Showing posts with label Tuna Pole. Show all posts
Showing posts with label Tuna Pole. Show all posts

Friday, 22 April 2016

Proposed Marine Protection Area's To Close Up Shop For Large Pelagic Fisherman

The Department of Environmental Affairs (DEA) are moving forward with the proposed new Marine Protection Areas which is a follow on from the 2011 MPA Project. The majority of the funding for this project will be  provided through the Greentrust (a partnership between WWF and Nedbank).  Additional funds for project co-ordination were provided by the South African National Biodiversity Institute (SANBI).

 The Department of Agriculture, Forestry & Fisheries (DAFF) provided data for fisheries effort, catch and bycatch data and data to support ecosystem based management of fisheries. Various other scientists and interested bodies participated with the submission and interpretation of the data collected.  

When SANBI set about the MPA process, they had to select a mechanism to assess the effect of the MPA on industry, and settled on fishing effort per area. It would have made more sense to use actual "Rands and Cents."  The cost effect of effort can be confounded by seasonal changes and species types. A useful example may be found in fishing for Southern Bluefin Tuna (SBT). Actual effort on SBT might be low as the fish are only present for a part of the year and in discreet locations. Raw effort data would show that SBT grounds are of low value or "cost".  However, the "Rands and Cents" costs might actually be huge. A parallel can be drawn  at the time of compiling these reports (majority being done during 2011), when the albacore tuna price was much lower than what it is at today's rate (highest rate per kilogram in the history of the South African tuna fishery). The cost of this fishery has more than tripled in comparison to the reports data logged back then.

Other issues that I am not able to understand is how they would propose to close an area to pelagic longline and tuna pole and leave it open to south coast rock lobster or linefishing. South Coast rock lobster traps are set on the bottom of the sea floor. These traps remove south coast rock lobster and some other marine life from the ecosystem and and the effect of dragging a string of pots along the bottom can be notably significant. The large pelagic fishing methods for tuna (longline and pole & line) only effect the upper layer of the ocean, ie the surface and up to 80 fathoms (possibly deeper). The proposed closures are to protect species and their breeding grounds such as the SASSI orange listed kingklip and to provide sanctuaries for species such as the blue shark. Similarly linefish has a list of prescribed species but the mortality on other species is significant. Linefishing techniques involve sending a lure to the bottom and working it up the surface. Most fish species with a swim bladder caught in deeper water and released will have a significant post release mortality. 

These effects that are permitted challenge the rationality of excluding pelagic longlining and pole & line for tuna. It is possible that it was excluded because of a sense that large pelagics takes place on a greater scale then that can be resolve through other mechanisms that are less drastic than a hard MPA.

Should the DEA successfully gazette these MPA's, then this will effectively shut off productive fishing grounds for the tuna fishermen. As the tuna are migratory species, our fishing method for targeting these tunas are to follow the shoals along our coast line for the the limited time of the season that they found to be present. Industry is busy with the consultative process with government challenging their proposal within reason. Needless to say then dealing with government, the wheels turn ever so slowly...

Below is a map indicating the various MPA's proposed by government:


Below is a table showing the offshore biodiversity protection including key objectives, stakeholders & management consideration:

Friday, 10 July 2015

The South African Pilchard Demand

 Since the start of the South African pilchard season which commenced upon receipt of their respective right holder permits from DAFF earlier this year, the season started off slowly with intermittent periods of good catches. With the pilchards (Sardinops Sagax) having little or no presence around the Cape Of Good Hope, the vessels have been in search of the shoals around Mossel Bay and further up the coast with some success.



 With the development of the Mauritius Free Port Development (MFRP), fishing companies have diverted their vessels in favor of the duty / tax free advantage afforded to them by the Mauritian Government instead of docking and discharging in Cape Town with the South African political environment. Adjacent to the seaport of Port Louis, Mauritius's largest port, has developed the largest logistics center in the Indian Ocean. Which offers world-class, cost-effective supply chain solutions through a comprehensive range of equipment and facilities which comply with the highest standards in the industry: EU, HACCP, ISO. Some of the facilities and services on offer are: freight forwarding, customs clearance, transport/ haulage, office rental, dry and cold warehousing, cold storage, container services, dry docking and a seafood hub. The main attraction for vessel owners would be the following:
Zero percent corporate tax,
Preferential markets access (subject to meeting rules of origin requirements)
Exemption from customs duties on all goods imported into the Free Port zones
Free repatriation of profits
Access to offshore banking facilities
Reduced port handling charges for all goods destined for re-export
Hundred per cent foreign ownership
Fifty per cent of re-export value to the local market

 It really makes complete sense for a vessel owner to rather call on Port Luis for discharging and resupply. This is why this destination has seen the majority of the South Africa pilchard bait sales with the likes of MSC shipping the bulk of the volume. The local pilchard bait has been traded around $1350/ mt FOB Cape Town, however some volumes has been sold at $1400/ mt FOB same origin. These prices are looking to drop inline with the competition from Moroccan bait suppliers. Albeit the Moroccan pilchard is a different specie, the South African and Canadian pilchard is in highest demand due to the quality and fat content. However, the vessel owners are now looking to bait their hooks with Canadian herring as a substitute based upon the reports and interest received from the Fijian long liners success. The herring was being  sold around $1120/ mt CFR Port Luis for the 55/65 jumble pack, a few weeks back. The South African bait suppliers have changed their packaging to the 10kg boxes as per some customers request. This is a more efficient way of packing although the presentation and quality is slightly inferior. The 5kg box which has been preferred by some customers increased the suppliers packaging costs and labor time. The local South African tuna pole vessels prefer the 5kg box due to the interleaved finger packing presentation of the pilchards and is less bulky for easier storage on board.

