers will be disappointed that swordfish had not been allocated on the same basis, but all in all, the government move will provide an opportunity for the industry to move forward." The additional individual quotas will be allocated early next year to fisheries that participated in the tuna catch history years of 1999 to 2002 and reported catching these five species. No fees will be required for this allocation. (FIS/MP).-

Chilean salmon industry acquires Norwegian laboratory

Several Chilean shareholders, owning 50% of the salmon company AquaChile acquired Pharmaq AS, a Norwegian high-tech company specialized in the production of vaccines for aquatic species farmed in 14 countries. In association with managers of the purchased company, the Chilean stakeholders Juan Carlos Puchi, Víctor Hugo Puchi, Mario Puchi and Pablo Aguilera have, for the first time invested Chilean capital in Norway. Pharmaq AS (formerly Alpharma) has been in the market for 30 years, and boasts an infrastructure which includes laboratories and vaccine production facilities, providing employment to 80 people. Before the consolidation of the acquisition, Chilean stakeholders feared that the Norwegian vaccine company could be acquired by one of the other two global competitors within the sector, which would have reduced its technologic and development dynamism regarding this specific product. The transaction will benefit the Chilean industry and "boost the strategic position of the salmon market" said Víctor Hugo Puchi in a statement to El Mercurio, announcing the acquisition of the Norwegian company through the Forestal Patagonia (FORPA) group's investment holding. Mr. Puchi also pointed out that the fact executives from both companies have become partners will be helpful for the exchange of information and experience. "Chile faces the huge challenge of duplicating the successful Norwegian experience by reducing substantially the use of antibiotics, thus reducing the mortality rate, production costs and ensuring the sustainability of the industry", said Mr. Pucci. Currently, Pharmaq AS has many Chilean salmon companies as clients, including AquaChile. (FIS/MP).-

Fishmeal and Fish Oil landings of 15.3 million tons

Participants at the recent annual conference of the International Fishmeal and Fish Oil Organisation (IFFO) agreed that growing controls on a limited primary resource placed fish feed and oil producers in a scarcity-driven market. They were also concerned about global trade barriers, chiefly from Europe. The IFFO-5 sector is made up of Peru, Chile, Norway, Iceland, and Denmark, which accounts for 55% of the world's fishmeal production. Landings are estimated at 25% over the volume landed in 2003, though slightly below the 15.5 million-tons average for 1999-2003, according to a December 3 IFFO press release. Total IFFO-5 exports should hit 2.7 million tonnes despite adverse freight conditions affecting trade. Pegged at around 1.3 million tonnes, exports to Asia's three largest markets (China, Japan, and Taiwan) accounted for 48% of exports, with shipments to China beating past records with 800,000 tonnes. The European Union (EU) ban on fishmeal in ruminant and in feeds, however, hit hard on shipments to the EU, which are forecast at 600,000 tonnes for 2004, down 350,000 tonnes from 2000. Fishmeal production output from the IFFO-5 sector should reach 3.4 million tonnes by the end of 2004, and fish oil production should be in the order of 640,000 tonnes. Fishmeal output is deemed average, while fish oil production is up from 2003 by 20%. For 2005, the IFFO-5 sector is expected to land 13.9 million tonnes. This early prediction would represent a 13.9% decrease from 2004 and a 10% drop from the 1999-2003 average. During discussions on sustainable fisheries, IFFO reaffirmed its commitment to responsible management and said that it would evaluate appropriate strategies to deal with the issue. Participants at the conference also stressed the need to tap into additional value niche markets for nutritional supplements, health foods, and specialty animal feed products. With members and associates in 35 countries, IFFO accounts for nearly two-thirds of the world's fishmeal production and 95% of fishmeal exports. (FIS/MP).-

RCEP calls for fishing species protection in UK

The Royal Commission on Environmental Pollution (RCEP) has pronounced itself in favour of more strident measures to preserve some fish species endangered by over-exploitation. Although Scottish cod fisheries have already been subjected to two rounds of fleet decommissions in recent years and must comply with strict quotas and restrictions on days spent at sea, the RCEP claims these efforts have not been enough to protect cod stocks. The RCEP is calling for marine reserves to be established to preserve cod populations hoping that this will lead to an increase in the number and size of the fish, according to the BBC. Scottish Fisheries Minister Ross Finnie has already responded to these proposals by pledging to oppose further restrictions, stating that the "evidence provided by the commission's own scientific advisers suggests that the case for such a closed area has not been made." The North Sea Regional Advisory Council (NSRAC) has also opposed these proposals by preparing a counterproposal. according to a Scottish Fishermen's Federation spokesperson, "this will be the [NS]RACs own first initiative opinion and it will be important to ensure that it is taken seriously by the commission." This RCEP statement follows several other studies, including an International Council for the Exploration of the Sea (ICES) report, and statements by European scientist proposing several measures to restore cod stocks, some of which have even called for a total ban on cod fishing in the North Sea, the Irish Sea, and off the west coast of Scotland. It also precedes the three key summits of the Environmental Council, the Agriculture and Fisheries Council, and the European Council, to take place in Brussels, Belgium starting 17 December. (FIS/MP).-