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TRADE JUSTICE
CAMPAIGN
TAKING
THE FISH
“
“
-fishing communities
lose out to big
trawlers in Pakistan
Now all the fish are caught by
trawlers and I’m in such poverty
that I had to pull my 15-year-old
son out of school.
Siddique Malah, local fisherman
Taking the fish
fishing communities lose out to big trawlers in Pakistan
“The trawlers have eaten away all the fish,” says Siddique Malah,
a local fisherman from Kaka Pir seaside village near Karachi in
Pakistan, who reports a continuing decline in his weekly fish catch.
“Fish was in abundance near the shore before the deep-sea
trawlers came. Now all the fish are caught by big trawlers and
I’m in such poverty that I had to pull my 15-year-old son out
of school.”
Complaints such as Siddique’s are now growing widespread
amongst hundreds of Pakistan’s local fishing communities.
Summary
New research warns that hundreds of local fishing communities
in Pakistan are being pushed into poverty and going hungry
under pressure from big trawlers from the far east.
Traditional local fishing grounds are being encroached upon under
Pakistan’s policy of opening up its waters to transnational fleets.
Poor coastal communities say their rights to fish and earn a living
are being violated and that thousands of people are being forced
out of their traditional livelihoods.
As a result of industrial fishing and giant trawler nets, local
communities say they report lower catches and are facing hunger
and struggling to survive.
Worldwide, three quarters of the world’s fish stocks are now
either already fully exploited (53%), over-exploited (16%) or
depleted (8%).
This case from Pakistan serves as a warning of the dangers to
poor communities of unfair trade liberalisation at a time when
new moves to further liberalise the global fish trade are advancing
in the current round ofWTO trade talks in Geneva.
Going bust
Pakistan joined the Word Trade Organization (WTO) in 1995, and
since the late nineties has independently pursued a significantly
more liberalised fish trade regime.
Transnational trawlers are now granted access to the bulk of
Pakistan’s 200-mile waters, much of which is designated a
sovereign ‘exclusive economic zone’.
While industrial trawlers encroach upon local fishing grounds and
use giant fishing nets, local communities are being pushed into
poverty and going hungry.
2
“Now all the fish are caught by
trawlers and I’m in such poverty
that I had to pull my 15-year-old
son out of school.”
Siddique Malah, local fisherman
“I can’t give good food to my family
or the other basic needs of life.”
Hassan Dablo, local fisherman
“The people are starving, they don’t
have bread to eat.”
Tahira Ali, Pakistan Fisherfolk Forum
“The trawlers have
eaten away all the fish.”
Siddique Malah, local fisherman, Pakistan
www.actionaid.org
Warrick Page/Panos Pictures/ActionAid
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
Fishing groups – such as the advocacy group the Pakistan
Fisherfolk Forum (PFF) – say trawlers from China, Japan, Korea
and Taiwan1indiscriminately catch and then dump large quantities
of young, unwanted or dead fish at sea – leaving less fish for
locals to catch – and also encroach on Pakistan’s previously
exclusive 35-mile traditional coastal fishing grounds.
“The trawlers use harmful nets, and now there’s no fish in the
sea,” says Hassan Dablo, a fisherman from Rehri fishing village
in Sindh province, who struggles to feed his two children after he
recently sold his fishing boat due to mounting debt and declining
catches at sea.
“I can’t give good food to my family or the other basic needs of
life,” he says.2
“The people are starving,” says Tahira Ali, the deputy general
secretary of the Pakistan Fisherfolk Forum in Karachi. “They don’t
have bread to eat and they weep when they come home without
fish at night and see their children without food.”3
Marine buoy
With an estimated 400,000 people dependant on the fisheries
sector in Pakistan overall,5marine fishing is a key source of food
and livelihood for 184,000 people along the 1000-km Arabian Sea
coast in Sindh and Balochistan provinces.6
Local communities fish close to the coast with wooden and largely
un-mechanised boats and go after a wide variety of species
including catfish, grouper, ribbon fish, shark, sardine and snapper.
