PACIFIC TUNA FORUM. 13 th -14 th September 2017 Port Moresby PNG
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1 PACIFIC TUNA FORUM 13 th -14 th September 2017 Port Moresby PNG
2 Title Current Investment Opportunities in Solomon Islands Tuna Fisheries Sector
3 Outline of Presentation 1.Background Information 2.Some Recent Developments in the SI Domestic Tuna Industry 3.Governance (support mechanism) 4.Fisheries Development Policies 5.Opportunities for Investment 6.Conclusion
4 Brief Background Solomon Islands has the longest history in the Pacific in terms of industrialization and domestication of its tuna industry It has fully localized domestic purse seine and pole-n-line fleet Has onshore investments (eg cannery employments,) A growing by-catch industry developed largely by women (utilizing bycatch from industrial bycatch)
5 Recent Developments in the Domestic Tuna Industry---Highlights As part of PNA commitment, Solomon Islands in 2017 implemented the LLVDS where the longline fishery is managed under the VDS. In-line with this policy vessels licensed to fish in its waters are currently being fitted with EM/ER equipment NFD the premier domestic fishing company is adding two large purse seiners to its fleet These are locally flagged and will fish under the FSM A arrangement. The additions means stability and increased supply of raw materials for the local factory Three locally flagged SSI purse seiners currently fishing under FSM A have now acquire EU export accreditation # meaning they can now contribute to supplying the local cannery whose export are mainly to the EU NFD is planning on building a new 4,000 ton cold storage to ensure increased and stability of canning materials for the domestic cannery. Arrangement underway with SI Ports Authority, NFD and Maersk (the container giant) for Noro port to be a loading hub for both LL and PS vessels. Negotiations is underway in Bina, Malaita for land to establish a second tuna cannery there
6 Governance The Ministry of Fisheries & Marine Resources continues to be recognized as the Competent Authority under the EU-IUU regulation (in Solomon Islands) after successfully fulfilling conditions that resulted in lifting of the yellow-card (early this year) Successful uplift of yellow card demonstrate a vote of confidence in terms of capacity building and institutional strengthening in the Ministry Solomon Is has a new Off-shore regulation (FMR, 2017) a better fisheries management tool to effectively address IUU fishing and fisheries management in general MFMR is undergoing a restructure with the assistance from government of New Zealand to ensure the organization is structurally fit for purpose Implementation of LLVDS (as previously mentioned) is consistent with our belief that zone based management (as with the case of PS VDS) is the right way to creating a wellmanaged fishery.
7 Fisheries Development Policies Current government Policy aggressively calls for onshore development specifically creation of 1-2 tuna more canneries to create more employment opportunities. Current government policy supports small scale commercial fishers to increase income through establishment of the CFCs. CFCs to be upgraded as conduits in the supply chain for the fresh chilled export market involving reef-fish, nearshore pelagics and tuna. Fisheries Policy for creation of hub(s) national, regional or combined to support export of fresh chilled product. (therefore expanding base for fisher participation) MFMR working with UNIDO to develop framework for making hubs viable
8 Investment Opportunities In-line with government policies: Investment opportunities exist for investment in canning plants (1-2) Bina site in Malaita currently under preparation (looking for investors) Investment in hubs as processors for high valued/value adding products Related industry-fishing waste management
9 Advantage of Investing in Solomon Islands: 1) Low labour cost 2) Available supply of labour 3) Close access to raw materials 4) Government support in terms of tax rebates 5) Market access under ROO (EU market) 6) Global sourcing under IEPA.(EU market)-si Acceding 7) Revision of taxation laws 8) Solomon Islands a member of PNA and FFA to leverage support your interest Disadvantages 1) Irregular supply of canning materials down time (compensated through IEPA-global sourcing)
10 Conclusion Solomon Islands development aspiration as manifested in its development policy is to further expand its tuna industry. Opportunity does exist for would be investors to be part of our team to realize this aspiration.
11 END
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