Lüderitz
Impressive production statistics from the state-owned fishing company, the National Fishing Corporation of Namibia (Fishcor), has seemingly vindicated fisheries minister, Bernhard Esau, who was heavily criticised in 2014 for allocating a massive bailout quota to the company.
Esau had allocated a 10,000 metric tonne horse mackerel quota to Fishcor to help revive its operations.
The company at the time faced fleet problems, which adversely affected production – to the extent that the company had to halt operations and send its workers home on full pay. Fishcor yesterday welcomed two wet hake trawlers – procured at a combined cost of N$80 million – to its existing fleet. The vessels were christened MVF Monte San Roque and MVF Farillon.
Esau told New Era after the inauguration yesterday that, despite the criticism directed against him, he does not regret granting the company a bailout quota.
“As you can see the factory is fully operational and the workers are happy. Last year when I came here there was no production going on, the only people who were here were the security guards.”
“The quota was to ensure that the 520 employees of this company are not thrown onto the streets. We cannot choose boardroom fights over the wellbeing of our communities,” the fisheries minister said. Esau was also accused by some big players in the industry of favouring Fishcor and of being corrupt, but said: “I do not regret allocating the bailout quota. This is a state company and it must be supported. As you can see, the company is back on track and the people are happy.
“Those that are unhappy are the ones that monopolised the industry for years.”
The situation at Fishcor became so dire in recent times that a new board and acting CEO had to be appointed to salvage the company to ensure the factory re-opens and operations get back to normal. Poor corporate governance, job insecurity, lack of operational capital and poor management were said to be some of the factors that hampered the company in the past.
At the inauguration ceremony in Lüderitz yesterday, Fishcor Chairman James Hatuikulipi said with the current fleet capacity and improved production output the company is back to profitability, with sales averaging N$12 million and operating costs at approximately N$8 million a month.
“With this type of performance, honourable minister, I can assure you that we will not be knocking on your doors for bailouts anymore,” said Hatuikulipi. “We expect this to be the run-rate going forward subject to market conditions and improved catches, current prices and a favourable exchange rate.”
For his part, Esau welcomed the new acquisition, because “as a ministry we want to see this corporation competing in the global arena when it comes to fishing, processing and marketing Namibian fish.”
The Minister of Public Enterprises Leon Jooste, Attorney General Sacky Shanghala, Luderitz Mayor Suzan Ndjaleka and permanent secretary in the Ministry of Fisheries and Marine Resources Dr Moses Maurihungirire, also attended yesterday’s ceremony.