Revenue from fishing to be put back into infrastructure

FISH-processing is expected to increase in the six fish factories around the country in coming weeks, says the Fishing Industry Association (FIA).
This was announced yesterday following an agreement reached between the FIA and the Government.
The agreement was for additional revenue earned from fish catches to be reinvested in infrastructure, and to support operational costs at these processing plants.
The FIA has previously raised concerns on how stopping discount fishing, under a new rebates scheme, was going to put them out of business.
“The decision to give rebates to processing facilities, and give vessel day scheme (VDS) refunds to domestic fleets, only for fish processing in PNG, is a step in the right direction and a confidence-booster,” it said in a statement.
“The cost of setting up and running a plant in Papua New Guinea is enormous.
“Removing our right to fish in in-zone waters, at prices authorised under legally-binding State agreements, would have put us out of business under the rebates scheme.
“We are pleased that the O’Neill Government understands the difficulties posed by this policy, and has intervened by providing the VDS refunds to support our operations.
“This intervention will ensure a constant supply of fish, and will lead to an increase in production at all our six processing plants in the country.
“We will also be able to employ more locals, especially women, on both full time and part time basis to support this production increase.
“Increased export of our products will boost export earnings and increase foreign exchange.”
The FIA estimated that the intervention by Government would boost production and associated benefits, lifting the sector’s contribution to overall economic growth by 4-6 per cent.