FIELD REPORT No. 7 DEVELOPMENT OPTIONS AND CONSTRAINTS INCLUDING TRAINING NEEDS WITHIN THE TUNA FISHING INDUSTRY AND SUPPORT SERVICES

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Secretariat of the Pacific Community FIELD REPORT No. 7 on DEVELOPMENT OPTIONS AND CONSTRAINTS INCLUDING TRAINING NEEDS WITHIN THE TUNA FISHING INDUSTRY AND SUPPORT SERVICES IN THE KINGDOM OF TONGA 27 May to 7 June 2000 by Lindsay Chapman Fisheries Development Adviser Secretariat of the Pacific Community Noumea, New Caledonia 2001

Copyright Secretariat of the Pacific Community 2001 All rights for commercial / for profit reproduction or translation, in any form, reserved. The SPC authorises the partial reproduction or translation of this material for scientific, educational or research purposes, provided the SPC and the source document are properly acknowledged. Permission to reproduce the document and/or translate in whole, in any form, whether for commercial / for profit or non-profit purposes, must be requested in writing. Original SPC artwork may not be altered or separately published without permission. This field report forms part of a series compiled by the Fisheries Development Section of the Secretariat of the Pacific Community s Coastal Fisheries Programme. These reports have been produced as a record of individual project activities and country assignments, from materials held within the Section, with the aim of making this valuable information readily accessible. Each report in this series has been compiled within the Fisheries Development Section to a technical standard acceptable for release into the public arena. Secretariat of the Pacific Community BP D5 98848 Noumea Cedex New Caledonia Tel: (687) 26 20 00 Fax: (687) 26 38 18 e-mail: fishdev@spc.int http://www.spc.int/coastfish Prepared at Secretariat of the Pacific Community headquarters Noumea, New Caledonia, 2001 ii

ACKNOWLEDGEMENTS The Secretariat of the Pacific Community acknowledges with gratitude the cooperation and assistance provided in Nuku alofa by: Akau ola, Secretary of Fisheries; Mr Mafi Akau ola, Deputy Secretary, Administration, Fisheries Department; Viliami Langi, Consultant on deep-water snapper management plan; Mr Bill Holden, Fleet Manager, Alatini Fisheries; Ms Tricia Emberson, Managing Director, Alatini Fisheries; Koli Moa Kakala and Siotame Taunaholo, Friendly Island Fishing Company; Eti Palu, Managing Director, Atlantis Fisheries Limited; and the other fishermen and government officers that provided information to the study SPC would also like to acknowledge the support and assistance provided by the following people in Ha apai and Vava u: Tala afo Loto ahea, Fisheries Officer in Ha apai; Aisea Tu ipulotu, Head of Fisheries in Vava u; Mr Dan Clem, Peace Corps volunteer; Ms Alisi Mead, Manager, Ikapuna Store; and Pafilio Tangitau, owner/operator of F/V Lesina; and the local fishermen who attended the meetings in each location. iii

iv

SUMMARY The Kingdom of Tonga and the Forum Fisheries Agency initiated a joint project to develop a National Tuna Management Plan (NTMP) for Tonga. The NTMP was drafted in March 2000, with refinement taking place in June 2000, at which time it was decided to produce a separate development document to support the Plan itself. SPC was requested to provide assistance in this field, and this report forms the basis for the development document supporting the NTMP, with a focus on smallscale development in the tuna fishery, including the island groups of Ha apai and Vava u. Fieldwork was conducted in three locations in Tonga during the period 27 May to 7 June 2000. The prospects for continued growth in tuna longlining activity based from Nuku alofa are good. This is due to the current infrastructure the private sector has established, mainly with high-quality processing facilities to export high-grade fish, mainly to Japan, Hawaii and the US Mainland. There are restricting factors though, wharf space is limited and several processing plants are away from the wharf, meaning that product needs to be trucked from the unloading vessel to the processing plant. These constraints could be overcome with the construction of a commercial fishing harbour, complete with new facilities. Airfreight space is another limiting factor, and one that will require tuna companies to work together to ensure that all suitable flights are full with cargo when they leave Tonga. Charter flights may need to be organised at some point in the future when the volume of landed catch is sufficient to make this viable. The prospects for the Vava u and Ha apai areas are not so positive in the first instance. Limited infrastructure is the main problem, although there is scope for small-scale tuna fishing activity, especially if a well-designed FAD programme is implemented. Marketing of the catch will need to be tied into this development, as the cost of getting product from these locations to Nuku alofa is high, and local markets are small. One possible approach is to add value to the tuna caught in these locations, by smoking, salting and drying, or the production of jerky. Another approach is to encourage expansion of the charter/sportfishing sector. A range of training is needed for the staff of the Fisheries Department, especially in the implementation and operation of the National Tuna Management Plan. There is also the need for trained observers and port samplers, so that validated data is collected and provided for regional stock assessment work. Partial funding of an observer and/or port sampling programme could be achieved by using a percentage of the licence fees collected from commercial fishing operations. The fishing industry is conducting most of its own practical training through hands-on participation, although there is a potential shortage of skippers and engineers that will need to be addressed in the future. There is also the possibility of running workshops to train new crew on correct practices for on-board fish processing, handling and chilling. These will ensure that crew maintain a good standard, resulting in high-quality fish being landed for export. With more vessels being encouraged to enter the commercial tuna fishery, including small-scale vessels fishing around FADs, the government will need to upgrade their search-and-rescue capabilities. This has commenced with the establishment of a Search and Rescue Centre. However, a centre like this is no good unless it has the necessary equipment and capacity to operate efficiently, including an appropriate field response team to assist at sea in the event of emergencies. Tonga will need to ensure that this is a top priority. v

