Lack of supply chain infrastructure affects fisheries firms


THE most basic issue faced by fisheries companies in the country is the lack of supply chain infrastructure, Majestic Seafood Corporation Ltd general manager Napoleon Benitez says.
Benitez said the other issues involved the cost of utilities which were higher than countries such as the Philippines and Thailand.
“Most of our raw materials, aside from fish, are imported for example tin cans. We have our own can manufacturing facilities but we bring in the tin plates from Indonesia. All of the processors are importing cans from countries like Thailand and the Philippines.”
Other costs include:

  • LABOUR – includes hiring, deployment and accommodation of technical staff;
  • WATER – cost of water supply is high due to the additional charges for sewerage and standby fees;
  • POWER – electricity supply is 10 times higher than Thailand. There is no coal in PNG so it had to be imported from Indonesia and Philippines.
  • SECURITY services – the law and order situation in PNG calls for more security guards to be at the plant to ensure the safety of the people and properties.

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