SWIOP/WP/19 - Fisheries Institutions in Mauritius
Table of Contents
L. Christy and D. Gréboval
April 1985
RAF/79/065/WP/19/84
REGIONAL PROJECT FOR THE DEVELOPMENT & MANAGEMENT OF FISHERIES IN THE SOUTHWEST
INDIAN OCEAN
PROJET REGIONAL POUR LE DEVELOPPEMENT ET L'AMENAGEMENT DES PECHES DANS L'OCEAN
INDIEN SUD-OCCIDENTAL
c/o UNITY HOUSE, P.O. BOX 487, VICTORIA, MAHE, SEYCHELLES
TELEPHONE: 22773
TELEX: 2254 SWIOP SZ
The designations employed and the presentation of material in this publication
do not imply the expression of any opinion whatsoever by the Food and Agriculture
Organization of the United Nations concerning the legal status of any country,
territory, city or area or of its authorities, or concerning the delimitation
of its frontiers or boundaries. The views expressed are those of the authors.
This electronic document has been scanned using optical character recognition
(OCR) software and careful manual recorrection. Even if the quality of digitalisation
is high, the FAO declines all responsibility for any discrepancies that may
exist between the present document and its original printed version.
I. Introduction
A. Terms of Reference
B. Background
C. Findings
II. Potential Areas
of Fisheries Development
A. Oceanic Tuna Fishing
1. The Industry
2. Government Activities
3. Recommended Activities
B. The Banks Fishery
1. Recent History of
the Banks Fishery
2. Government Activities
3. Recommended Activities
C. Advanced Artisanal Fishery
1. Existing Fisheries
2. Government Activities
3. Recommended Activities
III.
Needs and Opportunities for Government Intervention in Mauritian Fisheries
A. Existing Fisheries Institutions
B. Recommended Activities
1. Management
2. Financing
3. Statistics and Economic
Research
4. Fishing Technology
5. Promotion
C. Institutional Structure
1. Unity of
Management and Development Functions
2. Creation of a Fisheries
Authority
IV. Implementing the Recommendations
ANNEX.
Draft Bill for a Fisheries Development Authority Act
A. Terms of Reference
B. Background
C. Findings
The Government of Mauritius has been considering the establishment of a National Fishing Corporation. It requested FAO to advise on the possible role of such a corporation and on the instrument creating it. The Regional Project for the Development and Management of Fisheries in the Southwest Indian Ocean accordingly provided the services of a lawyer and an economist to advise the Government on the matter.
In a first consultancy, Lawrence Christy FAO legal officer and Dominique Gréboval FAO fisheries planning officer, visited Mauritius between 22 September and 5 October 1984. During that time they held discussions with officials of the Ministry of Agriculture, Fisheries and Natural Resources, as well as other Ministries and with representatives of the fisheries sector. They prepared an interim report based in part on those discussions. In a second consultancy from 19 to 25 November 1984, Mr. Christy discussed the interim report with the Minister of Agriculture, Fisheries and Natural Resources, Hon. N. Deerpalsingh. The present report has been revised as a result of those discussions.
FAO wishes to thank the numerous Mauritians who assisted the consultants in their work, in particular Mr. Ramjee Samboo, whose efficiency and knowledge of Mauritian fisheries were placed entirely at their disposal.
Mauritius comprises several islands in the Southwest Indian Ocean to the east of Madagascar and Reunion and to the south of Seychelles. The main island of Mauritius is home to the vast majority of the one million inhabitants of the country. The island of Rodrigues, 380 miles to the east of Mauritius, has about 30,000 inhabitants. There are several smaller islands. Although the country's land mass is only about 2,000 square kilometres, its scattered islands generate an EEZ of some two million square kilometers. The main exploited fishing grounds, both within and beyond the limits of the EEZ, are the lagoons and off-lagoon areas of Mauritius and Rodrigues, and the banks of St. Brandon, Nazareth, Saya de Malha and the Chagos Archipelago.
There are about 2500 artisanal fishermen engaged in the lagoon and off-lagoon fishery. Their catch and catch per fisherman-day were 1370 tons and 4.1 kilos respectively in 1983. The banks fishery shows considerable fluctuations, the catch varying from 1700 to 3900 tons, largely as a function of the amount of effort engaged. In addition, there is an unknown amount of fishing by foreign long-liners, which also trans-ship in Port Louis, and Mauritius itself operates a tuna purse-seiner, which fishes on the high seas beyond Mauritian waters and lands about 3000 tons a year to a local cannery.
The lagoon fishery has been considered fully - or over-exploited for some time. The Government has therefore focused its development plans on the offshore fisheries, including not only the banks and oceanic tuna fishing, but also smaller-scale tuna fishing in the coastal waters of Mauritius. The purpose of creating a National Fishing Corporation would be to spearhead development in these areas.
The consultants accordingly began by investigating the scope for development in the banks fishery and tuna. As a secondary matter, they also considered possibilities for exploitation of under-utilized inshore resources. They then tried to determine if otherwise feasible developments were being held back by lack of facilities, initiative, government support or other factors. In particular, they sought to identify areas where government efforts could expect to produce or stimulate an increase in net benefits from the fisheries. The consultants then attempted to describe the kind of institution, whether a National Fishing Corporation or other, that could best conduct these efforts.
The principal conclusion of the consultants is that a National Fishing Corporation is not justified. The consultants understood that the Government would expect a state corporation to have reasonable prospects of a positive rate of return, and the proposed corporation would not have such prospects. The general record of state fishing corporations in market economies - and the particular experience of Mauritius with state enterprise - do not suggest that commercial fishing can be profitably conducted by a Mauritian National Fishing Corporation. Even if profitability is not a consideration, the kinds of activities the consultants recommend do not require a National Fishing Corporation to carry them out.
The consultants recommend strengthening the Government's capacity both to support development in the private sector and to manage the country's fisheries. The Government has indicated that these activities should be undertaken by a statutory body, which we have called the Fisheries Development Authority. A proposed statute for the creation of the authority is attached to this report. If ancillary commercial and financial activities are necessary, they should be conducted through companies established under the Companies Act.
A. Oceanic Tuna Fishing
B. The Banks Fishery
C. Advanced Artisanal Fishery
The consultants have been conscious of the sad experience of many countries and companies that have invested in fisheries where the catch could not be increased economically, because either the resource or the market was limited. In these situations, development efforts will be wasted unless they reduce costs or involve some change in catchability or marketability of the product.
Although Mauritius is surrounded by an enormous EEZ, it does not necessarily follow that it has abundant resources that can be caught cheaply and sold profitability. Certainly the inshore resources are very heavily exploited, and a reduction rather than an increase of effort seems advisable. The offshore fisheries appear to have better possibilities for development, but even here there are a number of questions which have to be answered before major investments are justified. The following sections examine these fisheries one by one and attempt to indicate the possibilities for their development, hindrances to development and what the Government of Mauritius can do to induce development.
1. The Industry
2. Government Activities
3. Recommended Activities
There are two types of oceanic tuna fishing operating or based in Mauritius, namely long-lining by vessels from Korea and Taiwan and purse-seining by a Mauritian-Japanese joint venture. In addition, large fleets of French and Spanish purse-seiners operate to the north of Mauritius.
For many years Mauritius has tolerated fishing by unlicensed long-liners, many of which regularly use Port Louis as a transhipments base. Two companies associated with Mitsubishi and Taiyo purchase the catch for resale in the United States and the Far East. Some finds its way into the local market.
The long-line catch landed in Mauritius has declined in recent years but still represents a significant activity (5000 tons by KGKK and perhaps a third of that by Tuna Export Services Co.). The Port Louis companies compete with two others in Reunion for the business. There are apparently no great problems in operating in Port Louis, although the method of discharge increases costs. Until night work is accepted by the stevedoring firms, it will be difficult to expand the handling of sashimi. If more cold storage were available, one company says it would also be able to increase its volume of cannery fish.
