28th April 2005

“IS&WFO push for solution to escalating fuel crisis”

The present high price of marine diesel continues to have a major impact on the earnings of our fishing vessels. The Irish South & West Fishermens Organisation (IS&WFO) together with their UK, French, Spanish, Dutch and Belgian counterparts have been in Brussels twice in the last week to hold urgent meetings on the issue. The meetings have been attempting to prepare a common EU position for the EU Commission and EU governments. Unlike previous price increases which have returned to a lower level after a relatively short period, the long-term factors driving oil supply and demand now look like maintaining prices at a higher level. The consequences of this situation for the entire European Fishing Industry are extremely severe. Like many Industries, fishing is a heavy user of oil-based fuels. However, unlike most other Industries, such as transport, fishermen are unable to pass on any of the increased cost to the customer. Maximum production is already highly constrained for conservation reasons and now the major industry cost has increased to an unsustainable level. Fishing vessel operators in all Member States face a crisis in profitability as a result.

The Irish South & West Fishermens Organisation and other EU Fishing Organisations are seeking a meeting with Commissioner Borg in an initial move to address the situation. It is also hoped that the matter will be formally raised at the next EU Council of Fisheries Ministers meeting. The Fishing Organisations will continue to meet over the coming weeks to review progress on the matter. The IS&WFO will also be assessing with Financial Institutions whether schemes utilised in other Member States to minimise fuel costs can be applied here.