9 minute read
A quarter century’s experience in ministries and the private sector stands Donatas Dudutis in good stead
by Eurofish
A challenging portfolio of responsibilities
As Vice-Minister responsible for fi sheries in the Ministry of Agriculture, Mr Dudutis has plenty on his plate. The impact of the pandemic on the sector, the new operational programme for 2021–2027, the ban on cod fi shing, and declining quotas for some pelagic species are just a few of the issues he must contend with. If that were not enough, he also needs to persuade the Lithuanian Parliament of the importance of maintaining the small-scale coastal and inland fi shing sector, which is under threat from a proposal that could effectively forbid it.
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Last year marked the global spread of the coronavirus and unprecedented lockdowns around the world. Globally traded food commodities, such as fi sh and seafood, and their supply chains have been particularly aff ected. What impact has the pandemic had on the fi shing and processing sector in Lithuania? Was a compensation scheme implemented for the sector and what were the measures it included?
Yes, with the onset of the pandemic crisis the fi shing, processing and aquaculture sectors reported a sharp drop in demand. Due to the closure of marketplaces, retail outlets and other distribution channels, prices and sales volumes decreased. Decisions on support for the sector were taken mid-2020 when the actual impact could only be estimated. We can now see statistics that show declines in all sub-sectors of the fi sheries sector.
Fishery: Long-distance fi shing activities were not signifi cantly aff ected by Covid-19, catches did not decrease, revenues were stable, and this segment of the sector was profi table in 2020. Th e sector reported that it had encountered logistical problems (crew transportation, restrictions imposed by ports of landing, problems with product sales, etc.) but had adapted to the diffi culties caused by the pandemic. Volumes of fi sh caught and sold by fi shermen on the Baltic Sea coast in 2020 decreased by 23% compared to 2019, the lowest since 2011. In the open Baltic Sea fi shery, the fall was 24%, the lowest since 2014. Th is segment has been severely aff ected by the ban on cod fi shing and declining quotas for other commercial species. Over EUR100,000 was paid to 17 fi shing companies in support. Applications are also being collected this year for the temporary cessation of fi shing activities in 2020, which are still being assessed, but the European Maritime and Fisheries Fund (EMFF) regulation requires vessels to have fi shed for at least 120 days in the two years prior to the year of the application to qualify for support. Th is was unworkable for the vast majority of our fi shing vessels. So, only about 15% of all fi shing companies applied for and received support.
Aquaculture: To fi nd out the impact of the pandemic on aquaculture, we conducted a survey at the beginning of this year, interviewing all Lithuanian aquaculture associations and a few individual companies. In 2020 a 10% decrease in the value of sales has been noticed, though the volume of production remained the same. Th e impact on aquaculture production sales depended on the sector segment – large pond and RAS aquaculture producers with long-term sales contracts with retailers had a secure market and sales volumes were not or only minimally aff ected by the pandemic restrictions. Companies with small ponds or RAS depend on consumers to buy products directly from them, on markets or similar outlets, so they were severely aff ected by the lockdown. In all segments, there was a surplus of manufactured products. With declining demand for aquaculture products and strong supply, production prices fell. According to preliminary data, in 2020 compared to 2019, the average price of commercial aquaculture products for consumption decreased by about 8%. Support from the EMFF amounting to over EUR1m was paid to 37 aquaculture enterprises.
Donatas Dudutis, Vice-Minister, Ministry of Agriculture, Republic of Lithuania
Processing: Th e processing sector has been growing for a decade both in volume and value. In 2020, the 83 enterprises processed 138 thousand tonnes with a value of EUR623m. Over 95 percent of raw materials are imported. In 2020, the volume and value of production shrank by about 10 percent and equalled the 2016 results. Support for this sector is coordinated by the Ministry of Economy and Innovation. Th is sector is important for Lithuania economically and in terms of employment, so it is necessary to support the growth prospects of this sector, following the impact of the pandemic.
Lithuanian fi shing vessels are quite old, the majority being over 26 years, according to Statistics Lithuania. Are there possibilities to get support to modernise the fl eet to make them more fuel effi cient and safer for the crews? What are Lithuanian policymakers’ thoughts on this and is there understanding and support for the industry’s needs?