The Mauritius Tuna Fishing and Canning Enterprises, Limited, is a joint venture involving Ireland Blythe Limited, other Mauritian shareholders and Kaigai Gyogyo K.K. of Japan. It operates a tuna cannery with a planned intake of 5500 tons in 1984 and a purse-seiner, the Lady Sushil. Lady Sushil was built in Japan in 1979. The skipper and key crew are Japanese (11 men) and the remainder (13) are Mauritian. After a difficult start which required her to range as far as the Pacific in search of catchable tuna, Lady Sushil has been catching in the region of 3 to 4 thousand tons annually for the last two years. The remaining raw material for the cannery is imported.
The main difficulty the company faces appears to be financial limitations deriving from its poor early performance. It is now operating at satisfactory levels and would be interested in adding another purse-seiner when its financial situation permits. Another limiting factor is the difficulty the company has encountered in obtaining fishing rights in Seychelles.
The most significant new development in Indian Ocean tuna fishing is the movement of the French Atlantic purse-seine fleet (27 vessels) into the region, along with more than 15 Spanish and a small number of Ivorian purse-seiners. This development has only slightly affected Mauritius so far, since the vessels are based in Seychelles and fish there and on the high seas to the east. They come to Mauritius for dry-docking, however, and it is quite possible that they would wish to discharge part of their catch in Port Louis on a regular basis. In the longer run, there would also be opportunities to process some of this product in Mauritius.
There are several obstacles to increasing the Mauritian activities of the Seychelles-based purse-seiners. The first is distance from the fishing grounds, about which the Government can do little: even Lady Sushil finds it necessary to fish outside of Mauritian waters. A second obstacle is port costs, elements of which are relatively high in Mauritius. These could be reduced if necessary. The third obstacle, which relates to the installation of shore facilities, is the newness and thus uncertainty of the fishery. The full fleet has not even operated a year, so it is still early to expect it to make long-term investments in the region. It is equally early for the island countries to make such investments.
Government involvement in oceanic tuna fishing has been relatively limited. It is now actively negotiating participation in a planned European Development Fund regional tuna project. Amongst other results, this project is designed to indicate resource availability, test methods (purse-seining and pole-and-line) and train personnel.
The Government has also built a fishing port with Japanese assistance. The port is intended for use by the Mauritian bank fishery, but if space is available, it would be used by the long-liners that trans-ship in Port Louis. (The area is too shallow for use by purse-seiners.)
Finally, harbour dues have been reduced for fishing vessels, and consideration is being given to shift work and other changes in port labour practices. These measures could give a significant boost to seiner landings and help maintain the longline transhipments.
The Government of Mauritius does not know, with any precision (say, within one degree), where Lady Sushil is fishing, and it has even less information about the activities of foreign vessels in and near its waters. Without such knowledge it is possible neither to formulate a rational policy nor to plan investments.
The Government should begin obtaining regular information on fishing activities from the Mauritian-flag vessel and from foreign vessels that operate in Mauritian waters. To do this, it should enact appropriate legislation governing fishing in the EEZ, license fishing vessels (on easy terms to induce compliance) and require simple reports on fishing activities. Modest surveillance activities, as much as possible on a regional basis, could then be considered. (See report FL/IOR/84/13 for more detailed recommendations on licensing and control.)
Mauritius could also help the Mauritian purse-seiner by supporting its application to fish in Seychelles. In the name of regional co-operation, it should be able to obtain access on no worse terms than enjoyed by French vessels under the EEC agreement.
The Government might also be able to help Mauritius Tuna Fishing and Canning Enterprises expand. If external financing or even a vessel could be channelled to the company, this would allow it to speed up expansion and eliminate frozen fish imports. In the case of a vessel, however, great caution is recommended. The specifications and condition of a vessel and terms on which it might be offered need to be examined very carefully. In particular, full account needs to be taken of operating costs, likelihood of profitable operation and appropriate allocation of risks and profits. When these factors are examined closely, even a free vessel can turn out to be unreasonably expensive.
More ambitiously, the Government could start its own tuna company or urge another private company to do so. In either case, the consultants do not foresee a realistic possibility that such an enterprise could be operated without extensive foreign technical and marketing assistance - most likely in the form of a joint venture. Until new resources, techniques or markets appear, which the existing company cannot properly exploit, the new-company option cannot be recommended. Finding local management will be difficult, finding a compatible foreign partner is risky, and two vessels operating to the cannery as a unit would be technically more efficient than two separate operations. Given the scale of purse-seining, pursuing both options at the same time - expanding Mauritius Tuna while starting a second company - cannot be recommended either.
It is also not recommended that Mauritius try to enter the distant-water, long-line fishery. This is a declining activity and has only been successfully exploited by very few nations. The present policy of encouraging trans-shipping should be continued. If possible, it should be reinforced by the adoption of port practices that minimize expense, delay and product deterioration during trans-shipping. If new cold storage is built in the new fishing port area and made available in part for trans-shipping, it is possible that the present volume of trans-shipping could be increased. Information on fishing and landing patterns should be obtained from licensed vessels, trans-shipping companies and through exchange with Seychelles and Reunion in order to help plan investments in shore services.
The best way for Mauritius to pursue fishing opportunities that are not presently apparent is carefully to follow the activities of the regional tuna project if it comes about. Any resources and techniques that it identifies can then be pursued either through immediate commercial exploitation, if appropriate, or through further technical development, if necessary, followed by encouragement of commercial exploitation.
In the long run, the best way to maximize Mauritian benefits from oceanic tuna fishing may be to concentrate on shore services and processing. Aside from the present cannery, it may be possible to encourage landings and drydocking by foreign purse-seiners operating in the region, and eventually some significant investment in shore handling and processing facilities. To do this, Mauritius will have to pursue a co-ordinated policy of all the agencies involved (fisheries administration, Mauritius Maritime Authority, and Ministry of Economic Planning and Development). At the same time, it should co-ordinate its approaches with other countries in the region. It is probable in any case that both fleet support activities and fishing will spread beyond the Seychelles. It is of the greatest importance that the countries involved not undercut each other in competing for their share of these activities.
1. Recent History of the
Banks Fishery
2. Government Activities
3. Recommended Activities
The banks of the Mauritius-Seychelles ridge constitute the major fishing grounds of the traditional distant-water fleet of Mauritius. The banks fishery is essentially based on the Dame Berri (Lethrinus enigmaticus), which represents about 80 per cent of the catch. Fishing operations are conducted from mother-ships (converted cargo or fishing vessels), using 6 to 15 dories depending upon the size of the vessel. The dories are equipped with outboard motors and operated by a crew of three fishermen fishing with handlines. Under normal conditions, each vessel will make four trips per year, each trip lasting about 35 days. The catch is frozen on board and sold almost exclusively on the Mauritian market - only the by-catch of red fish (Serranidae) is exported to Reunion. With the exception of occasional imports, Dame Berri is the only frozen fish available in Mauritius. As such, the banks fishery plays a major role in providing a relatively inexpensive source of protein. In recent years, frozen banks fish represented one fourth of the fish consumption of the country. The characteristics of the fishery have been described in detail in Revitalization of the Mauritian Bank Fishery, by Wijkström and Kroepelien (FAO 1979) and An Appraisal of the Banks Fishery in Mauritius by Samboo (Ministry of Agriculture, Fisheries and Natural Resources 1983).