According to the UN Food and Agriculture Organization (FAO),
Pakistan is endowed with an ‘immense wealth’ of marine
resources7such as mackerel, squid, shrimp and tuna. But
recent moves by the government to liberalise and further
exploit the fisheries sector are now having significant effects
on local communities.
3
1 Pakistan Fisherfolk Forum, Globalization & Fisheries Livelihoods in Pakistan (forthcoming).
2 ibid
3 Interview with ActionAid 27 March 2006
4 Interview with ActionAid 27 March 2006
5 Government of Pakistan (2006), Economic Survey 2005-06.
See: http://www.finance.gov.pk/survey/chapters/02-agriculture.pdf
6 FAO (2003),
Information on fisheries management in the Islamic Republic of Pakistan.
See: http://www.fao.org/fi/fcp/en/PAK/body.htm
7 ibid
Giant trawler nets
Various types of fishing gear are
now used off the coast of Pakistan,
including shrimp trawl nets, gill nets,
purse seine, cast nets and bottom-
set long-lines.
Local fishermen’s nets are small-
scale, selective and are considered
sustainable, but the Pakistan
Fisherfolk Forum says the giant
industrial nets used by foreign
trawlers scrape coral, damage
the seabed and indiscriminately
scoop up huge quantities of fish,
destroying the livelihoods of
local communities.
“The stern trawlers have nets 1-3
km in length, and the mouth of
the net is equal to three American
‘Statues of Liberties’,” says
Mohammad Ali Shah, a fisherman
from Ibrahim Hydri village near
Karachi and chair of the PFF.
“When they’re trawling they catch
all types of fish and then when they
sort them out, 90% is discarded
as they are already dead.”4
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
The combination of illegal, unreported or unregulated fishing, plus
weak surveillance and policing of catch sizes, by-catch and
discarded fish, and little sanction against unsustainable industrial
fishing, is now devastating local fishing communities.
Fisherfolk say they now catch much less and have lost their rights
to access fishing resources and are losing their livelihoods, falling
into debt, and going hungry.
Pakistan’s total marine fleet of 22,000 vessels – which includes
local motor-cum-sail boats, mid-sized locally flagged trawlers and
large foreign trawlers – took an estimated total catch of 400,500
tonnes in 2003-04.8
About 90,225 metric tonnes of fish and fishery products were
exported to Japan, US, UK, Germany, the Middle East, Sri Lanka
and China in 2003-4.9
While fisheries contribute less than 1% of Pakistan’s gross
domestic product, global exports of marine fish and fishery
products are highly lucrative and were valued at $132 million in
2005.10 A third of Pakistan’s exports go to the EU, US and Japan,
and they command valuable foreign earnings.
While the government receives money from royalties and licences
from foreign trawlers, the PFF argue that local fishing communities
lose out and currently derive few benefits from the export trade.
Too liberal?
Transnational trawlers are now granted access to the bulk of
Pakistan’s 200-mile waters, much of which is designated a
sovereign ‘exclusive economic zone’.
Deep-sea trawlers can fish waters 35-200 nautical miles from the
shoreline, and mid-size trawlers can also exploit a ‘buffer zone’ 13-
35 miles out.
Locals have exclusive rights to fish a 12-mile coastal strip, but
they say recently they used to have rights to fish waters up to 35
miles to sea, and are angry that the disputed ‘buffer zone’ is being
encroached upon by rogue trawlers (many of which they claim are
actually joint or foreign-owned vessels which are deliberately
‘re-flagged’ and registered as local boats).
According to the latest government figures, some 19 mid-
sized and 13 transnational trawler licences were issued by the
government in 2002,11 although critics such as the PFF say official
figures underestimate the true number of mid-sized and deep-sea
trawlers fishing the area and claim that as many as 200 may
be operating.
4
8 Government of Pakistan (2006), Economic Survey 2005-06.
See: http://www.finance.gov.pk/survey/chapters/02-agriculture.pdf
9 ibid
10 ibid
11 ibid
12 Interview with ActionAid on 27 March 2006
Lower catches
Abdul Majeed Motani, 52, a
fisherman and father of six from
Ibrahim Hydri near Karachi has
seen his catch drop drastically.