Below on top is the typical 5kg pilchard box:



Above is the 10kg pilchard box: (You will see the difference in presentation of the packed baits)

With the international sardine bait price expected to decrease, the vessels are looking to catch their quotas as soon as possible making full advantage of the bait prices, weather permitting of course. 

Wednesday, 8 July 2015

Record Highs and Lows For SA Tuna Fishery

 The South African Tuna Pole Fishery has been bolstered this past season by the highest prices in history paid by the local exporters for their albacore catches. (South African Albacore Price Trend) Whilst the frozen yellow fin prices have remained consistently low, the albacore price roller coasted even higher and higher. This advantageous position for the vessel owners was drastically assisted by the competitive trading by these exporters to accumulate what little supply there was which was a major contributor to the high prices seen this past season. We need to be reminded that global catches were poor at this time which was also a major contributing factor. Whilst New Zealand had some catches of the smaller class of albacore, it was subsequently traded at a much lower price because of this. With the onset of the Spanish tuna season we have seen their canneries taking a more bullish position in an attempt to drive down the albacore price. This has had some effect on the price but with their catches remaining slow and low, SA albacore is still trading relatively high albeit at a level lower than last month. This past week we have seen improved catches of albacore with still the larger class of fish being landed. Interestingly, there have been increased reports of blue fin tuna swimming in and amongst the big eyes!

 With our tuna pole season still unbelievably in late operation, we have seen a decrease in the number of active vessels in our fleet still fishing. This is mainly due to the recent lull in catches prior, the presence of snoek (thyrsites atun) and the expiry of annual Local General Safety Certificates issued by SAMSA. The effect of the snoek fishing has seen a reduction in the availability of crew for the tuna pole vessels as the crews earn a higher wage catching snoek with landlines creating frustration for the tuna pole vessel owners who are port bound.


With SAMSA's Special Marine Projects Division being awarded the interim contract for our marine resource protection we have seen increased visible enforcing with the inshore and offshore patrol vessels; Lilian Ngoyi, Ruth First and Sarah Baartman, performing random inspections on the tuna grounds. Whilst they are perceived as a nuisance and hindrance by industry, we must all be reminded that it is pertinent for SA to show active policing of our marine resources to ensure that we fulfill our ICCAT mandates to ensure annual renewal of our quota for tuna species. Without this visible patrolling, SA would not be able to give guarantees (such as the IUU Catch Certificate system) that our tuna is caught according to the ICCAT rules and
regulations i.e. legally guaranteeing full IUU compliance of our fleet.




The International Seafood Sustainability Foundation (ISSF) has a simple diagram below highlighting some of the requirements our Department Of Agriculture, Forestry and Fisheries (DAFF) has to comply with ICCAT in order to maintain full compliance and membership. namely; timely reporting of tuna catch data per specie, observer coverage, vessel monitoring (VMS), active vessel register to name a few.
This tuna season will be reflected upon as providing a much needed respite for the vessel owners but it must be commented that many of them did not utilize this opportunity to fish aggressively and make the most of it, with some of the fleet having recorded very low catches indeed!

Monday, 23 March 2015

South African Albacore Price Trend

Over the past few years, the South African albacore catches have been erratic and irregular which is to be expected as this specie is a highly migratory fish with demand at an all time high. 

Basic economics will explain that the price for a commodity is ultimately regulated by that of supply and demand. So we have supply, which is how many tons of tuna we catch, and demand, which is how much tuna people want. Put the two together, and you have  the basic rationale of supply and demand. The albacore price is best illustrated by the demand curve. In economics, the demand curve is the graph depicting the relationship between the price of a certain commodity and the amount of it that consumers are willing and able to purchase at that given price. Essentially, the lower the volume of albacore caught, the higher the price the canneries are willing to pay.



Various factors will effect either the demand and or supply simultaneously. Factors such as; rate of catches/ landings, exchange rate fluctuations, global catches, competition and time to name a few.

The South African albacore supply is mainly caught by pole and line vessels and thus the below graph illustrates the pole and line price accordingly for frozen whole round form. The local supply of frozen albacore has another yet very important factor determining the volumes as a portion of the fleet of vessels are outfitted towards fresh quality catches by slurring on-board. This fresh albacore which is exported in whole round form via air freight to mostly Spain and other countries within the EU, fetches a slightly higher return than the frozen price. This ranges between R2 to R6 per kg above the frozen albacore price.


