€42m payoff to cut fishing fleet by 33%

HUNDREDS of fishermen are being asked to hang up their nets under a €42 million government payoff that will reduce the national fleet by a third.

The departure deal announced yesterday would allow at least 75 larger vessels to be taken out of action.

Decommissioning payments averaging several hundred thousand euro will be made to the owners of the vessels, but about 500 fishermen employed on board will have to negotiate their own departure terms with their employers.

Minister for Agriculture and Fisheries Mary Coughlan said the move had been discussed in advance with the fishing organisations and was essential to guarantee livelihoods for the remaining fleet at a time of growing restrictions on haul sizes.

The compensation scheme applies to the whitefish fleet — boats that mainly fish cod, haddock, whiting and hake. Since 1997, the country’s EU allocated quota for these types of species has fallen by 41%.

“Against this background, Ireland’s fishing industry has struggled to remained profitable,” the minister said. “And were this not enough, fuel costs and other overheads have soared. Taken together, these factors have eroded the profitability of all.”

The Irish South & West Fish Producers Organisation, one of the four main groups representing commercial fishermen, described the decommissioning as “an unfortunate necessity”.

“It is regrettable that people who have a deep love of a seagoing way of life will be forced to make difficult lifestyle choices,” said chief executive, Gerard O’Flynn. “However, the reality is that the industry, as currently structured, is not economically viable and this radical overhaul is called for.”

He warned that the EU should not be allowed to use the reduction in fleet size as an excuse to cut the country’s quota further.

To be eligible for the scheme, vessels will generally have to be more than 18 metres in length and more than 15 years old, although exceptions may be made for boats that are at least 10 years old.

Applicants will have to undertake to leave fishing permanently and the minister urged anyone contemplating walking away from the industry to take independent legal and financial advice.

Applications have to be received by the last day of April and the first payments will be made on a 50% basis before the end of this year with the outstanding balances to be paid by June 30 next year.

A sum of €21m has been set aside for the scheme this year and the same amount in 2009 but the total falls short of the €58m which government- appointed consultant, Dr Noel Cawley, said would be required to sufficiently reduce the fleet.

However, the minister said she was open to increasing the fund.