SANDAKAN – Fishermen in Sabah have claimed that rising operational costs have significantly impacted the fishing sector to the extent that no youngsters in the state are willing to become fishermen or engage in fisheries businesses.
Sandakan Fishing (Tongkang) Association chairman Ng Chi Tshung said that since 2023, fishermen and fishing companies had been impacted by policies implemented by both the state and federal governments.
“It all hit us at one go. Starting last year, the federal government decided to cut down the subsidies for diesel for our fishing vessels and boats by half. Consequently, fishermen in this area had to reduce the frequency of their fishing trips.
“We had even stopped going to several places farther away from the jetty to save fuel because we had to ration our subsidised fuel,” he told Scoop.
Ng said that before the reduction in diesel subsidies, the federal government used to supply registered fishermen with 20,000 litres of diesel at a subsidised rate of RM1.65 per litre every month for each boat or vessel.
However, that allocation has been reduced to 10,000 litres per vessel now. This reduction has led fishermen to halve the number of fishing trips, resulting in a significant reduction in the quantity of catch available for sale, he explained.
“Needless to say, the prices of seafood products in this area have been on the rise since then due to a decrease in supplies, as we are catching fewer fish,” he said, adding that fish prices had increased by 10% to 15% within a year in 2023.
He said in early 2023, the introduction of the Sabah sales tax delivered another blow to seafood exporters in Sabah, imposing a 5% tax on fish and a 10% tax on crabs and lobsters.
Previously, the tax had been postponed multiple times due to strong opposition from fishermen and export companies; however, the Sabah government clarified that the tax was imperative to curtail exports and guarantee sufficient supply for local consumption.
Ng also went on to say that local fishing companies grappled with the exorbitant levy imposed on hiring migrant workers.
“Employers are required to pay RM1,850 as a levy for employing one foreign worker; agent fees and additional charges escalate the overall cost to approximately RM4,500 to RM4,800,” he added.
Ng said that the migrant worker levy had imposed a significant burden on the fishing sector, which was now exacerbated by the reduction in subsidised fuel and the sales tax.
“In other words, things are not looking good in the fishing sector in Sabah.
“We hardly see any young people wanting to get into this (fisheries) business anymore because they know how we struggle to make money. Who is going to take over and run the fishing sector here in the future if this continues?” he asked.
Ng also hoped that the federal and state governments would consider the struggles of fishermen and fishing companies when imposing new policies.
“We are an important source of one of the essential foods for people. If the government aims to ensure food security in Sabah and Malaysia, they should encourage more people to participate in the fisheries industry rather than putting pressure on us like this,” he added. – January 18, 2024