The price today for albacore has reached the R30 per kg mark with the current trend for it to continue its upward increase. However, as explained in economics, the ceiling price will not be to far off which will prove to difficult and the determining factor which will set the highest price possible for the past 2 decades. The most crucial factor here is that of the frozen cooked albacore loin price. With whole round tuna, the importers in the EU have zero duties to pay above and beyond the sale price. However, with cooked loins, there are duties between 22-24% depending. With the price for albacore being this high, soon the canneries will overlook the import costs of loins to ensure continued supply. This will shift their preference to cooked loins until the whole round albacore price stabilizes at a lower more affordable price level and also guaranteeing a steady volume of supply.

For the interim, the local vessel owners will enjoy the current respite that the high prices offer although the diesel price is set to increase substantially next month and catches still remain slow. The high returns will negate the low catch rates until a shift in the global market occurs. Currently there are issues in Indonesia with red flagging of tuna exports from this country supposedly due to IUU practices which will starve the market just long enough for the price to remain high. The New Zealand albacore season has started or has it? Its been poor like ours but the size grading of their catches have been around the 3 kg whole round range. For a smaller fish you receive smaller yields, which in turn effects the profitability therefore receiving a lower price. 

Monday, 19 January 2015

Statistically Speaking, 2014 Was Well Below The Gunwale

With the South African tuna season starting off rather slower than anticipated, historically a different picture has been portrayed with this season having only a combined landing of below 200 tons as opposed to previous years average of around 1400 tons for November/ December period. (I do suspect on good authority that this figure is in fact incorrect.)

Bad weather has left the majority of the SA Pole and Line fleet docked in port whilst some of the smaller more economical vessels have chosen to brave the short weather periods with a mixed bag of results. With strong South Easterly winds fetching large South West swells, the opportunities have been restricted to only a 2 to 3 fish-able days before the North Wester picks up sending all vessels in search of their home or nearest port for refuge. This morning the hake long liner Christo Rei snapped her bow lines on the North Mole, Hout Bay in some serious South Easterly gusts, hence why my vessels were discharging today what little catches they had.

The majority of the albacore that has been landed was concentrated in smaller shoals with no sign as of yet of the larger biomass of albacore having been witnessed on the decks. Below is the graph from the Department of Agriculture, Forestry & Fisheries - Research & Development Branch which indicates the albacore tuna catching frequencies on a monthly/ annual basis for a comparative understanding:



So far the 2014/1025 season hasn't had much to show for itself, but this can change within a fortnight as has been experienced in the past. With the smaller volumes keeping the demand up, the albacore price is expected to remain relatively high provided the Rand doesn't strengthen further against the Euro and whilst the New Zealand pole and line season doesn't start. We can expect the decent raw material price to remain at its current level ensuring a welcomed return to the vessels.

The local yellow fin market has been able to consume the quantities landed of the smaller yellow fin (under 30kgs & over 50kgs) due to the irregular weather gaps allowing for the market to rebound in time of the next landings. This will remain so until the rest of the fleet start landing fresh yellow fin. The larger yellow fin (50kgs+) has found some good returns in the American market which does not have a size stipulation unlike the European Union's concerns over mercury.

With this week's maritime forecast being a blow out...the vessels will most likely look to depart on Saturday only. With a select few vessels having had some good landings, the majority of the fleet and exporters remain understandably apprehensive and somewhat nervous. 




Wednesday, 8 October 2014

The State Of Your Tuna Fishery

The International Sustainable Seafood Foundation (ISSF) recently published online a downloadable technical report outlining the current health of our 23 commercial global tuna stocks titled: The Status of the Stocks. The report provides a comprehensive summary of the recent scientific stock assessments as well as the current management measures implemented by the respective Regional Fisheries Management Organisations (RFMO's). The methodology behind the rationale of this report revolves around these three key main factors: Abundance, Exploitation/Management (fishing mortality) and Environmental Impact (bycatch).  

In 2012 the global total catch of the 23 commercial tuna stocks was 4.6 million tons with skipjack tuna accounting for a total catch of 56% of this volume. Whilst the total yellow fin and albacore are 28% and 6% only. Whilst these are large volumes, it is proposed that globally 52% of the tuna stocks are in a healthy level of abundance, 39% are overfished and 9% are at an intermediate level. In terms of exploitation, 43.5% of the stocks are experiencing a low fishing mortality rate, 17.4% are experiencing overfishing, and 39.1% have a high fishing mortality that is being managed adequately.

When viewed from the point of view of total catch, 86% of the catch comes from healthy stocks. This is due to the fact that skipjack stocks contribute more than one half of the global catch of tunas, and they are all in a healthy situation due to their high fecundity rate. In contrast, most bluefin stocks and 2 out of 6 albacore stocks are overfished, but combined they make a relatively small fraction of the total catch.

