MIDTERM POLICY FRAMEWORK 2013-2016 For Fisheries Sector Development Ministry of Fisheries and Aquatic 1 Resources Development 2012 PURPOSE The Midterm Policy Framework 2013-2016 for Fisheries Sector Development presents an overview of the fisheries sector, reviews the implementation of the Fisheries Sector Development Strategy 2010-2013 (FSDS) and evaluates its outputs and outcome, identifies measures to address the issues and remove constraints encountered in implementation of FSDS, and widens the scope of FSDS to cover the period 2013-2016 in the context of Mahinda Chintana - Vision for the Future, the Development Policy Framework of the Government of Sri Lanka. 2 ABBREVIATIONS CFC – Ceylon Fisheries Corporation CFHC – Ceylon Fishery Harbours Corporation CITES – Convention on the Trade in Endangered Species CNFL – Cey-Nor Foundation Ltd DFAR – Department of Fisheries and Aquatic Resources FAO – Food and Agriculture Organization of the United Nations IOTC – Indian Ocean Tuna Commission IUU (Fishing) – Illegal, Unreported and Unregulated (Fishing) MFARD – Ministry of Fisheries and Aquatic Resources Development NAQDA – National Aquaculture Development Authority of Sri Lanka NARA – National Aquatic Resources Research & Development Agency NIFNE - National Institute of Fisheries and Nautical Engineering RFMO – Regional Fishery Management Organization 3 CONTENTS 1. THE FISHERIES SECTOR: AN OVERVIEW 1.1. 1.2. 1.3. Contribution to the National Economy Resource Base Government Institutions dealing with Fisheries 2. MIDTERM REVIEW OF THE IMPLEMENTATION OF THE FISHERIES SECTOR DEVELOPMENT STRATEGY 2010 – 2013 (FSDS) AND EVALUATION OF ITS OUTPUTS AND OUTCOMES 2.1. 2.2. Objectives of FSDS Outputs and Outcomes 2.2.1. Marine Fisheries 2.2.1.1. Production Targets 2.2.1.2. Interventions 2.2.2. Inland Fisheries & Aquaculture 2.2.2.1. Production Targets 2.2.2.2. Interventions 2.2.3. Midterm Progress of Achievements of National Fish Production Targets 2.2.4. Fish Marketing 2.2.5. Export Fisheries & Aquaculture 2.2.5.1. Production Systems 2.2.5.2. Midterm Progress 2.2.6. Fishing Community 2.2.6.1. Enhancement of Socio-Economic Status 3. ISSUES AND CONSTRAINTS ENCOUNTERED IN THE PROCESS OF IMPLEMENTATION OF FSDS 3.1. 3.2. 3.3. 3.4. 3.5. 3.6. Budgetary Allocations Marine Fisheries Inland Fisheries & Aquaculture Research Fish Marketing Fish Exports 4. ROADMAP 2013 – 2016 4.1. 4.2. 4.3. 4.4. 4.5. 4.6. 4.7. 4.8. Policy Directions Specific Objectives and Targets Major Issues and Constraints Strategies for Achievement of Objectives Research Implementation International Cooperation Investment 4 1. THE FISHERIES SECTOR: AN OVERVIEW 1.1. Contribution to the National Economy Fishing has been an important economic activity in the coastal areas of Sri Lanka since time immemorial. Fish has been the main source of animal protein for the masses throughout the history. Fisheries have also been a source of government revenue particularly during the colonial era. Fishing that had been confined to coastal waters prior to 1960s, has since then expanded over the offshore and deep-sea waters, and inland waters. Fisheries have also become a source of employment not only in the coastal belt of the country, but also in the inland reservoir districts. Fisheries also contribute to the national economy as a source of foreign exchange. The fisheries industry has over the years contributed on an average 1.2% to the GDP. It has provided employment both directly and indirectly to over 600,000 persons. The national fish production in 2011 was 444, 830 MT, comprising 385,270 MT of marine fish and 59,560 MT of inland fish. The country earned an amount of Rs. 21,876 million in foreign exchange in 2009 by exporting and fish and other fishery products. Fish contributes about 70 percent to the animal protein intake of the masses. National Fish Production 2011 (MT) Marine Coastal Offshore & deep-sea Sub-total Inland & Aquaculture Inland Fish aquaculture Shrimp aquaculture Sub-total Total Operational Fishing Fleet 2011 Marine 222,350 162,920 385,270 Multiday Single-day (with inboard engine) FRP (with outboard motor) Traditional modified with motor Traditional Sub-total 50,050 5,360 4,150 59,560 Inland 3,872 1,120 19,890 2,960 20,430 48,272 8,030 444,830 Medical authorities recommend an annual per-capita consumption of 22 kg of fish to satisfy the minimum requirement of animal protein for a person. With the objective of reaching this level of fish availability, the Ministry of Fisheries and Aquatic Resources Development envisages increasing the national fish production to 685,000 MT by 2013. This is an increase over 100 % compared to the 2009 level, which was 339,000 MT. MFARD also envisaged increasing fish exports to 36,000 MT by 2013 from a level of 18,000 MT in 2009 again an increase of 100 %. With the cessation of the three decade long civil war in the Northern and Eastern Provinces, rich fishery resources in those areas have become accessible and therefore achievement of these targets will not be difficult. The advent of peace has also increased the investors’ confidence and thereby the potential in private sector investments in fisheries. 5 1.2. Resource Base The marine fisheries resource base of Sri Lanka comprises a territorial sea of 21,500 sq km, an exclusive economic zone (EEZ) of 517,000 sq km, and lagoons and estuaries of 1580 sq km. The country also has an inland fisheries resource base of 5200 sq km that includes irrigation reservoirs, hydro-electric reservoirs, perennial village tanks, seasonal tanks and natural waterholes known as villus. Figure 1 - The Territorial Sea and Exclusive Economic Zone 1.3. Government Institutions dealing with Fisheries The Ministry of Fisheries and Aquatic Resources Development (MFARD) MFARD is the ministry of the central government entrusted with the responsibility of development and management of the fisheries sector. MFARD formulates the national fisheries development strategy and the implementation plan generally for a period of six years or the duration of the respective government. MFARD also directly implements programmes and projects for enhancing the country’s fishing capacity, welfare of fisher communities, provision of social infrastructure for fishing villages, promotion of private sector investments, promotion of fishery product exports, and externally funded special projects for development of fisheries. The processes of enactment of new acts, amendment of existing acts, and promulgation of regulations are also initiated and serviced by MFARD. To undertake different activities concerning management and development of fisheries the following government institutions have been established. Department of Fisheries and Aquatic Resources (DFAR) DFAR is the department of the central government responsible for management, regulation and conservation of fisheries and aquatic resources. Established in 1940 under the provisions of the Fisheries Ordinance (Law No. 24 of 1940), which has now been repealed, it enforces provisions of the Fisheries and Aquatic Resources Act, No. 2 of 1996 and Fisheries (Regulation of Foreign Fishing Boats) Act, No. 59 of 1979. DFAR also undertakes monitoring and surveillance activities in the sea and helps the fishers in distress. It has a network of district offices located in all coastal districts. 