Tuesday, August 12, 2008 Tuna fishers ask for fuel subsidy
TWO large groups of tuna producers here on Wednesday asked the government to extend fuel subsidies to their vessels to lessen the impact of the high cost of petroleum products to their operations.
Dexter T. Teng, president of the South Cotabato Purse-Seiners Association (Socopa), said any government subsidy on fuel products to tuna fishers is very much welcome during this difficult times.
"It's not only the sardines industry that is reeling from the skyrocketing prices of fuel products. The tuna industry is also feeling its effect [but we are hanging on]. Even a temporary subsidy from the government would be a good relief," Teng said.
Socopa is composed of 41 fishing companies that operate group purse-seine fishing vessels (carrying capacity is about 20 to 150 gross tons). The group has at least 160 purse seine sets or 1,120 vessels and manned by approximately 10,500 crewmen.
Teng said that fuel eats up 55 to 60 percent of the tuna fishers' operating cost per expedition.
On Monday, President Gloria M. Arroyo has ordered concerned government agencies to look at the problems in Zamboanga City, the country's center for sardine production that stopped operations recently due to the rising costs of diesel prices.
As a short-term solution, Malacanang is considering the possibility of providing diesel subsidy reportedly by P5 per liter to the Zamboanga fishers for them to resume fishing operations.
Cabinet officials said the windfall from the value added tax maybe used for the long-term solution of converting their vessels' engines to run on alternative fuel.
A meeting between the Zamboanga fishermen and Energy Secretary Angelo T. Reyes is being worked out by the Mindanao Economic Development Council, an agency tasked to chart development initiatives in the southern Philippines.
Teng said that a temporary government subsidy on diesel of P3 to P5/liter to tuna fishermen will be acceptable.
He revealed that tuna fishermen will push for the granting of a fuel subsidy by the government during the annual national tuna congress slated here next month.
Malaysia and Indonesia are giving fuel subsidies to their tuna fishermen, enabling them to be more competitive than Filipino tuna producers, Teng lamented.
Roger R. Lim Sr., vice chair of the Alliance of Tuna Handliners, also said a temporary fuel subsidy for tuna fishermen will be a welcome relief.
The handline sector uses traditional hook and line fishing method in catching large tuna. With an estimated annual value of P4.5 billion, it is composed of over 2,500 handline boats (locally called pump boats) and employs at least 40,000 fishermen, with an estimated annual landing of over 30,000 metric tons of high value tuna.