A foreign vessel offloads its catch of tuna:




There are three main albacore tuna stocks in the Atlantic Ocean ICCAT area namely: North Atlantic, South Atlantic and the Mediterranean. Albacore catches in the South Atlantic increased 2% in 2012 (24,600 tons) from the previous year. Long linging accounts for 67% of this and 26% for Pole and Line. In 2012, the Total Allowable Catch (TAC) was set to 24 600 tons with a Maximum Sustainable Yield (MSY) at 25 200 tons. Due to the respective scientific advice and recommendations, the TAC for 2013 was reduced to 24 000 tons by the RFMO ICCAT. The Pole & Line review notes the lack of information regarding the impact the live bait vessels inflict upon the small pelagics and therefore could possibly be upgraded in the future with adequate data collection.

Currently South Africa has a quota allocation of 4 400 tons only. Previously South Africa and Namibia had a sharing scheme but last year's ICCAT meeting it was generally voted to be split thereby Namibia's quota will be set at 3 600 tons. With the recent figures circulating around the Department of Agriculture, Forestry & Fisheries (DAFF), South Africa should reach and succeed our quota before the end of this year. This has major implications and repercussions with the most noticeable being a reduction in our quota by the volume of what was over caught for the 2016 season. (the quota will remain 4 400 tons for the 2015 season)

South Africa who has the second largest albacore quota (Chinese Taipei has been allocated 9 400 tons) will have to approach the other South Atlantic fishing nations and request additional quota from them should we exceed our limit. 

Monday, 6 October 2014

Blessing Our Fleet's Heritage

With this year's Blessing Of The Fleet taking place on during the weekend of the 40th week being so close to the public holiday Heritage Day and Heritage Month, one cant help but embrace this theme for this is exactly what this festival embraces. The Blessing of the Fleet festival once again took place at the V&A Waterfront with a great attendance of both the Portuguese and other fishermen's families over the course of a hot weekend. With last season's catches having improved substantially, it is no wonder this year had an even better participation. The tuna pole fleet this past season have mostly all managed to catch decent volumes albeit nothing of the years gone by, but nonetheless a few more smiles have been seen along the quays. Who knows, maybe this year will be even better than the last? Here's hoping.

The only real major issues this off season was that of the slipways and their lack of availability. With Cape Town syncro lift having been closed for maintenance and with Hout Bay's main slip being broken, there weren't too many options available for the vessel owners. This has created an unwanted amount of tension and back log. Furthermore, there were some strike action on the Hout Bay slip, although this was denied by DAFF. This same slipway has been out of commission for a few months now. Not sure how long you need to repair a slip but then I think of all those jokes about "how many people does it take to screw in a light bulb?" Perhaps this is a clear indication that it is time for the slipway in Hout Bay should be privatized?

Secondly, SAMSA have been more vigilant this season and have been checking and enforcing the qualifications of each vessel's crew. We had to send our officers on the fire fighting, first aid courses again which is a good thing. I suspect this is due to the fact that SAMSA is currently reviewing our industry's safe manning requirements and have thus issued you with 2 certificates, namely; Safe Manning Document and now also the Advisory Safe Manning Document which outlines what you will be required to crew with the respective competence in the near future. This is all in accordance with SAMSA's initiative to align the current South African manning compliment with that of the International Maritime Organisation's recommendations. This is to ensure that we conform with the international standard especially for those vessels operating with the high seas command.

So as is this time of the year that all the vessels are receiving their preparations and diligent attention  in respect of the surveys that they will undergo to be shipshape for the up and coming pending season. The harbor is abuzz with contractors working under the ever so vigilant eye of the owners and skippers. We have seen the fleet undergo a large amount of maintenance and plank work in preparation for this years arrival of the tuna.

Staying with the heritage theme... I came across a very informative and interesting website called Trawler Heritage. The author of this site who has dedicated this effort to his late dad, has insightful information and comments regarding the fishing vessels both past and present that operate along our coast. His comments regarding each vessel which he has an extensive collection of photos published on this site, are pretty accurate. He has even noticed the color schemes changing on some of the vessels this year. If you are a vessel owner then I suggest that you take a look on his website as he probably has your vessel's history logged. He has gone into great details and effort to keep his pictures and information current and has subsequently received an international ward. Kudos to him and all who have provided assistance. The website provides a great source of information regarding our fishing heritage, harbor infrastructure and general industry news. A good read for those interested and it seems to be updated regularly.


Pictured above in Hout Bay, is three of the former S.A. Sea Products vessels now in the tuna pole sector moored alongside each other namely from left to right; "Hangberg," "Sneeuberg" & "Constantiaberg," while a fourth sister vessel the "Barbara W" which moored directly in front of them has now sunk. At present all four vessels have different owners, and were used as crayfish boats in days gone by. This picture and caption are from their website for your information. (www.trawlerheritage.co.za)

With this year's blessings having been bestowed, all that remains is for the patient arrival of the tuna. Good luck to all and may this season be better than the last.


