EU has included Korea in a preliminary list of illegal fishing nations. This is quite embarrassing for most Koreans, who take pride in their country’s status as one of the top-three deep-sea fishing nations in the world

2013-11-28 17:21

Illegal fishing nation

Following an example set by the United States, the EU has included Korea in a preliminary list of illegal fishing nations. This is quite embarrassing for most Koreans, who take pride in their country’s status as one of the top-three deep-sea fishing nations in the world, and regard illegal fishing as an issue for other countries, including China.Korean fishermen do not of course fight against local maritime police as their Chinese counterparts so, but can hardly avoid blame for helping to drain oceanic resources through excessive activity ― under the ignominious label of illegal, unreported and unregulated (IUU) fishing, or pirate fishing.
Nothing showed this better than the response to the EU’s latest move made by the Ministry of Ocean and Fisheries. Some MOF officials, while not hiding displeasure with what they regard as hasty action by Europe, tried to play down the impact. “The European officials pushed ahead with the designation, although they knew we have revised related laws and plan to implement tougher regulations from next year,” a ministry official said, stressing that it poses no immediate threat to the domestic industry.
It seems it might be the EU’s intention to hold Korean fishermen in check to help protect its own industry.
The fiercer the foreign challenge becomes, however, the harder the Korean industry should try not to assist competitors overseas and keep to international rules and standards.
For instance, it defies our understanding why the ministry has failed to obligate all deep-sea fishing boats to be equipped with vessel monitoring systems, a tracking device, and provided a reason for the EU to give Korea the disgraceful label. The ministry cites a lack of budget, but the existing subsidies to the industry are enough to install the device at 50-odd vessels lacking in it. We rather suspect that undue, and undesirable, government-industry collusion is behind the loose oversight.
Nor is the Ministry of Foreign Affairs and Trade entirely free from blame, because allowing time for the domestic industry to toughen regulations and implement them belongs to the domain of diplomacy.
However, the deep-sea fishing sector has long been criticized for three major problems ― overfishing, violation of rules and standards agreed upon globally, and human rights abuse of crewmen, especially foreigners. The time has long past for the industry to break away from these industrial remnants of bad old days and be reborn as a more advanced sector that focuses on not only short-term turnover but also on the long-term sustainability of global fishing and the biodiversity of the ocean.
That also explains the reason for the restoration of the MOF under the Park Geun-hye administration. Minister Yoon Jin-suk, the only female Cabinet member unrelated with women’s affairs, needs to bear in mind that promoting the “national dignity” is one of the key objectives of her boss and the nation’s first female president.
Being branded as an illegal fishing country certainly does not align with this objective.

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Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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