Why fish piracy persists : the economics of illegal, unreported and unregulated fishing

293 Pages·2005·2.676 MB·English

by  OECD

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Why Fish Piracy Persists
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THE ECONOMICS OF ILLEGAL, UNREPORTED Y

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AND UNREGULATED FISHING I Why Fish Piracy
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Despite national and international efforts, fish piracy continues to thrive worldwide. Illegal, unreported and P
unregulated (IUU) fishing is a problem that affects both national and international waters, and involves all types IR Persists
of fishing vessels. IUU fishing depletes global fish stocks and undermines efforts to secure and rebuild those A
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stocks for the future. It generates harmful effects on the economic and social welfare of those involved in
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legal fishing, and reduces incentives to play by the rules. However, fish pirates pursue their trade because it is
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profitable, and will keep pursuing it as long as their income exceeds their costs.
E THE ECONOMICS
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Why Fish Piracy Persists: The Economics of Illegal, Unreported and Unregulated Fishing is unique in focusing on S
I OF ILLEGAL, UNREPORTED
the economic, environmental and social aspects of fish piracy and identifying the forces that drive this activity. S
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Earlier studies focused on the direct impact that IUU fishing has on fish stocks, and on legal measures to S AND UNREGULATED FISHING
combat such activities. Based on data from a workshop of around 120 experts, as well as analytical documents

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developed for this study, this book presents the most systematic and consolidated information to date in order
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histo_gen_A_19x27.fm Page 1 Monday, September 12, 2005 1:43 PM
Why Fish Piracy Persists
THE ECONOMICS OF ILLEGAL, UNREPORTED
AND UNREGULATED FISHING
ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT
histo_gen_A_19x27.fm Page 2 Tuesday, September 13, 2005 12:49 PM
ORGANISATION FOR ECONOMIC CO-OPERATION
AND DEVELOPMENT
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opinions expressed and arguments employed herein do not necessarily reflect the official
views of the Organisation or of the governments of its member countries.
Publié en français sous le titre:
Pourquoi la pêche pirate perdure
LES RESSORTS ÉCONOMIQUES DE LA PÊCHE ILLÉGALE, NON DÉCLARÉE ET NON RÉGLEMENTÉE
© OECD 2005
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3
FOREWORD –

FOREWORD
The adoption of UNCLOS in 1982 and the unilateral extension of the exclusive
economic zone to 200 miles were attempts, inter alia, to ensure that the fish resources of
the high seas come under appropriate management. However since 1982, fisheries
technologies have developed rapidly and it has now become technically feasible to fish at
great depths uncovering new resources and fish species. Furthermore, some of the species
of fish found on the high seas are of high economic value including tuna, Patagonian
toothfish and orange roughy. Concurrently, fishing fleets have become more mobile
internationally. These developments pose new challenges for fisheries management and
the international community concerned with sustainable responsible fishing on the high
seas.
Illegal, Unreported and Unregulated (IUU) fishing is considered as a major factor
undermining sustainability of fisheries. It occurs in both small-scale and industrial
fisheries, in marine and inland water fisheries, as well as in zones of national jurisdiction
and on the high seas. Recognizing the serious economic, social and environmental
problems caused by IUU fishing activities the OECD’s Committee for Fisheries, in the
programme of work for 2002-2005, launched a study which:
"….will provide policy makers with environmental, economic and social
arguments in support of measures in relation to IUU fishing activities,
including the FAO International Plan of Action on IUU Fishing. It will
examine the effects of overexploitation and possible depletion of stocks as a
consequence of IUU fishing and focus on the economic and social impacts of
IUU, including an analysis of the conditions of competition between IUU
vessels and vessels fishing consistently with adopted measures consistent with
international obligations (i.e. the implicit support that non-intervention in the
fisheries sector gives rise to and its impact on fisheries sustainability and the
environment). Finally the study will survey investment rules and review the
rules that allow transfer and re-flagging."
In pursuing this endeavour, the Committee decided that the detailed objectives were to:
(cid:1) Examine the environmental, social and economic effects of IUU fishing activities;
(cid:1) Explore the importance of high seas fisheries and the component of it which is
IUU type fishing activity;
(cid:1) Identify and analyse the economic drivers behind IUU fishing;
(cid:1) Provide an inventory and analysis of possible actions that can be taken.
This study is in response to this endeavour and is the fruit of the discussions of the
Committee for Fisheries and a Workshop on IUU Fishing Activities which the Committee
hosted in April 2004, the proceedings of which are published as Fish Piracy: Combating
Illegal, Unreported and Unregulated Fishing. This latter publication can be purchased
from the OECD Bookshop http://www.oecdbookshop.org/oecd.
WHY FISH PIRACY PERSISTS: THE ECONOMICS OF ILLEGAL, UNREPORTED AND UNREGULATED FISHING – ISBN- 9264010874 © OECD 2005
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– FOREWORD

This report was approved by the Committee for Fisheries during the 95th Session from
4-6 April 2005. It should be noted that the Committee for Fisheries will continue working
on IUU related issues.
Acknowledgements
Delegates to the Committee for Fisheries and the OECD Secretariat have made
important contributions to this study. Furthermore, voluntary contributions from a
number of Member countries toward the financing of the Workshop on IUU Fishing
Activities are graciously acknowledged. Bertrand Le Gallic was the principal author of
the chapter on "Economics of IUU Fishing" and Ki-Jeong Jeon was the principal author
of the chapter on "Measures in Place Against IUU Fishing Activities". This publication
has been prepared and edited by Emily Andrews-Chouicha and Kathleen Gray.
WHY FISH PIRACY PERSISTS: THE ECONOMICS OF ILLEGAL, UNREPORTED AND UNREGULATED FISHING – ISBN- 9264010874 © OECD 2005
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TABLE OF CONTENTS –