In the past he used to take a small
wooden boat out four times over
a 15-day period with six to eight
villagers onboard, and they used to
come back from each trip with
some 1,200-1,500 kg of fish, or
about 6,000kg in total, including
local species such as soho fish,
baplet, surmai and lobster.
Now he goes out only once in a
15-day period with 10 locals
onboard and they are lucky to come
back with 1,500kg of fish during this
time. “Now that boat in 15 days
brings just 1,500 kgs but before it
was bringing 6,000 kgs,” Motani
says. “The overall fish stock has
declined 70-80% due to
deep-sea trawlers.”12
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
Global fish trade
Market liberalisation and the expansion of the global fish trade –
such as the developments in Pakistan – have accelerated apace
in the last 30 years.
The establishment of sovereignty over national waters through UN
conventions,18 advances in fishing technology, large subsidies for
industrial fishing fleets (the US, EU and Japan give the bulk of the
estimated $30-34 billion in subsidies each year),19 plus rising
demand from Asia and the west has seen global marine fish
production increase to 98 million tonnes in 2003.20
Fisher women
The Pakistan Fisherfolk Forum says women fisherfolk are
particularly vulnerable to the negative effects of liberalisation. They
say women have been marginalised and do not work or go fishing
as much as before.15
Their traditional basket and net making and local fish marketing
skills are required less because of lower catches and the
introduction of trawlers and commercial nylon nets.
“Women have completely been driven out from the sea and its
resources,” says Ms Basran, a fisherperson from Baba island near
Karachi who used to make a living drying fish and making small
nets but who now has little work and struggles to support her
three children.16
As a consequence, many women are now drawn into work in
local textile factories or peeling prawns in the burgeoning shrimp
export processing industry, where many complain of hazardous
working conditions.
5
13 Interview with ActionAid 27 March 2006
14 ibid
15 Pakistan Fisherfolk Forum, Globalization & Fisheries Livelihoods in Pakistan (forthcoming)
16 ibid
17 Interview with ActionAid 27 March 2006
18 For the UN Convention on the Law of the Sea, see:
http://www.un.org/depts/los/convention_agreements/convention_overview_convention.htm
19 See: Sumaila UR, Pauly D (2006), Catching more bait: a bottum-up re-estimation of global
fisheries subsidies University of British Colombia, Canada; OECD (2005) Subsidies: a way
towards sustainable fisheries? OECD, Paris; WWF (2002), Turning the Tide on fishing subsidies.
Can the World Trade Organization play a positive role? Washington DC
20 FAO (2004) State of world fisheries and aquaculture 2004, FAO, Rome
Low returns
“My boat just came last night. It
was nine days in the sea with 11
people. They brought 76kg of fish –
surmai fish – and the price of the fish
is 16,100 rupees but expenses were
18,700 rupees, so the whole trip was
a loss. Eleven people for nine days –
they haven’t earned anything,” says
Mohd Hussain Laso, a local
fisherman from Ibrahim Hydri.14
Mounting debt
“They [local fishermen] have
become indebted to the grocery
stores, to the ice stores, indebted
by the diesel petrol pumps and
several times people’s electricity
and gas connections have been
disconnected because they do not
have money to pay. People have
been put into jail for not paying their
bills,” says Mohd Hussain Laso, a
fisherman from Ibrahim Hydri.17
“We are always worrying that we will be able to get food each
day,” says Muhammad Yousif, a fisherman and father of eight
from Khada village who reports a reduced income and a slide in
his family fortunes. “All the small and poor fishermen have been
badly affected.”13
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
Despite global conservation and management measures –
including the FAO Code of Conduct for Responsible Fisheries29
– which put sustainable use and the rights of local fishing
communities at the heart of marine stewardship – the Pakistan
government, for example, has not conducted a national fish stock
survey since the 1980s and is only now finalising a national
fisheries policy with poverty reduction and food security as two
of its three key goals.
