Fisheries Subsidies Research Articles

An Environmental Agreement in a Trade Court – Is the WTO's Agreement on Fisheries Subsidies Enforceable?

An Environmental Agreement in a Trade Court – Is the WTO's Agreement on Fisheries Subsidies Enforceable?

International negotiations over the global commons

AbstractCountries today navigate a multipolar world defined by tensions between great powers. How do middle powers, small states, and Global South countries fare in this geopolitical landscape? Can they shape new international agreements on emerging, divisive topics, like trade-and-environment issues? To explore this question, I investigate the twenty years of negotiations that led to a new treaty seeking to preserve the global commons: the World Trade Organization’s (WTO) Agreement on Fisheries Subsidies (AFS). Using text-as-data analyses and a rich trove of WTO documents, I investigate the sources of the treaty text. I find that middle powers, small states, and countries from the Global South contributed to the agreement; they did so by forming coalitions with like-minded countries. The findings demonstrate that a wider range of states can effectively participate in international negotiations than traditionally assumed.

The automatic termination clause in the Fisheries Subsidies Agreement—brinkmanship for future negotiation or a time bomb for self-destruction?

Abstract The Fisheries Subsidies Agreement (FSA) is an important stride forward, but its future is uncertain because of the embedded automatic termination clause. There is a substantial possibility that this provision comes into effect. It would be prudent to focus on how best to utilize the FSA before that scenario materializes. Most notably, international law jurisprudence and World Trade Organization precedents posit that panels can continue to review disputes and issue decisions even after the FSA is terminated as long as the disputes are brought to them before termination. The automatic termination clause is a unique, unprecedented feature, which may kill the hard-earned momentum of the fisheries subsidies regulation. If managed well, however, the potential damage can be controlled and the new agreement can be utilized for the ultimate success of global fisheries subsidies regulation.

THỰC THI HIỆP ĐỊNH VỀ TRỢ CẤP NGHỀ CÁ CỦA WTO – THÁCH THỨC NÀO ĐỐI VỚI CÁC QUỐC GIA ĐANG PHÁT TRIỂN?

The ratification and implementation of the World Trade Organization (WTO) Agreement on Fisheries Subsidies pose numerous challenges for WTO Members, especially developing ones. This article addresses key inquiries faced by WTO Members during the formulation of the agreement. It explores the primary shortcomings of the special and differential treatment regime and examines proposed solutions by WTO Members. Additionally, the article outlines specific considerations for Vietnam in the ratification and implementation of the agreement.

WTO Subsidies Agreement on Fisheries (2022-2024): Agreed Terms and Implications for Indonesia

Indonesia has issued a fisheries subsidy policy to encourage the development of the fishing industry because this sector contributes to national development, but the subsidies applied must be in accordance with the provisions stipulated in the WTO. Indonesia is a member of the WTO and in the last few meetings held by the WTO in which the WTO prohibits subsidies, besides that fisheries subsidies can cause depletion of fish stocks and damage to marine biota. This is not in line with the UN program, namely Sustainable Development related to sustainable fisheries, so the implementation of fisheries subsidy policies can cause problems. the 12th WTO ministerial conference, a draft was drafted, but until now the draft has not been ratified, the draft fisheries subsidies at the WTO specifically regulate fisheries subsidies that are prohibited and exceptions in general. the 13th Ministerial Conference 2024 has not yet concluded negotiations on agricultural and fisheries subsidy issues, which remain key concerns for the conference organizers. Trade or Economic Ministers of the WTO engaged in negotiations are aware of the significant differences in positions among member states, necessitating further time for additional negotiations to be continued by permanent delegations in Geneva. The impact of the draft WTO fisheries subsidy, if successfully ratified, will have a negative impact on Indonesia in terms of the fishery market, fishery resources and employment.