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RÉSUMÉ Le Royaume des Tonga et l'agence des pêches du Forum ont entrepris d'élaborer conjointement un plan national de gestion des thonidés. La première mouture de ce document a vu le jour en mars 2000 et a été remaniée en juin 2000, moment où il a été décidé d'élaborer un plan de développement venant étayer le plan de gestion. La CPS ayant été sollicitée pour apporter son concours à cette entreprise, c'est sur le présent rapport que se fonde le plan de développement appuyant le plan de gestion; il est axé sur la pêche artisanale de thonidés et concerne notamment les archipels de Ha'apai et de Vava'u. Du 27 mai au 7 juin 2000, une étude de terrain a été conduite en trois endroits aux Tonga. La poursuite de l'essor de la pêche thonière à la palangre à partir de Nuku'alofa offre de bonnes perspectives grâce aux infrastructures mises en place par le secteur privé, constituées essentiellement d'installations très modernes pour la transformation du poisson de qualité supérieure, destiné à être exporté vers le Japon, Hawaii et le reste des États-Unis d'amérique. Tout n'est cependant pas parfait : les quais ne peuvent pas accueillir beaucoup de bateaux et plusieurs unités de transformation en sont éloignées; le poisson doit donc être transporté par camion du lieu où il et débarqué jusqu'aux installations de transformation. Il serait possible de surmonter ces inconvénients en construisant un port de pêche commerciale équipé de nouvelles infrastructures. Autre obstacle : l'espace limité réservé au fret dans les avions. Les sociétés thonières devront s'associer pour faire en sorte que les vols en partance pour les bonnes destinations embarquent le maximum de fret au départ des Tonga. Plus tard, il faudra peut-être affréter des avions lorsque le volume des prises débarquées sera suffisant pour rentabiliser cette solution. À première vue, les perspectives qui s'offrent à Vava'u et à Ha'apai ne sont pas aussi prometteuses. La principale difficulté est le manque d'infrastructures, bien que l'on puisse envisager des activités de pêche thonière artisanale, surtout si un programme bien conçu de mouillage de DCP est mis à exécution. Il faudra prévoir dans le plan de développement la commercialisation des captures des petits pêcheurs, car les débouchés locaux sont limités et le transport entre ces archipels et Nuku'alofa est coûteux. Une des solutions envisageables serait de valoriser le thon capturé à Vava'u et à Ha'apai, en le fumant, en le salant et en le séchant, ou encore en produisant de la charque de thon. Une autre possibilité serait de promouvoir le développement de la location de bateaux et la pêche sportive. Il faudra donner aux agents du Service des pêches plusieurs types de formation, notamment à la mise en application du Plan national de gestion des thonidés. Il faudra également avoir un effectif d'observateurs et d'échantillonneurs au port qualifiés, capables de recueillir et de fournir des données validées pour l'évaluation des stocks de la région. Une partie du financement du programme d'observation et d'échantillonnage au port pourrait être assurée grâce au prélèvement d'un pourcentage des droits de pêche collectés auprès des sociétés de pêche commerciale. À l'heure actuelle, c'est la formation sur le tas qui prévaut dans le secteur de la pêche, mais on risque de venir à manquer de capitaines et de mécaniciens, problème qui devra être résolu. On pourrait organiser des stages pour apprendre aux nouvelles recrues les bonnes méthodes de transformation, de manipulation et de réfrigération du poisson à bord, ce qui garantirait un bon niveau des équipages et, partant, un bon traitement du poisson le rendant propre à l'exportation. De plus en plus, les pêcheurs sont encouragés à se livrer à la pêche thonière commerciale, y compris ceux qui pratiquent une pêche artisanale autour des DCP; les services publics devront donc améliorer leurs moyens de secours en mer. Déjà, un centre de sauvetage a été créé. Néanmoins, un centre de ce type est inutile s'il n'a pas le matériel et les ressources nécessaires pour être efficace, notamment une équipe compétente, prête à intervenir en cas d'urgence. Ce devra être la priorité de premier rang pour le Royaume des Tonga. vii

viii

CONTENTS SUGGESTIONS xi 1. INTRODUCTION 1 2. BACKGROUND 1 3. INFRASTRUCTURE REQUIREMENTS 2 3.1 Shore facilities 3 3.1.1 Nuku alofa 3 3.1.2 Ha apai 4 3.1.3 Vava u 4 3.2 Support services 5 3.2.1 Slipways 5 3.2.2 Carpenters, welders (steel and aluminium) and fibreglassers 6 3.2.3 Engineers (diesel, hydraulic, refrigeration and general) and electricians 6 3.2.4 Suppliers of fishing gear, safety equipment and vessel electronics 6 3.2.5 Suppliers of ice, bait and export packing materials 7 3.3 Local tuna fishing operations 8 3.4 Processing facilities 9 3.4.1 Nuku alofa 9 3.4.2 Ha apai 10 3.4.3 Vava u 10 3.5 Airport facilities and cargo space availability 11 4. TRAINING NEEDS AND REQUIREMENTS 12 4.1 Fishing industry 12 4.1.1 Skippers and crew 12 4.1.2 Engineers 13 4.1.3 Workshops 14 4.1.4 Business management 14 4.2 Support sector 14 4.3 Fisheries Department 15 4.3.1 Training needs for Fisheries Department staff 15 4.3.2 Using the Fisheries Department s vessels for training 16 5. CONSTRAINTS AND OPTIONS FOR DEVELOPMENT 16 5.1 Government policies 17 5.1.1 Fuel 17 5.1.2 Bait, fishing equipment and spare parts 17 5.1.3 Licensing 17 5.1.4 Export permits 18 ix