WTO threat
Serious new threats to further liberalise fishing trade in developing
countries and open up fisheries services sectors to foreign
competition are emerging in the currentWTO global trade talks.
WTO negotiations underway on subsidies and non-agricultural
market access (or NAMA) could:
(i) completely eliminate all tariffs in the fish and fish products
sector (as has been proposed by Canada, Iceland, New Zealand,
Norway, Singapore and Thailand)30
(ii) significantly reduce tariffs in all sectors, including fish and fish
products, if an agressive tariff-cutting 'Swiss formula' is applied to
all industrial and natural resource sectors (the extent of such cuts
is currently the focus of negotiations within the WTO)
(iii) discipline fishing subsidies in poor countries through on-going
talks in the WTO Negotiating Group on Rules.31
Total world trade in fish and fishery products were worth $63
billion in 2003, with developing countries accounting for about
half of global exports.21
Developing countries picked up net receipts of $18 billion from
this trade in 2003, which is greater than net exports of other
agricultural commodities such as coffee, bananas, rice and
tea combined.22
While FAO estimates that 35 million people are directly engaged
in fishing worldwide and another 100 million work in fisheries-
related occupations, around 97% of all fishery workers live and
work in developing countries.23
About 90% of the 15 million people who work aboard fishing
boats do so from small-scale, non-industrialised vessels.24
Over 20% of full-time fishers earn less than $1 a day, according
to the World Bank,25 and overall fish provides 2.6 billion people
with at least 20% of their average per capita animal protein.26
Trade impact
It is clear from numerous studies that the growth of industrial
harvesting and trade in fish can undermine fish stocks, marine
conservation and sustainable livelihoods, and also the rights of
the poorest communities who depend on fragile eco-systems.27
The UN special rapporteur on the right to food, Jean Ziegler,
recently drew particular attention to the plight of poor local fishing
communities – from Chile to South Africa – and urged
governments to guarantee rights to access fishing resources and
fulfil their wider obligations to respect, protect and fulfil the human
right to adequate food.28
6
21 Kurien J, (2005) Responsible fish trade and food security, FAO fisheries technical paper,
No. 456. Rome
22 ibid
23 ibid
24 UNEP (2006), Ecosystems and biodiversity in deep waters and high seas, New York
25 World Bank (2004) Saving fish and fishers – towards sustainable and equitable governance of
the global fishing sector, report no. 29090-GLB, World Bank; Washington DC
26 FAO (2004) State of world fisheries and aquaculture 2004, FAO, Rome
27 See: World Bank (2004) Saving fish and fishers – towards sustainable and equitable
governance of the global fishing sector, report no. 29090-GLB, World Bank; Washington DC:
UNEP (2006), Ecosystems and biodiversity in deep waters and high seas, New York; Ziegler J,
The Right to Food, United Nations General Assembly, 59th session, 27 September 2004;
Kurien J, (2005) Responsible fish trade and food security, FAO fisheries technical paper, No.
456. Rome; Environmental Justice Foundation (2005), Pirates & Profiteers, London; WWF &
Traffic (2006), Follow the leader, Geneva.
28 Ziegler J (2004), The right to food, United Nations General Assembly,
59th session, A/59/385, 27 September 2004. See:
http://daccessdds.un.org/doc/UNDOC/GEN/N04/525/17/PDF/N0452517.pdf?OpenElement
29 For FAO Code of Conduct for Responsible Fisheries, see:
http://www.fao.org/documents/show_cdr.asp?url_file=/DOCREP/005/v9878e/v9878e00.htm
30 WTO document TN/MA/W/63, 18 October 2005
31 See: Kleih U et al (2006) Sustainability impact assessment of proposed WTO negotiations,
mid term report for the fisheries sector study, University of Greenwich, Natural Resources
Institute, United Kingdom
While the NAMA and subsidies negotiations have been
highlighted,32 new moves to effectively ‘lock in’ essentially
irreversible commitments to liberalise ‘services incidental to fishing’
are now also being made in the current WTO GATS33 negotiations.