The review of the evolution, deficiencies, and future outlook of China's pelagic fisheries management from 1985 to 2024

The management of China's pelagic fisheries has played a crucial role in the development of these fisheries. By examining the evolution of pelagic fisheries management in China from 1985 to 2024, this study aims to examine the changes in the development trends over time. The study of the pelagic fisheries management evolution involves data collection and content analysis. The pelagic fisheries management in China can be divided into three distinct phases in chronological order: the first period (1985–1997) with the focus on accelerating the development of pelagic fisheries, the second period (1998–2015) with the focus on progressively engaging in international fisheries governance, the third period (2016–2024) with the focus on the ecological advancement of the pelagic fisheries. Nevertheless, there are still some deficiencies in pelagic fisheries management, including inadequate management, unreasonable subsidies, outdated equipment and technology, limited stakeholders engaged in management, and conflicting maritime interests with other nations. To address these deficiencies, this paper emphasizes enhancing the management system, reforming fishery subsidies, prioritizing science and technology, promoting stakeholders' engagement in management, and strengthening international collaboration in fisheries.

Analysing the impacts of a reform on harmful fishery subsidies in Spain using a social accounting matrix

The effects of discontinuing harmful fishery subsidies in Spain were analysed using a social accounting matrix. The study found that the removal of these subsidies would have negative consequences for the economy. Specifically, there would be a significant decline in the production value of marine resource industries, and industries dependent on fish and shellfish as inputs would experience increased production costs. The exports, mainly to EU countries, would also be impacted, and certain marine resource sectors would experience significant job losses. Fishing families would suffer the greatest reduction in income once subsidies are removed. However, there is potential to mitigate most of the negative impacts by redirecting the removed subsidies, as it is shown for the case of their redirection to research and development industries. The findings of this study provide valuable insights for EU policymakers in implementing specific policies to address the potential consequences on affected sectors, families, and employers as part of the next European strategy, Horizon 2021–2027.

Can government subsidy promote the light-blue fishery upgrade to deep-blue fishery?

IntroductionThe expansion of fishery development from offshore to deep-sea areas has become essential for countries to address environmental constraints and ensure food security. This study aims to establish a cooperative development model for deep-blue fishery involving the government, fishery enterprises, and consumers.MethodsWe constructed an evolutionary game and simulation model to analyze the government's deep-blue fishery subsidy strategy. The model considers the interactions between the government, fishery enterprises, and consumers, evaluating how different subsidy strategies influence the development of deep-blue fishery.ResultsOur results demonstrate that government subsidies can stimulate the growth of deep-blue fishery from both the demand and supply sides. Specifically, the likelihood of government subsidies positively affects fishery enterprises' engagement in deep-blue fishery development and consumers' willingness to purchase deep-blue fishery products. The evolutionary game system reaches different steady states based on the cost-benefit changes for the government, fishery enterprises, and consumers, leading to various optimal subsidy strategies.DiscussionThe findings indicate that the amount of government subsidy should be optimized rather than maximized, as excessive subsidies may not yield proportionate benefits. Additionally, subsidizing fishery enterprises proves to be more effective in promoting the development of deep-blue fishery compared to subsidizing consumers. These insights can guide policymakers in designing efficient subsidy strategies to foster sustainable deep-sea fishery development.

A new approach to combating illegal, unreported, and unregulated fishing: analysis of the WTO Agreement on Fisheries Subsidies

Harmful subsidies awarded by states facilitate illegal, unreported, and unregulated (IUU) fishing, which causes negative impacts on ocean ecosystems, seafood value chains, society, and global food security. The World Trade Organization Agreement on Fisheries Subsidies, adopted on June 17, 2022, aims to improve global fishery governance through trade measures and is regarded as a major step toward the achievement of the United Nations 2030 Sustainable Development Goals. The objective of this study is to offer a better insight into the interpretation and future implementation of the WTO Agreement on Fisheries Subsidies. Based on the status quo of international and regional fishery governance legal systems and management regimes in the regulation of IUU fishing, this study reviews the legislative process of the WTO Agreement on Fisheries Subsidies, analyzes five main controversial issues, and explores the conflicts of interests of different countries during the discussion. In the future, states should promote the transformation of the fisheries sector by reducing harmful subsidies for IUU fishing and enhancing cooperation among coastal states, flag states, port states and relevant RFMOs.