5.1.5 Data collection and use of data 18 5.1.6 EU certification 18 5.1.7 Working on Sundays 19 5.2 Government s commercial involvement in the fishing sector 19 5.3 Financing for new fishing operations 20 5.3.1 Development Bank of Tonga 20 5.3.2 South Pacific Project Facility (SPPF) 20 5.3.3 Joint ventures 21 5.3.4 UNCDF fund 21 5.4 Charter fishing operations 22 5.5 Industry cooperation 22 5.6 Development options 23 5.6.1 Transshipment of tuna catches from other fleets 23 5.6.2 Possible use of stevedores and crewing on foreign fishing vessels 23 5.6.3 Observer programme and port sampling 23 5.6.4 Fish aggregating devices (FADs) 24 5.6.5 Promotion of small-scale tuna fishing methods 25 5.6.6 Promotion of small- to medium-scale tuna longlining 25 5.6.7 Catching bait 27 5.7 Value-adding processes as development options 27 5.8 Search and Rescue 28 6. CONCLUSIONS 28 APPENDICES A. People consulted during this study 31 B. Bibliography 33 x

SUGGESTIONS The suggestions made in this report are summarised here for ease of reading. Suggestions, or group of suggestions are presented using the heading in the body of the report, with reference to the relevant section for ease of locating the background to the suggestion(s). Shore facilities, Nuku alofa (refer Section 3.1.1) It is suggested that the Fisheries Department: approach the Ministry of Marine and Ports (MMP) to collaboratively develop a policy to address the issue of vessels needing repair and tying up at Faua wharf for extended periods of time; work with MMP to identify a suitable location to have derelict vessels sunk so as to form an artificial reef and dive site, and encourage owners of derelict vessels to move them to this area and sink them; ensure that all toxic waste, fuels and oils are removed from derelict vessels prior to their sinking; work together with MMP in having a feasibility study undertaken with costings, for re-building Vuna wharf and Yellow Pier area, and dredging the area in between to form a marina for fishing vessels; supports MMP to ensure that no derelict vessels be moved to a commercial fishing harbour, if this eventuates; supports MMP to gain jurisdiction over the land adjacent to the proposed commercial fishing harbour site; and includes in any study to construct a commercial fishing harbour, the provision of fuel, water, electric power and ice in the costing. Shore facilities, Ha apai (refer Section 3.1.2) It is suggested that the Fisheries Department apply to have some of the reclaimed land adjacent to the main wharf in Pangai set aside for private sector fisheries development, and if successful, approach an aid donor to have a wharf complex built in the area. Shore facilities, Vava u (refer Section 3.1.3) It is suggested that the Fisheries Department approach the EU to include the provision of facilities such as fuel, water and electricity as part of the proposed wharf extension in Vava u, if these are not already included. Slipways (refer Section 3.2.1) It is suggested that the Fisheries Department: urge MMP to upgrade the current slipway in Nuku alofa to its original working capacity, so that it can haul out tuna longline vessels currently licensed in Tonga; consider as an alternative to upgrading the current slip in Nuku alofa, a new slipway be constructed as part of any commercial fishing harbour project, and that the costs for this be included in any study undertaken; and consider that if a new slipway is incorporated into a new commercial fishing harbour, it include workshop areas for support services and possibly side-slipping facilities to allow several boats to be out of the water at one time. xi

Engineers and electricians (refer Section 3.2.3) It is suggested that the government and industry support the MMP engineer in setting up a private business to provide engineering services to the fishing industry under contract, provided his fees are reasonable and he does not take on too much work where he can not meet his contractual obligations. Suppliers of fishing gear, safety equipment and vessel electronics (refer Section 3.2.4) It is suggested that the Fisheries Department: require all vessels licensed under the National Tuna Management Plan to carry a radio (and possibly a GPS for offshore work) as well as the in-date sea safety equipment required by MMP; and promote the sale and use of radios and GPS (in addition to safety equipment) to all vessels venturing to sea, through an exemption on tax and duty on their import and sale, to make them more affordable to fishermen and tourist operators. Suppliers of ice, bait and export packing materials (refer Section 3.2.5) It is suggested that the Fisheries Department: look at either selling off or leasing out the fish market and ice-making facilities at Faua wharf to the private sector; and encourage existing or new operators to examine the use of RSW for future vessels entering the tuna longline fishery in Tonga. Local tuna fishing operations (refer Section 3.3) It is suggested that the Fisheries Department: educate new entrants to the tuna fishery in the need for, and method of producing a high-quality product by running workshops as needed; encourage a foreign vessel, possibly through the US Tuna Boat Association, to come and conduct some test fishing using purse seine gear in Tonga s EEZ on a seasonal basis, possibly using drifting FADs; ensure that there are no obstacles to prevent Tongans from purchasing a pole-and-line vessel and fishing in the Tonga EEZ, including access to bait fishing grounds; and consider leasing out their smaller tuna longliner to the private sector, so this vessel is not fishing in competition with them. Processing facilities, Nuku alofa (refer Section 3.4.1) It is suggested that the Fisheries Department: encourage the company operating the Sea Star fish processing facility to install overhead water piping in the processing area as a matter of urgency to meet export requirements for processing facilities; lease out their fish market facility on Faua wharf, with part of the lease agreement being to have the facility upgraded to meet all export standards, including a HACCP plan for the US; consider whether they lease their fish market through a tender process to a local company or lease the facility to the Tuna Export Association to upgrade, manage and operate; ensure that any future plans for a commercial fishing harbour include a suitable area for the construction of a new and modern fish processing facility, with considerable ice-making capacity; xii

