COMMON FISHERIES POLICY Treaty Provision Agricultural products shall mean the products of the soil, of stock breeding and of fisheries Features of Industry Supply highly inelastic in short run (due to specialised nature of labour and of capital) Price elasticity and income elasticity both very low Like farming subject to random shocks in supply Made up of a large no. of self employed producers About.2% of work force (directly) Over 1% of work force (indirectly) Of particular importance in some localities

REASONS FOR COMMON FISHERIES POLICY Many activities conducted across and beyond territorial waters of individual states Fish no respecters of territorial waters of individual states Technical developments (esp. in 60's) Large vessels with sonar and radar capabilities Nets of increased capacity Factory type shipping All this coupled with decline in fish stocks Changes in international law 1971 Declaration by Iceland of exclusive 50 ml limit United Nations Conference on Law of the Sea Unilateral declarations of 200 ml. Zone - US, Canada and Norway

EU FISHING INDUSTRY The EU is the world’s 3rd largest fishing area after China and Peru - however it is a net importer of fish ml. tons exported (1995) with 4.3 ml. tons imported Though contributing generally less than 1% of GDP in most areas, highly important in areas where there are few alternatives EU fishing fleet consists of 97,000 vessels which vary greatly in size and fishing capacity Nos. of EU fishermen declining over the years Between full-time and part-time fishermen there are now 260,000 employed in the EU Aquaculture important – 1 ml. tons (1995) produced worth € 1.9bl. providing 35,000 full-time and 50,000 part-time jobs

EVOLUTION OF POLICY 1960's - little progress; conflict as between aims of France and other member countries Tentative proposals for policy in 's - basic foundation for policy agreed in June '70 with intention of gaining equal access to territorial waters of incoming members Structural policy to conserve stocks Size of nets, minimum size of fish to be caught, fishing sessions etc Quota arrangement for each species of fish (TAC) Common marketing organisation i.e. guide prices for each species of fish Compromise arrangements reached by which concessions would be ranted to incoming nations while details being finalised

AGREEMENT ON COMMON POLICY 1983 Equality of access to EU waters Derogation for renewable period of 10 years for 12 mile limit for in shore fishermen Common policy for conservation, technical measures, quotas and TAC's Agreements with non-community countries to be reinforced and extended Market support measures to be implemented Modernisation of fishery and aquaculture sector ml ECU's over 3 years Special provisions for coastal fishing

COMMON FISHERIES POLICY Main features: Access to waters and conservation - principle of non-discrimination; some exceptions - conservation and management of stocks - fixing TACs - technical conservation measures - inspecting and monitoring measures - community inspection - financial contributions Organisation of Markets - marketing standards - producer organisations - pricing system - limited compensation - external trade policy

PROBLEMS Deciding on level and allocation of TAC's Enforcement of Measures System of community inspectors Marketing supports far less than CAP Extension of Community to include Spain and Portugal (leading to almost doubling of fishing capacity) 10 year transitional arrangement to be renewed in 1995

BARGAINING Bargaining for TACs - Ownership rights - based on territorial waters (suited Ireland and UK) - Damage due to loss of traditional fishing grounds (due to non- community EEZ's) - Importance of linked processing industry Bargaining with non-community countries Three Categories - Possible Reciprocators - Iceland, Norway - Countries with no interest in EU (US, Canada) but of possible benefit to EU fishermen - Countries outside EU (Eastern Europe) interested in gaining access to EU waters, but unable to reciprocate

NEW POLICY 2003 Reforms of the EU Fishing Policy took place in 1992 and The present policy dates from 1 st January 2003 Main changes - adoption of a long term approach to fishing. Bfore decisions were taken on an annual basis - policies to deal with chronic over-capicity of fleets - better applicationofthe rules - greater involvement of fishermen and their organisations in making decisions - action plan to improve stock evaluation in community and non -community waters

CFP AND IRELAND Ireland has lost out badly less emphasis on fishing in Ireland (low consumption of fish) lack of development of linked industries partly price that must be paid for preferential treatment on CAP