FLEET REDUCTION PROGRAMS FOR FLEET REDUCTION PROGRAMS FOR

ASIAN LARGE-SCALE TUNA ASIAN LARGE-SCALE TUNA LONGLINERSLONGLINERS

1999-20051999-2005

Combat against IUU fishing and Combat against IUU fishing and reduction of fishing capacityreduction of fishing capacity

PROGRAM ELEMENTSPROGRAM ELEMENTS

1.1. Japanese fleet reduction program by Japanese fleet reduction program by JFAJFA

2.2. Buy-back and scrapping program for IBuy-back and scrapping program for IUU (FOC) vessels by OPRTUU (FOC) vessels by OPRT

3.3. Taiwanese fleet reduction program by Taiwanese fleet reduction program by Taiwan Gov. and IndustryTaiwan Gov. and Industry

4.4. Legalizing IUU vessels by JFA, OPRT Legalizing IUU vessels by JFA, OPRT and Taiwan ind.and Taiwan ind.

11. Japanese fleet reduction . Japanese fleet reduction programprogram

SubjectSubject: Licensed far seas deep : Licensed far seas deep freezing tuna longlinersfreezing tuna longliners

TargetTarget: 20% (132) reduction: 20% (132) reduction 660 vessels 660 vessels ➾ ➾ 528 vessels528 vessels Approximately 70% value compensationApproximately 70% value compensation Payment and cancellation of license Payment and cancellation of license made only after validating scrappingmade only after validating scrapping

Voluntary applicationsVoluntary applications Reduction is by enterprise but not Reduction is by enterprise but not by boats.by boats.

Boat replacement is permitted.Boat replacement is permitted.

COMPENSATION SCHEMECOMPENSATION SCHEME Total expense = 350 million dollarsTotal expense = 350 million dollars

• Central Government 300 millionCentral Government 300 million• Prefectures 50 millionPrefectures 50 million• Real cost was about $250 MReal cost was about $250 M

Actual cost was about $250 M + 43MActual cost was about $250 M + 43M Compensation base calculated:Compensation base calculated: GRT x Unit price (based on Insurance GRT x Unit price (based on Insurance

base)base) Besides, license was compensated by Besides, license was compensated by

$500K+250K $500K+250K Average of about $2.4M paid per vesselAverage of about $2.4M paid per vessel

2 Buy-back and scrapping program 2 Buy-back and scrapping program for IUU (FOC) vessels (OPRT for IUU (FOC) vessels (OPRT

program)program)A 3-year step by step program promoted by A 3-year step by step program promoted by

Japan and supported by TaiwanJapan and supported by Taiwan

SubjectSubject: : FOC-IUU large scale deep freezing tuna longliners, FOC-IUU large scale deep freezing tuna longliners, built in Japan and owned by Taiwanese capital.built in Japan and owned by Taiwanese capital.

Concept:Concept: Buy back and scrap IUU longliners, with Buy back and scrap IUU longliners, with

compensations to be paid by the rest of the compensations to be paid by the rest of the Japanese and Taiwanese longliner owners (by Japanese and Taiwanese longliner owners (by industry).industry).

Those expected to be scrapped are taken out of IUU Those expected to be scrapped are taken out of IUU listlist

Reduction schemeReduction scheme In three years, target was 62 longliners. In three years, target was 62 longliners.

Actually 39 were scrapped and 4 sank.Actually 39 were scrapped and 4 sank.• 2000 3 vessels scrapped $2.5 million spent2000 3 vessels scrapped $2.5 million spent• 2001 23 scrapped #18 million spent2001 23 scrapped #18 million spent• 2002 8 scrapped $3.5 million spent2002 8 scrapped $3.5 million spent• 2003 5 scrapped $1 million spent2003 5 scrapped $1 million spent

The following compensation were paid per The following compensation were paid per vessel:vessel:• 2000-2001 (May) $800 K2000-2001 (May) $800 K• 2001-2002 $ 500 K2001-2002 $ 500 K• 2002-2003 $ 200 K2002-2003 $ 200 K

COMPENSATIONSCOMPENSATIONS

In principle, Japanese and Taiwanese In principle, Japanese and Taiwanese longline industry is payinglongline industry is paying

The total of $33 million dollars, a 20 years The total of $33 million dollars, a 20 years loan with 0 interest from the Japanese loan with 0 interest from the Japanese Government, via OFCF and then OPRT. Government, via OFCF and then OPRT.

Real cost was 25 million dollars and 9 Real cost was 25 million dollars and 9 millions were returned to the government.millions were returned to the government.