consider whether they have a fish processing plant as part of the commercial fishing harbour, built under aid and leased to the Tuna Exporters Association, or just put out the land to tender for the private sector to develop; and discourage the private sector from constructing any new fish-processing facilities in Nuku alofa for export of fresh deep-water snappers and tunas, in addition to the six listed in this report. Processing facilities, Ha apai (refer Section 3.4.2) It is suggested that the Fisheries Department: approach the local authorities in Ha apai and request that part of this reclaimed land beside the main wharf be set aside for private sector development of a processing facility; ensure that if land is made available, it be offered to local businesses or processors in Nuku alofa, to establish a fish processing facility with ice production; and should not get involved in any way with commercial or semi-commercial activities in Ha apai, such as a fish processing and ice-making facility. Processing facilities, Vava u (refer Section 3.4.3) It is suggested that the Fisheries Department not encourage any further development of processing facilities in Vava u at present, leaving this to the private sector should the need arises. Airport facilities and cargo space availability (refer Section 3.5) It is suggested that the Fisheries Department: approach the appropriate government department to access funding to extend the runway in Ha apai; and government consider opening Vava u airport to international flights, if the runway extension allows 737 size aircraft to land; approach the appropriate government department to seek funding to have the Nuku alofa runway extended to cater to 747 size aircraft; and fishing industry work with the airlines to try and increase the number of international flights per week in and out of Tonga; and fishing industry enter discussions with the airlines to open up new destinations for international flights in and out of Tonga; enter into discussions with the appropriate government departments to allow other airlines landing rights in Tonga, as well as addressing the issue of free air space; encourages the fishing industry to work more closely together, with one company or the Tuna Exporters Association coordinating all airfreight for all processors to maximise the use of available airfreight space, and minimise costs; and encourages the fishing industry to consider the possibility of charter flights to airfreight product out of Tonga, and seek government assistance if and when this approach is used to ensure the charter flight can land and load in Tonga. Fishing industry training (refer Section 4.1) It is suggested that any courses developed or implemented in Tonga for skippers and engineers, including pre-sea safety training, to STCW standards. xiii

Skippers and crews training (refer Section 4.1.1) It is suggested that the Tonga Maritime Polytechnic Institute (TMPI): and the fishing companies check that all crew on their vessels have received pre-sea safety training at the advanced level, and where crew are found to have not had this training, they be encouraged to undertake this training as a matter of urgency; consider running a Restricted Class 6 Master/Engineer course for the fishing industry, as a first step in getting more people in the fishing industry qualified; and with encouragement and support from the Fisheries Department, find funding to recruit a tutor in fishing technology to better cater to the training needs of the fishing industry. Engineers training (refer Section 4.1.2) It is suggested that TMPI: implement a specific training course for engineers to at least the Class 5 level, or preferably a Class 4 level, or bring a specific engineering tutor to Tonga as needed to undertake the formal training and testing of trainee engineers; encourage the Fisheries Department, in consultation with the fishing industry, to consider offering traineeships for people to gain engineering qualifications overseas under a contract arrangement, with the trainee guaranteeing they will return to Tonga and work in the industry for several years or pay back the cost of the training received; and and the Fisheries Department seek aid funding to purchase engineering equipment needed to run engineering courses, with possibly the fishing industry donating any old machinery to TMPI for the trainees to practise on. Workshop training (refer Section 4.1.3) It is suggested that the Fisheries Department: and fishing industry run workshops to teach on-board handling, processing and chilling of the catch as required, with SPC being called on for assistance when needed; and in consultation with the fishing industry, set up a workshop for local tuna longline operators on the use of SST, altimetric charts and Minilogs, as new technologies that help locate productive fishing grounds. Business management training (refer Section 4.1.4) It is suggested that the Fisheries Department: support workshops being arranged through CDTC (Community Development and Training Centre) for people wishing to enter the tuna fishing industry (or sportfishing sector) for training on management of a small fishing business using specific SPC materials; request SPC to assist with the first workshop, along with staff of CDTC, TMPI and the Fisheries Department, with CDTC staff used to conduct future workshops; and support Tongans entering a fishing business, or expanding an existing one, by nominating them to attend the annual SPC/NZSOF Enterprise Management Course, to develop better business management skills. xiv