Transversal policy between the protection of marine fishery resources and fisheries subsidies to address overfishing in Indonesia

If the Indonesian Government continues to provide harmful subsidies to its fishing industry, then the occurrence of overfishing, which leads to the overfished and destruction of marine ecosystems, is an inevitable consequence. Thus, eliminating fishery subsidies that exert detrimental effects on aquatic life is imperative for the government. Unfortunately, Indonesia frequently implements social protection in the form of a subsidy policy to support fishing activities, particularly those undertaken by small-scale fisheries. Upholding and preserving the sustainability of marine fishery resources is incumbent upon the government by implementing marine protection policies. Therefore, the policy to protect marine fishery resources and fishery subsidies needs to be convergent. The study aims to analyse how Indonesia formulates a transversal policy and a coherence strategy between the protection of marine fishery resources and subsidies to support fisheries. The methodology involves a descriptive and analytical legal examination that identifies two policies and elaborates efforts to protect marine fishery resources and support fishermen in achieving better lives. The objective is to determine the interdependent functions of the protection of marine fishery resources and subsidy policies to address overfishing in Indonesia.

WTO 수산보조금협정에 관한 소고

Negotiations on the norms regulating fisheries subsidies were launched within the WTO framework as part of the Doha Development Agenda in 2001, and have been ongoing for over 20 years. The Agreement on Fisheries Subsidies was finalized at the 12th Ministerial Conference in June 2022.
 The Agreement is a significant outcome of more than two decades of negotiations on fisheries subsidies. It is the first multilateral agreement to recognize that certain trade policies, such as subsidies, can have harmful impacts on the world’s marine environment, and to address the environmental issue of marine sustainability in the WTO framework by building a harmonized and interrelated relationship among trade, environment, and development. This is significant because multilateral norms on subsidies are not limited to marine resource sustainability. The WTO Members are currently exploring the appropriate role and function of subsidies in the design of policies to effectively reduce greenhouse gas emissions from domestic industries, especially as they face the challenge of combating climate change. This is because climate change response policies using subsidies may fall within the scope of the WTO Subsidies Agreement and be subject to countervailing measures, whereas fuel subsidies that are harmful to the environment may not be regulated as they do not meet the specificity requirement. Under these circumstances, the Agreement shows that it is possible for the Members to agree on trade norms for sustainable development in response to the negative spillover effects of subsidies.
 However, the Agreement is limited by its incomplete form, which had to leave out norms relating to subsidies that contribute to overcapacity and overfishing, and special treatment for developing countries. In addition, the Agreement will be ineffective unless comprehensive norms on fisheries subsidies are agreed upon within four years of its entry into force, unless otherwise agreed upon by the Members. However, given that the current Agreement covers significant portion of dangerous situations in which subsidies can harm the marine environment, and that negotiations are currently underway to seek a comprehensive norm, it is possible that a comprehensive agreement could emerge that would encompass the outcomes of more than two decades of fisheries subsidy negotiations.

Can government subsidies promote the construction of “Blue Basic Farmland”? Analysis of multi-subject management model in mariculture areas

The implementation of the “Blue Basic Farmland” system for farming ocean is a crucial strategy to ensure food security. This study simulates and analyzes the impact of government fishery subsidies on promoting “Blue Basic Farmland” construction. A tripartite evolutionary game model involving the government, fishermen and fishery enterprises was used”. Subsequently, the fishery subsidy strategy of “Blue Basic Farmland” construction was simulated and analyzed. The following findings are derived. First, fishery subsidies contributed to “Blue Basic Farmland” construction by promoting the participation of fishing enterprises and supporting fishermen. Second, the amounts of fishery subsidies were not the high the better, and different amounts of fishery subsidies had varying effects. Third, subsidizing fishery enterprises was more effective in promoting the construction of “Blue Basic Farmland” compared to subsidizing fishermen. In light of these findings, we proposed the following policy recommendations. The government ought to establish subsidies specifically tailored for “Blue Basic Farmland” construction, while also judiciously controlling the subsidies amounts. Moreover, the focus of these subsidies should be directed towards supporting fishery enterprises.