6 Ceylon Fisheries Corporation (CFC) CFC has been established in 1964 under the State Industrial Corporations Act, No. 49 of 1957 for marketing of fish without prejudice to either the producer or the consumer, and provision of inputs required for the fishing industry. Since late 1980s CFC functions as a self-financing organization and performs its functions in competition with the private sector. It has a 1000-ton cold-room complex at the Colombo Mutwal fishery harbor, and runs over 250 sales outlets in all cities and major towns. Ceylon Fishery Harbours Corporation (CFHC) CFHC has been established in 1962 also under the State Industrial Corporations Act, No. 49 of 1957. CFHC’s role includes planning, construction, and maintenance of fishery harbours and anchorages. Currently it manages 17 fishery harbours and 40 anchorages. In addition a large fishery harbor that can accommodate 400 multi-day vessels is being constructed at Dickowita (north of the Kelani river estuary). It has four dredgers – a grab-hopper, and three cutter suction dredgers – and a host of heavy machinery required for construction and maintenance of fishery harbours and anchorages. It also provides security services to MFARD and institutions under the purview of MFARD. National Aquatic Resources Research and Development Agency (NARA) NARA has been established in 1982 under the National Aquatic Resources Research and Development Agency Act, No. 54 of 1981 for the purpose of conducting research and providing advisory and consultancy services on scientific, technological and legal matters relating to exploitation, management, conservation and development of aquatic resources. Its scope covers marine biological resources, inland aquatic resources and aquaculture, fishing technology, postharvest technology, environmental studies, oceanography, information technology and hydrography. Apart from its main research centre located in Colombo, it runs three regional research centres at Kadolkele (Negombo), Kalpitiya, and Rekawa. National Aquatic Resources Research and Development Agency (NAQDA) NAQDA has been established in 1998 under the National Aquaculture Development Authority of Sri Lanka Act, No. 53 of 1998. NAQDA’s functions include development and management of the aquaculture industry, and inland fisheries, which are generally culture-based. It operates nine regional aquaculture development centres that provide seed-fish and extension services required for culture-based inland fisheries and aquaculture, a shrimp-farm monitoring unit, and a central aquaculture training facility located at Kalawewa. Ceynor Foundation Ltd. (CNFL) CNFL is a government owned company registered under the Companies Act, No. 7 of 2007. It manufactures and supplies fishing craft and gear. CNFL has to function in competition with the private sector. It operates three boatyards, which are located at Mutwal, Payagala and Karainagar and manufacture multi-day fishing vessels. Earlier it also operated two fish net factories, one at Lunuwila and the other at Weerawila, but these have now been handed over to North-Sea Ltd, which is also a government owned company functioning under the Ministry of Small Industries . National Institute of Fisheries and Nautical Engineering (NIFNE) NIFNE established by the National Institute of Fisheries and Nautical Engineering Act, No. 36 of 1999 for the purpose of developing manpower for fisheries and other maritime activities. It was originally functioning under the purview of MFARD, but currently functions under the purview of the Ministry of Youth Affairs and Skills Development. Eight colleges are functioning under NIFNE at Mattakkuliya, Negombo, Jaffna, Trincomalee, Batticaloa, Tangalle, Galle and Kalutara. It runs three types of programmes – certificate courses, diploma courses and degree courses in fisheries and marine science, marine engineering, boat building and naval architecture, fiberglass technology, aquaculture and fisheries management. The Government is in the process of upgrading the status of NIFNE to 7 that of a university. It will be named the Ocean University, and its scope will be widened to cover ports, marine transport, non-living marine resources, etc. in addition to fisheries and aquaculture. It has been proposed to set up this university at Kalametiya in the district of Hambantota. Central Fish Market Complex, Peliyagoda Established in 2010 this is one of the most modern central fish marketing complexes in Asia. It has all facilities required for trade and hygienic handling of fish. It caters to whole-sale dealers, retailers and exporters. It is run by a Trust appointed by MFARD. Infrastructure Facilities in the Fisheries Sector Fishery harbours 18 Anchorages 40 Minor landing sites 860 Ice plants 82 Cold rooms 29 Boatyards 54 Fishing gear factories 6 Fish processing plants: - EU approved 25 - Other 5 8 2. MIDTERM REVIEW OF THE IMPLEMENTATION OF THE FISHERIES SECTOR DEVELOPMENT STRATEGY 2010-2013 (FSDS) AND EVALUATION OF ITS OUTPUTS AND OUTCOMES 2.1. Objectives of FSDS MFARD formulated FSDS in accordance with the national policy stipulated in the government policy document, Mahinda Chintana Forward Vision. In formulation of fish production targets in FSDS, it was assumed that by 2015 the Sri Lankan population would be 21.67 million. Fish production projections in FSDS were made taking 2009 as the base year. The major objectives of the strategy were as follows. 1. Increase per capita fish availability by 2013 to 60 g per day, which is the amount recommended by the Medical Research Institute for per capita consumption to satisfy the animal protein requirements of a person. 2. Increase the national fish production to 685,690 MT by 2013. 3. Establish price competitiveness of fish by promoting competitive marketing. 4. Increase the volume of fish exports to 36,700 MT by 2013 and thereby increase foreign exchange earnings. 5. Increase the living standards and socio-economic status of the fisher community through social empowerment, livelihood diversification, and improvement of civic amenities and infrastructure. 6. Manage fisheries on a sustainable basis with due recognition to obligations under the United Nations Convention on the Law of the Sea and other international treaties concerning fisheries, bio-diversity and marine environment. FSDS has proposed the interventions in Table 1 below to achieve the above objectives. Table 1 – Objectives of FSDS and Interventions Proposed to Achieve the Objectives Objective 1. Increase per capita fish availability by 2013 to 60 g per day, which is the amount recommended by the Medical Research Institute for per capita consumption to satisfy the animal protein requirements of a person. 2. Increase the national fish production to 685,690 MT by 2013. 3. Establish price competitiveness of fish by promoting competitive marketing. Interventions Proposed 1.1. Increase the national fish production (vide Objective 2 below). 2.1. Increase the fishing effort in the coastal and offshore/deepsea subsectors by increasing the fleet size. 2.2. Rehabilitate the fishing activities in the Northern Province. 2.3. Reactivate the non-operational beach seines. 2.4. Enhance fish stocks in perennial tanks and seasonal tanks by intensifying the fish-seed stocking programmes. 3.1. Increase the share of the market handled by the CFC and increase CFC sales outlets. 9 4. Increase the volume of fish exports to 36,700 MT by 2013 and thereby increase foreign exchange earnings. 5. Reduce post-harvest losses. 6. Increase the living standards and socio-economic status of the fisher community through social empowerment, livelihood diversification, and improvement of civic amenities and infrastructure. 