Fishing rebates bad for country: Scovell

PAPUA New Guinea Manufacturers Council chief executive officer Chey Scovell says giving rebates for fishing is bad for the country.
Following a Government directive in 2017, a new rebate scheme had come into effect which saw tuna processors in PNG receiving US$400 (K1,398) for every metric tonne caught and processed.
This was part of the Government’s attempts to persuade foreign-owned vessels to process their catches from PNG waters at local facilities.
Scovell told The National that it was a big deal when the benefit was shifted to encourage processing but the issue now was the way in which the National Fisheries Authority (NFA) had steered investment.
“By pushing it into Lae and not taking charge of the PMIZ (Pacific Marine Industrial Zone) has also had a negative impact,” he said.
“We’ve seen one operator in Lae largely control fish supply, an inadequate supply that has seen large investments in processing and canning sit idle to the lack of fish or cost for getting it over a competitors wharf.” Scovell, however, said with the increase in domestic production, they had seen a large increase in wages but a moderate increase in employment.
“If the Government finalise its planned changes on investment and access to leases on land, we will see more investment,” he said.
“We might finally see a can maker and a styrofoam manufacturer etc.
“Both of which will be a big boost to our agriculture sector as well.”
Meanwhile, the country achieved 23 per cent downstream processing and is on its way of achieving 50 per cent by 2025, according to the NFA managing director John Kasu.