It has been three weeks since the Maldives Industrial Fisheries Company (MIFCO) purchased fish from fishermen without issuing payments.
The last time MIFCO released funds to fishermen was on the 11th of this month. On that day, MIFCO paid out MVR 4.2 million for 266 metric tonnes of fish sold to the company between July 27 and August 8. Since then, fishermen have weighed their catch and received bills for three weeks, with the outstanding amount on those bills reaching MVR 10 million.
Fishermen are highly dissatisfied with this situation. They stated that they no longer wish to believe what the government or MIFCO says.
"They are talking nonsense. First, they said 48 hours, which changed to 24 hours. Even that didn't happen. Later, they promised to release funds every two weeks, but that didn't last long either. Now it's been three weeks without a single coin. We also have to eat and drink to survive, right? By the end of the month, notices come from everywhere, and bills get fined," a fisherman said.
Because MIFCO does not pay bills regularly, vessels are now facing challenges in going out fishing consistently. A vessel owner mentioned that when MIFCO releases funds, after deducting the vessel's expenses, the remaining amount distributed among the fishermen and crew is very small. He added that the amount received is not enough to make ends meet. Furthermore, fishermen leaving vessels and moving to other boats due to this issue is highlighted as a major challenge currently faced by vessel owners.
"To be honest, it really doesn't add up. We have to buy fuel to go fishing. We have to buy food for the crew. We have to maintain the boat. Sometimes we have to end a trip without any profit. If they paid for the fish weighed at MIFCO within the promised period, we could have managed somehow. When MIFCO pays, after deducting expenses, it's zero. It's barely enough to prepare for the next trip," a vessel owner said.
Previously, many young people went fishing on these vessels. However, a large number of youth are now leaving the boats. They cite falling into debt due to not earning enough money for living expenses as the reason.
"We also have families. We have responsibilities. We can't even afford a cup of coffee for ourselves. I now go to a private job. I get a salary at the end of the month. So I'm okay. But it's very heartbreaking to constantly hear friends complaining," a young fisherman said.
Fishermen and captains stated that due to the delay in MIFCO paying bills and the recent change in the fish purchasing price, they no longer want to weigh their fish at MIFCO. They mentioned that since private companies now buy fish at a higher price than MIFCO, they prefer to sell to those companies.
"We don't wait to weigh fish at MIFCO anymore. Horizon buys at 2 or 3 Rufiyaa higher than MIFCO. So after catching fish, we enter the harbour of nearby islands and sell our catch. That way, we get cash in hand instantly. We don't have to wait," a captain said.
When the complaints of fishermen and vessel owners were shared with MIFCO today, the company stated that the inability to pay is due to the low business profit resulting from the volume of fish weighed at MIFCO. They also mentioned that the Finance Ministry is currently working on securing funds. Furthermore, they promised to pay the fishermen as soon as the funds are received. MIFCO stated that they understand the fishermen's situation and, despite the poor financial condition, they will work on arranging a mechanism to pay the fishermen's bills.
The current backlog stands at MVR 10 million for fish weighed from August 9 to August 30.
Note: The names of vessel owners, captains, and fishermen have been withheld for their protection.
