Offshore fishing fleet at Mỹ Tân Port, Thanh Hải Commune, Ninh Thuận Province.

There are only few days left before the European Commission (EC)’s fourth on-site inspection in Việt Nam over the fight against illegal, unreported, and unregulated (IUU) fishing.

With its efforts in addressing limitations over the past nearly six years, Việt Nam hopes that this will be an opportunity to remove the yellow card that the EC has imposed on its seafood since October 20, 2017, due to its fishing and fishery management not meeting EC regulations.

In essence, the EU's regulatory system allows the traceability of imported seafood, and the classification of exporting countries to the EU by a system of colour-coded cards, comprising green, yellow, red, and, most severe, a cessation of trade. With the yellow card, all Việt Nam’s seafood exports to the EU are subject to a pre-check. As a consequence, the cost of seafood export to Europe has increased, and the volume has decreased due to the extended delivery time. The EU's IUU regulations require that seafood entering Europe must have complete traceability information, including fishing ground, fishing time, type of vessels and ports for their departure and return, fisheries law compliance, and whether the laws match EU regulations or not.

As the EU ranks among the top five largest importers of Vietnamese seafood, the imposition of the yellow card has resulted in a continuous decline in Việt Nam’s seafood exports to this market since 2017, according to the report titled “A Trade-Based Analysis of the Economic Impact of Non-Compliance with Illegal, Unreported and Unregulated Fishing – The Case of Vietnam” jointly published by the Việt Nam Association of Seafood Exporters and Producers (VASEP) and the World Bank (WB).

Compared to the 2017 figures, seafood exports to the EU decreased by 12 per cent in 2019, equivalent to US$183.5 million. This downward trend continued in 2020, dropping by 5.7 per cent from the previous year. In 2022, the revenue reached only $1.3 billion, but the EU still remained one of Việt Nam’s top five major buyers.

Efforts to have yellow card lifted

Right after receiving the yellow card in 2017, Việt Nam proactively responded to EC recommendations. The country promptly enacted the Fisheries Law and established fishing vessel data covering registration and the issuance of fishing licences from central to local levels.

Relevant ministries, agencies, and coastal provinces and cities of Việt Nam have implemented IUU fishing prevention tasks and solutions in line with directives of the permanent members of the Party Central Committee’s Secretariat, the Prime Minister, and the National Steering Committee on IUU Fishing Prevention.

However, Việt Nam’s efforts have yet to meet the expectations of the EC, and in November 2019, the commission issued four groups of recommendations that Việt Nam needed to implement regarding the legal framework, the monitoring, inspection, and control of fishing activities, the certification of seafood volume and traceability, and law enforcement.

"It is a must to be aware that combating IUU is not just a form of response, but it is for the interests of the nation and people. It preserves the country’s image, fulfilling international commitments, and affirming Việt Nam as a responsible member of the international community, particularly in protecting the marine environment and ecosystem," said Prime Minister Phạm Minh Chính at a meeting with representatives from 28 coastal cities and provinces over the IUU combat on December 1, 2022.

To materialise the EC recommendations and prepare for the fourth working session with the EC inspection team, Deputy Prime Minister Trần Lưu Quang on February 13 signed Decision No. 81/QĐ-TTg, issuing an action plan on IUU combat.

Accordingly, relevant ministries, agencies and localities have reviewed all fishing vessels in localities, completed the registration, the marking of fishing vessels, the issuance of fishing licences, and the installation of vessel monitoring system (VMS) equipment as required. Simultaneously, they have updated 100 per cent of fishing vessel data in the National Fisheries Database (VnFishbase), compiled a list of fishing vessels not engaged in fishing activities and those that are likely to violate fishing regulations, which has been sent to competent agencies, and assigned tasks to specific agencies and individuals. They have put an end to the illegal operations of fishing vessels in foreign waters, investigated and handled all of the violations, and stepped up the dissemination work.

Deputy Minister of Agriculture and Rural Development Phùng Đức Tiến said as of the end of August, the number of fishing vessels nationwide dropped by 10,000 from 2019. All fishing vessels with a length of 6 metres or more have been registered and have their information available in VNFishbase. The number of fishing vessels measuring 15 metres or more in length equipped with the VMS reached 97.86 per cent. The Vietnam Fisheries Society has 90 associations in 16 out of the 28 coastal provinces and cities, with nearly 18,000 members. Alongside these associations, there are 5,810 offshore production teams in the country, bringing together 48,000 vessels and 252,000 fishermen.

Việt Nam on right track

Through inspections, the EC has concluded that Việt Nam’s efforts to have the yellow card lifted are on the right track, and that the fight against IUU fishing has been prioritised by the Vietnamese Government and yielded marked results. The EC has also emphasised a “clear legal framework" and pledged to support Việt Nam to remove the label as soon as possible.

For Việt Nam, transforming its fishing industry to a modern, sustainable and responsible sector, and changing the mindset of fishermen remain a big challenge, requiring the strong determination of all stakeholders, especially in implementing the EC's recommendations to prevent fishing vessels from encroaching on foreign fishing grounds.

Experts have called the yellow card a significant risk for Việt Nam’s seafood industry. However, from a positive perspective, it can be seen as a crucial "examination" that will help upgrade and enhance the reputation of Vietnamese seafood. It also opens up opportunities for the country to enter demanding markets because the EU has some of the strictest requirements. Once Việt Nam implements all of its recommendations, the country would form a sustainable production chain and confidently export seafood products to other promising markets. This is also roadmap for Việt Nam to protect its seafood resources, and marine and ocean ecosystem and biodiversity, and ensure sustainable livelihood for coastal communities.— VNS