Balancing the fl eet was one of the most important tasks facing both the previous political management and us. As in many EU countries, the long-distance fl eet is profi table, balanced and successfully modernized through the EMFF and companies’ own resources. Th e balancing processes of the open Baltic Sea and the small-scale coastal fl eet have been drastically aff ected by the ban on cod and the steadily declining quotas for other commercial fi sh species in the Baltic Sea, and we are now at a crossroad to fi nd solutions that benefi t fi shermen and keep the fl eet modern, more effi cient, and safer.
Regulations on the ban on discards and the obligation to land all catches have been in force across the EU since 2019. What has been the impact on the Lithuanian fl eet? How is compliance with these regulations monitored and has it led, as envisaged, to fewer discards? What has been the reaction from the fi shing sector? And what happens to fi sh that is landed but that cannot be sold on consumer markets (e. g. undersized specimens)?
Th e discard ban and the landing obligation have slightly reduced the share of the fl eet that fi shed only with bottom trawls. Trawlers which were using bottom trawls have started fi shing exclusively with pelagic trawls. Th is is closely linked to the targeted ban on cod fi shing that has entered into force. Th is has led to a signifi cant reduction in unwanted by-catches. Cod bycatch in 2019 amounted to about 14.5 t, and in 2020 – just over 1 t.
Coastal fi shing companies were not signifi cantly aff ected (in terms of number of vessels) because most companies started using more selective gear, for example, fi xed traps. In this way, unwanted by-catches were reduced—less cod is caught in traps. From the end of 2020 banning cod nets on the coast has further reduced cod by-catches. Fishermen have been quite successful in adapting to the discard ban, fi nding ways to largely avoid unwanted by-catches. If despite their eff orts any fi sh is landed as by-catch it is sold for non-human food use i.e., for fi shmeal or animal feed.
Th e Fisheries Service under the Ministry of Agriculture controls the sector to ensure the fulfi lment of these obligations. Inspections are carried out both at sea and on shore, and other measures are also in place. For instance, a vessel inspected at sea must have the same data during the onshore inspection. Inspections are recorded with video recorders and sample composition analyses are performed to determine species composition. Fishing logbooks are checked and crosschecked through the Fisheries Data Information System.
What lies behind the proposal to stop the small-scale commercial fi shery in the Curonian lagoon and in Baltic Sea coastal areas? How many fi shers will it aff ect, and what will become of them and the communities they inhabit and serve?
I think it is too early to talk about the ban: so far only a draft law has been submitted to the Seimas (Parliament of Lithuania), which should go through all legislative procedures. Of course, during the deliberations, we will make our comments and suggestions to fi nd a balance without prohibiting commercial fi shing. With regard to possible restrictions on the Baltic Sea and its coastline, it must be borne in mind that the European Union has exclusive competence in this area and that any measures must be based on scientifi c advice regarding the state of fi sh stocks. Perhaps these are not large numbers – if we look at the number of companies that fi sh in the Curonian Lagoon and the coast – but the proposed bans would severely aff ect the Curonian Lagoon and coastal communities. Th e situation is ambiguous also because 2022 is the International Year of Artisanal Fisheries and Aquaculture as announced by FAO to promote global recognition of this sector and its uniqueness. We need to prove the necessity of the survival of this business in Lithuania.
Aquaculture production in Lithuania has stayed fairly stable in the fi ve years to 2019, according to FAO statistics, and production is dominated by common carp. What do you consider are the main challenges facing the sector and how does the administration intend to address them?
In Lithuania, the largest production volumes are grown in traditional carp pond farms, but modern RAS systems are gaining ground, both for fry growth and commercial production. African catfi sh, rainbow trout and other salmonids, eels, Siberian and Russian sturgeons and their hybrids, and pike are being grown in these systems. Th ere are several startups in Lithuania who have started growing shrimps in RAS and are planning to increase the volume of production. However, the consumption of fi sh is determined primarily by habits. Consumers must get used to new species and products. Lithuania is a small country and the domestic consumer market is not large. Consumer surveys (both in the EU and in Lithuania) show that there are three main determinants of demand and consumption: quality, variety, and price. Th e price of fi sh is higher than the price of other animal proteins. However, technology and EMFF support for this sector can contribute to reducing costs, ensuring quality, and diversifying the range of aquaculture products. As consumer awareness increases, appreciation for more sustainable and high-quality products grows, so greater value addition will also contribute to diversifying supply and increasing the consumption of local products. We expect a signifi cant increase in production from RAS until 2023, when the projects currently being implemented with the support of the EU will be completed and production will start. And by 2030, it is likely that aquaculture production in Lithuania will double, with the highest growth expected from RAS.