7. Manage fisheries on a sustainable basis. 8. Orient the industry to conform to the obligations under the UN Law of the Sea Convention and other international treaties related to fisheries. 4.1. Increase the production of exportable fish like tunas by enhanced deep- fishing. 4.2. Expand shrimp aquaculture. 4.3. Enhance production of non-traditional products like seaweed, sea-cucumber, mussel and oyster, sea-bass and ornamental fish that have export potential. 5.1. Improve or establish infrastructure facilities required for quality maintenance of fish. 5.2. Promote the use of chilled seawater or refrigerated seawater in multiday boats. 6.1. Provide fisher communities with basic amenities and housing. 6.2. Organize fishers under a national federation. 6.3. Provide alternative livelihoods. 6.4. Introduce an effective fisher pension scheme. 6.5. Enhance access to credit by introducing soft credit schemes. 7.1. Identify more fisheries management areas and introduce comanagement. 7.2. Enhance action against destructive fishing methods. 7.3. Establish a vessel monitoring system and act against IUU fishing. 7.4. Enhance regional co-operation in fisheries management. 8.1. Implement resolutions adopted by IOTC and FAO Code of Conduct for Responsible Fisheries. 2.2. Outputs and Outcomes 2.2.1. Marine Fisheries 2.2.1.1. Production Targets Traditionally marine fisheries have been the most important economic sector in the coastal belt of Sri Lanka, both in terms of the value of the product, and contribution to the livelihoods. It has also significantly contributed to export earnings of the country. It has two subsectors – coastal fisheries, and offshore/deep-sea fisheries that also include high-seas fisheries. FSDS has fixed the following targets for marine fish production (Table 2). Table 2 - Marine Fisheries Production Targets (MT) Coastal fisheries Offshore/Deep-sea fisheries Total production 2009 180,410 112,760 293,170 2010 197,400 151,900 349,300 2011 216,000 200,200 416,200 2012 236,370 259,530 495,900 2013 258,600 332,300 590,900 2.2.1.2. Interventions Enhancement of Fishing Effort in Marine Waters FSDS envisaged increasing the fishing effort both in coastal fisheries and offshore/deep-sea fisheries by introducing new craft of all categories, i.e. traditional craft, motorized traditional craft (traditional 10 craft modified by fixing outboard motors), OFRP boats (fiberglass reinforced plastic boats fitted with outboard motors), IDAY boats (single-day boats fitted with inboard engines), multi-day boats, and beach seines. Table 3 gives the composition of the fishing fleet in 2009 and the expected annual increase up to 2013. Table 3 – The Fishing Fleet: Strength in 2009 and Expected Annual Increase 2010-2013 Type of Craft Traditional craft Motorized traditional craft OFRP boats IDAY boats Multi-day boats Beach seines Strength in 2009 18,243 2,126 2010 267 183 17,193 958 2,934 340 50 80 + 32¹ 150² Expected Annual Increase 2011 2012 760 290 100 100 + 68¹ 190² 1,227 100 180 - 2013 779 1,000 100 156 - ¹ No. of non-operative multiday boats expected to recommence operation. ² No. of non-operational beach seines expected to recommence operation. Rehabilitation of Fisheries in the Northern Province Marine waters off the Northern Province are rich in fish resources. However, due to the 30 year long war it has not been possible to optimally exploit these resources. After the war, a programme was commenced for rehabilitation of the fishing fleet and fishery infrastructure facilities in the Northern Province. Table 4 gives the fishing fleet development plan for the Northern Province. Table 4 – Fishing Fleet Development Plan for the Northern Province Boat category OFRP boats IDAY boats New Introductions 2011 1050 100 2010 500 - 2012 1227 100 2013 1779 100 Midterm progress of implementation of the interventions to increase the national fish production from the coastal and offshore/deep-sea subsectors is given in Table 5. Figures include progress of the interventions made for rehabilitation of fisheries in the Northern Province too. Table 5 – Midterm Progress of Expansion of the Fishing Fleet in Coastal and Offshore/Deep-Sea Subsectors Expansion of the Fishing Fleet Traditional craft, IDAY,MTRB,NTRB OFRP boats (with boats under the Plan for the Northern Province) IDAY boats (with boats under the Plan for the Northern Province) Multi-day boats (with reactivated boats) Beach seines (with reactivated seines) 2010 2011 Target 40,000 550 Achievement 33,030 (83 %) 414 (75 %) Target 38,500 1340 Achievement 34,246 (89 %) 10,134 - - 100 Nil (0%) 112 98 (88 %) 168 157 (93 %) 150 98 (65 %) 190 153 (80 %) 11 Fuel Subsidy When the Government had to increase fuel prices in 2012 fishing boats were provided with a onetime subsidy at the rate of LKR 31,200 per multi-day boat, LKR 19,200 per IDAY boat, and LKR 9,375 per OFRP and motorized traditional boat. The total amount paid under the fuel subsidy scheme was LKR 286.4 million. Policy Reforms The following policy reforms were also made by making regulations under provisions of the Fisheries and Aquatic Resources Act or other Acts where relevant. Declaration of more fisheries management areas to undertake fisheries co-management Cancellation of fees levied for registration and renewal of registration of fishing boats, issuance of fishing operation licenses, issuance of permits for collection, transport, keeping in possession, trade, export, etc. as applicable for lobster, chank and sea-cucumber Banning of the use, possession, import, transport, purchase or sale of monofilament nets Banning of trawl fishing operations except by non-mechanized canoes Compulsion of the use of live-jackets in fishing boats Exemption of the sector from paying income tax for a period of 5 years Provision of a fuel subsidy These reforms were made with the objective of preventing over-exploitation of fishery resources and enhancing their management, preventing fishing disputes among different fisher groups, reducing costs related to fishing, protecting of fishers from accidents in sea and encouraging investments in the sector. These policy changes are also applicable to inland fisheries where relevant. Other Initiatives FSDS included some other initiatives like encouragement of small-scale fishers particularly IDAY boat fishers to change their fishing gear by replacing gillnet with long-line, and carry fish holder boxes with ice onboard etc. Objectives of these initiatives were to introduce selective fishing, which is more resource-friendly, and enhance the quality of fish landed. Fishers were also helped with subsidized bank loans to procure larger boats (20 – 30 m) capable of fishing in international waters. However, these initiatives have not been successful as fishers have continued to resort to their old practices without changing to recommended practices. Figure 2 - Interventions proposed in FSDS for Marine Fisheries 12 Introduction of small scale fishing vessels Integrated awareness creation Divi Naguma Programme Organization of fishers at local, district & natioal levels Marine Introduction of multi-day long line boats Re-activation of nonoperational beach seines and multi-day boats Fisheries Encouragement of private sector investments Policy changes, rivision of the Act and regulations Loan schemes, pension scheme and insurance schemes Encouragement of the use of long lines CSW/RSW in multiday boats and