32 For example, see: Greenpeace (2007), Trading away our oceans, why trade liberalisation
of fisheries must be abandoned, Netherlands; WWF (2002), Turning the Tide on fishing
subsidies. Can the World Trade Organization play a positive role? Washington DC
33 ‘GATS’ stands for the General Agreement on Trade in Services
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
7
What is GATS?
Most WTO agreements concern the trade in goods and products. The General Agreement
on Trade in Services (GATS) extends WTO rules to service sectors, which are grouped under
163 sub-sectors, from banking to rubbish collecting, tourism to education, health to
transport, water delivery to retail stores.
The aim of GATS is liberalisation and to progressively remove any restrictions that are
considered ‘barriers to trade’ in such services. The GATS rules address the extent to which
governments may or may not intervene in the market.
Amongst others, this could include the right of governments to discriminate between local
and foreign companies and the use of domestic regulation to ensure foreign companies
benefit local economies.
Alongside a set of generally applied disciplines, GATS includes more specific rules
on liberalisation that apply only once and to the extent a country has ‘listed’ a service
sub-sector and mode of supply under GATS. This is referred to as the ‘positive
listing’ approach.
‘Positive listing’ approach
Once nominated, the rules of ‘market access’ and ‘national treatment’ apply and
commitments are considered ‘bound’ – they are effectively ‘locked in’, or irreversible.
• Market access: these rules give foreign companies the right to enter the local market
and, amongst others, restrict the ability of governments to put limits on the foreign
ownership of local companies and the number of suppliers in a given service sector, both
local and foreign
• National treatment: ensures that foreign companies are treated at least as well as
domestic firms in the delivery of a service.
Governments can choose not to include a service sector for ‘specific commitments’ or take
only partial commitments if they wish, although other WTO members can apply pressure in
negotiations or formally ‘request’ that sectors are liberalised under a ‘request-and-offer’
process at the WTO.
To date, collective ‘plurilateral’ requests have been made by groups of developed countries
in the following service sectors: air transport, architecture and engineering, audio visual,
computers, construction, distribution, education, energy, environmental services, finance,
maritime transport, online entertainment, legal, logistics and telecommunications.
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
Five countries have made ‘offers’ to liberalise aspects of their
fishing services sectors (mainly limited to consultancy), including
Brazil, India and Macao.35
Recently Argentina and Brazil made a collective ‘request’ to
liberalise services incidental to fishing through a request
categorised under ‘agriculture’ to Australia, Canada, the EU,
Iceland, Japan, New Zealand, Norway, Switzerland and US.
According to the WTO, 33 WTO members have undertaken
commitments to liberalise ‘services incidental to fishing’ to
date, including the developing countries Burundi, Central African
Republic, China, Colombia, Congo, Dominican Republic,
Nicaragua, Panama, Sierra Leone and South Africa (a number
of these 33 countries have limited the commitment to consulting
and advisory activities in relation to fishing).34
8
34 Communication with WTO, April 2006
35 Communication with WTO, April 2006
The WTO GATS agreement defines four ‘modes’ of supplying services
Mode 1: Cross border supply
This type of trade involves services crossing national frontiers ie processing
insurance claims or laboratory test results, or any service provided over the
internet (data processing, accounting, software programming, sales services).
Mode 2: Consumption abroad
Services supplied to a citizen of one WTO member in another WTO
member country ie foreign tourism or education.
Mode 3: Commercial presence
Services supplied by a company (or its subsidiary) of one WTO member,
through a commercial presence in the territory of any other member ie foreign
banks established overseas.
Mode 4: Movement of natural persons
Services supplied by citizens of one WTO member working in the services
sector of another WTO member ie an engineer working abroad to supervise
work overseas.
