• 2018 August 1

    Measures of contention

    Large-scale plans on renovation of the fishing fleet require additional measures of state support. Russian Federal Fisheries Agency suggests compensating 25% of total newbuilding costs while RF Ministry of Industry and Trade calls on applying the measures available today.

    To limit appetites for fish

    According to Rosrybolovstvo (Russian Federal Fisheries Agency), 17 fishing ships are being built in Russia under the “keel quotas” programme with 33 more ships to be laid down in 2018. The overall plan is to build about 100 large- and mid-size vessels totally estimated at RUB 200 billion.

    Apart from large- and mid-size vessels Russia needs to upgrade its fleet of small fishing ships not covered by “keel quotas” programme - 70 to 150 new ships are required in this segment.

    When speaking at the meeting of the interdepartmental working group on fishing ships construction matters, Rosrybolovstvo head Peotr Savchuk suggested compensating 25% of total costs for construction of such ships. Nikolai Shablikov, Deputy Head of the Department of Shipbuilding & Marine Engineering, RF Ministry of Industry and Trade, said at the meeting, that compensation suggested by Rosrybolovstvo (25%) is too high as compared with the subsidies applied to cover loan and leasing interest rates in the segments of cargo and passenger fleet . Besides, the limit of the suggested measure of support is not specified while its corruption element is very large. In his turn, Nikolai Shablikov called on applying the measures that are available today and proved to be a success: ship utilization grants, subsidies to cover loan and leasing interest rates, etc.

    One more measure under discussion is the development of a small fishing ship’s standard design, which is to be financed by the Government. Yet, representatives of the fishing industry are not sure about reasonability of such a design.

    The final purpose of all state support measures is the localization of fishing ships designing and construction  in the territory of Russia as well the increase of local content in the manufacture of components. As of today, fishing ships are being built to foreign designs with foreign components. As for designing, Russia has many design bureaus and institutes but is not competitive with Norway and Iceland. Nikolai Shablikov explains it by low marketing activity of Russia. 

    Local production of component is even a greater problem, not only in the segment of fishing ships but generally in shipbuilding. To solve this problem, a coordination center and an information portal for manufacturers and consumers of domestic ship components is being established at the premises of Central Research and Development Institution “Kurs” (CNII Kurs) while the Ministry of Industry and Trade is drafting a law on priority use of vessels built in Russia.

    Vitaly Chernov