The Maldives government has contracted China’s Dongfeng Electric International Corporation to develop fish processing factories in three strategic locations in the Maldives.
The Ministry of Fisheries and Ocean Resources signed the memorandum of understanding (MoU) on Sunday with the Chinese corporation, which is aimed at addressing the constraints in weighing and processing fish.
Minister of Fisheries Ahmed Shiyam said the factories will be developed in Lhaviyani atoll Felivaru, Dhaalu atoll Maadheli, and Gaafu Dhaalu atoll Fiyoari. According to the minister, 100-ton factories will be developed in Felivaru and Fiyoari while a 50-ton factory will be developed in Maadheli.
The factory in Felivaru will reportedly cost USD 50 million while the Maadheli factory will cost between USD 75 and 100 million while the one in Fiyoari will cost between USD 50 to 75 million.
Felivaru is already home to a fish cannery with a processing capacity 40 tons. Two more factories exist in Maandhoo with a processing capacity of 50 tons and another in Hulhumale’ with a capacity of 20 tons.
“Out of the 128,000 tons of fish caught per annum in the Maldives, 63,000 tons are exported as unprocessed or raw fish,” Shiyam said.
He added that a significant portion of the annual catch is exported unprocessed owing to the lack of cannery facilities under Maldives Industrial Fisheries Company (MIFCO), while the country also faces the challenge of retaining dollar revenue.
“Right now, we are generating an average of USD 91 million annually from the unprocessed fish exported,” the minister added.
The minister further claimed the new factories will boost dollar revenue capacity for the Maldives from USD 91 million to an average of USD 180 million per annum.
“We believe these factories will be established in the next 18 months,” Shiyam commented.
The Chinese contractor will be financing the development of these factories, the minister added.