01/03/2005: The Minister
of Environmental Affairs and Tourism, Marthinus
van Schalkwyk today launched for public comment
draft fisheries policies that will apply to
the allocation of long term fishing rights.
The allocation of long term fishing rights
is estimated to be worth approximately R70
billion over the 8 -15 year period that the
rights are to be allocated for.
“For the first time there is a comprehensive
set of policies to govern the allocation of
fishing rights. Importantly these draft policies
are available in four coastal languages, Afrikaans,
isiXhosa, isiZulu and English,” said Van Schalkwyk
at a press briefing held in Cape Town. There
is a general policy that outlines considerations
applicable to the entire fishing industry
- such as transformation, sustainability and
fishing effort. In addition there are 19 separate
fishing policies for each of the different
fishing sectors. “All stakeholders and interested
parties are encouraged to consider the draft
policies and then submit comment on them.
Once all comments have been received and evaluated,a
final set of policies will be announced”,
said Van Schalkwyk. The public comment period
will end on 11 April 2005.
Van Schalkwyk said that it was important
that there be a sense of ‘geographical justice'
to the allocation of these long term fishing
rights. “Apart from the large companies that
operate mostly out of the bigger cities and
commercial centres, there are also remote
fishing villages and fishers that are found
along the entire South African coastline that
depend on commercial fishing. From tomorrow
onwards and for the rest of the month, two
teams of staff from the department will engage
fishing communities on these draft policies,
from as far north as Port Nolloth going right
round our coast to northern KwaZulu-Natal.”
“The allocation of long term fishing rights
to successful applicants will provide greater
security and for this reason afford rights
holders the opportunity of more easily raising
capital to invest in and expand the fishing
sector”, said Van Schalkwyk.
The 19 different fishing sectors are grouped
into four clusters. This was done in response
to the call to simplify and streamline the
allocation process. The four clusters are
the following:
Cluster A
Hake Deep Sea Trawl,
Hake inshore Trawl,
Horse Mackerel,
Small Pelagics,
Patagonian Tooth fish,
South Coast Rock Lobster and
KZN Prawn Trawl.
Cluster B
West Coast Rock Lobster (off shore),
Hake Long line,
Squid,
Tuna Pole,
Seaweed and
Demersal Shark.
Cluster C
Landline Hake,
West Coast Rock Lobster (near shore).
Cluster D
Oysters,
White mussels and
net fishing (Small Nets/Gillnets and Beach
Seine/Trek-nets)
Although the Minister stated that new entrants
may be accommodated to replace those right
holders that failed to utilize their right,
comply with our laws or transform, he emphasised
that not all applicants for fishing rights
will succeed. “People should know right from
the outset that we do not have enough stocks
of fish to allocate a fishing right to each
and every applicant. It is important that
South Africa's fish stocks are carefully managed
to avoid over exploitation . Therefore, in
determining the amount of fish to be allocated,
we will be guided by the best scientific data
available. People should therefore not have
unrealistic expectations that the allocation
of these fishing rights will address all socio-economic
challenges in fishing communities.”
Since 1994, the industry has grown from under
400 right holders to almost 4000 right holders,
reflective of the significant growth rate
in especially the SME sector of the industry.
Currently some 66% of all fishing rights vest
in companies that are majority black owned
(51% or more) and are majority black managed.
This contrasts with the skewed situation of
less than 1% black ownership and zero percent
black management pre 1994. Furthermore around
70% of all fishing rights vest in the hands
of small and medium enterprises.
Major changes have occurred in the fishing
sector since 1994 and I believe that the allocation
of long term commercial fishing rights will
further build on our transformation gains
made in this industry. To further our interventions
in the second economy and to create more opportunities
for our fishing communities and to grow the
first economy we intend to implement several
key interventions:
Registered crew lists to be established for
the traditional line-fish, squid and hand-line
hake fisheries. The implication is that opportunities
will be created for up to 1000 more fishers
in these sectors;
Provision that will make it possible for SME's
to progress, for example, from Cluster C west
coast rock lobster (near shore) to Cluster
B west coast rock lobster (off-shore);
An intervention in Cluster A fisheries is
that 10% quantum is to be reserved for allocation
to emerging SME's and 10 % to reward transformation.
Due to the capital required for entry to this
Cluster, SME's have previously struggled to
compete in these sectors;
In the oyster sector, individual pickers would
be allocated the rights, so that they would
be able to sell to the highest bidder;
Besides the BEE criteria of equity ownership
and management, genuine schemes that allowed
employees to hold equity in companies will
form a further criterion in the allocations
process.
Because of the difficulties faced in the traditional
linefish sector, particularly because of the
number of collapsed linefish stocks, the draft
policy for this sector will be released at
a later stage.
By inviting the public to participate in
the country's fisheries policies formulation
process Minister van Schalkwyk said: “I want
to assure every member of the public that
their inputs and comments will be carefully
considered. We have demonstrated before, through
the Izimbizo, that we would like to hear and
understand the concerns of our fishing communities.
From the Izimbizo we gained significantly
and members of the public who attended these
gatherings will find many of their proposals
already written into the draft policies. One
of these is the issue of language to ensure
accessibility. These policies are therefore
available in all four of the coastal languages
- Afrikaans, isiXhosa, isiZulu and English.
We have been criticized for allocating some
fishing rights to people who are not deserving
of these. At these Imbizo's I said that no
doctor, lawyer, teacher or person with another
income should receive a right in the C and
D Clusters that rightfully belongs to bona
fide fishers from fishing communities. As
a result, I would like to announce that we
will make use of provisional lists in Clusters
C and D prior to final allocation. This measure
will give the fishing communities the opportunity
to vet the lists so that those who misrepresented
themselves and who have other sources of income
can be identified and thus be investigated,
prior to final allocation.
Another criticism that I have taken note
of is that the previous application form was
too complicated. Special effort has been made
to develop a simplified application process
with explanatory notes and instructions in
all four coastal languages to assist applicants
, especially those from fishing communities
so that they would not have to rely on or
pay these consultants. Assistance will also
be available from a dedicated help and advisory
centre in the department.
Of the utmost importance is that the process
of rights allocation must be one of integrity
. We have instituted measures to ensure a
transparent and fair process of rights allocation.
Independent forensic auditors, have already
been contracted will scrutinise officials
and fishing applicants alike. Separate and
independent project management specialists
have been retained and lawyers have also been
placed on brief as a further level of checks
and balances. The Minister also warned fishing
communities against being preyed upon by “so-called
consultants” who claim to have an inside track
or influence in the process. Any claim like
that is simply not true. The application form
will also require applicants to provide details
of the consultants utilised.
Finally, the Minister said that when he announces
the application fees for commercial fishing
rights, it will be apparent that a further
concern raised during Izimbizo would have
been addressed. A new formula is being considered
and an announcement in this regard is expected
to be made during his budget speech on 6 April
2005.