Wednesday, 13 August 2014

The B-BBEE Net Tightens Around Fishing Sector:

Many folk who actually paid attention or managed to stay compos mentis took away different understandings and perceived visions regarding President Jacob Zuma’s State of the Nation Address delivered to Parliament on June 17th. I’m referring in particular to the following extract below written for and on his behalf:

“We will sharpen the implementation of the amended Broad-based Economic Empowerment Act and the Employment Equity Act, in order to transform the ownership, management and control of the economy. We will promote more employee and community share ownership schemes and boost the participation of black entrepreneurs in the re-industrialisation of the economy.”

The various government departments have already begun to include B-BBEE compliance as a requirement for licensing procedures and incentive schemes alike. This is nothing new to the fishing right holders and vessel owners who have been forced to comply for some years already. The clause that has me perturbed in particular is in the interpretation of Notice 27 and Notice 28 of 2014 published in the Government Gazette of 21 January 2014, pertaining to the import and export of specified agricultural foodstuffs and flowers, the Department of Agriculture, Forestry and Fisheries has included a valid B-BBEE certificate as one of the application requirements for being issued with a new export and import permit… My fish export company has recently renewed 2 of our export permits and this was not a requirement, yet. It will also need to be established if this will be the department’s intention to implement this and also whether they will be requiring the minimum B-BBEE compliance or if they will (as they have done in the past) enforce a higher level of compliance? This ultimately means that the export and marketing companies will now have to become B-BBEE compliant or lose their export/import permits. It’s almost becoming easier and more viable for me to buy tuna in Namibia and export it from my Cape Town office!


To make matters worse is the fact that as per the Liquor Amendment Regulations 2013 published in the Government Gazette of December 3rd, 2013 the Department of Trade and Industry is now requiring liquor license applicants to submit a valid B-BBEE compliance certificate in order to renew their permits. I’m not sure how many restaurants and bars will be forth willing to comply? It looks like I might have to move my office to Lüderitz. Prost! 

Tuesday, 22 April 2014

Ecomentaries: Paying the Price: the trouble with tuna

Ecomentaries.org recently begun production on a documentary titled: Paying the Price: the trouble with tuna, which explores the tuna pole fishing industry in South Africa and is well worth a viewing.

Their focus for this particular documentary is to create awareness for the general public as to the different catching methods and their associated effects on the respective ecosystems. Thus will in turn afford the local consumers an educated choice as to which retailer’s brand of canned tuna to choose. I believe that Food Lovers Market will become the first retailer to offer canned tuna with a more sustainable catching method. A simple you tube search result will provide you with ample videos of the various catch methods for purse seining, long lining and pole & line, if you would like to watch further click on the respective fishing method. As the cliché goes, a picture is worth a thousand words. 


The Ecomentaries.org film group spent time on board the tuna pole vessel Hangberg which freezes its catch on board. They have recently aired on Vimeo a tailor of their up and coming documentary series which can be viewed at the link in my first paragraph. The film crew followed the tuna from whence it was caught, frozen, transported to Duncan Dock Commercial Cold Store where it was graded according to size and stored. From here it is exported to canneries and processing plants around the world ensuring full trace ability essentially from hook to can.

Below is some information about Ecomenatries.org which I extracted from their website for your information:

We are a production and media company who raise awareness for critical wildlife, community and environmental issues. We produce emotive mixed media content to provoke discussion, action and ultimately, change. 

We support businesses and NPO’s with their green agendas: developing creative conservation platforms to help them share their environmental initiatives with the world.

We tackle a wide variety of sensitive and important subjects and inject them into the public domain via our extensive distribution network, including broadcasters, print publications, social and online media.
From shark finning in Mozambique and Bangladesh's turtle mafia, to sustainability projects in the Amazon and protecting Madagascar's abused children,  we have shot ‘ecomentaries’ in some of the world’s most remote pockets

We adore green business, and specialise in developing creative content for socially responsible corporations. If your company takes conservation seriously, why not tell people about it?
More is being demanded from corporations than ever before. Consumers already make decisions based upon ethical standards, their carbon footprint, sustainability, and social-awareness. However, soon, even this may not be enough.

A company’s ethics are becoming the cornerstone of their success. Nike has already changed their production processes and Cadburys is now fully Fairtrade. Whether it’s employing local people, running off green power, using sustainable produce, or even developing an anti-poaching unit, consumers want to know about it.

Long gone are the days of traditional advertising; companies are looking for new avenues to reach consumers. We utilize our extensive network of distribution outlets to promote our work and the work of our partners.

What We Do:
Documentaries
Environmental films
Community awareness projects
Corporate productions
Mixed media exposure

