The Council of Federation discussed Phase 2 of investment quotas programme
An alternative method to regulate the industry is multiple increase of natural resource rent
The Council of Federation Committee for Agrarian and Food Policy and Environmental Management has held a meeting dedicated to the concept of the draft law on Phase 2 of investment quotas. German Zverev, President of All-Russia Association of Fishery Enterprises, Entrepreneurs and Exporters (VARPE) took part in the meeting, VARPE says on its official Telegram channel.
German Zverev reminded about the proposal on applying alternative methods to regulate the industry including multiple increase of natural resource rent.
Aleksey Mayorov, head of the Committee, said a dedicated meeting would be held in respect of VARPE proposal.
After a period of almost 40 years when Russian shipyards built no fishing ships or crab catchers, the year of 2016 marked the beginning of orders inflow due to transition to the auction based principle of allocating quotas in the fishing industry. The reform foresees that the market players should have their ships built in the Russian Federation to obtain a quota for bioresources.
16 shipyards across the country, from Kaliningrad to Kamchatka, are implementing the so called ‘keel quota’ programme. Construction of 52 fishing ships and 38 crab catchers was foreseen by the first phase of the programme (according to the data of the Ministry of Industry and Trade as of December 2021). By the end of 2021, the shipyards delivered 6 fishing and 2 crab catching ships.
Russian Federal Fisheries Agency (Rosrybolovstvo) says 97 ships are being currently built in Russia for the domestic fishery industry (58 fishing ships and 39 crab catchers).
In May 2022, RF Government published the Decree on introduction of amendments into the mechanism of allocating quotas for production of aquatic bioresources to allow extension of the construction period from five to seven years so that to ensure implementation of shipbuilding contracts under the pressure of sanctions.
Bill on Phase 2 of investment quotas is to be submitted to RF Presiden Vladimir Putin by the end of the year.
Related links:
Bill on Phase 2 of investment quotas submitted to State Duma ‒ VARPE >>>>
Investment quotas issue excluded from the agenda of RF Government’s meeting of July 28 – VARPE >>>>
RF Government to consider draft law on second phase of investment quotas – VARPE >>>>
Grace time for investment quota projects >>>>
Prospects of investment quotas programme >>>>
