Nation.lk - 01/02/2015
Sri Lanka is likely to lose an estimated US$ 100 million annually due to the recently imposed ban on fish exports from Sri Lanka to the European Union (EU), a local think tank said last week.Executive Director, Institute of Policy Studies (IPS), Dr. Saman Kelegama addressing the 20th Annual General Meeting (AGM) of the National Chamber of Exporters (NCE) stated that Sri Lanka had earned US$ 94 million in 2013 by exporting 7,400 tons of fish, but the amount was projected to increase this year. The ban was put in place as Sri Lanka had not taken effective measures to tackle illegal, unreported and unregulated (IUU) fishing. However, a top official from the Export Development Board, Sri Lanka’s apex organization for the promotion and development of exports said they were yet to estimate the loss resulting from the ban imposed on Sri Lanka by the European Commission (EC).
According to Director General of the Export Development Board (EDB) Sujatha Weerakoon, the impact of the ban on the sector cannot be estimated yet as the ban was imposed recently. “I cannot say what loss or affect it will have on the fisheries as well as the export sector without analyzing the situation,” she said. However, she went on to say it is sure to affect the exporters as most fisheries exports are sent to the European Union (EU). According to her, while EDB does not have a part to play in getting the ban lifted she said that authorities must continue with discussions and do the needful to ensure conditions set by the EC are adhered to.
Speaking to The Nation Gain Roshan Fernando, Managing Director of Tropic Fisheries and President of the Seafood Exporters Association of Sri Lanka said the ban has adversely affected the sector adding that due to the ban around two million workers linked the to the sector will also suffer as a consequence.
“There are 37 companies registered in the association all of whom export mainly to the EU,” he said adding that they have not calculated the possible loss yet as they were hoping the ban would be postponed.
According to him, having exported to the EU for over 30 years moving to an alternate market will be a Herculean task. While 70 percent of fisheries produce is exported to the EU according to Fernando exporters are not able to maintain the prices they have been paying local fisherman.
When asked as to why EC regulations were not adhered to he said while the Association has always extended its support to the government controlling the fleet and situation was the responsibility of the Department of Fisheries. Also speaking to The Nation Gain, Janaka Perera, Managing Director of Power Freight Pvt. Ltd, a fisheries exporter said in order to continue trade some companies are attempting to operate the business from the Maldives but are, in return, suffering massive losses. “Some are looking towards Russia and China as alternative markets, however as they are new markets we will not be able to earn a profit,” he said adding that these countries are not willing to pay premium price for the produce. He also went on to say that as a result of the ban most fishermen have reduced or stopped fishing altogether.
The proposal to impose the ban was revealed in October last year where the Ministry of Fisheries and Aquatic Resources under the previous Government pledged to address the issue and ensure Sri Lanka meets the EU requirements. However, the EU imposed the ban on the importation of Sri Lankan fisheries as the country had failed to keep to its pledge.
The EU had imposed the ban after Sri Lanka continued to violate international regulations on deep-sea fishing. Sri Lanka is the second biggest exporter of fresh and chilled swordfish and tuna to the EU with Euro 74 million of imports in 2013. While under the previous government, Sri Lanka was given time to remedy the situation before the ban took effect this month, the government had failed to meet the requirements.
The European Commission, however, has offered Sri Lanka assistance to meet regulatory requirements for an early lifting of the ban on fish exports to the EU, the Sri Lankan foreign ministry said Thursday.
Sri Lanka is likely to lose an estimated US$ 100 million annually due to the recently imposed ban on fish exports from Sri Lanka to the European Union (EU), a local think tank said last week.Executive Director, Institute of Policy Studies (IPS), Dr. Saman Kelegama addressing the 20th Annual General Meeting (AGM) of the National Chamber of Exporters (NCE) stated that Sri Lanka had earned US$ 94 million in 2013 by exporting 7,400 tons of fish, but the amount was projected to increase this year. The ban was put in place as Sri Lanka had not taken effective measures to tackle illegal, unreported and unregulated (IUU) fishing. However, a top official from the Export Development Board, Sri Lanka’s apex organization for the promotion and development of exports said they were yet to estimate the loss resulting from the ban imposed on Sri Lanka by the European Commission (EC).
According to Director General of the Export Development Board (EDB) Sujatha Weerakoon, the impact of the ban on the sector cannot be estimated yet as the ban was imposed recently. “I cannot say what loss or affect it will have on the fisheries as well as the export sector without analyzing the situation,” she said. However, she went on to say it is sure to affect the exporters as most fisheries exports are sent to the European Union (EU). According to her, while EDB does not have a part to play in getting the ban lifted she said that authorities must continue with discussions and do the needful to ensure conditions set by the EC are adhered to.
Speaking to The Nation Gain Roshan Fernando, Managing Director of Tropic Fisheries and President of the Seafood Exporters Association of Sri Lanka said the ban has adversely affected the sector adding that due to the ban around two million workers linked the to the sector will also suffer as a consequence.
“There are 37 companies registered in the association all of whom export mainly to the EU,” he said adding that they have not calculated the possible loss yet as they were hoping the ban would be postponed.
According to him, having exported to the EU for over 30 years moving to an alternate market will be a Herculean task. While 70 percent of fisheries produce is exported to the EU according to Fernando exporters are not able to maintain the prices they have been paying local fisherman.
When asked as to why EC regulations were not adhered to he said while the Association has always extended its support to the government controlling the fleet and situation was the responsibility of the Department of Fisheries. Also speaking to The Nation Gain, Janaka Perera, Managing Director of Power Freight Pvt. Ltd, a fisheries exporter said in order to continue trade some companies are attempting to operate the business from the Maldives but are, in return, suffering massive losses. “Some are looking towards Russia and China as alternative markets, however as they are new markets we will not be able to earn a profit,” he said adding that these countries are not willing to pay premium price for the produce. He also went on to say that as a result of the ban most fishermen have reduced or stopped fishing altogether.
The proposal to impose the ban was revealed in October last year where the Ministry of Fisheries and Aquatic Resources under the previous Government pledged to address the issue and ensure Sri Lanka meets the EU requirements. However, the EU imposed the ban on the importation of Sri Lankan fisheries as the country had failed to keep to its pledge.
The EU had imposed the ban after Sri Lanka continued to violate international regulations on deep-sea fishing. Sri Lanka is the second biggest exporter of fresh and chilled swordfish and tuna to the EU with Euro 74 million of imports in 2013. While under the previous government, Sri Lanka was given time to remedy the situation before the ban took effect this month, the government had failed to meet the requirements.
The European Commission, however, has offered Sri Lanka assistance to meet regulatory requirements for an early lifting of the ban on fish exports to the EU, the Sri Lankan foreign ministry said Thursday.
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