Wednesday, 19 February 2014

David’s Sustainability VS Goliath’s Economies of Scale

These days, the press across the various mediums highlight the importance of sustainability and fishing for the future. Through this and other public awareness programs broadcast by organisations such as Green Peace, WWF and ISSF, the general public is being awakened to an interesting and complex industry that is - commercial tuna fishing. Whilst the likes of first world country consumers are already well aware and preferential to more sustainable practices, there is an ever lagging effect filtering down to the 3rd world nations. In the UK for example, the various retailers shelves are well stocked with various produce sourced from sustainable fishing methods. However, here we don't see this and this is due to consumer awareness and price. Here it’s purely about economies of scale and price for food security and ultimately survival. We don’t have the luxury of affording pole and line caught tuna in Checkers and Pick n Pay just yet. The fact of the matter is that we are already mumbling about the Saldanha brand (a product range that was developed and initially imported on behalf of Saldanha by ourselves) costing around R18 per can for the flavor variants and R15 for the oil and brine variations. The simple matter is the South African Rand hardly ever fares well for imports such as canned tuna, which price will fluctuate like the proverbial tide in parallel with the exchange rate. We’re talking U.S. Dollars to South African Rands here which until recently slumped lowest since the year 2008. This is the main factor combined with the price of raw materials in Thailand. Bangkok sets the skipjack price which recently is at an all time low. However the rand weakening didn’t allow the importers to take advantage of the low skipjack price which is being traded around $1300/mt CFR Bangkok (cost and freight delivered to Bangkok main port). As a result the can on your shelf has been able to withstand this variable but only to a certain degree. Depending on when the retailers will place their orders for more stock, we can expect the price of canned to possibly increase should they look to preserve their margins as the skipjack price is bound to recover to higher levels.



Now let’s discuss pole and line…I’m not sure who would prefer to pay an estimated R25-R30/can of pole and line caught skipjack tuna…the general public apart from Woolworths wealthy can afford this and such… its easier for the more well off patrons to ease their conscious by insisting on sustainability from a pole and line caught degree and sleep well at night. There is sort of a price barrier in third world countries for sustainable fishing practices being canned for these nation’s shelves. The poor rely upon the canned tuna as a relatively cheap accessible source of healthy protein. In South Africa its more blikkie chilli vis that's been sold than canned tuna. In fact last week retailers in Argentina started securing cans of tuna with anti theft alarms as theft of canned tuna is literally out of control like their ailing economy. Imagine an anti theft clothing alarm tag usually reserved for garments now stuck to your can of No Name Brand shredded tuna? It’s literally happening around the world as we speak. Now there are cheaper variations (shredded tuna) finding a their way to the bottom of the shelves but at a more reasonable price? The fact of the matter is that the retailers have developed a cheaper product derived from the by product of tuna loin production. These shreds or flakes are then canned with vegetable broth/ additives which proteins bind the pieces together during the heat generated by the retorting process. (If I understand this correctly) So we end up with a far inferior end product but at more affordable prices.

This graph below was taken from the 2013 4th European Tuna Conference which was held in Brussels and illustrates the volumes imported by the EU and USA of canned tuna. This should give you an idea on the shear volumes that is produced globally for these two markets.



This is where the Goliaths of the fishing industry find their way into the market and respective arguments. Without the purse seining fleet operating, we wouldn't be able to catch enough of this resource to meet the global demand for an affordable canned protein. With a shelf life between 1-2 years, depending on the brand, which doesn't need refrigeration. In Africa canned chicken, tuna and other products are on the rise as this continents largest imports due to the lack of infrastructure and refrigeration. The problem with purse seining is the environmental impact it has on the species which it is targeting as well as the by catch. With the use of FAD's more by catch, sharks, sea turtles other marine life is being directly impacted. I will go into this in a future blog entry.

However, it is the most affordable method to catch large volumes and thus their economies of scale far out weighs that of the pole and line method. As a profitable company, purse seining makes perfect sense. However, one hook one fish such as poling is the most scientifically sustainable method for wild caught tuna. How to find a balance is the predicament we find ourselves in today. Whilst the operational expenses per metric ton of purse seining is drastically less than that of pole and line with their respective carbon foot prints in favor of purse seining?

The Regional Fisheries Management Organisations (RFMO’s) control the tuna in each respective ocean and due to public awareness and pressure brought upon by scientific data, they have had to make drastic measures. Such measures would include but not limited to a  100% closure of some waters within the Pacific, FAD free zones, FAD closure seasons, fleet capacity  and TAC limitations, to name a few. But the industrial wheels of economy and trade keep turning and such we find for instance with regards to the cap on fleet capacity, the larger purse seining companies scrapping their smaller vessels for more ultra modern vessels which hold in excess of 2,200 tons and can maneuver at 18 knots. One would think that they are defeating the purpose by reducing the fleet when all that is being done is the effective fishing efforts being increased exponentially. We are seeing more 2,000 ton plus vessels being built in Spanish shipyards such as the vessel "Gijon" which was launched a short while back. This behemoth will be commissioned for the Mexican tuna fishery with a further 2 more being built. We have now seen some canneries insisting that by the end of 2014, they will only purchase from fishing vessels with fish holds of less than 350 tons. But is this enough?