quality handling practices Value addition to production 2.2.2. Inland Fisheries & Aquaculture 2.2.2.1. Production Targets Compared to fish produced by marine fisheries, fish produced by inland fisheries and inland aquaculture is cheaper, and helps maintain fish prices within a reasonable range. Thus inland fisheries benefit particularly the rural poor and the estate sector who cannot afford to consume marine fish by providing them with an alternative source of animal protein, which is cheap. Inland fisheries also provide livelihoods to the rural communities in the interior districts. Aquaculture, particularly coastal aquaculture also contributes to export earnings through the production of exportable aquaculture products such as shrimp, sea-bass, etc. Table 6 gives the production targets fixed by FSDS for its period of implementation. Table 6 – Inland Fisheries & Aquaculture Production Targets (MT) Inland fisheries Inland aquaculture Coastal aquaculture Total 2009 39,030 3,980 3,550 46,560 2010 46,600 4,700 4,200 55,500 13 2011 55,700 5,700 5,000 66,400 2012 66,500 6,800 6,000 79,300 2013 79,500 8,100 7,200 94,800 2.2.2.2. Interventions Stocking of Perennial Reservoirs with Seed-fish FSDS envisaged implementing several activities to achieve the targets fixed for inland fisheries production. Emphasis was given to perennial reservoirs since they make the biggest contribution to inland fisheries production. In 2010 major and medium perennial reservoirs produced 55 % of the total inland fisheries production, while minor perennial reservoirs produced 22 %. To enhance the fishable stocks in the perennial reservoirs, selected reservoirs were stocked with fish fingerlings, and their management was improved with the support of the fisher community. Management of the stocks in these reservoirs was also significantly increased. Table 7 gives the target and achievement of seed-fish production, while Table 8 gives the total number of seed fish stocked in reservoirs and the amount of fish produced from reservoirs. Table 7 – Seed-fish Production (million) Target Achievement 2009 29 27.9 (96 %) 2010 30 34.9 (116 %) 2011 42 44.8 (107 %) 2012 55 23.4 (Jan-Jul) Table 8 – Fisheries in Perennial Reservoirs Total Area (ha) 2009 2010 2011 No. of Seed-fish Stocked (million) 21.99 26.48 35.08 95,331 100,999 96,651 Fish Production (MT) 39,030 44,380 50,050 Utilization of Seasonal Reservoirs for Inland Aquaculture Seasonal reservoirs scattered in the dry zone of the country provide good potential for fish production through inland aquaculture. Table 9 gives the number and total area of seasonal reservoirs used for aquaculture and fish production obtained. Table 9 – Aquaculture in Seasonal Reservoirs 2009 2010 2011 No. of Tanks 334 450 535 Total area (ha) 3,329 4,675 5,885 Fish Production (MT) 3,930 4,490 5,360 Utilization of Abandoned Shrimp Ponds for Alternative Coastal Aquaculture A large number of brackish-water ponds covering an estimated extent 2500 ha, which had been used a few years back for shrimp farming remains abandoned. NAQDA has identified that these shrimp ponds could be utilized for aquaculture of alternative species such as milkfish, sea-bass and tilapia, which are cultivable in brackish-water ponds. However, the lack of fish seed has become be a major constraint for this. To overcome this problem NAQDA has taken steps to establish hatcheries for production of milkfish and sea-bass seed through public-private partnerships. Breeding in captivity of these two species is in progress and it is anticipated that their commercial-scale breeding would be possible by the end of 2012. Utilization of Estate Ponds for Pond Aquaculture 14 It has been identified that estate ponds has the potential for production of fish through pond aquaculture. Currently only around 60 MT of fish is produced annually by estate ponds. It is proposed to develop culture of freshwater fish and freshwater prawn in 350 estate ponds in 2012 under the Divi Neguma programme. It has been estimated that this programme will produce 350 MT of fish. Rehabilitation of Inland Fisheries in the Northern Province Under this programme 640 Nos. of canoes with the required gillnets were provided to fishers in 35 perennial tanks. These reservoirs produced 810 MT of fish in 2010. With the expansion of the fishing effort and improvement of management it is expected that the fish production from these reservoirs would increase significantly. Additionally, two lagoons namely, Nandikadal and Chundikulam were identified for stock enhancement with shrimps on a pilot scale. Stock enhancement of Nandikadal Lagoon is already under progress while that of Chundikulam Lagoon was expected to commence in 2012. Expected annual fish production from Nandikadal and Chundikulam lagoons are 13 MT and 180 MT respectively. The production may increase with the stocking of shrimps and improved management. Shrimp Aquaculture The area under shrimp aquaculture in 2010 and 2011 was around 1200 ha and 1600 ha respectively. In 2010 shrimp production from aquaculture was 3480 MT. In 2011, the shrimp aquaculture production increased to 4150 MT, which was 86 % the target fixed for the year. Recurrence of whitespot disease and impacts of climate change seemed to have affected shrimp farming quite adversely. A further factor negatively impacting on shrimp farming development in accordance with the planned schedule was the issues related to release of lands to investors and resultant delays. In year 2011, some progress was made in Batticaloa as several abandoned shrimp farms in Ottamavadi and Kokadicholei were revitalized and put back into operation. NAQDA has set up a shrimp hatchery at Puddikudirippu to produce shrimp post-larvae required for farming in that area. By mid 2012, the NAQDA hatchery had supplied a total of 9 million of post-larvae to shrimp farms in Ottamavadi and Kokadicholei. Non-traditional Aquaculture This is one of the newly emerging aquaculture systems that have the potential to contribute significantly to the economic development of the country. Several pilot projects on sea- cucumber fattening, sea-bass cage culture and oyster culture have become successful. Under an MOU signed with the Government of Vietnam, an expert is scheduled to visit in November 2012 to design a seacucumber hatchery, which is proposed to be established at Olethuduvai in the Mannar district. A seaweed seed bank for Euchema is being established by a Japanese investor and its production is expected to commence soon. One of the prominent biscuit manufacturers in the country (Munchi Biscuit Ltd.) is engaged in seaweed farming with the involvement of the community in Punichchankerni, Batticaloa. Culture of Indigenous Food Fish NAQDA has also commenced a programme to conserve and develop species of food fish that are indigenous to Sri Lanka. Under this programme, brood-stocks of mahsier (lella), freshwater shark (walaya), stinging-catfish (hunga) and butter-catfish (walapoththa) are being maintained at the Aquaculture Development Centres. Attempts to breed stinging-catfish and butter-catfish in captivity at the Inginiyagala Fish Breeding Centre have been successful. Strengthening of Extension Network 15 At present there are 285 CBOs associated with inland fisheries aquaculture. With the objective of providing improved extension services to fish farmers and inland fishers NAQDA has strengthened its extension services by appointing or newly recruiting the required manpower, which includes 3 Directors, 4 Asst. Directors, 11 Aquaculturists, 31 Aquaculture Extension Officers and 7 Aquaculture Assistants. Enhancement of Fish-Seed Production Infrastructure facilities necessary for an enhanced fish-seed production programme are being developed. Fish fingerling production is conducted in accordance with a preplanned programme, and targets have been achieved 100 %. 