AQUA 2015 FISHERIES AND AQUACULTURE FORUM UWA WELLASSA UNIVERSITY Important Aspects In Fish & Shellfish Processing

2014 FAO

Global Seafood Consumption

Sri Lanka Fish production (MT) Expected Growth in 5 Years more than 100% AQUACULTURE PRODUCTION IN 2014 – 75000 MT. NAQDA

Expected Growth in 5 Years -100% Sri lanka Aquaculture PRODUCTION IN 2014 75000 MT Expected Growth in 5 Years -100%

Shrimp Aquaculture Production by World Region 2005 -2009 Annual growth rate 7.0% 2012 -2013 Projected annual growth 10.3%

Expected Growth in Shrimp Industry in 5 Years -200% Shrimp Aquaculture PRODUCTION IN 2014 5000 MT Potential in North & East 10,000 MT per year Expected Growth in Shrimp Industry in 5 Years -200%

Aquaculture GROWTH Will Reflect All the Value Chain Segments of the Industry

PROCESSING & DISTRIBUTION AQUACULTURE VALUE CHAIN SEGMENTS HATCHERIES Produce Larval, Juvenile Fish & Shellfish for Transfer to Aquaculture Facilities where they are Grown to harvest Size EQUIPMENTS & TECHNOLOGIES Tanks, Ponds, Nets, Pumps, Aerators & Other Equipment & the Technologies for the Management of Aquaculture Units FEED & NUTRITION Production & Supply of Feeds & Feed Additives for the Aquaculture Sector GROW OUT FACILIITIES Fish & Shellfish are Raised with Sustainable Practices PROCESSING & DISTRIBUTION Businesses can also create value in Aquaculture through the processing & distribution of Seafood Products

FISH & SHELLFISH PROCESSING Processes associated with fish & fish products between the time fish are caught / harvested & the time the final product is delivered to the customer

FISH & SHELL FISH PROCESSING Catch/ Harvest Fish Preservation Control Physical, Chemical, Biological Parameters Control Of The Oxygen Reduction Combined Techniques Automated Processes Waste Management Transport Quality & Safety HACCP Final Products Value Addition

Regulations made under Fisheries & Aquatic Resources Act No. 2 of 1996 Registration of fishing Boats Regulations 1980 (amendment) Fishing Operations Regulations 1996 Inland Fisheries Management Regulations 1996 Aquaculture Management Regulations 1996 Landing of Fish Regulations 1997 Fisheries Committee Regulations 1997 Fisheries (Information) Regulations 1997 Fisheries (Register) Regulations 1997

Cont. Handling and Distribution of Fish Regulations 1997 Handling and Distribution of Fish Regulations 1997 (amendment) Fish Processing Establishment Regulations 1998 Fish Products (Export) Regulations 1998 Fish Products (Exports) Regulations (amendment) Percentage of Local Fishing Boat Registration Fees Regulations 1998 oyster Fisheries Management Regulations 2000 Off Yala Fisheries Management Area Correction of Aquaculture Management (Disease Control) Regulations,2000 Landing of Fish (Species of Shark and Skates) Regulations 2001

Cont. Bolgoda Reservoir Management Area Aquaculture (Monitoring of Residues) Regulations 2002 Parakrama Samudraya Fisheries Management Area Regulations 2002 Chank Fishery Management and Export Regulations 2003 Fishing Processing Establishment Regulations No. 1 of 2003 Fishing Operations Regulations (amendment) Payment of Reward Regulations 2006 Fishing Boat Regulation (amendment) Monofilament Net Prohibition Regulations

CERTIFICATIONS Registration Certificate from Sri Lanka Export Development Board (SLEDB) Certificate from Department of Fisheries and Aquatic Resources for processing FROZEN RAW PRAWNS Certificate from Department of Fisheries and Aquatic Resources for processing FROZEN LOBSTER Certificate from Department of Fisheries and Aquatic Resources for processing FROZEN CUTTLEFISH Certificate from Department of Fisheries and Aquatic Resources for processing FROZEN RAW CRABS & Others License to Operate Fish Processing Establishment from Department of Fisheries and Aquatic Resources. & More