 Whilst the likes of my company comply with Earth Island Institute and Friend Of The Sea annual audits to ensure sustainability and tractability, it is a mere spoke in the smallest cog that is the industry of tuna fishing. (MSC would have cost too much) Following the international trends, the local retailers have made pledges to only stock MSC certified pole and line caught tuna on their shelves by the end 2015. Where will this be sourced from? One of the only MSC certified skip jack fisheries globally is that of the Parties to the Naru Agreement. They have nicely created a monopoly by forming the marketing company Pacifical to exclusively sell all their MSC certified tuna. And this is a purse seine fishery as well!!! Seems we can't bake our fish cake and eat it just yet. The retailers such as Woolworths are making large strides to encourage sustainability and one should read up on their website about their corporate responsibility in doing so here: Fishing For The Future - Canned Tuna

Unfortunately its not possible to export our local albacore catches in 40ft containers to a cannery half way around the globe in order to be canned then shipped back. (wouldn't like to calculate that carbon foot print) This simply isn't viable, so what about canning it locally? We did just that and in 2011 we concluded an assessment by international experts and found that labor would become this projects biggest headache, partly due to the labor unions and their effect on suitable labor costs. The subsequent cost of production would have been to expensive and it was decided to scrap this project all together. Until then we will have to place our sustainable support on to the retailers and may they continue to make progress for their 2015 deadline.


Monday, 17 February 2014

Dear Editor...

I am publicizing a letter for those of particular interest who were involved with the FRAP 2013 process. This letter was written by an anonymous source and thus wasn't legible for printing by the news papers. Anyways, I thought that it has some valid points and worth a read...

Dear Editor,

I have a feeling that if I wrote this letter in my personal or professional capacity within this industry, I would open myself to some risk and perhaps even be singled out and discriminated upon in the future, so I will write it as an anonymous “right holder” of some 10 years.

With regard to all the press coverage of the FRAP 2013, I feel there is a lot unsaid.

First of all there are some very misleading facts going around, mostly from the mouth of Mr Stevens, that need to be clarified.

Of the 8 sectors issues rights on 31 December, ONLY 1 was issued exemptions for those unsuccessful rights holder applicants to continue to fish - the Linefish Sector. With particular regard to the Tuna Pole and Squid sector, many vessels are tied up while the costs keep building. For the Desmond Stevens to claim that he has relieved pressure from all of those deserving, is but one of his many dis truths over the past few weeks.   

In an interview on Carte Blanche a few weeks back, the DG also claimed that 7 out of 8 sectors had been in contact with the department and were pleased with the outcomes and process of the FRAP 2013. Let me assure you, this is blatantly untrue. Numerous letters written by numerous sectors were unanswered, and remain such, and for Desmond Stevens to claim that Derek Watts had been speaking to “the wrong people” was just another way of his shirking all his responsibilities.

As a participating right holder throughout the process and also the years building up to the process, I would also  like to express concern in the differences of definitions by the Department and Industry over the loosely defined word “industry consultation.” Yes we did sit in numerous meetings, yes we did come to many agreements and yes, a correct process and time frame was discussed and agreed upon. However, at the end of this all, the Department did exactly the opposite of what they promised, penalized entrants for the very things they had encouraged and committed to awarding points for, and never for one minute looked as though they would make a single deadline, which they didn’t. The minister herself committed to the process, including the appeals, being wrapped up well before the 2013 rights expired. Industries definition of this timeline was around November. The departments was midnight on 31 December. The effect - every vessel involved in these 8 sectors had to be docked at midnight on December 31, 2013.  I would like to understand  who benefited from this? The crews, skippers, factories and vessels certainly didn’t. I fail to see how the country benefited in so far as foreign export, trade and revenue goes. How did the department come to this decision? And why did they promise in a press release on December 30,  2103 that they would make sure no vessel was forced back to port at their account?

In all the campaigning done by Mr Stevens, he has assured the people of this country that “Paper quotas” are a thing of the past, that rights will be awarded to the genuine fisherman, that the rich white fisherman are an extinct crowd. At the end of it all, he issues rights to some companies whose members/shareholders have never seen the sea, don’t know which side of a boat is the front and think fish grow in cans. These very people, who he claims to be empowering, are forced to “work together” as he puts it , “right holders without boats must team up with non right holders with boats and make arrangements”. People who have been creating jobs , providing food stability , providing benefits for their crews and ensuring the crews have safe work places ,for 10-25 years in some cases,  are suddenly forced to “team up” with new entrants.  Is this not creating paper quotas?  

To contradict himself even more, numerous applications have been made to the department by associations and individuals to ask how people can get hold of boat owners in the case of successful applicants without boats , as well as requests  by boat owners to get names of successful applicants in order to make these “team work” arrangements. The department will not release the list as it claims it is confidential information. And in the meantime-the fisherman suffer.

Then there is the way which Mr Stevens  interprets the sectors and the way things work in practise and the allegations by Mr Stevens that the crews pay for fuel and levies. These are absolutely untrue and even offensive. If Mr Stevens is so disinterested in finding out the way the sectors actually function, why does he hold the position he does and even more so why is he allowed to communicate to the public? And if he believes that the crew does pay for the fuel, has he taken up the battle with SARS on their behalf to allow fishing operations in the Linefish sector who have petrol engines to be exempt from the Road taxes? Quite the opposite actually, the department has chosen not to support these applications for years already. If he is so worried about the cost of fuel and its implications on the crews surely he is looking to help?