Table of Contents
Page
LIST OF ACRONYMS 9
EXECUTIVE SUMMARY 13
CHAPTER 1: SYNTHESIS REPORT 21
Introduction 21
1. The State of Play on IUU Fishing 24
2. Impacts of IUU Fishing 34
3. Drivers of IUU Fishing Activities 37
4. Assessment of Possible Actions Against Illegal, Unreported
and Unregulated Fishing 41
5. Final Observations 49
Annex 1. Definitions of IUU Fishing in the International
Plan of Action to Prevent, Deter and Eliminate Illegal,
Unreported and Unregulated Fishing 53
Annex 2. Tables 54
Annex 3. Key Observations and Findings by the IUU
Workshop Chairs 58
CHAPTER 2: ECONOMICS OF IUU FISHING ACTIVITIES 65
Introduction 65
1. Definition 66
2. Analytical Framework 68
3. Exploring the Incentives to Engage in IUU Fishing Activities 69
4. Enlarging the Framework 86
5. Possible Actions to Curb IUU Fishing Activities 87
6. Observations from the Analysis 97
Annex 1. The Model 100
Annex 2. Tables and Boxes 102
Bibliography 105
WHY FISH PIRACY PERSISTS: THE ECONOMICS OF ILLEGAL, UNREPORTED AND UNREGULATED FISHING – ISBN- 9264010874 © OECD 2005
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– TABLE OF CONTENTS

CHAPTER 3: MEASURES IN PLACE AGAINST IUU FISHING
ACTIVITIES 107
Introduction 107
1. International Frameworks on High Seas Fisheries 109
2. Synthesis of Inventory on National Measures 114
3. Inventory of RFMO Measures 124
4. Other Related Instruments that may be Useful to Combat
IUU Fishing 139
5. Observations and Key Issues 146
Annex 1. Questionnaire for Reporting on National Measures
Against IUU Fishing Activities 148
Annex 2. OECD Countries’ Involvement in Major RFMOs 151
Annex 3. Major Cases for Actions Taken by FONC States
Against Offences 152
Bibliography 153
CHAPTER 4: INVENTORY OF NATIONAL MEASURES AGAINST
IUU FISHING ACTIVITIES 155
Introduction 155
Australia 156
Belgium 168
Canada 170
Denmark 176
Finland 177
France 178
Germany 183
Greece 186
Iceland 189
Ireland 193
Italy 195
Japan 198
Korea 202
Mexico 206
Netherlands 218
New Zealand 220
Norway 237
Poland 241
WHY FISH PIRACY PERSISTS: THE ECONOMICS OF ILLEGAL, UNREPORTED AND UNREGULATED FISHING – ISBN- 9264010874 © OECD 2005
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TABLE OF CONTENTS –

Portugal 244
Spain 249
Sweden 255
Annex 1. Summary of two court cases 259
Turkey 260
United Kingdom 262
United States 264
Annex 1. United States Statutes Relevant
to Fisheries Enforcement 275
European Union 289
WHY FISH PIRACY PERSISTS: THE ECONOMICS OF ILLEGAL, UNREPORTED AND UNREGULATED FISHING – ISBN- 9264010874 © OECD 2005

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LIST OF ACRONYMS –

LIST OF ACRONYMS
Acronym Definition
AAFC Atlantic Africa Fisheries Conference
ACFR Advisory Commission on Fisheries Research
AFMA Australian Fisheries Management Authority
AMLR Act Antarctic Marine Living Resources Act (New Zealand)
APFIC Asia Pacific Fishery Commission
BOBP Bay of Bengal Programme
CARPAS CARPAS Regional Fisheries Advisory Commission for Southwest Atlantic
CCAMLR Convention for the Conservation of Antarctic Marine Living Resources
CCSBT Convention on the Conservation of Southern Bluefin Tuna
CDS catch documentation scheme
CECAF Fishery Commission for the Eastern Central Atlantic
CEPTFA Council of the Eastern Pacific Tuna Fishing Agreement
CIFA Committee for Inland Fisheries of Africa
CMIT Capital Movement and Invisible Transaction
COLTO Coalition of Legal Toothfish Operators
COPESCAL Commission for Inland Fisheries of Latin America
COREP Regional Fisheries Committee for the Gulf of Guinea
CPPS South Pacific Permanent Commission
CWP Co-ordinating Working Party on Fishery Statistics
DAFF Australian Government Department of Agriculture, Fisheries and Forestry
EPBC Act Environmental Protection and Biodiversity Conservation Act, 1999
EEA European Environment Agency
EEZ Exclusive Economic Zone
EIFAC European Inland Fisheries Advisory Committee
FAO Food and Agriculture Organisation of the United Nations
FAO S.A. FAO Statistical Area
FFA South Pacific Forum Fisheries Agency
FFV Foreign fishing vessel
FIRB Foreign investment review board
FMA Fisheries Management Act 1991
FONC Flag of Non Compliance
FPZ Fisheries Protected Zone
GFCM General Fisheries Council for the Mediterranean
GFT Government Financial Transfer
GRT Gross Registered Tonnage
GT Gross Tonnage
HSVAR High Seas Vessel Authorization Record
IATTC Inter-American Tropical Tuna Commission
WHY FISH PIRACY PERSISTS: THE ECONOMICS OF ILLEGAL, UNREPORTED AND UNREGULATED FISHING – ISBN- 9264010874 © OECD 2005