The PNG Investors' Manual

Page 57

PNG’S KEY INDUSTRIAL SECTORS

4.7 Fisheries

PNG exports tuna-based products to the EU under an Economic Partnership Agreement that gives it tariff-free access to the EU trading zone.

4.7.1 Industry snapshot The waters around PNG contain large stocks of marine resources. Within its 2.4 million square kilometre exclusive economic zone are large varieties of fish including, most importantly, migrating schools of tuna. Besides abundant tuna and other pelagic species, several other commercially important fish, shellfish, and sedentary species are found in PNG’s waters. More than 10,000 species of fish, molluscs and crustaceans have so far been identified. Coastal commercial fishing is based primarily on prawns, lobster and baramundi and a collection of sedentary fisheries resources, including beche-de-mer, trochus shells, pearl shell and green snail. The operations are carried out by small-scale commercial fishermen, who sell their product to a range of small-to-medium-sized fish processing and marketing entrepreneurs. Sea cucumber is collected and processed for export. The trade in shells with lustrous interiors is small, but growing. Domestic private investment in commercial fisheries in PNG is small. Inland fish production is still very much underdeveloped, but commercial farming of trout and carp has been undertaken by a few farmers in the Highlands region of the country. The PNG Government is exploring avenues for the privatisation of various aspects of its coastal fisheries programme. Private sector participation is to be promoted in the areas of handling, processing and marketing of marine products, craft construction, repairs and maintenance, engine sales and ice and fishing equipment sales. The Government is also playing a key role in the management of the fishing industry. The longterm sustainability of the resources and the environmental impact are the key factors for the long-term sustainability, growth and development of the fisheries sector. The major emphasis of the Government is the development of industrial and commercial fisheries which will help to provide the infrastructure and market necessary for small and medium scale fisheries development. The PNG Government is committed to encouraging more value-adding in the fisheries sector. PNG’s tuna processing is now a major employer in PNG, with processing plants located in Port Moresby, Lae and Madang.

4.7.2 Markets PNG is responsible for approximately 10% of the world’s tuna catch. According to Bank of PNG statistics, export income from marine products was K232.9 million (US$99.7 million) in 2009. Major destinations for PNG’s marine products include Hong Kong, Japan, Australia and the European Union (EU).

4.7.3 Governance and legislation The PNG National Fisheries Authority (NFA) is the primary regulatory and management body for the sector and it provides support and coordinates fishery development in the country. It also facilitates export certification and regulation and manages fisheries resources for sustainable growth. The NFA is a non-commercial statutory authority established in 2001 and operating under the Fisheries Management Act 1998 and related regulations. Its stated role is to regulate and oversee the development of the fisheries sector for maximum sustainable benefit for the people of PNG. The development of the PNG fisheries industry is guided by the NFA’s National Fisheries Corporate Plan, 2008–2012.

4.7.4 Licences and permits The following fisheries-related facilities require a licence to operate from the NFA: > Fishing vessels > Fish storage facilities/fish factories > Fish factories > Fish export facilities > Fish buyers > Trial fishing > Aquaculture. General Licence Information, a brochure stating the complete requirements for the various licence applications and fees, is available from the NFA. Vessel licence fees are dictated by the length of the vessel. Among other material, shore-based licences must be accompanied by: > a proposal/business plan (a Model Business Plan for Coastal Fishing can be obtained the NFA’s Licensing Unit) > endorsement from the Provincial Executive Council or Appointee of the Province where the facility will be situated > An NFA audit/inspection report from an Authorised Provincial Fisheries Officer (dry goods) or NFA Audit & Certification Officer (wet goods) > Plans and specifications for the facility. Among other material, new chartered locally-based foreign fishing vessel licence applications must be accompanied by:

THE PNG INVESTORS’ MANUAL - SECOND EDITION

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