Fleet retains exemptions for diesel fuel used in fishing in latest WTO draft

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The outbreak of the Covid-19 pandemic, the war in Ukraine and associated supply crises still plague the industry today, exacerbated by another war in Gaza. Fisheries, which rely heavily on fuel to operate, have been severely affected. In fact, before the coronavirus reached Spain, the price of marine diesel from the port of Vigo was – in February 2020 – 0.418 euros/litre, while this month it was 56.9% more expensive than that on average. 0.652 euro/litre. But, Shipowners have gone since the price increase started I watch with concern such as the limited support they have on this issue. – compared to those perceived by competitors in other parts of the world – they were threatened. In fact, of negotiations World Trade Organization (WTO) to limit fishing subsidies. With the historic agreement signed in the summer of 2022, exemptions in fishing diesel were saved from falling within the scope of illegal aid. A success that will continue unbroken in the next agreement if nothing changes trying to strengthen the agreementIt is expected to take place next February.

The supranational organization is preparing a new text for discussion at the Thirteenth Ministerial Conference (MC13). It will take place in Abu Dhabi, United Arab Emirates, between 26-29 February. Shortly before Christmas, the head of the negotiations focused on the issue: Icelandic Ambassador Einar Gunnarssondistributed a new draft “On reducing subsidies that contribute to overcapacity and overfishing.”.

According to him, the document is based on members’ proposals and discussions in recent months and “aims to contribute to facilitating the intensification of negotiations in January.”

Chinese jigger ship anchored in South Korean waters. SOUTH KOREA FISHING AGENCY

In his articles and as he progresses Fishing Industries, The Community fleet will not see its operation affected compared to what was agreed by the WTO last year. In particular, in the key part of the tax exemptions for fishing diesel, indirect fuel subsidies were not included and only the need to increase the transparency of such supports was mentioned. In fact, such support was always talked about due to pressure from both member countries and environmental organizations.

Otherwise, the draft’s main innovations focus on placing greater surveillance on countries that provide the most assistance to their fleets, such as China. For him, Creates three levels based on country groups. On the one hand, they will be “subject to the strictest scrutiny”, consisting of “the 20 largest subsidy providers according to member declarations”, as they will have to show that these subsidies do not affect the sustainability of resources. There is another group of “least developed countries and developing countries whose share of the global marine catch does not exceed 0.8%”, which will be “excluded from the basic subsidy ban” for a to be determined period. Meanwhile, the last group will be countries that do not fall into these two categories and will have to periodically inform the rest about the support they provide to their fleets.

“Basic discipline should lead to a significant reduction in subsidies Contributing to overcapacity and overfishing”Einar Gunnarsson stated.

Countries for ambassador responsible for negotiations “At a critical moment to successfully conclude the second wave” of agreements on fishing subsidies “I hope this new draft […] The Icelander expressed that he will help to bridge the differences that still exist in their positions as we begin our final efforts to conclude negotiations in time for MC13.

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