2.2.3. Midterm Progress of Achievement of the National Fish Production Targets National fish production statistics indicate that a significant progress has been made in increasing the fish production both from the marine fisheries sector and inland fisheries and aquaculture sector in 2010 and 2011 (Table 10). Table 10 – Midterm Progress of Marine Fisheries Production (MT) Coastal fisheries Offshore/Deep-sea fisheries Total marine fisheries production Inland fisheries & aquaculture Total national fish production Production in 2009 180,410 112,760 293,170 Target 197,400 151,900 349,300 2010 Achievement 202,420 (102 %) 129,840 (85 %) 332,260 (95 %) Target 216,000 200,200 416,200 2011 Achievement 222,350 (103 %) 162,920 (81 %) 385,270 (93 %) 46,560 55,500 52,410 (94 %) 66,400 59,560 (90 %) 339,730 404,800 384,670 (95 %) 482,600 444,830 (92 %) Compared to the total marine fish production in 2009, the total marine fish production in 2010 and 2011 has increased by 11 % and 31 % respectively. Similarly compared to 2009, inland fisheries & aquaculture production has increased by 13 % and 28 % respectively. Compared to 2009 the national fish production shows a growth of 13 % and 30 % in 2010 and 2011 respectively. 2.2.4. Fish Marketing The major share of fish marketing in Sri Lanka is handled by the private sector while less than 10 % is handled by CFC. In order to ensure that the fish prices are affordable to consumers by strengthening the competition in the fish market, certain degree of market interventions through CFC is necessary. With the involvement of CFC on fish purchasing and selling, it is also envisaged that the margins kept by middlemen at the undue expense of the fishers as well as the consumers can be reduced. However, CFC has not been able to influence fish prices due to the fact that the volume of fish handled by CFC is insignificant. Being a government agency, it is difficult for CFC to compete with the private sector, as it cannot provide credit to fishers when they request, and adjust fish prices frequently as required by the market. The weak liquidity position of the CFC, its deteriorated infrastructure facilities and substandard retail outlets are some of its other disadvantages. Taking these drawbacks into consideration, some measures such as opening and refurbishment of outlets, upgrading infrastructure facilities and opening new purchasing centers have been implemented as given in FSDS. However, these measures have not proved adequate to compete with the private sector. Table 11 gives the number of new fish stalls set up by CFC. 16 Table 11 - No. of New Fish Stalls set up by CFC 2009 2010 2011 48 75 103 2.2.5. Export Fisheries and Aquaculture 2.2.5.1. Production Systems The fisheries sector has emerged over decades as an important source of foreign exchange to the country. The important export products include tuna, shrimp, lobster, ornamental fish and sharkfins, which fetch high values and traditional products such as sea cucumber and chank. Tuna, lobster and shark-fins are essentially products of marine fishing, while shrimp and ornamental fish are produced both by fishing and aquaculture. Private sector companies have significantly invested in infrastructure facilities such as deep-sea fishing vessels with onboard cooling facilities, fish processing factories, shrimp farms and ornamental fish farms. The Government has set up a Fish Product Quality Control Unit in DFAR with highly trained staff to ensure that the quality and safety of fish products produced for export meet the international requirements. Export fisheries and aquaculture also have provided a significant number of employment opportunities to different categories – graduates, technicians, office workers, skilled and non-skilled labourers, security personnel, etc. As tunas are deep-sea fish, their production needs larger boats equipped with onboard fish preservation facilities. Therefore increasing its production volume requires high capital investments. FAO, IOTC and other regional fishery management organizations have expressed concern over sustainability of the shark-fin industry. Even the lobster fishery, sea-cucumber fishery, marine ornamental-fish fishery and chank fishery have to be managed carefully in order to prevent overexploitation. Therefore there is no much scope for increasing the volumes of most export fishery products except those which could be produced by aquaculture such as shrimp and freshwater ornamental fish. Further increasing volumes of export fish products may affect the local supplies of fish. Therefore other options like value addition, enhancement of quality, environmental certification and organic certification, development of new export products, etc. have to be used for increasing export incomes. It is also necessary to meet Sri Lanka’s international commitments like prevention of IUU fishing and protection of sea turtles and marine mammals in order to sustain the important international markets like the EU market and US market for our fishery products. 2.2.5.2. Midterm Progress FSDS has not fixed specific targets for export development. However, it has envisaged the following volumes to be exported during its period (Table 12). Table 12 – Envisaged Fish Export Volumes Volume of Exports (MT) 2009 18,199 2010 21,700 2011 25,855 2012 30,800 Table 13 gives the total export volumes and incomes during the period 2009 – 2011. Table 13 – Export Volumes and Values Export Volume (MT) 2009 Export Value LKR million USD million 21,015 183 18,714 17 2013 36,700 2010 2011 18,325 18,462 19,834 21,876 175 167 The Table indicates that that there has not been any significant development of fish exports since 2009. Although the volume has remained more or less the same, the value in USD terms has slightly but continuously reduced. 2.2.6. Fishing Community 2.2.6.1. Enhancement of Socio-economic Status Several new programmes have been designed and commenced implementation for the purpose of enhancing the socio-economic status of the fisher community, in addition to conventional activities like provision of sanitary facilities and improvement of social infrastructure in fishery villages. These new programmes are the organization of fishers under an all-island fisheries federation with tiers at local level and district level, introduction of a fisheries pension scheme, and introduction of a fisheries insurance scheme. Further under the Divineguma Programme fisher community members are provided with loans to commence micro-projects. Table 14 gives the targets fixed for the new programmes. Table 14 – Programmes for Socio-Economic Enhancement of Fisher Community Programme Organization of fishers Fisheries pension Scheme Fisheries insurance scheme Divineguma Indicator No. of societies No. of members No. of boats No. of micro-projects 18 2009 2010 2039 3210 Target 2011 2012 2013 3019 1500 3252 2000 5000 8000 3000 3. ISSUES AND CONSTRAINTS ENCOUNTERED IN THE PROCESS OF IMPLEMENTATION OF FSDS 3.1. Budgetary Allocations Major activities of FSDS were expansion and improvement of the coastal and offshore/deep-sea