SOVIET MARITIME AND FISHERIES ASSISTANCE TO LESS DEVELOPED COUNTRIES: 1973 DEVE

Created: 6/7/1974

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Maritime intelligence4

Soviet Maritime and Fisheries Assistance to Less Developed Countries: 3 Developments

RELEASE PiS9

Prepared by:

..micenomic Research Central Intelligence Agency

Soviet Maritime and Fisheries Assistance loeveloped^ 3 Developments

Summary

Soviet aid to LDC fisheries and merchant marine development amounts to0 million, orf Moscow's total aid undertakings. From this small outlay the Soviet fishing fleet has gained port access and servicing rights in at leastess developed countries, which has helped to support the expansion of the Soviet fishing industry. Growth beyond the two-fold increase in output during the past decade willreater concentration of activities and expanded servicing capabilities in southern waters.

3 the USSR signed fisheries agreements with five less developed countries bringing the total number of recipients of fisheries aid to (Table 1} 3 agreements do not specifically provide for Soviet construction of on-shore facilities or the supply of vessels as aid as they have in the past. Instead, Moscow is offering to exchange expertise in research and fishing techniques for the right to exploit coastal waters and to use LDC ports for servicing, in addition, the Soviets appear highly intereste in forming joint enterprises with LDCs to supply fisheries products for domestic consumption and export. The changed Soviet fisheries aid strategy inflects Moscow's awareness that:

Estimated Soviet Aid Intensions for fisheries Development in Less Developed Countriesecember3

I.;

Million US $

TAL

Guinea

j

East

(Aden)

(Sana)

and East Asia

0

2

*

Lanka

America

*

* Programs have been discontinued.

One aspect of the world wide LOS conference will be to determine coastal status fisheries jurisdiction and the right of fishing access by foreign fleets.

LDC'smany of whom areile territorial water limitsare increasingly sensitive over thg. major fishing powers unimpeded exploitation of "their" fisheries resources.

Moscow also extends credits and technical assistance to less developed countries to expand their merchant marine fleets and construct port works, repair and ship building facilities- he USSR hasillion of aid toations for merchant marine development.

SOVtKT FISHERIES AID

Moscow agreed to provide fisheries assistance to four African nations3 andraft agreement with India (Table In contrast to earlier aid the iTSw agreements did not include credit provisions for developing on-shore facilities. Instead the3 agreements emphasized technical assistance by providing training and by conducting resource surveys. At least two of3 agreements, those with India and Morocco, also provided for setting up joint fishing companies. These would be export oriented companies, whose ships would operate in coastal waters. Moreover, Moscow agreed to supply fish from its own catch to the markets of two of the new aid recipients Equatorial Guinea and Mauritania.

he USSR pursued its aid to fisheries most actively in Bangladesh, Peru, Senegal, Somalia, and the Yemer.s. Two Soviet SRTM's operating out of Chittagong, conducted research and trained Bangladesh fishermen and planson refrigeration plant were being formulated. oviet vessel conducted coastal surveys for Peru, and six others are-now scheduled to join the Peruvian fleet operating out Of Paita. Soviet technicians al.se are installing S2 million of processing equipment at the port0 credit. In Senegal, Soviet experts conducted studies to build a fishing port for which Moscow has promised assistance5 aid agreement. The largest Soviet technical presence, however, was in Somalia where ICO Soviet fisheries personnel worked or. a joint

Table 2

oviet Fisheries Assistance Agreements

Equatorial Gui

Hay 8

_Provisions of

Training on Soviet trawle Fish for domestic market Soviet fishing in coastal waters

Port facility rights at

Mauritania

lorocco

rv

June November

Februa

January

urvev

Fisheries research Training

Assistance in fleet, por:

and processing Joint fishing ventures for export

Fish for domestic market Training on Soviet ships Fishing in coastal waters Use of Port Nouadhibou aa

servici ng Royalty payment Fisheries research in

coastal waters

Research on Soviet vessel

under UNDP-FAO program Training in USSR Training center in Moroccc Joint conpnay leasing

Soviet sh ips opcrating

in coastal waters Joint construction and

opcrat ion of fish plant

and refrigeration

fishing expedition and at the Soviet built Las Khoroh canning

factory- Soviet aid to Aden3 consisted of preliminary

work lorloating crane andepair yard

in Aden harbor. In Sana, Soviet and Yemeni personnel jointly

isheries industry study, but the YAR eventually

turnedoviet proposal for joint fishing operations.

