Last year nearly 332,000 tons of fish were imported into Ukraine, an increase of 80,000 tons. Norway and Island are Ukraine’s main suppliers of herring fillets. The US, Canada, and Argentina supply 38,000 tons of hake, while Denmark and Estonia send us 8,000 tons of shrimps, and Norway and Chili — 2,500 tons of salmon.
But ever since prices rose sharply for the once-popular mackerel, Ukrainians have been forced to switch to Pacific saury. According to experts’ forecasts, fish imports will rise by 10,000 to 20,000 tons in the nearest future.
Will the remnants of the Ukrainian fishing industry withstand this competition? There is no domestic fish production that could compete with imports. How did it happen that a once mighty fishing state now survives only thanks to imported fish, an obligatory consumer product?
Vasyl Chernik, the head of Ukraine’s Fishery Department, explains that in 1991, an average of only 18. 5 kilograms of fish per capita were consumed in our country. Three years later a crisis occurred, and Ukrainians were consuming only 3.4 kilograms per capita. Unfortunately, this crisis had to be overcome not by means of Ukraine’s domestic catch but by increasing imports.
According to Chernik, this was caused by the lack of state financing for our fisheries. The situation remains the same today. Ukrainian fishermen have not received any part of the promised billions of hryvnias in investments for the period of 2002-10. The last of our fishing ships need immediate repairs.
Fish farming is not being developed either. “Eight billion hryvnias have been allotted for selection in 2007, and 6 million hryvnias — for stocking. Without the state’s strong support, the fishing industry cannot be revived,” Chernik says, pointing to Europe, where the fishing fleet is carefully monitored and banks invest in shipbuilding. Meanwhile, in Ukraine we can hardly think about revamping the fleet because the expensive credits (20 — 30 percent) do not allow fishermen to obtain new boats.
The main hope is foreign capital — the highest interest at foreign banks does not exceed 12 percent. Talks have already taken place with banks in England, Germany, and other member countries of the European Union. Foreigners are ready to invest money but they need guarantees of economic stability. Owing to the latest political events in Ukraine, the establishment of more friendly relations has been postponed for an indefinite period. Who loses, who wins?
It turns out that Ukraine will not be able to join the competition on its own market any time soon. The abolition of import duties has given additional advantages to foreigners. Norway and Island are now exporting to Ukraine three times more herring fillets and ten times more shrimp. Foreign suppliers are satisfied, as they have practically taken over a huge market in the center of Europe.