In the most simple of terms, a man without a boat cannot load ten crew on the A4 piece of paper Mr Stevens has issued him and go to sea, and a man in Gauteng with fishing rights is as out of the water as fish would be there. As right holders and participants in this industry, we know what we have to do in order to tow the line with the department. Now it’s time the department started making some commitments to us that they intend keeping and stop hiding from the truth. Your FRAP process was flawed, under prepared and full of holes. You have issued many rights to the correct entities and we salute you for that. But the truth is you have gotten way too many wrong. You have done the previously disadvantaged people in the fishing communities more of a disservice than the so called “rich white” people and the loss of jobs is on you. If you had followed the processes agreed upon between industry and yourselves we would not be in this situation.

The way I see it every person reports to someone else. I hope Mr Stevens superior realises his mistakes and takes responsibility for them because it is clear he won’t.


And one last thought, fisherman have been around a lot longer than the department.. ultimately the department only exists because of the fisherman, not the other way around

Tuesday, 17 September 2013

The State of the Pole and Line Tuna Industry

My first blog entry refers to the current situation facing the South African and Namibian tuna pole and line vessel owners. The tuna trading company that I work for provides financial assistance on an annual basis. 2013 has seen a record high of applicants seeking assistance to cover the financial costs associated with the repairs and maintenance of their respective vessels. Each vessel needs to undergo a bottom (hull) and top survey. Only upon passing both surveys will the vessel then be granted a seaworthy status by the South African Maritime Safety Association (SAMSA).

A photo before the surveying and maintenance of the MFV Otterdam on the slip

A photo showing the MFV Otterdam surveyed and ready to come off the slip


The past 3 years we have seen a steady decrease in the total tonnages being landed by each vessel despite the majority of the fleet now having sonar fitted. The past 3 years of poor fishing has compounded the financial troubles of the vessel owners and will soon have no other options but to sell their vessels or apply to the Department Of Agriculture, Forestry and Fisheries (DAFF) to fish in another sector, such as Hake long line.

The fishing method of poling for tuna is extremely labor intensive with vessels accommodating a crew capacity of upwards of 20 fisherman. Poling for tuna is proven to be the most sustainable method for wild caught tuna but this comes at a price. As the vessels are catching free schooling tuna, the diesel consumption per liter of diesel is higher than most other fishing methods when converted down to a per kilogram ration percentage. In South Africa we will pole mid ships on the leeward side of the vessel with the crew protected from the elements by a shelter deck spanning the length of the windward side of the vessel which is predominantly the starboard side of the vessel. In the Maldives for example, the poling vessels catch around an open stern area of the vessel and this is possible due to the calmer seas in which they operate.

There are various factors pertaining to the steady decrease but one can only speculate without the necessary scientific data to back up these speculations.

Firstly, we need to understand that our tuna caught in South African and Namibian 200 nautical mile (nm) Exclusive Economic Zone (EEZ) is a migratory animal and wonders the Atlantic Ocean with disregard for political borders and is seasonal. The pole and line vessels usually catch tuna in South Africa between October to May and the winter months for the long line vessels.

Climate change as documented by the effects of El Nino has created a shift in our currents and prevailing winds. Last year the SE wind only blew for a fraction of what is considered "normal" and somewhat lack luster at that. We rely upon this wind to blow the warmer Mozambique current around Agulhas upon where large eddy’s of warmer water, some spanning many a tens of nautical miles in diameter around our coast, where it is helped along by the colder Benguela current up towards Namibia. We are finding the surface temperatures of the Atlantic around our coast changing which has the added result of higher concentrations of chloroform. The tuna like specific conditions and if these are not met, they will simply move on to “greener pastures.” We are finding these suitable conditions less and further in between.

The below satellite image shows the warmer water (red) approaching Cape Aghulas from where it will begin to wrap around our coast up towards the Namibian border. Currently the 15-16* Celsius water is ideal for the tuna longliners. The tuna pole vessels will look to target the schooling albacore and yellowfin found in the warmer temperature band.


Courtesy of Buoyweather.com

South Africa’s EZZ stretches some 200 nm parallel to our cost except for the Namibian border which is deviated in the Namibian’s favor and this I shall touch on in a later blog, as this subject will be hotly contested in the future. Beyond the 200 nm EEZ, the international waters are fair game to foreign fishing fleets such as the vessels that discharge in Cape Town Harbor. The entire fishing effort within the Southern Atlantic needs to be taken into account as a factor here as these vessels are able to operate beyond our borders and target the tuna with long lining and other fishing methods such as purse seining.

Seismic testing that is being conducted in South African and Namibian waters is speculated as playing a major role in the absence of the tuna this past season. But once again we lack the scientific data specifically pertaining to tuna and this remains to be recognized as a direct factor. I shall touch more on this subject at a later date as this is a topic all unto itself.

With the past couple of years having been felt as the worst in recorded history for this industry, we can only wait and see what the future will hold for the South African and Namibian tuna fishermen. With fingers crossed and abated breath we all patiently await the arrival of the first albacore and yellowfin tunas.