fishing fleet, development of fishery infrastructure and procurement of equipment, development of inland fisheries & aquaculture, and physical facilities for fish marketing. Table 15 gives the budgetary estimates made for implementation of these activities. Table 15 – Budgetary Estimates for Implementation of Major Activities of FSDS (LKR million) Activity Enhancement of the coastal & offshore/deep-sea fishing fleets Inland fisheries & aquaculture Infrastructure and equipment Fish marketing Total 2010 42.25 2011 41.33 2012 95.50 2013 41.80 81.00 3,237.71 1,872.00 5,232.96 101.58 1,116.87 3,734.00 4,993.78 186.45 995.50 7,725.00 9,002.45 192.00 200.00 16,957.00 17,390.80 However, the amount allocated by the Treasury was significantly lower than the estimates of most activities. Table 16 gives the budgetary allocations made by the Treasury for implementation of major activities of FSDS, and shortfall between the estimates and the allocations. Table 16 – Budgetary Allocations made by the Treasury for Implementation of Major Activities of FSDS with Shortfall between the Estimates and Allocations (LKR million) Activity Enhancement of the coastal & offshore/deep-sea fishing fleets Inland fisheries & aquaculture Infrastructure and equipment Fish marketing Total 2010 Allocation Shortfall 37.73 4.53 50.00 3595.13 1195.94 4878.80 31.00 (357.42) 676.06 354.17 2011 Allocation Shortfall 29.55 11.78 50.00 704.90 1829.80 2614.25 51.58 411.97 1904.20 2379.53 2012 Allocation Shortfall 83.20 12.30 91.00 1007.50 1181.70 95.45 (12.00) 7725.00 7820.75 3.2. Marine Fisheries FSDS proposed to increase of large vessels capable of engaging in high-sea fisheries. However, it was not possible to attract investments in offshore/deep-sea subsector. Even attempts to establish jointventures with CFC for high-sea fishing were not successful. It is proposed to amend the State Industrial Corporation Act, No. 49 of 1957 with a view to making provisions that will enable CFC to establish joint-ventures in order to facilitate deployment of a fleet comprising larger boats of over 24 m for high-sea fishing. Although FSDS envisaged in increasing the multi-day fishing fleet in the EEZ, fishers have found it difficult to invest in multi-day boats owing to the high capital and operational costs involved. According to the government policy no foreign vessels are allowed to fish in the EEZ. Therefore the 19 available option is to encourage local entrepreneurs to invest in multi-day vessels by providing subsidized bank loans. It has also not been possible to induce fishers to replace gillnet with long-line, carry ice onboard the boats, etc. as envisaged. Accordingly moves to enhance management of resources through the replacement of gillnet with long-lines, and quality of fish landed to suit export market requirements have failed affecting the envisaged increase in export earnings. In the coastal fisheries subsector, fish production from the Western, South-Western and the Southern segments appears to have already reached or be fast reaching the maximum sustainable yield levels. Therefore further increases of coastal fish production could come only from the Northern and the Eastern coastal segments. This means that the coastal fisheries subsector needs careful management in order to prevent over-exploitation. However, it is doubtful whether the present management regime could ensure sustainability of the coastal fisheries resources. Although legal provisions available are adequate to manage the coastal fisheries, it has not been possible to control the rate of proliferation of small boats and the use of resource destructive fishing methods. The main reason for this situation is the open access policy adopted for fisheries, shortage of management staff and the lack of physical resources such as vehicles and monitoring boats. 3.3. Inland Fisheries and Aquaculture Many areas of the country had experienced heavy rains during 2010 and early part of 2011, and as a result most reservoirs had spilled over and particularly small perennial reservoirs and seasonal reservoirs had suffered damages. In addition, seed-fish production did not reach the expected levels, and therefore the programme for stocking of reservoirs with seed-fish could not be implemented as planned. An intensive and integrated programme that includes reconstruction of damaged reservoirs, periodic stocking of reservoirs with seed-fish, provision of boats and fishing gear and provision of extension services needed to be implemented to rehabilitate inland fisheries and aquaculture in the Northern and Eastern Provinces. This programme suffered due to lack of manpower and physical resources. Further in the absence of fish hatcheries in the respective areas, seed-fish required for stocking of reservoirs had to be obtained from hatcheries in other areas such as Dambulla and Udawalawa. Due to the long distances involved in transport and limitation of the production capacities in the breeding centers, reservoirs could not be stocked adequately. Further, brood stocks have not been subjected to genetic improvement, and that has resulted in lower performance in breeding. All these have affected the productivity of reservoir fisheries. 3.4. Research Aquatic resources research and development is one of the most significant services required for fisheries sector development. However, due to several institutional weaknesses, the aquatic resources research and development services in the country have not been able to contribute adequately to the development of fisheries sector. The scientific research on aquatic resource development has not identified addressed the crucial issues in development of the fisheries sector. Further, the research initiatives have not been adequate. There is a vacuum between the scientific research and development activities in the fisheries sector. This weakness could mainly be seen in the poor communication that has prevented even the limited research findings from dissemination to the prospective users. 3.5. Fish Marketing FSDS has envisaged enhancing the market share of CFC with a view to controlling fish prices, so that 20 the prices would remain within the reach of the consumer. However, due to lack of capital and management deficiencies, CFC has not been able to increase its market share substantially as FSDS has envisaged. 3.6. Fish Exports Since 2010, major international market partners of Sri Lanka such as EU has imposed stringent regulations on fish imports and have introduced a catch certification system to curtail IUU fishing. In addition the RFMOs such as IOTC exert heavy pressure on its member countries to curtail IUU fishing by means of introducing compliance requirement on fishing and fish export. This situation has led to a state of affairs which is unfavorable to increase fish exports. 