The banks fishery developed progressively after the mid-1960's, following the gradual acceptance of frozen fish by the population of Mauritius. By the mid-1970's, the local fleet was composed of 7 mother-ships landing about 3200 tons of frozen fish per year. After 1977, however, the number of Mauritian vessels exploiting the fishery decreased abruptly with only 3 vessels fishing during 1979-81. Meanwhile, total landings by Mauritian vessels decreased from 3935 tons in 1974 to a record low of 678 tons in 1980 (Table 1). Several factors were responsible:
i) By the mid-1970's, the vessels which started fishing in the early 1960's (La Perle II, La Sirène, Stella Maru I) were no longer in operating condition and would have had to be replaced. New investment, even for a second-hand vessel, would have required relatively favourable prospects.
ii) Rising oil prices contributed to significantly higher operating costs after 1974, when the price of frozen fish started to be fixed by the Government. As noted by Wijkström and Kroepelien, this resulted in a profit squeeze with the price of fish being allowed to increase only at the rate of the consumer price index, while the cost of major inputs (salaries, fuel, spare parts, repair and maintenance services) was increasing more rapidly.
iii) The industry being unable to invest in replacement vessels under such circumstances, national production of frozen fish decreased after 1974. This resulted in increased imports of frozen fish from 6 tons in 1972 to 1749 tons in 1977.
iv) Since 1977, in order to ensure a constant supply of frozen fish, the Government further allowed the chartering of two to three Korean vessels to exploit the banks fishery. Landings from chartered foreign vessels may be considered more or less equivalent to direct imports, since both compete with the Mauritian product and both must be paid for in foreign exchange. The aggregate of direct imports and Korean landings during the period 1977-1980 represented 65 per cent of the total supply of frozen fish.
Table 1: Landings and Imports of Frozen Fish for Local Consumption
|
Year
|
Landings of bank fish (wet weight)
|
Imports
(net wt)
|
Total Supply
(net wt)
|
Consumption of Bank Fish (net wt)
|
Retail Price (Rp/Kg)
|
|
Mauritian Vessels
|
Korean vessels
|
Total Landings
|
|
1971
|
1800
|
-
|
1800
|
5
|
1445
|
1440*
|
1.50
|
|
1972
|
2500
|
-
|
2500
|
6
|
2006
|
2000*
|
1.50
|
|
1973
|
2432
|
-
|
2432
|
269
|
2223
|
1945*
|
2.50
|
|
1974
|
3935
|
-
|
3935
|
904
|
4054
|
3150
|
3.50
|
|
1975
|
3166
|
-
|
3166
|
939
|
3472
|
2533*
|
4.80
|
|
1976
|
2712
|
-
|
2712
|
1118
|
3378
|
2170*
|
4.80
|
|
1977
|
2313
|
1522
|
3835
|
1749
|
4945
|
2923
|
7.00
|
|
1978
|
2108
|
1282
|
3390
|
1126
|
3628
|
2543
|
8.20
|
|
1979
|
729
|
1499
|
2228
|
442
|
2540
|
2028
|
10.70
|
|
1980
|
678
|
1008
|
1686
|
307
|
1831
|
1527
|
13.30
|
|
1981
|
1268
|
500
|
1768
|
65
|
1142
|
1045
|
17.50
|
|
1982
|
1493
|
2302
|
3793
|
64
|
2396
|
2291
|
14.00
|
|
1983
|
1525
|
759
|
2284
|
0
|
2696
|
2656
|
14.00
|
|
1984
|
(2400)*
|
-
|
(2400)*
|
(100)*
|
2000*
|
1900*
|
16.00
|
*Estimated
As indicated in Table 2, the combination of these factors led most fishing companies to lay up their vessels after 1977 and caused numerous bankruptcies. It should be noted that in spite of a relative decrease in the size of fish caught on the Saya de Malha bank (see Samboo), the catch per fisherman-day has remained relatively stable since the early 1970's (as indicated by data from Reunion vessels). Biological factors did not therefore play a significant role in the decline of the Mauritian fleet, despite the alleged intensity of fishing by foreign trawlers. In the opinion of the consultants, the near collapse of the local banks fishery industry resulted from an implicit government policy which gave priority to providing the consumer with relatively inexpensive fish.
Since 1980, the situation has changed significantly. Between November 1980 and November 1981, decreased landings and Government-induced reduction of imports led to a substantial shortage of supply. The deregulation of frozen fish prices instituted in 1981 brought prices from 13.30 Rs/Kg in June to 19.50 Rs/Kg in November of that year. This induced five newly acquired vessels to enter the fishery in 1982, and total landings rose from 1768 tons in 1981 to 3793 tons in 1982 (Tables 1 and 2).
The sudden increase in landings, together with high prices, resulted in a significant market glut in 1982. Stocks of frozen banks fish rose to an average of 700 tons in 1982, compared to about 200 tons in normal years. This required use of from 40 to 80 per cent of the total cold storage capacity of Mauritius throughout 1982. The excess supply was nevertheless absorbed by the market as prices dropped progressively from 19.50 Rs/Kg in November 1981 to 13.90 Rs/Kg in April 1982.
Table 2: Fishing Vessels Exploiting the Bank Fishery - 1975-1985
The behaviour of the market between 1980 and 1982 shows that fish demand is relatively inelastic. In view of the small number of producers and wholesalers, there could be a tendency to limit supply in order to get a higher price. If the market did behave this way, it would have justified the re-establishment of price control which took place in 1983 (the maximum price is now 18 Rs/Kg). In fact, however, competition among producers and wholesalers seems to be fierce. One reason is that wholesalers handle a variety of frozen products which they distribute throughout the island, so their main objective is to assure retailers a regular supply of frozen fish, rather than to maximize the price.
The new entrants observed in 1984 - three vessels were added to the existing fleet and two more are planned for 1985 - have been induced by a relatively normalized market and by the fact that the Korean vessels left the fishery. While two Korean vessels had licences to fish in 1984, the terms of their contracts were no longer attractive under the prevailing price and exchange rate.
The rapidity with which the industry responded to favourable conditions in 1982 and 1984 demonstrates its dynamism. Nonetheless, most companies are extremely fragile ventures which would not survive a poor fishing season. Nearly all have exhausted their financial resources in the acquisition of vessels, leaving very little working capital to meet the relatively high operating and maintenance costs of the antiquated fleet they have been able to afford. In this situation, equipment failure is likely, and the consequent delay or curtailing of a fishing trip causes severe cash-flow problems bringing the companies near to bankruptcy. The financial prospects of the existing companies are worsened by - and are partly due to - the relative inexperience of some of their managers. At present, poor management practices result in delayed repairs, lack of incentive to improve fishing strategies, and poor personnel management of fishermen, resulting in constant changes in crew.
The general conclusion of the consultants is that present management practices, in particular the acquisition of rather old second-hand vessels and delayed repair and maintenance, are the direct result of the historic instability of the fishery. Considering the risk which this instability entails, minimizing investment appears to be the most appropriate policy for the fishing companies. It follows that the precondition for investment in more reliable vessels is greater predictability and stability of the fishery.
Government involvement in the banks fishery has been important but of a rather incoherent nature. The lack of a clearly defined policy and long-term plan for developing the fishery made it difficult for the Government to prevent its decline. As noted earlier, government actions were implicitly directed towards providing the weaker sections of the community with inexpensive fish. The reliance on regulating prices as a way to achieve this goal has not only failed, but resulted in significant losses in foreign exchange (direct and indirect imports) and employment. Recent price levels have provided enough incentive for the fleet to expand but with the same quality of unreliable vessels. The consultants consider that further government support could lead to the acquisition of newer and more adequate vessels and to the improvement of management practices.