The Second Wave of the Fisheries Subsidies Negotiations: Overcapacity, Overfishing, and Other Disciplines

The Agreement on Fisheries Subsidies (AFS) was concluded by the Ministerial Conference of the World Trade Organization (WTO) in June 2022. It was negotiated following the mandate contained in the Sustainable Development Goal (SDG) 14.6 adopted by the United Nations General Assembly in 2015. In the AFS, WTO Members were able to agree on subsidy prohibitions relating to illegal, unreported, and unregulated fishing, overfished stocks and unregulated waters. However, the AFS fails to address part of the SDG 14.6 mandate concerning subsidies contributing to overcapacity and overfishing. For this reason, WTO Members have, shortly after the conclusion of the AFS, engaged in a second wave of negotiations to address the missing elements in SDG 14.6, as well as other provisions left out of the AFS. At the time of writing, the WTO Negotiating Group on Rules has produced a draft text containing the proposals of Members on overcapacity and overfishing, including a sustainability carve-out and special and differential treatment for developing countries. In addition, this text includes a subsidy prohibition with respect to subsidies contingent upon or tied to fishing and fishing related activities in waters outside the subsidizing Member’s jurisdiction and a notification obligation concerning the use of forced labour. The challenge is, therefore, to produce a text that is agreeable to both the representatives of Members sitting at the WTO Ministerial Conference and the stakeholders of each WTO Member who will decide, domestically, whether to ratify the agreement. fisheries subsidies, IUU fishing, overfished stocks, overcapacity, overfishing, forced labour, waters outside the jurisdiction

The Future of Trade and Environment: A Roadmap for Reconciling Two Competing Goals

The global market has experienced an unprecedented increase in cross-border trading, culminating in substantial economic growth for numerous nations. However, this extensive process of economic integration has cast a shadow on various associated domains. Trading activities, intricately linked to the environment due to their reliance on natural resources for production, have indisputably left their mark on global environmental conditions. International trade and environmental preservation, as distinct disciplines, operate under separate sets of laws and regulations. Environmental laws encompass multilateral environmental agreements, and regional and national regulations, while trading activities are governed by the multilateral agreements of the World Trade Organization (WTO) and bilateral agreements. The integration of international trade with environmental measures has become a contentious subject. Proponents of trade argue that it facilitates global access to environment-friendly goods and technologies, thereby facilitating the maintenance of high environmental standards. In contrast, environmentalists contend that international trade laws and practices often impede the governmental efforts to implement regulatory measures aimed at pollution prevention and environmental restoration. The WTO has faced criticism for its perceived inaction in addressing environmental concerns ensuing from trade, despite acknowledging environmental protection as an objective in the preamble of the Marrakesh Agreement. The global discourse on environmental protection has intensified, seeking to accord environmental issues the same weight as trade disputes. This article endeavours to delve into the multifaceted interactions between international trade and environmental protection, scrutinizing their regulatory mechanisms while highlighting the underlying grounds for the disputes that arise between these two realms. Agreement on Fisheries subsidies, Committee on Trade and Environment, Environmental Protection, Free Trade, GATT, Multilateral Environmental Agreements, WTO

Study on the International Law Aspects of the New WTO Fisheries Subsidies Agreement

Study on the International Law Aspects of the New WTO Fisheries Subsidies Agreement

The United States Accepts the WTO's Fisheries Subsidies Agreement

The United States Accepts the WTO's Fisheries Subsidies Agreement

Fisheries subsidies exacerbate inequities in accessing seafood nutrients in the Indian Ocean

Harmful, capacity-enhancing subsidies distort fishing activities and lead to overfishing and perverse outcomes for food security and conservation. We investigated the provision and spatial distribution of fisheries subsidies in the Indian Ocean. Total fisheries subsidies in the Indian Ocean, estimated at USD 3.2 billion in 2018, were mostly harmful subsidies (60%), provided to the large-scale industrial sector by mainly a few subsidising countries, including Distant Water Fishing countries. We also explored possible socio-economic drivers of the composition of subsidies, and show that the extent of harmful subsidies provided by Indian Ocean Rim (IOR) countries to their industrial sector can be predicted by the seafood export quantities of these countries. These results illustrate the inequity in accessing fisheries resources for the small-scale sector of nutrient insecure and ocean-dependant IOR countries. The present study can benchmark future assessments and implementation of fisheries subsidy disciplines in the region following the World Trade Organisation Agreement on Fisheries Subsidies.

