Govt to take $20M from fishing industry

Press, 28 January 1988, Page 2

Govt to take $20M from fishing industry

By

RICHARD CRESSWELL

Industrial reporter

The Government will take $2O million in “resource rentals” from the fishing industry in the 1987-88 year according to the latest review of the industry by the Fishing Industry Board. Resource rentals are the fees paid to the Government by fishermen for holding individual transferable quotas

(I.T.Q.s) which give the fishermen the right to fish for a certain tonnage of fish. The board believes these rental costs and the high cost of fuel are the biggest expenses facing fishermen. According to the review, New Zealand fishermen and charter-joint venture ships pay 10 cents a litre more for fuel than foreign vessels. The

higher cost is linked to the expenses of the Marsden Point oil refinery. But investment and development in fishery is continuing. In 1986 there were 250 more jobs at sea than in the previous year, and 800 more jobs on shore. The main seafood markets are America and Japan which account for 86 per cent of exports by value. Four species:

orange roughy, snapper, hoki, and rock lobster, make up 85 per cent of exports. The economic review, however, said returns for fishing company’s and fishermen were too low, bringing high risk and uncertainty to the industry. The Government had considerable discretion over both the cost of fuel and the setting of rentals.