Recent developments offer an excellent opportunity to revitalize the banks fishery. More realistic prices, significant reductions in port fees, increasing export opportunities for red fish in Reunion and reduced competition from imports and chartered vessels have greatly improved the prospects of the industry. Furthermore, the Government has built a fishing port with Japanese assistance, specifically for the banks vessels. In the second phase of the project, a cold store with a capacity of 800 tons could be built, primarily to store landings from the banks.
The Government has also been very much involved in data collection and monitoring of the banks fishery. The consultants noted the excellent quality of the work accomplished at this level. Several commissions have also been organized by the Government to analyse the problems of the different fisheries with all concerned. A special commission was created for the banks fishery. This reflects not only the Government's determination to develop this sector, but its willingness to do so in direct collaboration with the industry.
The demersal resources of the banks (excluding Chagos bank) have, in the late 1970's supported a sustained catch by handlines of 4-5000 tons per year (Mauritian, Reunion and Korean vessels). While the stocks may support a more intensive exploitation, this could entail a severe reduction in catch rate and a diminution in average size as already observed in some areas of the Saya de Malha bank. Assuming that the catch from the Reunion vessels will remain around 1000 tons, landings by Mauritian vessels should not in the short term exceed 4000 tons. Proper monitoring of the fishery should indicate whether more fishing effort should be considered.
At present there is no other market for Dame Berri than Mauritius. Greater efforts should be made to develop an export market, but it still seems likely that Mauritius will have to absorb most of the fleet's production. Based upon recent trends, the Mauritian market could absorb about 2500 tons per year at present price levels and up to 3500 tons per year at a substantially lower price. It is the opinion of the consultants that the current price only allows for normal profits for the industry as a whole. With the existing fleet able to catch 2500 to 3000 tons per year under current management and fishing practices, the market appears to have reached a near equilibrium. There is, however, a risk that current industry plans for further fleet expansion may lead to a significant over-investment and produce an excess of supply. Whether the price of fish is regulated or not, excess supply will in time bring the price of fish down and force the weaker elements out of the fishery.
In order to avoid this rather costly market adjustment, the consultants recommend that entry into the fishery be regulated as quickly as possible. There is presently no control over entry into the banks fishery by local vessels, nor is there adequate legislation to initiate controls. It is therefore recommended that the Government proceed with due haste to modify existing legislation to give the fisheries administration power to license the banks fishery. Then a management plan must be prepared on the basis of a biological and economic appraisal of the fishery. The plan should indicate the licensing policy to be applied. If action is taken quickly, it will probably be appropriate to grant licences to all current vessels. Further entries should be subject to both developments in the fishery and the type and condition of vessels proposed for licensing. FAO could provide expert advice on both the legal and management planning aspects of licensing.
In addition to regulating entry, the Government should attempt to consolidate the current, but still extremely fragile, recovery of the national fleet. Several measures may be adopted towards this end:
i) Under the Government's control, the price of frozen fish should keep up with trends in the cost of inputs and ensure a normal profit to the fishing companies. In the long run it would be advisable to deregulate the price of frozen fish once supply stabilizes at a relatively high level.
ii) Licensing of foreign vessels should be discontinued given its negative impact on the Mauritius industry and the cost in foreign exchange and employment opportunities which it entails.
iii) For the same reasons, imports of frozen fish should not be allowed to compete significantly with national production.
The adoption of a policy clearly aimed at stabilizing national demand and supply should provide the necessary framework for a sustained development of the fishery in the medium term. The market for Dame Berri being limited, such development will require a progressive improvement in catching and handling efficiency. In other words, the expansion of the market will only be possible through a simultaneous reduction in costs and prices. The consultants have identified several areas where government action might be required in order to improve efficiency and promote the sustained development of the fishery in the long term:
i) Advisory services might be provided to the fishing companies in the area of management and investment.
ii) The Government should control the type and condition of the vessels which would be acquired in the future. Delivery and renewal of licences could be made subject to inspection and normal operation of vessels. The Government might also provide financial incentive for the acquisition of newer vessels (10 to 15 years old) through the channelling of cheap loans or vessels obtained in the context of bilateral cooperation.
iii) The rationalization of port and stevedoring practices could improve efficiency by reducing the number of days lost in port.
iv) The Government should discuss with the industry the ways and means to ensure a regular supply of fish throughout the year. As it is difficult for the fleet to operate during winter, cold storage-capacity and practices would have to be adapted to handle up to 1000 tons before winter. The Government should look into the possibility of adopting a slightly higher price during the winter months. Such a policy would encourage fishing in the northern sections of Saya de Malha and in Chagos during the winter and provide incentives for increased storage.
v) In collaboration with the industry, the Government might undertake research and development activities aimed at improving fishing efficiency, exploiting new fishing grounds (Chagos), and developing new or existing markets in Mauritius and abroad. Financing can be sought for a recent proposal to test trawling for small pelagics on the sandy grounds of the Saya de Malha bank (see Giudicelli, Chalutage sur le Banc Saya de Malha).
1. Existing Fisheries
2. Government Activities
3. Recommended Activities
The coastal fishery resources of Mauritius are mainly exploited by the artisanal sector, 2500 fishermen who landed 1370 tons in 1983. The stocks of demersal and small coastal pelagic fish in the lagoon and reef waters are over-exploited. With the progressive motorization of the fleet, a significant proportion of the artisanal fishermen (about 25 per cent) now exploit the off-lagoon demersal stocks. In this fishery, fishermen use 7 to 8-meter canoes and fish mostly with handlines. In spite of the noticeable increase in the fishing effort applied to off-lagoon demersal stocks, the catch and catch rate of artisanal fishermen have dropped significantly since 1978. Prospects for further development of the traditional small-scale fishery are thus very limited. (A possible exception is the banks near Rodrigues which are only lightly exploited by one Rodrigues fishermen's co-operative.)
There exist, however, very significant resources of tuna and other oceanic species which remain largely underexploited. These potentials are found throughout the year around Mauritius (and to a certain extent around Rodrigues), with peak abundance from October to April. These resources presently support a very active seasonal sport fishery off the Western coast of Mauritius. Surface trolling is also practiced by artisanal fishermen on their way to and from handline fishing grounds, but catches remain limited due to insufficient cruising speed. If appropriate fishing technologies are developed, these resources offer a major opportunity for advanced artisanal fishing.
The first stage of a government strategy to develop advanced artisanal fisheries is the Ecole itinérante de Pêche, organized with French assistance. The Ecole will offer a series of short courses to artisanal fishermen in basic mechanics, gear technology and related areas. This is intended both to help them in their present activities (outboard engine maintenance) and provide a sufficient technical basis for them to adopt new techniques.
The next stage is a complementary pilot project to test, demonstrate and introduce advanced fishing techniques for the exploitation of the pelagic resources in the coastal waters of Mauritius. This project will be funded by UNDP and executed by FAO. The Government will provide major inputs including the use of the 10-meter boat ANUPAMA and the services of a counterpart, a mechanic and a crew of three fishermen. The project's major immediate objectives are:
i) to test the financial feasibility of advanced fishing techniques such as Fish Aggregating Devices (FADs), pole-and-line fishing using live bait, as well as complementary techniques such as vertical long lines with live bait, deep-water multiple trolling and mid-water gill-netting;
ii) to provide concrete information for the preparation of investment projects if trials prove sufficiently successful; and
iii) to train artisanal fishermen and institutional personnel, thus creating a nucleus of capacities and capabilities for further development activities.
