Oireachtas Joint and Select Committees

Tuesday, 8 December 2015

Joint Oireachtas Committee on Agriculture, Food and the Marine

Fishing Industry: Minister for Agriculture, Food and the Marine

4:00 pm

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael) | Oireachtas source

I knew the earlier discussion would take some time because the issue upsets many people. I will follow it up in discussion with other Ministers. We have received correspondence from the Dutch pelagic industry on this and that industry has also sent some letters to newspapers to give its side of the story. I realise there is concern about it so we will continue to discuss it.

With regard to the sustainable impact assessment of EU Commission proposals for this year, the annual fishing opportunities for fishing fleets are traditionally agreed at the December Fisheries Council. This year, the arrangements for 2016 are due to be negotiated at the Council scheduled for 14 and 15 December, which is next week. The levels of total allowable catch, TAC, and the quotas for Ireland will again be determined at that meeting following negotiations with member states and the EU Commission.

Before I discuss the substance of the impact assessment of the proposals, I will outline some pertinent facts about the Irish fishing industry. Sometimes there is a certain misrepresentation of the state of the industry and a desire always to focus on negative issues. Some positive facts about the Irish seafood industry are worth noting. The industry is worth approximately €850 million annually and employs 11,000 people. There are approximately 2,100 registered commercial sea fishing vessels in Ireland and there are 164 seafood processing companies here. Ireland exports seafood to 80 markets worldwide. The top five markets are France, UK, Spain, Nigeria, from which I have just returned, and Italy. The value of Irish seafood exports rose by 70% from €315 million in 2009 to €540 million in 2014. People who say this industry is dying on its feet should look at those figures.

Irish landings have substantially increased from 85,700 tonnes in 1973 to 314,000 tonnes in 2014 since Ireland joined the EU in 1973. The Atlantic waters where Irish vessels operate, stretching from the north of Scotland to Brittany and into the English Channel contain some of the most productive fishing grounds in the EU. Ireland's total share in 2015 amounted to 227,693 tonnes, with a total value of €205 million. Ireland's share of these fishing opportunities for 2015 represented 20% by tonnage and 19.5% by value. There are also very valuable inshore species which are not subjected to EU total allowable catch, such as crab, whelk, scallop and lobster, and are fished by the Irish fleet inside the six-mile coastal zone.

On the issue of quota in general, I am often called upon to get a bigger share of the quotas for Ireland or simply to ignore the quota regime altogether and allow a free for all for Irish vessels. I would love to get a bigger slice of the pie for Ireland but to do so it must come from another member state. The current quota regime was set down in 1983 based on track record in the 1970s and the only way to change this policy is to get agreement from member states and the European Parliament. I must be realistic. My counterparts in the UK and France are not simply going to hand over quota to Ireland.Consequently, my focus is on making the best possible use of the resource that we have and to build up that resource.

The process of preparing for the Council is now well under way with the publication of proposals for TACs and quotas of key stocks of interest to Ireland in mid-November last. The proposal covers stocks which are not subject to third party international agreements and are, in the main, whitefish and prawn stocks. Stocks which are subject to ongoing international negotiations -such as blue whiting and whiting in the Celtic Sea - are not included in the proposal yet. Earlier negotiations on the total allowable catch for mackerelfor 2016 resulted in a substantial quota for Irish fishermen for next year of over 75,000 tonnes. This quota is worth over €63 million directly to our catching sector and the new long-term management strategy that was also agreed will provide stability to our fishermen in this vital fishery for Ireland by avoiding large variations in the quota from year to year.

A very important element this year concerns a number of demersal stocks that will be subject to the landing obligation in 2016for the first time. The landing obligation or discards ban, as it is known, was a central element of the reform of the Common Fisheries Policy and was agreed by all member states as well as the European Parliament. For Ireland, the stocks affected in the first year from the point of view of whitefish, as it is already in force for demersal stocks, will be nephrops in area VII, whiting in the Celtic Sea and haddock in the Irish Sea and west of Scotland.