INTERNATIONAL CERTIFICATIONS ISO 9001 – Quality Management Certification ISO 22000 – Food Safety Management Certificate of Registration from U.S Food and Drug Administration (U.S FDA) European Union License for Sea Food Processing and Aquaculture Farm Product processing BAP – Best Aquaculture Practices (by Global Aquaculture Alliance)

Best Aquaculture Practices Certification The Responsible Seafood Choice BAP Certification Standards 4 PILLARS OF AQUACULTURE SUSTAINABILITY & RESPONSIBILITY

BUDGET 2016 144. Honorable Speaker, I regret to note that in spite of the country being an Island, we still import almost USD 150 million worth of fish and fish related products annually. Our local fishermen remain vulnerable to price fluctuations mainly due to seasonality and lack of storage facilities, changes in the regulatory framework and little access to finance and new markets in expanding their businesses

BUDGET 2016 146. Honourable Speaker, approximately Rs. 5,000 million worth of canned fish has been imported to the country annually on average in the last 5 years. Given the potential in the industry, I encourage the private sector to engage in fish canning. To incentivize this industry, I propose to implement a buy back mechanism through Lak Sathosa Ltd., which would be sold at a concessional price of Rs. 125 each. This will help reduce cost of living. I propose to allocate a sum of Rs. 300 million to Lak Sathosa.

BUDGET 2016 149. It is proposed to create agro and fish processing facilities in geographical locations close to the farm gate. This will be cost effective as facilities can be shared. Thus it is proposed to create an Agro Livestock and Fish Processing Park connecting the districts of Anuradhapura, Vavuniya and Kilinochchi. I propose to allocate Rs. 100 million for this purpose.

BUDGET 2016 150. Honourable Speaker, inland fisheries provide food nutrition and a source of income. This sector is underutilized. Therefore, I propose to allocate Rs.100 million to National Aquaculture Development Authority (NAQDA) to undertake programmes to enhance fish breeding capacity.

BUDGET 2016 151. I also propose to set up an Aquaculture Park in Batticaloa District by providing an enabling environment for the potential private sector investors to develop coastal aquaculture without causing environmental degradation. Aquaculture Park provides an 'investment ready' platform for organizations that want to set up commercial aquaculture operations. This Aquaculture Park will be developed and managed as a PPP. I propose to allocate Rs 100 million for the initial activities.

BUDGET 2016 152. The Shrimp industry has been faced with difficulties in the immediate past which has remained unattended. However, given the potential in the shrimp industry I propose to provide capital and working capital requirements of the shrimp farmers, hatchery operators and processors through the proposed ADB supported SME credit line. I also propose to provide guarantees through the SME credit guarantee fund to those who are engaged in shrimp farming.

BUDGET 2016 153. The suspension of fish export to EU market has adversely affected our local fishermen. As s sensitive government we are aware of the difficulties faced by some of our fishermen. As such, the government is engaged in a continuous dialogue to get this ban lifted which would once again provide the access to EU market. Government has already taken action to install transponders to fishing vessels to comply with international requirements.

BUDGET 2016 182. Primary industries are susceptible to price volatilities that may occur due to various issues. We will form a Primary Industry Council consisting of industry experts who will create strategies to meet the challenges faced by primary industries. 183. As stated in Honourable Prime Minister’s policy statement, we will be creating specialized agricultural and fishery export zones in the country. The Ministry of Primary Industries will be allocated Rs. 2,000 million for the establishment of the proposed agricultural and fishery export zones.

FISH & SHELLFISH PROCESSING BUSINESS ENVIRONMENT ECONOMIC TECHNOLOGICAL FISH & SHELLFISH PROCESSING ENVIRONMENT LEGAL SOCIO POLITICAL MANPOWER

You Can Download This Presentation From www.kingaqua.com S.Thayaparan Managing Director King Aqua Services (Pvt) Ltd Shinwa Lanka (Pvt) Ltd President Sri Lanka Aquaculture Development Alliance (SLADA) Contact- Tel: 0777 594292 E mail: sthayaparan@outlook.com www.kingaqua.com www.shinwalanka.com

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