The Government should give a high priority to co-ordinating the two projects and to monitoring and following up the activities undertaken by the UNDP/FAO project. The consultants strongly recommend that technico-economic follow-up activities be undertaken as soon as this pilot project begins. This will entail the progressive elaboration of development schemes and projects based upon the results obtained throughout the duration of the project. Specific development activities should aim at providing the private sector with the technical and financial assistance required for the wide adoption of these new fishing techniques by artisanal fishermen. Without necessarily waiting for the completion of the UNDP/FAO project, new projects could be developed to conduct complementary experiments with different vessels and equipment (e.g. small long-liners; setting up of FADs in the coastal waters of Rodrigues). The Government might also wish to extend its research and development activities to other promising fisheries (the Rodrigues banks, deep-water shrimps, sharks) which could be exploited on an artisanal or semi-industrial basis.
For high-priced species such as tuna, shrimps, lobster and cuttlefish, the value of the artisanal catch could be further increased if part of it could be exported. Artisanal catches are now sold entirely on the national market through a rather well organized marketing network. While the national market could absorb more fish, the possibility of realizing greater value from the artisanal catch of high - priced species could provide the financial incentive required for the initial development of new fishing techniques. The Government could seek the collaboration of the companies in Mauritius which are already exporting or transhipping fish products in order to examine the conditions under which they could buy part of the artisanal catch.
A. Existing Fisheries Institutions
B. Recommended Activities
C. Institutional Structure
The foregoing discussion has indicated a number of opportunities for the Government of Mauritius favourably to influence the development of the different fisheries of Mauritius. Most of the activities are of the sort already being carried out by the Fisheries Research Division and other agencies of the Government, but their efforts would need to be strengthened and co-ordinated. Other activities do not appear to be carried out by any part of the Government, so it would be a matter of adding capabilities to existing bodies or creating new ones.
The principal responsibility for fisheries in Mauritius lies with the Ministry of Agriculture, Fisheries and Natural Resources, although responsibility for licences in the EEZ lies with the Prime Minister's Office. All civil administration in Rodrigues, including fisheries, is the responsibility of the Ministry for Rodrigues and the Outer Islands. The Mauritius Maritime Authority operates all port facilities in Port Louis, including the new fishing port. The Development Bank of Mauritius is a source of financing to the industrial sector, while the Ministry of Co-operatives supports co-operative activities with assistance and equipment. Several different ministries appear to have a role in channelling international assistance to the fisheries sector.
The most striking fact about fisheries institutions in Mauritius is that there is no fisheries department. Within the Ministry of Agriculture, Fisheries and Natural Resources there is a Fisheries Division under which the Fisheries Research Division and Fisheries Protection Service operate. But the Fisheries Division is only an administrative umbrella with no technical staff of its own, and the research and protection units are not otherwise linked.
The Fisheries Research Division undertakes research, as its name implies, as well as statistics, and has assumed de facto responsibility for management advice, policy advice and development. The Offshore Fishery Development Unit is particularly active in these respects despite rather limited manpower (a scientific officer trained in gear technology, a technical officer trained in fish technology but currently in charge of statistics, an economist working on import and export statistics and some junior staff). Aside from limited staff for management, development and policy functions, the division also suffers from lack of legal authority in EEZ waters.
The Fisheries Protection Service under a Chief Fisheries Protection Officer has a total staff exceeding 180, most of them at fisheries assistant level. It concentrates on protection of inshore fisheries and does not appear to have a role in management policy.
The Prime Minister is empowered by both the Fisheries Act and the Maritime Zones Act to grant licences outside the territorial sea. In practice these provisions have barely been implemented, probably because the Prime Minister's Office is not equipped technically to deal with fishing licences. The Korean vessels working the banks were licensed, but the local vessels and foreign longliners have so far been ignored.
The Rodrigues administration includes a fairly large Fisheries Protection Service of over 50 men, as well as an active cooperatives team. Unfortunately, there is no fisheries scientist in the administration, although some advice is available from a French co-operatives' adviser who visits Rodrigues frequently and through correspondence with the Fisheries Division in Port Louis and occasional visits.
The Mauritius Maritime Authority established under the Ports Act has statutory authority for the port area of Port Louis. The most significant consequence for the fishing industry is the requirement to use the official stevedoring services for all fish landings in the port. The new fishing port built with Japanese technical assistance is also administered by the Maritime Authority.
The Development Bank of Mauritius makes development loans at rates below those charged by commercial banks in Mauritius. It has made several loans in the fisheries sector, including three to banks fishing companies, and has funds available for further loans. The bank does not have a unit or officer with expertise in fisheries nor formal relations with the Fisheries Research Division, but it does have contacts in related fields.
The Ministry of Co-operatives has assisted in the establishment of several fishing co-operatives which operate inboard-powered vessels somewhat larger than the typical artisanal canoe. The Ministry has also distributed boats and outboard motors to individual fishermen on a deferred-payment basis.
The possibility of foreign official grants and loans to the fisheries sector is one of the reasons the Government wished to establish a National Fishing Corporation. Unfortunately, the consultants were not able to form a clear idea of how foreign assistance to fisheries is presently administered, although it appears that the Ministries of Agriculture, Finance and Planning may all be involved in arranging such assistance. The operation of projects and channelling of funds and equipment may be handled by the Ministries of Agriculture, Co-operatives and Finance and by the Development Bank of Mauritius.
1. Management
2. Financing
3. Statistics and Economic
Research
4. Fishing Technology
5. Promotion
The main activities recommended to the Government for the development of fisheries can be summarized as fisheries management; financing; promotion of new activities. In addition, the body responsible for these activities must perform certain support functions or depend on their being performed by others. The main support functions are statistics, economic research and fishing technology. Others, such as resource surveys, are not recommended because they seem unlikely to have a commensurate impact on either management or development. Training needs are being meant for the moment by the Ecole itinérante. At a later stage it will be necessary to consider whether a permanent fisheries training programme should be established, but for the present, no training activities are recommended aside from the Ecole itinérante.
The need for management is most apparent in the lagoon and off-lagoon fishery and in the banks fishery, but management may become equally necessary for new fisheries, especially those based on fragile, high-value stocks such as crustacea. The lagoon fishery is already far too crowded to maximize net economic benefits, but it is not likely that effort can be limited under current economic conditions in Mauritius. Management for resource conservation purposes is actively pursued by the Fisheries Research Division and the Fisheries Protection Service. Existing manpower and organization appear adequate for the inshore fisheries.
A different situation appears to prevail on Rodrigues, where the lagoon is less heavily exploited and the off-lagoon resources are practically untouched. Fisheries management would be possible, if not easy, but the expertise is lacking. It is recommended that the Rodrigues administration and the Fisheries Division seek to assign a fisheries scientific officer to Rodrigues with a particular mandate to look into the possibilities of rational management of the fisheries.
Management of the banks fishery (and eventually other offshore fisheries) does not present the same problems as managing the lagoons. It is still possible to restrict effort to a level that will supply the local market and existing export markets, and as these markets develop, to allow effort to grow within limits of the desirable (economic) yield of the fishery. To do this will require good statistics on both fishing and distribution, biological and economic analysis, and the powers to control entry, maintain appropriate prices and control imports in a co-ordinated manner.
Management needs for other fisheries (including oceanic tuna fishing) will initially require no more than basic data on vessel positions and landings, together with exchange of these data on a regional basis. These data can be effectively gathered on the basis of self-reporting as an adjunct to licensing, and a system of licensing is recommended. Aerial surveillance may be useful to check vessel reports.
The minimum requirement to strengthen the present management functions (aside from the special case of Rodrigues) is to assign the power to manage fisheries, including to license vessels, to the fisheries administration rather than the Prime Minister's Office. Then a suitably qualified person should be appointed to direct the management effort, including co-ordination of statistical work and economic analysis, to take or prepare management and licensing decisions and to assure liaison with other decision-making agencies, such as the ministries responsible for price control and import duties.