The point of the landing obligation is gradually to phase out the dumping of perfectly good fish at sea and to end the catching and discarding of juvenile fish. It will not be easy but it is vital if we are to protect the sustainability of our coastal communities that depend on healthy fish stocks. To give an example, we currently discard over 25%of our whiting catches in the Celtic Sea. We discard or dump 37% of our haddock catches in the Irish Sea. There are similar and worse rates in most of our fisheries. This is simply unsustainable and a dreadful waste of a valuable resource. Operators should use improved fishing gear that does not catch juveniles so that all mature fish can be landed for the benefit of our coastal communities. The bottom line is that we must constantly seek to manage what we have in a more sustainable way. We must only catch those fish that we want to catch and we must avoid juveniles. We must challenge the status quoand strive to make our fleets more efficient in what they do in order to maximise the economic return and protect the sustainability of our stocks. That is essentially what the new Common Fisheries Policy is about. It will benefit everybody in time, including fishermen.

One measure to lessen the immediate impact of the discards ban which was included in the CFP, at my insistence, is that the Commission is obliged to take account of previously discarded fish when considering its TAC proposals. So called "quota uplift" must be applied to the TAC for each of the affected stocks. This is a complex process and has not yet been finalised. However, I am optimistic that there will be a degree of uplift for the relevant stocks in the final outcome next week. I will aim to ensure that Irish fishermen get the maximum uplift compatible with stock sustainability. In my experience fishermen understand fully the importance of protecting our natural resources and are open to new ways of doing things. They also understand, more than anybody, the importance of good science. Our industry works closely with the Marine Institute and Bord Iascaigh Mhara, BIM, in the industry science partnership to ensure that knowledge is fully shared.

The Commission's proposals for TACs and quotas for 2016 are based on formal advice received from the International Council for the Exploration of the Seas, ICES,the independent international body with responsibility for advising on the state of fish stocks. It also takes account of the views of the Scientific, Technical and Economic Committee for Fisheries, STECF, which gives the Commission its views on the economic, technical and social impacts of the scientific advice. To inform my negotiations at the December Fisheries Council, I have had an assessment of the impacts of the Commission proposal undertaken. The preparation of this impact assessment is provided for in the programme for Government. To facilitate and inform these deliberations, an open consultationprocess was initiated, whereby stakeholders were asked to submit their comments and observations on the Commission proposal for fishing opportunities for 2016. From 11 November, an online web portal on www.fishingnet.ie was activated to enable the transmission of electronic submissions for consideration.

In addition, I convened a meeting of stakeholders on 24 November which gave a further opportunity to interested parties to outline their positions directly to me on the many aspects of this proposal. In all, four submissions were received by the closure date. The full content of all the submissions received by the deadline is to be found on the website.

I agree with the sentiment in many of the contributions which call for greater adherence to the available scientific advice to enable prudent and appropriate management decisions to be taken allied with a concern that if we introduce total allowable catch, TAC, and maximum sustainable yield, MSY, level in a big bang, it would be an unacceptable scenario in terms of economic and social impacts. Let me be clear, I will not support cuts unless I am satisfied they are necessary. If the scientific advice is clear that cuts are necessary, I will support them, but I will not support cuts which would simply create a real risk of generating higher discard levels than at present, or where there is a risk that overly severe cuts could jeopardise seriously the social and economic sustainability of our fishing fleets. I want and will fight for sustainable fish stocks, but hand in hand with this I will fight for a sustainable and vibrant fishing industry in terms of working through the changes we will introduce in the Common Fisheries Policy, CFP.

I will go into more detail in a moment, but to illustrate what we are facing next week, I will outline some of the cuts for some other important stocks. There proposed reductions are 9.6% in nephrops, and this includes the Commission's proposal for a quota uplift; 43% in cod and 27% in haddock in the Celtic Sea; 52% in haddock in the Irish Sea, and this includes the Commission's proposal for quota uplift, which seems extraordinary; and 12% in monkfish in the Celtic Sea. I do not believe that reductions in quota on this scale are either justified or necessary. There are stocks where I can accept the cuts proposed, for example, Celtic Sea herring, which is prudently managed by the Celtic Sea herring management advisory committee. North-west herring is also of major concern to the Commission, which proposes a zero TAC. This is another complex issue. Given the fact there are two stocks and two management areas, the science cannot for one moment differentiate between the two.