Support sector (refer Section 4.2) It is suggested that the government offer traineeships on a contract basis in different trade areas to young Tongans to be trained overseas, with the trainee paying back all financial assistance if they do not return to Tonga and work in their trade for several years. Training needs for Fisheries Department staff (refer Section 4.3.1) It is suggested that the Fisheries Department: identify environmental science and fisheries science as areas requiring qualified staff, and ask the Public Service Department to offer several scholarships in these fields; arrange for staff involved in the implementation of the National Tuna Management Plan to receive training, either by sending them overseas to recognised courses, bringing in a person with the necessary skills to provide on-the-job training, or entering into a job-exchange programme with a recognised agency involved in fisheries management; makes VMS (vessel monitoring system) a full requirement in any future fishing access agreement under the terms and conditions of access; look at VMS as a future requirement for domestic vessels, as there are flag-state control issues that Tonga will need to address if Tongan vessels happen to fish in the zone of a neighbouring country by mistake; identify specific areas of training, and approach either Australia or New Zealand for assistance with the provision of a suitable trainer in the areas identified; ask both FFA and SPC to assist in the running of a workshop to train up Tongan observers to monitor tuna fishing vessels licensed under the National Tuna Management Plan, or to work through FFA to observe on US purse seiners under the multi-lateral agreement; select non-government employees for training as observers, to increase the skills in the private sector workforce; and ask SPC to provide assistance in training port samplers. Using the Fisheries Department s vessels for training (refer Section 4.3.2) It is suggested that the Fisheries Department: continues with its plan to use R/V Takuo as a training vessel, with industry participation in the selection of people to be trained; and develop a set curriculum in consultation with industry to ensure that trainees on R/V Takuo learn skills that will gain them employment in the fishing industry. Fuel policy (refer Section 5.1.1) It is suggested that the Fisheries Department: seek clarification on why the duty-free price for diesel fuel was only 30 per cent less, and continue to seek a further reduction in the price for the fishing industry; and consider recognising that charter/sportfishing vessels licensed as commercial vessels, and small tuna operators with diesel powered vessel who are also licensed, be given the same duty-free fuel privilege as the tuna longline vessels. xv

Bait, fishing equipment and spare parts policy (refer Section 5.1.2) It is suggested that the Fisheries Department: enter into discussions with the appropriate government departments to have fishing gear and spare parts reclassified as raw materials necessary for a fishing and exporting enterprise to continue, and be free of duty and ports and service tax; and apply the duty-free status, if attained for these materials, to the same vessels that qualify for dutyfree fuel as suggested in the previous section. Licensing policy (refer Section 5.1.3) It is suggested that the Fisheries Department: seek funding to have a study undertaken on a new fisheries licensing structure across the board, with appropriate licence fees suggested based on the proposed structure; and as part of the study on a licensing structure and fees, consider a percentage of licence fees going into fisheries-related programmes, such as an observer programme, port sampling, or a FAD programme. Export permit policy (refer Section 5.1.4) It is suggested that the Fisheries Department: include a review of the export permit process and charges in the terms of reference for the licensing study suggested in Section 5.1.3; could look at a single annual fee, if the study goes ahead, or possibly quarterly fees, rather than the individual consignment fees charged at present; and consider using a percentage of the fees from export permits for partially funding programmes like observers, port sampling or FADs. Data collection and use of data (refer Section 5.1.5) It is suggested that the Fisheries Department: continue with their approach to collect data from all tuna longline vessels as well as implementing an observer programme to provide verification or validation of the data collected; only release tuna longline data to the public in an aggregated form where there are more than 5 vessels working in a one-degree or five-degree square; and only release data for individual vessel or sets to the provider of the data or to SPC, who maintains the regional tuna database. EU certification (refer Section 5.1.6) It is suggested that the Fisheries Department take the lead role in setting up meetings with other government departments to identify the appropriate department responsible for setting up a Competent Authority, having it established, and amend the legislation to meet EU requirements. Working on Sundays (refer Section 5.1.7) It is suggested that the Government review and possibly relax the present rule relating to working on Sundays for the fishing industry, especially when a vessel is at sea working, or fish needs unloading or processing to meet export schedules. xvi

Government s commercial involvement in the fishing sector (refer Section 5.2) It is suggested that the Fisheries Department: remove itself from all commercial fishing activities and support private sector development in fisheries; consider leasing out any new ice or fish market facilities provided under aid, to the private sector under contract with specific maintenance and upkeep requirements with regular inspections (3 or 6 monthly) undertaken; and consider allowing the private sector to develop or operate all commercial shore facilities, especially if the idea of a commercial fishing harbour complex goes ahead, with the government only responsible for collecting wharfage fees. Financing for new fishing operations (refer Section 5.3) It is suggested that the Fisheries Department work with the different lending institutions in Tonga to come up with a clear and proper appraisal system for assessing fisheries loan applications. Development Bank of Tonga (DBT refer Section 5.3.1) It is suggested that the Development Bank of Tonga: look closely at the terms and conditions of their loans to the fishing industry, and consider longer loan periods, possibly eight years, with a delay of at least three months, and possibly six months, on the commencement of loan repayments; and drop its interest rates for the fishing industry to under 10 per cent as an incentive to the development of the tuna fishery in Tonga. South Pacific Project Facility (SPPF refer Section 5.3.2) It is suggested that the Fisheries Department support the SPPF as a potential funding assistance organisation, and that this be made known to private sector investors who may be looking for assistance in financing a loan. Joint ventures (refer Section 5.3.3) It is suggested that if a foreign company or fishing association is granted licences, the Fisheries Department consider implementing a requirement that any foreign vessel fishing in Tongan waters needs to have 50 per cent Tongan crew to start, increasing over time to a specified level. United Nations Capital Development Fund (UNCDF refer Section 5.3.4) It is suggested that the Fisheries Department explore the possibility of using the UNCDF funds as a revolving fund for encouraging the development of the tuna longline fishery as briefly described in Section 5.3.4, and if acceptable, propose to UNCDF to use the funds in this manner. Charter fishing operations (refer Section 5.4) It is suggested that the Fisheries Department: classify all charter/sportfishing vessels as commercial vessels if they want to sell their catch, and require them to hold a current commercial fishing licence; recognise charter/sportfishing businesses under the National Tuna Management Plan, and apply to them the same terms and conditions and duty-free privileges that currently apply to tuna longline operations; and xvii