LDC View of Soviet Fisheries Aid

Soviet fisheries assistance is attractive to LDCs-

First, its repayment terms are easy. Aid is provided either as an outright grant or it allows long amortization periods, with payment in reciprocal services.

Second, Soviet assistanceov, and training tfiatbe beyond the capability of most LDCs. provide information on marineoff-shore geological formaLions. of local fishermen on Soviet ships orwill run up to

Equipment from the USSR also is helping to modernize LDC fleets and shore operations.

Third, positive economic advantages accrue to the LDC through modernization of its fleet and expanding fisheries operations. Beyond its direct effect on GDP growth, increased supplies of fish safely preserved will help to make up protein diet deficiencies in some LDCs, and the surplus catch sold in fore ign markets will augment foreign exchange earnings.

-fr.CRrj -

Soviet view of Aid to Fisheries

Soviet fish production doubled betweenillion metric tons. 1/ This growth came almost entirely from increased ocean fishing and this expansion would not have been possible without the cooperation Moscow has received from LDCs in return for fisheries aid. The Soviet fleet's range and operating time have been extended far beyond its earlier capabilities because of local services provided in LDCs as repayment for fisheries aid. It also has allowed Soviet fishing in LDCs claimed territorial water from which they would otherwise be excluded. Moscow plans fisheries production5 million metric tonsot an unreasonable figure if its fleet can maintain access to fishing grounds gained through agreements with LDCs and to expand to new areas in the south.

In June of this year representatives of nearly every nation in the world will meet in Caracas to begin negotiations lobal Law of tho Seas. One of tha issues will be the extent of coastal states fisheries jurisdiction. Some states wish to extend this jurisdictioniles but major fishing nations are not expected to agreelause providing for optimum utilization of fisheries resourcess included. This kind of intensive utilization can be achieved only by allowing foreign fleet operations in the waters of most LDC coastal states, possibly through licensing arrangement;!, royaltyr Joint ventures.

f. Inc"luu'es-sca and inland fisheries by live weight but not aquatic mammals.

2. Achieving maximum sustainable yield over time, consistent with certain environmental and economic factor*..

Moscow wiih its future fishing at stake has begun using all these techniques in its fisherieso achieve or maintain access to coastal fishing grounds- Moscow's recent fisheries agreement with Mauritania includes annual royalty payments in hard currencyicense to fish within Nouakchott's claimed thirty mile limit in returnercentage of the Soviet catch Moscow has agreed to jointly owned and operated fishing ventures with Peru, Egypt, Morocco, Somalia, and Iraq. These so-called -mixed companies" fish in coastal waters on Soviet ships purchased

by the company-

II. RECENT DEVELOPMENTS IN SOVIET MARITIME AID Moscow made no new commitments for maritime assistance to the LDC& 3 The most publicized continuing Soviet assistance for this activity is in Bangladesh where Moscow has been conducting mine sweeping and salvage operations sincelthough the mine sweepers have now been removed Soviet vessels still are raising the last ofessels sunk in Chittagong harbor. Clearing operations arn scheduled to end in June,mall number of personnel probably will remain and continue to provide technical advice to Bangladesh's new maritime training center. The only other Soviet assistance for LDC shipping activity was its delivery late in the yearon tanker* to Algeria under long term credits.

* Two more tanki-i wen' dolivured m iit:.t e> ol

indicate

; in Ml ] -1 in

Pacific and has offered to establish joint ventures for improving port facilities available to the Soviet merchant fleet. Moscow currently uses the Keppel shipyard in Singapore to repair its fishing vessels but wishes to expand its use of this facility or to find another drydock that can accommodate its merchant vessels

- U mm

Table 3

Soviet Aid Extensions for Maritime Development ss Developed Countries January3

Millions of US S

Minimum EsLimatufd

Recipient

value

1/

ran

2/

Leone

(Sana)

5

Does not include aid'extended for ore handling facilities

Does not include petroleum shipping facilities at Fao-

Original document.

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