Estimating the Worldwide Extent of Illegal Fishing: the economics of

Illegal, Unreported and Unregulated Fishing and the impact of IUU Fisheries on ACP countries

David Agnew & John Pearce

MRAG Ltd, London

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AfricaAmericasAsiaEurope

Governance IndexIU a

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rop

ort

ion

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rep

ort

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atch

Global losses : $10 – 23 billion annuallyCompare with illegal logging: $15 billion

Estimates of Illegal fishing worldwide

Impacts

EJF: Pirate fish on your plate. Photo on

unlicensed far east trawler off West Africa

• Economic: • loss of revenue from licensing • loss of multiplier effects – fish not

landed/transhipped• Loss of potential export

• Ecological:• damage to stocks – overfishing• damage to sensitive ecosystems• bycatch/overlap species• birds, turtles, sharks, mammals killed

• Social: • conflict with domestic / artisanal

fishers• food security/livelihoods jeopardised• undermine rule of law

Directing effort against illegal fishing

Low

Tuna

Closed areaZone

violationUnauthorised

gears

Unlicenced (or wrong licence)

Unlicenced / wrong licence

/ gear 

Zone violation

Unlicenced Destructive

gearsMiss

reporting

Direct loss of revenue

M M M M L L L M M

Indirect loss of revenue

L L L L L L L L L

Indirect downstream loss of revenue L L L L L L L L L

Target stock status

H M M M M M M M M

Overlap stock status

M L M L L L M M M

Food security L M M L L M L L M

ConflictsL H M L L M L L M

SafetyL L L L L L L M M

Bio

log

ical

So

cial

Eco

no

mic

Low

Impacts

Shrimp and demersals Small pelagics Artisanal

IUU level > High Medium

• Vulnerability assessment for Angola

Key problems for Sub-Saharan Africa

• Foreign vessels– Unlicensed and unmanaged (loss of licence fee,

landing fees, loss of catch value and economic multipliers)

– Fishing in prohibited areas (reserves, artisanal fishing areas)

– Fishing with illegal gears (undersized and discarding)

• Artisanal vessels– Unregulated fishing (loss of fish to neighbouring state

markets)– Fishing with illegal gears

Understanding the economics

IUU vessels can engage in operations if

Benefits > Costs

Value of fishing > penalty of being caught

Upsetting the balance

IUU NO IUU

Benefits of IU Costs of IUBenefits of IU Costs of IU

•Strong MCS•High probability of sanction•High sanctions•Catch Documentation / Traceability Schemes•Strong social policy

•High Price and Demand•Ease of Access •Low operating costs•High catchability•High volume - ease of laundering

•Corruption•Lack of Governance•Weak Regulatory Framework•Weak import / export control

•Control of overcapacity (capacity, subsidies, clear national and regional management policies)•Control of distant water fleets (reflagging, fisheries agreements)

Decreasing BenefitsDecreasing Benefits Decreasing CostsDecreasing Costs

Increasing BenefitsIncreasing Benefits Increasing CostsIncreasing Costs