The need for financing is second to the need for management in the banks fishery. If the fishery is properly managed, financial facilities will be useful there (as well as, to the extent of one purse-seiner, in the tuna fishery). Currently, there appear to be adequate amounts of lending available commercially and through the Development Bank of Mauritius; but the cost may be too high for some investors, the procedures are not familiar to them, conditions may not be suited to the fishing industry and proper advice to back up the investment is not always assured. It is not recommended that the Government of Mauritius subsidize investment in industrial fisheries, although if low-cost funds are available as international assistance, they could be channelled to the industry. The main need is instead to improve supporting services that can help borrowers and bankers make the best use of available funds.
The investment support function should include provision of basic data on resource availability, techniques and markets, formulation and appraisal of projects and liaison with financing agencies. It would draw on the results of the resource monitoring, technology development and economic research functions. In addition, it would require an industry micro-economics capability which does not now exist in the fisheries administration. To the extent micro-economists are working in other government agencies, they are not very familiar with fisheries and do not have the strong links with other fisheries specialties that are needed to form the whole investment support package.
Resource and economic statistics are necessary for both fisheries management and development. They are currently gathered in an integrated manner, and this appears to give a much better basis for decision-making than would separate (or uncoordinated) economic and resource statistics.
Economic research - or deeper analysis of statistical and other information - is also necessary for proper management and development. In particular, research at the firm and industry level is needed to understand the behaviour of the markets, the economics of the fishing operations, and the likely effects of proposed decisions such as changing a controlled price or limiting the number of licences in a fishery. Economic research would be an additional function that the fisheries administration does not presently perform.
Competence in fisheries technology is necessary for both investment support and development of new activities. It is not expected that the Government will be a leader in training and improvement of existing techniques. But knowledge of fishing and processing techniques is needed for investment appraisal and advice. In prospecting new activities, it will be necessary to test unfamiliar techniques and devise new ones where existing practices are not suited to new resources or markets.
These activities are being undertaken on a project basis within the Fisheries Research Division and will be taken up on a bigger scale by the FAO and EDF projects. It will be useful for the Government to have a stronger and more continuous technological capability in order to adapt the results of such projects and integrate them with the necessary resource, marketing and financial support in order to get them into commercial use.
Promotion of new activities is partly the integration of other development functions and partly the search for new opportunities. It is frequently not obvious to economists, technologists and fishery scientists how to package their different kinds of knowledge in order to produce a commercially viable idea. It is also likely to be the case that one element will need to be invented - perhaps a resource and a market are known but the fishing techniques used in Mauritius are not adequate to exploit the resource profitably. One of the tasks of the promotional function will be to identify such gaps and indicate the sorts of development needed to fill them. It could use means such as co-financing experimental activities on a risk-sharing basis in order to test commercial and fishing techniques and to induce the private sector to adopt them. Without this promotional function to organize the development efforts of the other functions, many potential new activities will either not be realized, or will face needless delay before being launched on a commercial basis.
1. Unity of Management
and Development Functions
2. Creation of a Fisheries
Authority
It is apparent that the management and development activities recommended for government intervention in the fisheries sector do not have the commercial character that would justify a fisheries corporation. Most of them would not even produce revenues, much less profits. Revenue might be obtained on the occasions that Government is able to sell or lease vessels and equipment it might receive on concessionary terms, but this would probably not be a principal - or even regular - activity. When such occasions do arise, the consultants recommend that the Government create private limited companies (under the Companies Act) to undertake the financial operations and responsibilities involved.
Although there is no present reason for the Government to operate commercial enterprises in the fisheries sector, the need could arise in the future. In that case also, the consultants consider that a private limited company would be the best form for the enterprise. Only if the size, duration and special characteristics of the activity required establishment of a statutory corporation would that be recommended. At that time the assets and activities of both private companies and government agencies could readily be transferred to the new corporation.
At the present time Mauritius needs a unit that will undertake the principal management and development functions identified above. Two possible structures have been suggested for the unit. One is a Fisheries Management and Development Division of the Ministry of Agriculture, Fisheries and Natural Resources. The other is a Fisheries Development Authority. A possible middle way would be to assign some functions to the Authority and others to the Division.
It is not unusual to separate management and development functions in fisheries administration, but - at least in a small country like Mauritius - the consultants do not recommend it. Management and development are in many respects the accelerator and brakes of a single system of resource management. An example can be seen in the banks fishery, where financing, channelling of suitable vessels and similar activities should increase effort and catch. A restrictive licensing system can control this increase. If no finance or reliable vessels are available, the problem of controlling effort will not arise. If the total effort in the fishery is not limited, much of the investment will be wasted, and the few companies that survive each crisis will be no more advanced than the present ones. If management and development are closely co-ordinated, there are vastly improved chances for a stable fishery which can not only supply white fish to Mauritius, but can increase its exports of red fish, develop techniques and markets for lobster, shrimp and other resources of the banks, and provide entrepreneurial talent for semi-industrial tuna fishing if that proves feasible.
In the long term, the best institutional structure for fisheries administration appears to be a single fisheries department including both the recommended management and development functions and the existing research and inshore protection. It is quite probable that the management and development unit would assume a leading and co-ordinating role in such a department.
That is for the long term, however. In order to give an immediate impulse to fisheries development, the Government wishes to create a unit that is not burdened either by responsibility for research and protection or by the procedures of government departments. There is reason to fear that even if additional means were made available to the Fisheries Division, it would have difficulty attracting the right kind of person for the recommended promotional activities, that it would not have the flexibility to manage project accounts separately from the consolidated revenue and that in general it might not show the initiative required by the new functions.
The solution chosen is a statutory fisheries authority to be responsible for management and development of the offshore fisheries (beyond the "lagoon and off-lagoon" fisheries) of Mauritius. It is expected that the development capabilities of the authority would also be available to inshore fisheries whenever development opportunities arose.
A statutory authority has some advantages over a government department, although it has some disadvantages as well. An authority could offer better salaries than the Fisheries Division and it might succeed in attracting new staff that would not work for the division. An authority could establish separate accounts for various projects, which government departments can only do by creating separate legal entities, such as companies. The authority's greater financial flexibility could be quite valuable in cases where a company was not an appropriate operating unit.
The main disadvantage of a statutory authority is simply that the added cost and difficulty of creating one may not produce any better results than a government department. Greater power and freedom are no guarantee of efficient operations: they make things easier but they do not supply the energy or direction necessary to accomplishment. The ability to offer higher salaries will only have an effect in a few cases, since most of the authority's staff will inevitably come from the Fisheries Research Division, if only because most of the relevant expertise is already there. If the authority does not meet expectations, at least the solution is simple - dissolve the authority and transfer its functions to the Fisheries Division.
Creating an authority poses some problems of the division of functions between it and the Fisheries Division. The two most difficult areas concern statistics and management powers.
The basic question regarding statistics is whether the fisheries authority should gather its own resource statistics, thus duplicating the work of the Fisheries Research Division, or rely on the latter to provide the resource data the authority needs. If it were only a question of efficiency, the consultants might recommend that the authority gather its own statistics, since lack of proper statistics would cause more damage to fisheries management than the cost of duplicated effort. A greater consideration, however, is the fear that subjecting fishermen to multiple requests for information will undermine the reliability of all fisheries statistics. On this basis, it is recommended that production statistics continue to be gathered by the Fisheries Research Division and that they be transmitted systematically to the fisheries authority. Commercial and consumption statistics could be collected directly by the authority.
Conferring management powers on a statutory authority may be contrary to a traditional principle of government structure, whereby inherent governmental functions, such as regulation, should be exercised on the direct responsibility of a minister, acting through a ministry. But contemporary practice in Mauritius and elsewhere has considerably relaxed this principle. Given the strong practical arguments in favour of the unity of management and development, therefore, the consultants recommend that the Government confer fisheries management powers on the authority.
