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Davao City Fresh Tuna Consumption 27 M/T Dailyff

26 July 2003 The Philippines

The city council of Davao City in the Philippines earlier this week approved a resolution asking Agriculture Secretary Luis Lorenzo to increase the quantity of non-exportable tuna for distribution in the wet markets from 1.2 metric tons to five metric tons daily.

Third District Councilor Teresita Marañon, in her resolution, said that even with the increase of non-exportable tuna from 1.2 metric tons to five metric tons daily, the volume is negligible as it would only consist of about 11 percent of the projected total fish deficit which is 45.2 metric tons a day, or 18 percent of the average demand for tuna in Davao City.

“Data will likewise show that the increasing demand for tuna in Davao City has now reached 27 metric tons per day,” she said.

The Bureau of Fisheries and Aquatic Resources (BFAR)-11 revealed a shortage in the fish supply as of 2002 in the region of an average of 78 percent “because of the increasing demand for tuna in Davao City. The same date will show a projected fish deficit of around 45.2 percent daily if no measures will be adopted.”

She said that because of the strict limitation of the BFAR, there is now an overstock of tuna at the Davao Fish Port, which cannot be sold because of the limit “resulting in increasing prices of tuna which is not consistent with the state’s declaration of policy on food security.”  She also said “ the overstock could have been used to supplement local fish supply considering that there has been a fish shortage of 45.2 metric tons a day.”

The city council is also asking the DA secretary to renew the certificate of the necessity to import fresh or frozen tuna to augment the local supply.

Marañon cited Section 3 of the Fisheries Administrative Order 195, which states that the DA secretary and the National Fisheries and Aquatic Resources Management Council (NFARMC) may inquire from the local government unit on the supply and demand situation of the fishery products in aid of legislation.

This provision could be used to convince the DA into increasing the allowable limit of non-exportable grade tuna to be distributed to the wet markets of Davao City.

Since last year, the Davao City government and the fishing industry players, particularly tuna traders, have been asking the DA to amend Section 9 of FAO 195 which states that “fish unloaded by foreign vessels at accredited transshipment ports, which are no longer exportable grade or can be considered as non-exportable may only be sold to canneries and processing plants after payment of customs duties.”

Before the order to stop Davao tuna traders from selling the tuna that are rejected for exports, the tuna was sold at around P80 per kilo (USD 2000 p. M/T). But the price this has already ballooned to P120 per kilo (USD 3000 p. M/T) because of the shortage in supply.