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
Classified under ‘business services’ under GATS, ‘support
services to forestry, fishing and aquaculture’ are codified for the
WTO in broad and unspecified terms under a central products
classifications code (CPC) at the UN Statistics Division.36
The CPC defines support services to fishing as carrying out
part of the fishing operation on a fee or contract basis, and
includes marine fishing and ‘activities of vessels engaged both
in fishing and in processing and preserving of fish’.37
Analysis for the Organisation for Economic Co-operation and
Development (OECD) suggests fishing services ‘can mean many
things’, and interprets it as traded services for ‘arrangements
where fishing vessels from country A catch country B’s fish’.38
Academics say trade in fishing services can be categorised under
fish harvesting, labour and capital, processing and marketing and
policing services.39
This issue is still under debate, but this could cover:
• a foreign vessel coming into port to use harbour services
• the composition of management and crews on fishing vessels
• joint ventures between local and transnational firms.
Foreign fishing agreements – such as fishing rights, quota
allocations or individual transferable quotas – could also be
affected by GATS too.
9
36 See UN Statistics Division Central Products Classifications Code (CPC) draft ISIC Rev.4 for
‘support services to forestry, fishing and aquaculture’ at:
http://unstats.un.org/unsd/cr/registry/docs/isic4-051231.pdf and ISIC Rev.3 code 0500 for
‘services incidental to fishing’, at:
http://unstats.un.org/unsd/cr/registry/regcs.asp?Cl=2&Lg=1&Co=0500
37 ibid
38 Hannesson R, (2001) Effects of liberalizing trade in fish, fishing services and investment in
fishing vessels, OECD papers, Norwegian School of Economics and Business Administration,
Norway. See: http://www.oecd.org/dataoecd/1/11/1917250.pdf
39 Cunningham S & Whitmarsh D (2001), Trade in Fishing Services, OECD papers.
See: http://www.oecd.org/dataoecd/1/11/1917250.pdf
40 See OECD (2003), Liberalising fisheries markets: scope and effect, OECD, Paris; Hannesson R,
(2001) Effects of liberalizing trade in fish, fishing services and investment in fishing vessels,
OECD papers, Norwegian School of Economics and Business Administration, Norway
41 Kleih U et al (2006) Sustainability impact assessment of proposed WTO negotiations,
mid term report for the fisheries sector study, University of Greenwich, Natural Resources
Institute, United Kingdom
Research for OECD argues that liberalising
fishing services would produce clear winners
and losers – it says it is likely to lead to
‘re-flagging’ of vessels, amongst others –
and warns that an essential pre-condition
before these sectors are liberalised is
effective management of national
fisheries – a condition lacking in many
developing countries.40
Although developing countries – including
Pakistan – may not yet have been
aggressively targeted to liberalise fishing
services at the WTO, the threat is emerging
and the architecture is in place to lock in
what are essentially irreversible policies.
Moreover, a recent sustainability impact
assessment for the EU by the Natural
Resources Institute on proposals at the WTO
to cut fisheries tariffs and subsidies indicates
that ‘a significant number’ of fisherfolk
communities could go out of business and that unemployment,
poverty and environmental damage is likely to increase.41
The combined effect of these proposed moves – plus moves on
services liberalisation – could seriously impact on the rights and
sustainable livelihoods of millions of small-scale fishers worldwide.
Warrick Page/Panos Pictures/ActionAid
Taking the fish
fishing communities lose out to big trawlers in Pakistan
www.actionaid.org
Author: Alex Wijeratna, ActionAid UK
Thanks to: Aftab Alam, Mohammed Ali Shah, Marc Allain, Sikander Brohi, Ronnie Hall, Marc Maes, Sebastian
Mathew, Pakistan Fisherfolk Forum, Tim Rice, Stephanie Ross, Gillian Sandford, Carl-Christian Schmidt,
Tom Sharman, Jamal Mustafa Shoro, Mustafa Talpur, Ruchi Tripathi, Elisabeth Tuerk, Sabrina Varma.
Recommendations
The Pakistan government should
• consider a complete ban on the use of destructive fishing nets and
on deep-sea fishing trawlers
• institutionalise the FAO Code of Conduct for Responsible Fisheries
in its fishing policy
• support local fishers to use appropriate technologies for sustainable
deep-sea fishing
• support the organisation of fishing communities and urgently improve
their access to basic services
Member countries at the WTO should
• not make any new services liberalisation requests or commitments
until sectoral sustainability impact assessments have been made.
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