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Davao Studies Expansion In Tuna Businessff

13 January 2003 The Philippines

The government of the Philippine city Davoa is strengthening the fishing sector through a study that will be conducted this month.

"We need to know the strength of the fishing industry in the city. Through this study, we will be able to develop the industry," Mr. Cortez told BusinessWorld. The city government is looking at whether it is logical to include the fishing industry as one of the priority areas for investment.

The study will also look at how the city government can maximize the use of the Davao City Fish Port Complex (DCFPC) and how it can offer incentives to possible investors in the fishing industry, particularly those who want to venture in the tuna sector development.

Earlier, Trade and Industry regional director Merly Cruz said it is better for the city government to develop the tuna sector to prevent the occurrence of a similar controversy that hit the city last year.

Last year, the tuna sector in the city was embroiled in a controversy after local traders complained about the implementation of Department of Agriculture (DA) Administrative Order no. 195 that disallowed the unloading of non-exportable tuna from Taiwanese vessels at the DCFPC.

The order was to prevent the local tuna industry from being flooded with non-exportable tuna from foreign vessels. But local traders claimed because of the order, tuna supply decreased dramatically resulting in higher prices. They added that while they were prevented in selling non-exportable tuna, traders from General Santos City were selling it even in the local market. Under the order, non-exportable tuna could be unloaded in General Santos as they were intended as raw materials of the tuna canneries.

The controversy pushed Davao mayor Rodrigo Duterte and General Santos mayor Pedro Acharon Jr. to resolve the issue. The DA eventually amended AO 195 by allowing the unloading of 1.2 tons of non-exportable tuna at the DCFPC from Taiwanese fishing vessels.