21 4. ROADMAP 2013 – 2016 4.1. Policy Directions The policy guidelines given in Mahinda Chintana Vision for the Future - The Development Policy Framework of the Government of Sri Lanka in regard to development of the fisheries sector were used as the guiding principles for preparation of the Roadmap 2013. The directions given in Mahinda Chintana are as follows. “The fisheries development policy aims at exploiting the country’s fisheries and aquatic resources in a sustainable manner, while conserving the coastal environment. The government is targeting selfsufficiency in the national fish supply and a significant increase in fish exports. The key components of policy direction are specified as follows. Diversification of production and exploitation of offshore and deep sea fisheries resources through the introduction of modern technology giving high priority to efficient fishing methods. It is also planned to reduce pressure on coastal resources through the implementation of fisheries management programmes. Sri Lanka possesses suitable water bodies throughout the country for developing a viable inland fishing. Thus developments of freshwater capture fisheries and aquaculture in inland water bodies have also been identified as a viable industry. This can be implemented through increasing fish seed production and introducing them into minor and seasonal tanks with the support of community based fisheries management. High post harvest losses and lack of knowledge in handling of fish have been identified as a serious impediment to marketing and producer price in the fishing industry. The requirement of prevention of such losses has been given priority in the development plan. Inadequate and poorly managed fisheries infrastructure has considerably slowed down the development of the fishing industry. Hence, infrastructure facilities will be improved to exploit the fish resources and reduce post harvest losses.” Commitments made by Sri Lanka under the UN Law of the Sea Convention and international treaties concerning conservation and management of marine fisheries resources, protection of marine environment and conservation of biodiversity, and requirements of international markets were also taken into consideration in the development of strategies to meet the goals given in Mahinda Chintana Vision for the Future. 4.2. Specific Objectives and Targets The specific objectives of the Roadmap are as follows. To increase the national fish production and per capita availability of fish. To improve the quality of fish landed and eliminate post-harvest losses or reduce to insignificant levels. To increase fish exports. 22 To improve fisheries management to ensure long-term sustainability of the resources. To improve social-security of the fisher community. It is expected that the outcome of the achievement of the above targets will be improvement of the nutritional status of the masses, increased employment opportunities, increased foreign exchange earnings, improvement of the socio-economic status of the fisher community, and improvement of physical and social infrastructure. Targets related to the specific objectives of the Roadmap 2013 2015 are given in Table 17. Table 17 – Targets for Achievement of Objectives of Roadmap 2013 – 2016 Objective Area National Fish Production (MT) Activity Area Offshore/deep-sea fisheries Coastal fisheries Inland fisheries & aquaculture Coastal aquaculture Total Improvement of quality of fish landed and reduction of post-harvest losses: Indicator daily use of ice (MT) Fish exports (MT) Offshore/deep-sea products (e.g. tuna, shark-fins) Conventional coastal products (e.g. lobster, crab, sea-cucumber, chank) Non-conventional coastal products (e.g. squid, cuttlefish, octopus) Ornamental fish Coastal aquaculture products (e.g. shrimp, sea-bass, seaweed) Total Improvement of fisheries management: Indicator No. of fishery management areas with efficient co-management Improvement of Fisheries pension scheme: No social security of enrolled the fisher Fisheries insurance scheme: No. community enrolled Divineguma micro-credit scheme: No. of loans issued 2013 332,300 258,600 86,800 8,000 685,700 2000 2014 383,200 284,500 96,800 8,900 773,400 2,600 2015 452,900 301,600 105,700 10,000 870,200 3,600 2016 538,900 313,700 116,100 11.200 980,400 5,000 26,000 30,600 39,700 54,400 4,800 5,300 5,700 6,000 100 1,100 2,000 4,000 Not quantified in terms of weight. 5,800 7,000 9,800 15,700 36,700 60 44,000 80 57,200 110 80,100 150 5,000 6,000 7,000 8,000 8,000 9,000 10,000 11,000 3,000 4,000 5,000 6,000 4.3. Major Issues and Constraints The following issues and constraints have been identified by Mahinda Chintana as obstacles in achievement of the above objectives. 1. The low level of technology is hampering optimal exploitation of deep-sea resources. 2. Investments by the private sector in large-scale infrastructure development and deep-sea fishing are inadequate. 3. Post-harvest losses are relatively high (30%), and market chain and transport facilities for fish are poor. 4. Aquatic environment including the coastal environment has degraded and its management 23 is poor. 5. Reliable and up to date marine fisheries and inland fisheries resource data are not available. 6. The fishing capacity is not commensurate with the extent of fisheries resources. Boats capable of fishing in deep-sea waters account for only 9 % of the total marine fleet, and 43 % of the operating boats are non-mechanized traditional boats. Most of the other boats are outboard-engine powered boats. 4.4. Strategies for Achievement of Objectives Table 18 gives the strategies for achievement of objectives in Roadmap and constraints. Table 18 – Strategies for Achievement of Objectives of Roadmap 2013 – 2016 and Constraints Objective 1. To increase the national fish production and thereby the per capita availability of fish. 2. To improve the quality of fish landed and eliminate or reduce post-harvest losses to insignificant levels. 3. To increase fish exports and thereby increase foreign exchange earnings. Strategies 1.1. Increase production from high-sea fisheries. Constraints 1.1.1. Lack of larger boats (boats over 24 m) and technology 1.2. Increase production from offshore fisheries. 1.2.1. Insufficient multi-day boats 1.2.2. Insufficient harbor facilities to accommodate multi-day vessels 1.3.1. Large-scale poaching by Indian fishers. 1.4.1. Continuous increase in fishing effort due to open-access policy. 1.5.1. Lack of hatchery facilities to produce large quantities of seed-fish. 1.7.1. Competition from other sectors for land and water. 2.1.1. Difficulty to change attitudes and traditional fish handling practices. 1.3. Enhance fishing effort in North and East. 1.4. Maintain production from coastal fisheries. 1.5. Increase production from inland fisheries. 1.6. Increase production from aquaculture 2.1. Increase awareness of fishers and fish handlers in quality maintenance of fish. 2.2. Develop facilities for quality handling of fish at fishery harbours, anchorages and other landing sites 2.3. Increase ice supply and cold chain transport facilities 2.4. Make and enforce regulations 3.1. Promote the use of onboard cooling facilities such as chilled seawater. 3.2. Promote establishment of fish processing facilities with HACCP and other international standards. 3.3. Diversify export fisheries and aquaculture products 24 2.2.1. High cost of establishment and maintenance of facilities for quality handling of fish. 2.3.1. High cost of capital. 3.1.1. High cost of capital. 3.2.1. High cost of capital. 3.3.1. Lack of technology. 4. Improve fisheries management to ensure long-term sustainability of the resources. 3.4. Update production processes to meet international requirements 4.1. Update legislation to facilitate management. 4.2. Establish a VMS system 4.3. Declare more fisher management areas and promote co-management. 4.4. Eliminate IUU fishing. 