THE government reduced the export fee slapped on tuna products to an estimated 0.2 percent from 3 percent as part of its assistance to the tuna industry, which continues to contend with a tuna-fishing ban on certain areas in the Pacific as well as high production costs.
Agriculture Secretary Proceso J. Alcala announced the reduction during his speech at the recently-concluded 13th National Tuna Congress in General Santos City, where he approved the amendment of Fisheries Administrative Order (FAO) 233 issued in 2010.
FAO 233 stipulated fees for the issuance of export/re-export permits equivalent to 3 percent of its export value. The fee was reduced to merely 0.2 percent for all fish species caught in Philippine waters.
“The reduced fee is equivalent to P1,650 of fish raw material value computed from the previous year’s average wholesale price, whichever is higher, based on price surveys of the Bureau of Agricultural Statistics (BAS),” said Asis G. Perez, director of the Bureau of Fisheries and Aquatic Resources (BFAR) in a statement.
The Soccksargen Federation of Fishing and Allied Industries Inc. (SFFAII) noted that the previous 3-percent export fee was an additional burden and a disincentive for exporters, unduly increasing the prices of tuna products and making them less competitive in the global market. Soccsargen is composed of South Cotabato, Cotabato, Sultan Kudarat, Saranggani, and General Santos City.
“The measure was counterproductive and inconsistent with the thrust of the government to promote exports,” said Marfenio Y. Tan, outgoing SFFAII chairman.
The National Fisheries and Aquatic Resources Management Council (NFARMC), a multi-sectoral group under the supervision of BFAR, initially promulgated FAO 233, in keeping with the intent of Republic Act 9147 or the Wildlife Resources Conservation and Protection Act of 2001
During its July 22 meeting, the NFARMC upon consultations with tuna industry stakeholders approved the recommendation to reduce the 3- percent export fee for captured aquatic wildlife like tuna.
The DA noted that last year, the total value of commercial fish production was placed at P17 billion, of which P10.7 billion (or 63 percent) was contributed by the Soccsksargen region.
Total tuna exports in 2010 was valued at $359.4 million or roughly P15.45 billion at an exchange rate of P43 to the dollar.
Of the total volume, about 70 percent was in canned form (76,800 tons), and the rest (33,688 tons) was either fresh, chilled or frozen.
Last year, canned tuna exports dropped 8 percent compared to 2009 figures, the SFFAII said.
Meanwhile, key players in the country’s tuna industry reiterated their call for the government to make key policy reforms during the 13th National Tuna Congress held recently in Gen. Santos City.
Some 400 delegates representing a cross-section of the tuna industry passed eight resolutions urging the government to act on pressing issues to further enhance the competitiveness of the country’s fisheries sector.
Jake Lu, incoming president of Socsksargen Federation of Fishing and Allied Industries Inc. (SFFAII), said the resolutions passed during the congress included the need to create the Department of Fisheries and Aquatic Resources (DFAR) to look after the country’s rich marine resources and production.
He said the creation of a DFAR will be a significant development for the fishery sector in protecting Philippine waters and marine resources, and will boost the government’s food-security program.
The resolution noted that most neighboring countries in Southeast Asia have a government line agency to oversee its fisheries sector.
Lu said the delegates also called for the rationalization of the Cabotage Law (Republic Act 1937) to improve the present state of inter-island maritime navigation.
He said that the review of the said law, passed in 1957, will reduce the costs of freight, cargo and passenger fees, allow more freedom of movement of goods and the entry of more efficient shipping vessels which will benefit the consumers.
“This is a major concern for the fishing industry as shipping, freight and transportation costs constitute a significant portion of the operating costs in terms of movements of its raw materials, production inputs and finished products,” the resolution said.
The gathering also reminded the Department of Agriculture (DA) and the Department of Transportation and Communications to fast-track the formulation of the Implementing Rules and Regulations (IRR) of the Handline Fishing Law (RA 9379) to alleviate the livelihood and working conditions of hand-line fishermen by simplifying the rules governing their fishery.
The statement cited that to sustain the viability of the hand-line fishing sector, there is a need to identify and designate an exclusive fishing ground for this group.
Hand-line fishing refers to marginal fishermen using hook and line and bancas or pumpboats that are 35 gross tons or below and fish within municipal waters. This method of fishing constitutes around 70 percent of the registered fishermen in the Socsksargen (South Cotabato, Sultan Kuadarat, Sarangani and General Santos City) area.
The gathering also urged the government to enhance trade relations with Indonesia and other Pacific islands by strengthening the National Tuna Industry Council.
To strengthen the council, there is a need to tap key government departments and elevate its mandate under the Office of the President.