continue to support and encourage development in the charter/sportfishing sector, especially in Vava u and Nuku alofa. Industry cooperation (refer Section 5.5) It is suggested that the Fisheries Department: and the Tuna Exporters Association meet every three months to exchange information and address any issues that need input from the other party; support the Tuna Exporters Association working with other government departments and ministries with interests in the fishing industry, through them in the first instance, to ensure there is industry input on issues that will affect them; support the Tuna Exporters Association putting a proposal together for the funding of an Executive Officer position for their Association, and submit this through the them for donor consideration; and support the funding of the Executive Officer position, with the Tuna Exporters Association using this person to bulk order materials and arrange airfreight for the Association members, as well as represent the Association at government meetings, putting forward the industry position on issues. Possible use of stevedores and crewing on foreign fishing vessels (refer Section 5.6.2) It is suggested that Tongan nationals interested in gaining employment on foreign fishing vessels: approach the Fisheries Department or the Department of Labour and Commerce to seek assistance with placements; and ask the Government of Tonga for assistance in developing a standard contract with agreeable terms and conditions for employment. Observer programme and port sampling (refer Section 5.6.3) It is suggested that the Fisheries Department: ensure there is a pool of trained observers and port samplers in Tonga, who are not government employees, and could be employed on a casual basis when needed; and build some funding for observers and port samplers into their annual budget allocation from government to undertake these activities. Fish aggregating devices (FADs refer Section 5.6.4) It is suggested that the Fisheries Department: through their Extension Section, consider implementing a five-year FAD programme under the National Tuna Management Plan, for the three areas of Tonga; if they implements a FAD programme under the National Tuna Management Plan, include the following requirements: - bulk ordering of materials to reduce costs; - spare materials kept on hand to replace lost FADs within a reasonable time period; - a set maintenance programme to increase the lifespan of FADs in the water; - data collection system for all operators fishing around the FADs; and - a periodic cost benefit analysis be undertaken through the five-year programme to monitor the programme s success; include funding in any ongoing FAD programme budget to purchase a deep-water echo sounder (rated to 2500 3000 m); and xviii

consider running a one- or two-week workshops for fisheries staff and other interested fishermen to learn FAD site surveys, and FAD construction and deployment, including practical sessions, using the Vava u charter operators and/or SPC staff. Promotion of small-scale tuna fishing methods (refer Section 5.6.5) It is suggested that the Fisheries Department: further encourage local fishermen to use ice, especially when fishing for small tunas, so as to increase fish quality and make their catch more marketable; look at introducing mid-water fishing techniques in association with FADs, through a series of workshops at different locations, using participant s own vessels to conduct practical fishing trials using the new gear; identify funding to purchase materials for making up mid-water fishing gears for these workshops; approach SPC for technical assistance in running the first couple of workshops, if they go ahead, to train up fisheries staff, who could then conducting future workshops in other locations; and provide a list of specific gear needed for mid-water fishing techniques and contact details of overseas suppliers to local stores in the three locations in Tonga, so that this gear can be purchased and sold to local fishermen after the methods are introduced. Promotion of small- to medium-scale tuna longlining (refer Section 5.6.6) It is suggested that the Fisheries Department: introduce the concept of the super alia type vessel for developing small-scale tuna longlining, especially in the outer island locations of Ha apai and Vava u; consider using some of the UNCDF funds to fit out several local 9.0 m monohulls in Ha apai and Vava u, with hand-crank Samoan-type longline gear to trial this type of gear under Tongan conditions on Tongan vessels; Extension Section should train small-scale fishermen to use the new gears, if a small-scale tuna longline project is established using the UNCDF funds; request technical assistance from SPC to run some workshops in different locations on smallscale tuna longlining, including sea time to undertake trial sets; advise the private sector to be cautious when purchasing second-hand tuna longliners, to ensure they have common brand-name machinery that spare parts are readily available for in the region; request technical assistance from SPC when needed, especially for information on suitable vessels or vessel parameters and fishing gears for tuna longlining, which can be passed on to the private sector; request technical assistance from SPC to train new private sector entrants into the tuna longlining fishery, in the rigging of vessels and gear and on board handling, processing and chilling of tunas to export standards; and encourage the private sector companies to consider gearing up some of their vessels, and conduct some fishing trials for broadbill swordfish in the waters around Tonga. xix