3.4.1. Continuous change of requirements imposed by importing countries like EU. 4.2.1. High capital and operational cost 4.4.1. Lack of an efficient VMS. 4.5. Research Research is important in many ways for development of fisheries and aquaculture. To make decisions concerning management of fisheries and aquaculture resources it is essential to have information concerning their health and potential for production. To generate this information it is necessary to conduct periodic resources surveys or assessments. It is also necessary to develop new technologies which are resource-friendly to harvest resources particularly in high-seas where competition from other nations is very high. Emerging issues like climatic change also have to be studied in detail in order to formulate strategies to address them. Consumer preference is changing and therefore new products have to be developed particularly for the export market to sustain export income from fish exports. NARA being the lead agency responsible for aquatic resources research will prepare its research agenda in consultation with all stakeholders in the sector, that include government agencies involved in management, development and services, fisher community, private sector companies engaged in fishing, aquaculture and other businesses related to fisheries and aquaculture, environmental agencies, and NGOs active in the fisheries sector. It will also provide research information and advisory and consultancy services in an effective manner. 4.6. Implementation Private sector, both local and foreign will be invited to invest in selected areas, particularly high-sea fishing, offshore & deep-sea fishing, ice plants, cold storages, and fish transport chains, exportoriented aquaculture, fish processing establishments including canning factories, boatyards and fishing gear factories, and production of other inputs required for the fishing industry such as fish transport boxes. Such investments will be safeguarded and provided with incentives such as tax concessions under the BOI scheme. However, no investment will be allowed to enhance fishing activities in the coastal subsector. Fishers will be encouraged to replace traditional craft with multi-day boats, IDAY boats or OFRP boats, and gillnets with long-lines with subsidized loans provided. Intensive awareness campaigns will be conducted on co-management of fisheries, use of ice and quality maintenance of fish. Fishers are being organized at local, district and national levels with the objective of introducing comanagement in the respective areas. The Fisheries and Aquatic Resources Act will be amended shortly to provide for co-management and to control fishing activities by Sri Lankan vessels in highseas and prevent them from unauthorized fishing in waters in other countries. Outputs in the Roadmap are given in Table 19. Table 19 – Outputs of the Roadmap 2013 - 2016 25 Objective Area National Fish Production Fish quality improvement Fish exports Fisheries management Improvement of social security of the fisher community Activity Area Introduction of high-sea fishing vessels Introduction of multiday boats Introduction of IDAY boats Introduction of OFRP boats Establishment of new fishery harbours/Upgrading of anchorages to harbours Upgrading of minor fish landing sites to anchorages Establishment of fishing gear factories Introduction of reservoir craft Stocking of seed fish (millions) Establishment of new aquaculture centres or hatcheries (No.) Setting up of new ice factories (Increased ice supply (MT)) Improvement of quality related infrastructure at fishery harbours and anchorages (No. of harbous/anchorages) Development of awareness (No. of fishers and fish handlers) Establishment of fish processing zones at Negombo, Beruwala, Galle, Mirissa, Hambantota and Batticaloa with infrastructure (No. of zones) Larger boats and multi-day boats to use onboard cooling facilities Development of export oriented aquaculture (No. of farms including cage farms) Certification (MSC, organic, etc,) of export projects (No. of projects) Updating of legislation Establishment of a VMS system Establishment of fishery management areas with comanagement (No. of areas) Withdrawal of non-mechanized traditional craft (No. withdrawn) Fisheries pension scheme ( No. enrolled) Fisheries insurance scheme (No. enrolled) Divineguma micro-credit scheme (No. of loans issued) 2013 15 Output (Additions) 2014 2015 30 45 2016 60 150 100 1,500 1 180 500 1200 2 220 900 1200 2 300 300 1500 2 1 1 2 2 1 1 1 1 400 30 1 400 40 1 400 50 2 400 60 2 100 500 1000 1400 8 10 12 12 2000 2000 2000 2000 1 1 1 1 100 150 200 250 250 750 1000 1000 10 10 10 10 x X 20 20 20 20 - 400 600 1000 5,000 6,000 7,000 8,000 8,000 9,000 10,000 11,000 3,000 4,000 5,000 6,000 4.7. International Cooperation Sri Lanka is a party to the United Nations Law of the Sea Convention, which is the most important 26 international instrument in governing activities related to oceans. Sri Lanka has also ratified the UN Fish Stocks Agreement that provides for management of straddling and highly migratory fish stocks, and is a member of IOTC, which is the RFMO that manages fisheries in the area where Sri Lankan fishing vessels fish. Sri Lanka has also ratified CITES, Convention on Biodiversity and MARPOL which, although do not directly concern fisheries, has a bearing on fisheries. MFARD has recommended that Sri Lanka should ratify the FAO Compliance Agreement, and FAO Agreement on Port State Measures to Control IUU Fishing activities. In management of fisheries, relevant provisions of the FAO Code of Conduct for Responsible Fisheries and International Plans of Action on IUU Fishing, Fishing Capacity and Shark Fisheries will be given effect to. Sri Lanka is also cooperating with India through the Joint Working Group appointed by the two countries to address fisheries issues that are common to both countries. 4.8. Investment The government investment plan for the Roadmap is given in Table 20. The Government investment will be in the areas of development of the fishing fleet in the form of subsidies where the major part of the investment is expected from the private sector, infrastructure development and maintenance, fisheries management, inland fisheries and aquaculture development, fish quality improvement, and fisher community social security improvement. The private sector including banks are expected to invest in commercial activities such as fishing, boatyards, fishing gear factories, fish processing plants, aquaculture projects, ice plants, etc. Table 20 – Government Investment Plan 2013 - 2016 Investment Area Activity Area Marine fisheries Fishing fleet development Fisheries management Establishment of new fishery harbours/Upgrading of anchorages to harbours Upgrading of minor fish landing sites to anchorages Maintenance of fishery harbours, anchorages and landing sites Establishment of a VMS system Introduction of reservoir craft Aquaculture seed production Establishment of new aquaculture centres or hatcheries (No.) Improvement of quality related infrastructure at fishery harbours and anchorages Development of awareness Certification (MSC, organic, etc,) of export projects Fisheries pension scheme Fisheries insurance scheme Divineguma micro-credit scheme Inland fisheries and aquaculture Fish quality improvement and export development Improvement of social security of the fisher community Total 27 Government Investment (LKR million) 2013 2014 2015 2016 50 54 56 60 60 60 60 60 2400 2000 2200 2600 600 600 600 600 100 100 100 100 1000 6 30 50 5 6 40 50 5 6 50 100 5 6 60 100 10 12 15 15 5 20 5 20 5 20 5 20 50 8 30 60 9 40 70 10 50 80 12 60 4419 3061 3347 3783 28