The Marine Institute and Bord Iascaigh Mhara, BIM, have undertaken an evaluation of the Commission's proposal, which is contained in the sea fisheries sustainability impact assessment. From a purely biological perspective, the Marine Institute's view is that while noting an improvement in the status of some fish stocks, others remain a concern. The impact assessment summarises the pressure on the 72 stocks dealt with in the 2015 stock book. There are a higher number of sustainable fish stocks, at 26, and percentage, at 36%, in 2015 compared with last year. The percentage and number of stocks overfished has declined in 2015, although the number and percentage of stocks with unknown status is similar to last year. The specific details for all stocks are available in the document laid before the Dáil and in the accompanying stock book prepared by the Marine Institute. I am willing to address any specific issues on the individual stocks raised.

The current set of proposals will see a net reduction in fishing opportunity of 13.8% by volume. This amounts to a direct income reduction of more than €11.5 million. These figures can be further explained. There is a proposed net reduction in fishing opportunity for the demersal sector, which is white fish and prawns, of 12% by volume, with a direct income reduction of €10.4 million. Of this, the prawn fleet will see a critical reduction of 9% by volume. This includes the Commission's proposal for uplift and a direct income reduction of €5.5 million.

For the Irish Sea, the Celtic Sea and west coast, there will be an 18% reduction in fishing opportunities. This is €12.4 million for the demersal fleet. This will directly impact on the ports of Clogherhead, Howth, Dunmore East, Kilmore Quay, Dingle, Castletownbere and Rossaveel as well as other smaller ports. The picture is somewhat better for the north-west stocks, in that there is a 14% increase in fishing opportunities, which is €900,000 in value, for the demersal fleets. This will directly impact on the ports of Greencastle and Killybegs. We still have zero proposals for herring and we need a small fishery for this stock.

In addition to the direct losses to the fleet, income will also be lost from the processing sector as a direct result of reduced catches and in a number of ancillary industries such as net making, chandlery, engineering and refrigeration. Based on turnover multipliers from fish landed in distinct Irish ports, BIM estimates the full costs of the proposed quota reduction are in the order of €23.5 million. BIM further estimates on the basis of the most recent employment survey that these reductions could impact on between 275 and 325 full and part-time jobs, either through reduced incomes, partial lay-offs or redundancies.

The proposals do not include the Hague preferences, which are a safety net for the Irish fleet on specific stocks where total allowable catches are in decline. These are additional amounts of quota which Ireland and the UK claim for important white fish stocks. Many member states object strenuously to their application as the additional quota comes off their allocations. Ensuring the preferences are applied will be a key political objective for me in the negotiations. The loss of these allocations in 2016 would amount to more than 1,300 tonnes of fish, with a direct value of €2.6 million according to BIM. The full value of the Hague quotas in 2016 is €5.2 million, with an associated impact on between 60 and 70 full and part-time jobs, either through reduced incomes, partial lay-offs or redundancies.

Apart from the stock specifics, there are also other issues of a cross-cutting nature I would like to comment on briefly. Regarding maximum sustainable yield, I am committed to the ambitious policy of achieving MSY by 2015 where possible and by 2020 at the latest. This must be implemented in a rational and progressive manner. In line with the CFP, I consider that we will need to phase in delivering MSY if its immediate application seriously jeopardises the social and economic sustainability of the fishing fleet. Cod and haddock in the Celtic Sea are examples of fisheries where there is, I believe, a strong socioeconomic justification to delay the delivery of MSY in the short term, but in any case ensure its delivery by 2020 at the latest.

I concur with the findings of the sea fisheries sustainability impact assessment. I will not support cuts based on an overly narrow or rigid interpretation of the scientific advice. I will seek to make full use of the flexibility allowed under the Common Fisheries Policy, where justified. I will support cuts where the scientific advice is clear that the reduction in fishery mortality is necessary for the long-term sustainability of the stocks in question. There is a high cost from a social and economic perspective when quota cuts are imposed, and I must be satisfied in every case that these cuts are justifiable. Fishing ports and entire communities around our coast are dependent on fisheries for their very survival.

I publicly thank and acknowledge all those who contributed to the production of the impact assessment, and I look forward to the debate and any questions people may have. I reassure the fishing industry and NGOs that we will approach next week in the way we have done in recent years, using science as the basis of our arguments. I must have the interests of stocks in mind but also people's livelihoods to ensure we can keep them in business through a very demanding transition period, which is what we are in at present in terms of implementing a new Common Fisheries Policy.

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