Catching bait (refer Section 5.6.7) It is suggested that the Fisheries Department: encourage the private sector to look closely at bait fishing for scad in Tonga, with a company either purchasing the fisheries vessels and gear to do this, or bringing in alternative gear; and conduct some research into squid fishing, both for bait and for human consumption, with the private sector encouraged to develop this fishery if trials are successful. Value-adding processes as development options (refer Section 5.7) It is suggested that the Fisheries Department: encourage one of the current processors to purchase a vacuum-packing machine and the necessary packing and shipping materials, and conduct some trial processing and marketing of both fresh and frozen albacore loins, and possibly smaller or second-grade yellowfin tuna loins, to the US; consider the provision of some concessions on building materials and machinery needed for value-adding processes, as an incentive to foster development in this sector, especially in Ha apai and Vava u; look at organising one or two workshops to demonstrate value-adding processes to be used on bycatch, non-export, and small tuna species, drawing on expertise from regional organisations; and conduct some market research on value-added products so they have some baseline information to assist interested parties who may want to become involved in setting up a value-adding business. Search and Rescue (refer Section 5.8) It is suggested that the Ministry of Marine and Ports: establish the Search and Rescue Centre as a matter of urgency, to meet the requirements of IMO; ensure that the new Search and Rescue Centre has the latest equipment and trained people to operate this equipment effectively, on an around-the-clock basis; establish an adequate response team to undertake search and rescue in the field, with appropriate equipment for work at sea; ensure that their field response team is on call so that time is not lost in responding to emergencies at sea; and immediately implement both annual and interim inspections on vessels to check seaworthiness and inspect sea safety equipment. xx

1. INTRODUCTION The information contained in this report forms a specific component of a joint Government of the Kingdom of Tonga and Forum Fisheries Agency initiative to develop a National Tuna Management Plan (NTMP) for Tonga. The NTMP was drafted in March 2000, with refinement taking place up until June 2000, at which time it was decided to produce a separate development document to support the Plan itself. This report forms the basis for the development document supporting the NTMP, with a focus on small-scale development in the tuna fishery, including the island groups of Ha apai and Vava u. The specific Terms of Reference for this project are: 1. Travel to the Kingdom of Tonga to: assess the feasible fisheries development options given the country s existing level of fisheries-related infrastructure, including small-scale development options in the Ha apai and Vava u island groups; identify other in-country physical constraints hindering the country s future tuna development prospects including primary related interests such as those affecting sportfishing potential; review the current availability of skilled fisheries-related personnel in-country and, for the different fisheries development options available, identify those skills for which additional in-country and/or regional training is required; and discuss these issues with relevant national stakeholders. 2. Produce a written report addressing the above issues. The Fisheries Development Adviser of the Secretariat of the Pacific Community, Lindsay Chapman, travelled to the Kingdom of Tonga to undertake this work from 27 May to 7 June 2000. This work included travel to both the Ha apai and Vava u groups to meet with stakeholders. The suggestions contained in this report are based on information collected during fieldwork in Tonga. The suggestions do not account for any changes that may have occurred to legislation or other circumstances since the time of this fieldwork. Therefore, some of the information and suggestions may not now be relevant because of changes that may have been made since that time. 2. BACKGROUND Commercial fishing for tuna is a relatively new industry to the Kingdom of Tonga, although at a subsistence level, Tongans have ventured off the coast in search of seasonal tuna schools to harvest for local consumption. Historically though, vessels from Japan, Korea and Taiwan fished in the waters around Tonga, primarily longlining for albacore tuna (Thunnus alalunga). The Kingdom of Tonga commenced its commercial tuna fishing venture when the Government of Japan donated a fully equipped 37 m tuna longline vessel, F/V Lofa, in 1982. The F/V Lofa was used to target albacore, which were sold to the tuna canneries in either Fiji Islands or American Samoa. In 1992, the Tongan government allowed private investment in the tuna industry with the formation of the company Sea Star Limited, which has 70 per cent government and 30 per cent private ownership. F/V Lofa was transferred from the government to the Sea Star company, which also purchased other vessels from Japan to expand its fleet. Although albacore was still the main species taken, Sea Star changed the focus of fishing operations to retain part of the catch on ice for airfreight to higher-priced markets, such as Japan, Hawaii, Australia and New Zealand. 1