The nexus between the WTO fisheries subsidies rules and food security in Indonesia

PurposeThe World Trade Organisation (WTO) Agreement on Fisheries Subsidies (AFS) requires all members to avoid subsidy policies and financial measures that weaken sustainability in fishing and instead divert public spending in such a way that it is more beneficial to fisheries sectors. This paper aims to argue that the WTO fisheries subsidies rules can be considered as a mechanism not only for achieving fisheries sustainability but also for supporting food security in Indonesia.Design/methodology/approachThe methodology of this study consists of descriptive and analytical legal research that identifies the relation between fisheries subsidies and food security policies in Indonesia.FindingsFisheries subsidies policies in Indonesia focus on government support for small-scale fishers not only to promote fishing sustainability and marine resource protection but also to improve their ability to participate in food security strategies.Practical implicationsThe elimination of harmful fisheries subsidies could be regarded as a mechanism for not only preserving and sustaining marine resources but also achieving food security in other developing countries.Originality/valueThe author’s knowledge of the United Nations Sustainable Development Goals (SDGs) is valuable in elaborating a new paradigm on how the WTO is achieving SDG 14 (Life below Water) and SDG 2 (Zero Hunger) in parallel by analysing Indonesia’s efforts to implement the AFS while also allocating public spending to fisheries sectors to accommodate food security.

Development of marine small-scale fisheries in Togo: An examination of the efficiency of fishermen at the new fishing port of Lomé and the necessity of fisheries co-management

Small-scale fisheries play a crucial role in providing fish protein for both consumers and coastal communities in Togo. However, the fishermen's revenue is relatively low compared to their expectations. Assessing changes in the technical efficiency is crucial for decision-making, particularly in light of the depletion of natural resources and the need for structural improvements. This study examines the technical efficiency of small-scale fishermen at the new fishing port in Lomé. The primary data were collected through a cross-sectional survey of 82 randomly selected fishermen. The data were analyzed using descriptive method. Subsequently, a Stochastic Frontier Analysis (SFA) was employed to identify the factors contributing to the inefficiency of these small-scale fishermen. The results indicate that only two variables, namely the fishing hours per month and boat ownership (being a skipper), have a statistically significant positive impact on the fishermen's monthly income. The inefficiency model derived from the SFA regression showed that fishery subsidies and cooperative membership positively influence technical efficiency, whereas the duration of fishing trip (number of days at sea and number of trips per month) and boat length negatively influence efficiency. Overall, the results suggest that the government should review fishery subsidy policies to enhance fishermen's technical efficiency while ensuring the sustainability of fisheries. Additionally, we identify another key area for potential policy interventions, which includes promoting and supporting cooperative membership among the fishermen. This could provide social support, an organizational structure for communication, co-management, and collective decision-making.

A New wto Protocol on Fisheries Subsidies: Potential Implications for the South China Sea Disputes

Abstract For close to two decades, wto member countries have discussed the possibility of disciplining the practice of subsidizing fishing activities. Concrete progress has been made as there is now a consensus on eliminating certain forms of fisheries subsidies that contribute towards overcapacity, overfishing and illegal unreported and unregulated fishing. In June 2022, at the end of 12th Ministerial Conference in Geneva, Switzerland, the Agreement on Fisheries Subsidies (afs) was finally adopted. Against this backdrop, this paper will attempt to investigate the role that the afs might play in arresting the collapse of global fish stocks. Part i provides a brief background on the state of global fisheries and the role of subsidies in their depletion. Part ii discusses the key features of and contentious issues in the afs. Finally, Part iii considers the potential implications of the afs on disputed waters such as the South China Sea.