KARACHI, Sept 27: The operations of majority of deep sea fishing trawlers have come to a standstill due to refusal of Ministry of Food and Agriculture and Livestock (MINFAL) in renewing the already granted three years fishing licences to Korean and Chinese trawler operators.
Out of 15 deep sea fishing trawlers — only two trawlers — Dan Yuan 007 and Dan Yuan 008 are busy in the deep sea, while the licences of 13 trawlers have lapsed after the refusal of MINFAL to renew it. These two Chinese trawlers would operating till the validity of their licence, ending December this year.
“The government functionaries dilly-dallying tactics in renewing the licences has put over $50 million direct investment by Korean and Chinese deep sea fishing trawlers at stake,” member of the Deep Sea Fishing Trawlers Operators Association (DSFTOA), Kamran Hameed told Dawn on Saturday.
He said 15 trawlers— eight belong to South Korea while seven hail from China— conduct deep sea fishing in collaboration with Pakistani partners. “We have knocked all the doors of the government in the last three months but the matter is yet to be resolved,” he added.
The Korean and Chinese Ambassadors have taken up the matter with the government last one month, but to no avail, he added.
DSFTOA chairman Brig (retd) M.H. Atif in a meeting last week brought the whole issue to Prime Minister Mir Zafarullah Khan Jamali notice. He issued orders to MINFAL for early renewal of licence, but, despite a reminder to the prime minister secretariat, nothing has happened since then.
“The foreign companies, I am afraid, may leave Pakistan if this deliberate delay continues, which will result in loss of millions of dollars investment,” he said in a reminder to the prime minister.
In another reminder, he said the delay would have diplomatic repercussions as the foreign investor would lose confidence. Friendly nations like China and Korea would be offended because their private sector firms came with the investment for at least three years as per letter of intent issued by the MINFAL.
“Delay in renewal of licence of foreign trawlers is against the national interest and will cause total collapse of Pakistan’s deep sea fishing sector, resulting in loss of millions of rupees in taxes to the government and in millions of dollars in foreign exchange savings,” the letter said.
Pakistan deep sea sector started functioning a year ago and despite adverse economic conditions local partners managed to sign 15 joint ventures with Korean and Chinese partners.
In a letter to the president Pervez Musharraf, the association chief said that Pakistan, which had regained its lost reputation in the business world, would again lose its credibility if the Koreans and Chinese parties are forced to roll back their fishing trawlers due to ministry’s refusal to renew granted fishing licences.
Kamran Hameed, also an ex-chief of DSFTOA, recalled that two Chinese trawler operators have already left Pakistan in August 2002 after facing problems with the MINFAL and other departments.
“The association is now waiting for the President Musharraf to return and would make a final effort to discuss the matter with him hopefully in the next week,” he said.
Foreign trawlers, usually operate in the exclusive economic zone from 12-35 nautical miles of the sea and each vessel, having a capacity of 150-250 gross registered tonnage, has a fish hold capacity of 40-70 tons.
The name of the Korean companies vessels are — Suriya 11, 12, 15, 16, 17, 18, 23 and KM6. Shanghai Fishing of China has five trawlers while Duan Yuan operate two vessels in the country’s deep sea.
In the last 15 months, fish catch from deep sea stood at 5,700 tons which was mainly exported to China and Korea, while No.1 quality was shipped to Japan. A foreign trawler usually carries 20 Pakistani crew and five foreign persons. Pakistani crew get the salary of Rs8,000, while a foreigner earns $500 per month, besides thousands of people are engaged directly and indirectly through the deep sea fishing activities.
The operation of these vessels on an average contribute $1.5 million per year in direct taxes to the government in shape of royalties, licence fees, export cess, etc., and is a major contributor to the development and maintenance of the Korangi Fish Harbour, which has been built for the deep sea fishing purpose at a cost of $100 million.
According to the clause 5 of the letter of intent (LoI), licence issued would be valid for a period of three years but would be renewed annually on payment of requisite fee. Default in renewal of the licence will result in its cancellation. The licence fee would be same for a year or any part thereof.
Kamran claimed that all the catch is meant for export only and so far no export consignment has been rejected. “When there is no report of violation or any other problem, it is strange on the part of MINFAL that is bent upon creating hurdles in deep sea fishing activities,” he said.
