Fuel Crisis Deepening

News

While fishermen wait for the government to respond, time is already running out for some

Six months on from the start of the USA’s war with Iran, the UK’s fishermen are facing a second spike in fuel prices. Earlier this week, the average price of diesel was only a penny below the peak it reached in April and the spreading conflict in the Middle East clearly will not be resolved anytime soon.

The NFFO has been petitioning government for help for our industry since the first days of this ongoing problem, but without success. The price of diesel has doubled since the start of the conflict and there are no signs that this will be some short-lived peak before a return to previous levels. Without the help that we have repeatedly asked for, the problem has entirely predictably become a crisis.

As fuelling their boats becomes an ever-greater burden for fishermen, many are finding themselves working longer hours and travelling greater distances to try to catch enough fish to meet the costs of doing business. This in turn causes them to use more fuel and drives those costs up even further. This vicious spiral can have only one end point.

A strong market for the species they target is keeping some boats going for now, but others are less lucky. It is sheer madness that a well-run vessel can have a successful trip and find out on selling their catch that they have made a loss, but this is the situation that NFFO members are reporting around the country. Fishermen are price takers: at the mercy of the auction markets on which they sell their catch. When operating costs rise, they can do nothing to affect the price they achieve for the products of their labours. They can only tighten belts, accept lower wages, and hope for a reprieve before their reserves are exhausted.

When that happens – and it has happened already for far too many fishermen – the effects reach far inland from the quayside, as the whole supply chain feels the impact of reduced production. Some processors have spoken about their struggles to pay the salaries of their workers, when the reduced supply of fish from the UK fleet has meant that their factories have nothing to process and so they have no products to sell.

Many European nations have lighted on the obvious way to resolve this problem: short-term direct financial support for the fishing industry to help with the exceptional fuel costs. France announced a package of support for its fishermen earlier this week and the Netherlands and Spain did something similar weeks ago. The EU has mobilised its own crisis response schemes. Our direct competitors are using subsidised fuel to work in British waters, where our own boats cannot afford to go.

The solution to this is in front of us. The Fisheries and Coastal Growth Fund already exists. Without any additional money being found, a scheme designed to help fishermen could be refocussed to deal with this most pressing problem. We understand that this fund was intended originally for projects to enhance the prospects of our industry and kickstart growth. It would be deeply regrettable to see some of that money lost to other purposes, but if we do not act, there will be no businesses left to grow. What is the point of holding back existing funds for the future benefit of an industry that is facing ruin?

This is an economic issue; a social issue; a food supply issue and a national security issue. It is not an issue that can be put off any longer. The government must act before a crisis becomes a disaster.