In late 1991/early 1992, a project was established to look at adapting large-boat tuna longline techniques to small vessels as a means of alleviating pressure on the deep-water snapper stocks in Tonga. The project was funded by USAID, and implemented by RDA International, a consulting firm from the US. Two tuna longlining methods were trialled around Vava u. The first was a short, 8 km mainline with 200 hooks that was set both in open water and over the Capricorn seamount. Catches of saleable fish over the seamount were high at 291.0 kg/100 hooks, and much lower in open water at 57.1 kg/100 hooks. Only 50 sets in total were made over 34 trips between March 1993 and July 1994. The second tuna longlining method used a 32 km mainline, which set 800 hooks in open water. Over 15 trips, a total of 16,700 hooks were set with a saleable catch of 337 fish weighing 7343 kg. This gave a catch rate of 44 kg/100 hooks. Handlining trials were also conducted during this project, both in the area around Vava u and the Capricorn seamount. Night-time handlining over the seamount produced the best catches; 454 fish weighing 7061 kg were caught in seven hours of fishing over seven nights using six lines. Bigeye tuna (Thunnus obesus) was the main species taken, with 430 fish weighing 6651 kg. Night-time handlining in other areas produced an overall catch of 79 saleable fish weighing 985 kg over 93 fishing hours using three lines. General daytime handlining over 27.5 hours, using on average three lines, produced a saleable catch of 52 fish weighing 807 kg. Also during this project, seven fish aggregating devices (FADs) were deployed, with vertical longlining trials conducted around them. A total of 432 vertical longline sets were made with 19 or 20 hooks used on each line. The catch totalled 587 saleable fish weighing 7259 kg, or a catch rate of 8.7 kg/10 hooks. In 1993, the Tongan Cabinet rescinded their earlier decision which gave Sea Star Limited the sole right to commercially exploit tuna in Tongan waters. This Cabinet decision and the results of the RDA fishing trials encouraged new companies to commence tuna longlining operations for export tuna in 1994. Two operators set up, each using a 14 m vessel as recommended in the RDA report. However, these operators ran into financial difficulty during their second year of operation. It was found that the vessels were not the most appropriate, as the short, 200-hook longlines were not viable on a longer-term basis, especially when fish were scarce over the Capricorn seamount. These vessels mainly operated in open water setting 500 to 700 hooks per set, with highly variable and seasonal catch rates. During the latter half of the 1990s, Sea Star purchased several additional vessels under an Asian Development Bank loan. Other private-sector operators entered the fishery using vessels that ranged from 14 to 25 m in length. Some companies did better than others, and several were not successful, although these were generally those with little knowledge and limited financial backing. At the time the fieldwork for this report was being undertaken, there were 17 tuna longline vessels licensed under eight companies to fish in Tongan waters, although only 10 of these vessels were actually fishing. The vessels were all targeting bigeye tuna (T. obesus) and larger yellowfin tuna (T. albacares), although albacore tuna was still the predominant species caught. The catch from these vessels is landed, chilled on ice, and taken to one of the three export-standard processing plants. There, most of the catch is graded, packed, and exported to higher-priced overseas markets in Japan, Hawaii, US Mainland, New Zealand and Australia. Non-export species and fish not graded for export are sold on the domestic market, usually in chunks, as local consumers cannot afford to purchase large, whole fish. 3. INFRASTRUCTURE REQUIREMENTS Basic infrastructure is needed within a country for the development of the marine sector. Such infrastructure includes: wharves; access to fuel, water, and ice for operators; support services including slipways, maintenance facilities, and trades people; suitable vessels; processing facilities; and airport facilities. 2

3.1 Shore facilities There are three main centres in the Kingdom of Tonga, Nuku alofa the capital of Tonga situated in the southern Tongatapu Group, Pangai the main centre of the central Ha apai Group, and Neiafu the main centre for the Vava u Group in the north. 3.1.1 Nuku alofa Nuku alofa is the most developed area in Tonga. There is a main wharf complex that is used for shipping, and a secondary wharf (Faua wharf) used by the local deep-water snapper and tuna fishing vessels. Space is limited on Faua wharf as there are two processing/marketing facilities that have fenced-off sections of the wharf for vessels supplying them with fish. Other users of the wharf unload and have their fish trucked to establishments, where they are packed for export. Derelict or broken-down vessels are a problem from time to time, as they are left tied to the Faua wharf, restricting the access of other vessels. Some of these vessels have been moved, although they still remain at the end of the harbour, causing potential congestion in this area plus they are an eyesore. Vessels will continue to break down and need repair work done at Faua wharf. This should be allowed, although the length of time could be monitored and limited by the Ministry of Marine and Ports (MMP), the government body responsible for the wharf. Possibly a policy could be developed by the MMP in conjunction with the Fisheries Department, to address the issue of vessels in general needing repair, and tying up at Faua wharf for extended periods of time. Derelict vessels should not be permitted to take up wharf space or to clutter the harbour. Permanent removal of these vessels is the best approach, and the Fisheries Department and MMP could require this. The problem then is that owners may choose to anchor derelict vessels close to the harbour and leave them unattended. Apart from being an eyesore, such vessels could sink where they are anchored or break their mooring and wash ashore, causing additional problems. One solution would be to encourage the owners to take derelict vessels to a designated area where they could be sunk to form artificial reefs or dive sites for local tourist operators. In the event that this approach is taken, care needs to be taken that all toxic wastes and fuels (e.g. diesel, oils) are removed from the vessel prior to sinking them. Another approach to overcome the problem of wharf space for fishing vessels is to construct a commercial fishing harbour. This idea is not new. In the mid 1990s, the Fisheries Department had plans to re-build the Vuna wharf and Yellow Pier area for this purpose. The plan was to re-build the wharf and pier and dredge the area in between to form a marina where all fishing vessels could tie up. In addition, the Fisheries Department planned to move the fish market from Faua wharf to this location. The MMP were not opposed to the fisheries plans. There was some concern from others in government that this location would be too close to town and could have negative impacts through possible waste in the harbour, and smells of fish from the vessels and harbour area. An alternative location has been suggested at Kanokupolu, although this is far from town and not an appropriate location. Both MMP and the Fisheries Department seem to agree that fishing fleet should be relocated. The first stage of any such move should be to do a feasibility study and costing for the whole project; that is, the re-construction of the wharves and the construction of the marina, including facilities for the fishing fleet, processing sites, a site for relocating the fish market, and parking areas. Once a feasibility study and costing has been completed, the government can then seek aid funding for the work. The Fis h er ie s Dep ar t me nt an d MMP n ee d t o wo r k to g et he r t o en s ur e th e f ea s ib il it y s tu d y and costing goes ahead as soon as possible. This approach will address the longer-term needs of the fishing industry, e sp ec ia l ly t h e tu na lo ng l in e in d us tr y, as i t c on t in ue s t o ex p an d. I t wil l a ls o a dd re s s the needs of MMP, mov ing the f i sh in g f le et ou t to it s o wn a re a a nd re li ev i ng t h e co ng e st io n a t Fa u a wh a rf. Al s o, c a re n ee d s 3