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Fishing Industry Development

Dáil Éireann Debate, Wednesday - 18 February 2015

Wednesday, 18 February 2015

Questions (82)

Bernard Durkan

Question:

82. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he is satisfied that the fishing industry here remains sufficiently competitive in terms of costs, as compared with its competitors from overseas; and if he will make a statement on the matter. [7241/15]

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Written answers

The EU Commission published a report on the performance of fishing fleets in respect of 2012. It reports higher market prices and the recovery of some fish stocks helped the EU fishing fleet to again improve its profitability in 2012. It reports that despite the economic crisis and less fish being landed, economic performance has more than doubled over the last 5 years, from 3.2% net profit in 2008 to 6.6% in 2012. These are some of the main findings of the 2014 annual economic report on the EU fishing fleet, produced by the JRC (Joint Research Centre, the European Commission's scientific and technical arm) and independent experts.

The report finds that although generated revenue fell compared to 2011, costs decreased even more, making a €458 million net profit for the EU fleet, performing better than in 2011. This improvement can be attributed to lower labour and capital costs, a steady reduction in fuel consumption, higher market prices for several commercially important species, such as European pilchard, anchovy and brown shrimp, the capacity reduction in some fleet segments, the implementation of long-term management plans and the recovery of some important fish stocks.

Research and innovation projects, implementation of certification schemes and the growing demand for certified products as well as favourable market conditions are some other factors that may also have led to an improved economic performance.

The EU Commission advises that this improvement occurred in spite of sustained high fuel prices and the ongoing economic crisis that continues to affect markets for some species and limit access to credit. Other drivers that may have contributed to deteriorating performance include the reduced amount of fish that can be caught from several key stocks such as European sprat and Atlantic herring, severe weather conditions and, in some areas, damages caused by marine mammals, e.g. seals.

However, this overall positive evolution in 2012 did not apply to all fleets. Of 18 analysed Member States, the report finds that three national fleets (Belgium, The Netherlands and Slovenia) made overall net losses and while the economic performance of the EU large-scale and distant water fleets generally improved over the period 2008-2012, that of the small-scale fleet declined from 13% in 2008 to 3.4% in 2012. The analysis of available data up to 2012 suggests that the performance of the small-scale fleet will deteriorate even further during 2013.

The annual reports on the economic performance of the European fishing fleet are prepared by the JRC and independent experts convened under the auspices of the Scientific, Technical and Economic Committee for Fisheries (STECF). This year's edition is accompanied by a summary report, prepared in cooperation with the Directorate-General for Maritime Affairs and Fisheries.

A fleet report for 2013 for Ireland has been submitted to the EU Commission which will inform it's preparation of a report on the performance of the EU fishing fleets for 2013. A report in respect of 2014 will be prepared and will be submitted in advance of the EU deadline of the end of May 2015.

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