Certain limitations are, however, recommended. One, which may be minor in practice, is that the authority not have enforcement powers. It could direct fisheries surveillance, but its employees would not have the powers of search and arrest.
A second limitation is that the authority be subject to close political control by the Minister. The purpose of the authority is, after all, to carry out the Government's fisheries policy in the most efficient, dynamic way, not to create its own, independent policy. It would serve as a policy-preparing body in the fields of its competence, and its board could advise the Minister on policy.
Finally, management powers should only be exercised over offshore fisheries, since the existing management system already does as much as can be expected with respect to the inshore fisheries. As already stated, it is not recommended that the authority be burdened with this responsibility.
As discussed in the previous sections, a fisheries management and development authority should be created in order to strengthen and rationalize existing efforts in fisheries management, fishing technology, statistics and economic research. It is also recommended that the authority develop new capabilities such as providing financial advice and assistance; conducting project formulation, appraisal and monitoring; promoting fisheries development through prospecting of under-utilized resources and neglected markets.
The technical staffing requirement of the authority has been broken down into four areas of specialization. In the long run these may require subdivision into finer specializations, and additional staffing in the areas already identified may be necessary. For immediate purposes, however, the following technical staff should suffice for the basic core of the new body:
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Area of specialization
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Main Functions
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Economist
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Economic research; monitoring
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Financial and Business Economist
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Project formulation and appraisal, marketing, promotional activities
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Gear Technologist (or master fisherman)
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Research and Development, project appraisal
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Fishery Scientist
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Fisheries management, link with Research Division
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As chief executive of the authority, the consultants recommend the selection of a person with a strong background in management (in either the private or public sectors). Training and experience in fisheries would be a great asset, but are less important than executive ability. The personal qualities to form the authority's professional staff into an interdisciplinary team are rather difficult to identify out of the context, but they will play a large role in the success or failure of the authority.
A major part of the staff required will have to be drawn from the existing units of the Ministry (in particular from the Offshore Fishery Development Unit). In addition to the private fishing industry, this is indeed where the required capabilities and expertise can be found.
The consultants have noted that a wide range of capabilities already exist within the Ministry in the areas of statistics, fisheries sciences and fishing technology. The creation of a development and management authority will, however, require that the existing capabilities in economic research, advisory services, management and development planning be strengthened and developed. Once the authority is created, it is recommended that the Government seek technical assistance in order to:
i) advise on the initial organization and operation of the new management and development authority;
ii) assist in the organization and design of fisheries development activities;
iii) help design and initiate a short-term economic research programme; and
iv) identify possible training needs.
It is recommended that the Government request FAO to provide a consultant for a period of three months in order to provide the required short-term training and technical assistance.
Further consultancies will be necessary after the initial period. These cannot be definitively identified until the authority is organized and its work programme established. Nonetheless, the following appear likely to be needed sometime during the first year or year and a half:
i) management planning: consultancy to assist with drawing up a management plan for the banks fishery (one man-month); although not within the authority's responsibilities, the same expertise could be made available to Rodrigues for management of its local fisheries (one man-month);
ii) development planning: periodic consultancies to survey development opportunities and advise on updating the authority's development programme and on problems encountered in implementing it (two man-months);
iii) feasibility studies: consultancy to train the staff how to prepare feasibility studies and how to present them for project and loan financing (half man-month);
iv) financial analysis: consultancy to train the staff in financial analysis for fisheries investment (half man-month which could be added to the feasibility study consultancy);
v) vessel and gear design: periodic consultancies to advise on designs for particular purposes as well as to train the staff (two man - months);
vi) market studies: periodic consultancies to assist the authority's economist in a study of the Mauritian fish market (one man-month).
It is recommended that the Government plan requests for eight man-months of consultancies, in addition to the three man-month initial consultancy recommended above.
1. Short title
This Act may be cited as the Fisheries Development Authority Act.
2. Interpretation
In this Act
"Authority" means the Fisheries Development Authority established under section 3;
"Board" means the Fisheries Development Board established under section 5;
"General Manager" means the person appointed as such under section 9;
"Member" means a member of the Board and includes the Chairman;
"Minister" means the Minister to whom responsibility for the subject of fisheries is assigned;
["Minister" is adequately defined in the Interpretation and General Clauses Act but most legislation includes a definition in this form even though it is not necessary.]
"Offshore waters" means marine waters, but does not include the lagoons and inshore waters of the islands of Mauritius and Rodrigues.
"Related activity" in relation to fishing means breeding, raising, processing and trading fish and supply and support of fishing operations.
3. Establishment
(1) The Fisheries Development Authority is established for the purposes of this Act.
(2) The Authority shall be a body corporate.
[Section 37 of the Interpretation and General Clauses Act states the attributes and powers of a statutory corporation, defined as a body incorporated by an Act. It is therefore not necessary to repeat that a statutory corporation, such as the Authority, has perpetual succession and can sue and be sued and similarly. This would be clearer if the present subsection (2) read "The Authority shall be a statutory corporation", but this is not the general practice in Mauritian legislation.]
4. Objects
The Authority shall:
(a) promote the development of fishing and fisheries;
(b) manage fisheries in offshore waters; and
(c) advise the Minister on matters concerning fisheries.
5. The Board
(1) The Authority shall be administered by a Board which shall be known as the Fisheries Development Board and shall exercise the powers and discharge the duties of the Authority.
(2) The Board shall consist of the following members:
(a) a Chairman appointed by the Minister;
(b) a representative of the Ministry of Agriculture, Fisheries and Natural Resources;
(c) a representative of the Ministry of Finance;
(d) a representative of the Ministry of Economic Planning and Development;
(e) a representative of the Development Bank of Mauritius;
(f) a representative of the Mauritius Maritime Authority;
(g) three other members appointed by the Minister.
[In order to emphasize the necessity for continuity in Board membership, it would be desirable to name the office (such as Permanent Secretary) of the members representing other agencies. This is, however, never done in Mauritian legislation.]
(3) Every member appointed by the Minister shall:
(a) be a person who has expertise and proven ability in fields related to fisheries;
(b) hold and vacate office on such terms and conditions as the Minister thinks fit;
(c) be paid such fees and allowances as the Board may, with the approval of the Minister, determine.
[There is no consistent practice in Mauritius regarding payment of fees and allowances to ex officio board members.]
6. Meetings of the Board
(1) A meeting of the Board shall be held at such place and time as the Chairman may determine.
(2) The Chairman shall convene a meeting of the Board on the written request of three members or where required to do so by the Minister.
(3) Five members shall constitute a quorum.
(4) Subject to this section, the Board shall regulate its meetings and proceedings in such manner as it thinks fit.
7. Disclosure of interest
Where a member has any interest, direct or indirect, in any matter before the Board, he shall, as soon as reasonably practicable, disclose to the Board the nature of his interest, and shall not, except with the consent of a majority of the remaining members present and voting, take any part in any deliberation or decision of the Board relating to that matter.
[A similar provision is found in all recent Mauritian legislation establishing statutory bodies.]
8. Delegation of powers
(1) The Board may delegate to the General Manager, subject to such general or specific instructions as it may give, such of its powers as are necessary to enable him effectively to perform his duties.
(2) The General Manager may, with the approval of the Board, delegate his functions or any power delegated to him under subsection (1) to an employee of the Authority.
[The most recent Mauritian legislation has adopted a different style, limiting the Board's instructions to those of a general nature and restricting delegations of authorities to borrow money, to make expenditures above a certain limit and to sign documents. It has also placed delegations by the Board in a different section from delegations by the chief executive officer. The style adopted here was common in the 1970s. It is recommended as simpler than the alternative and more in keeping with the Board's responsibility for management of the Authority.]