OPRT was established as the manager of OPRT was established as the manager of the loan and at present 13 million dollars the loan and at present 13 million dollars are left as the balance.are left as the balance.

FUNDING SOURCESFUNDING SOURCES

IUU boats taken out of the IUU listing for scrapping woIUU boats taken out of the IUU listing for scrapping would payuld pay• 11stst year (until May 2001) $10 K / vessel year (until May 2001) $10 K / vessel• 22ndnd year (until May 2002) $30 / mt landed in Japa year (until May 2002) $30 / mt landed in Japa

nn• 33rdrd year (until May 2003) $20 / mt landed in Japa year (until May 2003) $20 / mt landed in Japa

nlnl Ex IUU boats obtained Taiwanese flag and licenseEx IUU boats obtained Taiwanese flag and license

• $20 / mt landed in Japan (later reduced to $20 / mt landed in Japan (later reduced to Ex IUU boats obtained 3Ex IUU boats obtained 3rdrd country flag and license country flag and license

• $20 / mt landed in Japan$20 / mt landed in Japan

FUNDING SOURCESFUNDING SOURCES Japanese longlinersJapanese longliners

• >200GRT tuna only $3300 / year (reduced later to >200GRT tuna only $3300 / year (reduced later to $1400)$1400)

• <200GRT tuna onlly $2300 / year<200GRT tuna onlly $2300 / year• <200 GRT multi purpose $1300 / year<200 GRT multi purpose $1300 / year

Taiwanese longliners:Taiwanese longliners:• $10 / mt landed in Japan (later reduced to $4.5)$10 / mt landed in Japan (later reduced to $4.5)

3. FLEET REDUCTION BY 3. FLEET REDUCTION BY TAIWANTAIWAN

Bring back IUU (FOC) vessels to Taiwan Bring back IUU (FOC) vessels to Taiwan flag and gives fishing license.flag and gives fishing license.

Among those, 160 boats were scrapped Among those, 160 boats were scrapped in 2005-2006in 2005-2006

Further 23 boats were scrapped in 2007Further 23 boats were scrapped in 2007 $1.5 M were paid per vessel for scrapping$1.5 M were paid per vessel for scrapping 3/7 of the cost paid by the Government 3/7 of the cost paid by the Government

and 4/7 paid by industryand 4/7 paid by industry

4. LEGALIZATION OF IUU4. LEGALIZATION OF IUU

69 IUU boats re-flagged to Vanuati and Sey69 IUU boats re-flagged to Vanuati and Seychelles and obtained their licenceschelles and obtained their licences

Those boats paid $2M to the Japanese OThose boats paid $2M to the Japanese OPRT for scrapping fund and cancelled 300PRT for scrapping fund and cancelled 300GRT Japanese fishing license.GRT Japanese fishing license.

They were removed from IUU list and contrThey were removed from IUU list and controlled by flag countries.olled by flag countries.

Registered number of longliners with OPRT

　 2001/11

2002/3 2003/32004/

32005/

32006/

32007/3

Japan Far Seas 433 428 431 413 377 335 298 *

Japan Dist. Wat 34 34 38 37 34 34 54*

*

Japan Offshore 28 28 26 23 23 12 11 　Taiwan 562 562 599 597 600 526 428 　Korean 　 183 176 174 172 172 160 　Philippines 　 6 17 17 18 26 26 　Indonesia 　 14 14 14 14 17 　China 　 105 113 113 117 　Ecuador 　 5 5 4 4 　

Vanuatu/Seyshelles 　 　 　 69 69 69 69*

**

Total 1057 1241 1301 1454 1425 1305 1184 　* including 46 foreign

vessels ** including 9 foreign vesselsSeychelles 21 longliners

*** Vanuatu include 43 albacore 5 bigeye longliners

ProblemsProblems

Many boat owners think thatMany boat owners think that Compensations helped only loaners but not owners.Compensations helped only loaners but not owners. They developed tuna fisheries according to the national They developed tuna fisheries according to the national

policy. Why they sacrificepolicy. Why they sacrifice The second hand boats were exported by Shosha and The second hand boats were exported by Shosha and

added fishing capacity added fishing capacity Generally old and inefficient boats are candidates for bGenerally old and inefficient boats are candidates for b

uy-back and scrappinguy-back and scrapping Mitigation of incidental catches alone reduced the fishiMitigation of incidental catches alone reduced the fishi

ng capacity already.ng capacity already. Why longliners alone suffer and sacrifice. The major reWhy longliners alone suffer and sacrifice. The major re

sponsibility is on seiners. sponsibility is on seiners.