9. The General Manager
(1) There shall be a chief executive officer of the Authority who shall be known as the General Manager and be appointed by the Board with the approval of the Minister.
[The chief executive officer is usually styled the "General Manager" in Mauritian statutory bodies, but "Director", "Manager" "Executive Director" and "Director-General" are also used. The choice of terminology does not seem to be determined by differences in function.]
(2) The General Manager shall be responsible for the execution of the policy of the Board and for conducting the day-to-day business of the Authority.
[Other Mauritian legislation makes the chief executive officer responsible for "the control and management of the day-to-day business". Responsibility for "conducting the day-to-day business" is recommended as more consistent with the executive nature of the office.]
(3) In the exercise of his functions the General Manager shall act in accordance with such directions as he may receive from the Board.
(4) The General Manager shall be entitled to attend the meetings of the Board and take part in its deliberations but shall not be entitled to vote on any matter before the Board.
10. Appointment of employees
(1) The Board may employ, on such terms and conditions as it may with the approval of the Minister determine, such employees as may be necessary for the proper discharge of the functions of the Authority.
(2) The employees of the Authority shall be under the administrative control of the General Manager.
[Similar provisions are universal in recent legislation establishing statutory bodies, except that most do not refer to the approval of the Minister.]
11. Conditions of service of employees
The Board may, with the approval of the Minister, make provision, in such form as it may determine, to govern the conditions of service of employees and, in particular, to deal with:
(a) the appointment, dismissal, discipline, pay and leave of and the security to be given by employees;
(b) appeals by employees against dismissal or other disciplinary measures;
(c) the establishment and maintenance of provident and pension fund schemes and the contributions payable to and the benefits recoverable from those schemes.
[Similar provisions are found in all recent legislation establishing statutory bodies with the single exception of the Mauritius Sugar Authority Act 1984. Only the Equity Financing Fund Act 1983 mentions the approval of the Minister. Although never mentioned in the legislation, the provident and pension fund schemes are normally those established under the Widows' and Orphans' (Statutory Bodies) Pension Fund Act and the Statutory Bodies Pension Funds Act.]
[Most, but not all, recent enactments establishing a statutory body contain a provision to protect employees from liability for any "loss" occasioned by their good-faith actions. It is not clear if this is intended to insulate employees against claims from their employers, their bonding companies or the general public. It should be noted that the nature of the provision is not remotely similar to that which applies to ordinary civil servants under the Public Officers Protection Act.]
12. Powers of the Minister
(1) The Minister may, in relation to the exercise of the powers of the Board under this Act, after consultation with the Board, give such directions to the Board, not inconsistent with this Act, as he considers necessary in the public interest, and the Board shall comply with those directions.
(2) The Board shall submit to the Minister such information with respect to its activities as he may require.
[Similar provisions are found in all recent legislation establishing statutory bodies. They would in any case be recommended for the present Act.]
13. Annual report
(1) The Authority shall, not later than 3 months after the close of a financial year, submit to the Minister an annual report on its activities during that financial year.
[The financial year of a statutory body is defined by section 2 and the Schedule to the Statutory Bodies (Accounts and Audit) Act, consequentially amended by the present law.]
(2) The Minister shall lay the annual report and his comments thereon before the Legislative Assembly.
14. Powers of the Authority
[These are granted in a general way to statutory "corporations" by section 37 of the Interpretation Act.]
In discharge of its functions under this Act, the Authority may:
(a) establish, or acquire an interest in, companies which undertake any lawful business related to fisheries;
(b) make loans, and arrange for loans to be made by third parties, for business purposes related to fisheries;
(c) subject to the approval of the Minister, borrow money on such terms and conditions as the Board may determine.
(d) collect information related to fisheries and require any person engaged in fishing or related activities to provide information regarding such activities;
(e) own, operate or charter any vessel;
(f) conduct surveillance operations in relation to fishing operations in offshore waters;
(g) monitor the catch of fishing vessels operating in offshore waters;
(h) monitor the landings and transhipments of all fishing vessels and fish carriers, whether or not operating in Mauritian waters;
(i) collect information on fishing and related activities from sources outside of Mauritius and provide such information to bodies outside of Mauritius on a reciprocal basis or as the Minister may direct.
(j) conduct research and experiments concerning fishing, fish processing, marketing and related activities;
(k) consult with any authority responsible for taxation, price control, regulation of foreign trade or other matters that affect the fishing industry, with a view to harmonizing their actions insofar as they affect the management and development of fisheries;
(l) where so authorized by or under any other law, grant any licence or permission to engage in offshore fisheries, and exercise any other power relating to management of fisheries in offshore waters;
(m) make recommendations to the Minister concerning any matter that affects fisheries;
(n) exercise such other powers as may be conducive to the attainment of its objects.
15. Assets
The funds and property of the Authority shall consist of -
(a) such sums as may be appropriated by Parliament and paid to the Authority;
(b) any money or property that may be otherwise granted or donated to the Authority by any person;
(c) any loan granted to the Authority with the approval of the Minister;
(d) any money or property which may in any manner become payable to or vest in the Authority in the performance of its functions.
16. Application of assets
The assets of the Authority shall be applied in payment of the Authority's legal obligations and in the performance of its functions under this Act. Any surplus shall, after reasonable provision has been made for depreciation, liabilities and reserves, be paid as the Minister may direct.
17. Exemption from taxation
Notwithstanding any other enactment, the Authority shall be exempt from the payment of any duty, rate, charge, fee or tax [except sales tax] [including sales tax].
[Section 38A of the Sales Tax appears to provide that statutory bodies shall be subject to sales tax notwithstanding a general tax exemption. With one exception, all subsequent enactments establishing statutory bodies continue to state the exemption in terms of "any....tax", which read together with section 38A of the Sales Tax Act, would subject them to sales tax. It would serve to avoid doubt, however, to add the phrase "except sales tax", as in brackets above. If, on the other hand, tax policy does not require subjecting the authority to sales tax, it could be exempted by adding the second phrase in brackets, "including sales tax".]
[Accounts and audit
See Statutory Bodies (Accounts and Audit) Act.]
18. Power to require information
(1) The Authority may direct any person engaged in fishing or related activities to produce any document or information or submit any return concerning such fishing or related activities and which is required by the Authority for the proper performance of its duties under this Act.
(2) Any person who knowingly either fails to comply with any direction given under subsection (1) or furnishes false or misleading information in response to such a direction is guilty of an offence and liable on conviction to a fine not exceeding ___________.
(3) Any person in the employ of the Authority who communicates information obtained under this Act except as authorized in the course of his employment is guilty of an offence and liable on conviction to a fine not exceeding ___________.
19. Regulations
The Minister may make such regulations as he considers necessary for the purposes of this Act.
[It is questionable that regulations are necessary under this Act. The present section is, however, found in every recent law establishing a statutory body.]
20. Consequential amendments
(1) Subject to subsections (2) and (3), the Schedule to the Statutory Bodies (Accounts and Audit) Act is amended in Part II by adding the following item -
"Fisheries Development Authority".
(2) For the purposes of the Statutory Bodies (Accounts and Audit) Act, the period extending from the commencement of this Act to 30 June next following shall be deemed to be the first financial year of the Authority.
[(3) Section 7 (1) of the Statutory Bodies (Accounts and Audit) Act shall not apply in relation to the first financial year of the Authority.]
(4) The auditor to be appointed under section 5 of the Statutory Bodies (Accounts and Audit) Act shall be the Director of Audit.
[These provisions are found in all recent legislation establishing statutory bodies. The wisdom of subsection (3) seems, however, doubtful, suggesting as it does that a body might fail to set up proper accounts at the very beginning. It should not be impossible even for a new body to prepare accounts within three months following the close of its first financial year.]
