Source: WTO
Context: WTO Agreement on Fisheries Subsidies has entered into force after crossing the two-thirds acceptance threshold with recent ratifications by Brazil, Kenya, Viet Nam, and Tonga.
- It is the first WTO agreement focused on environmental sustainability, targeting illegal and harmful fishing subsidies to protect marine resources.
About WTO Agreement on Fisheries Subsidies:
- What it is?
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- A binding multilateral agreement under the aegis of the World Trade Organization (WTO).
- Designed to curb harmful government subsidies that encourage overfishing and depletion of marine stocks.
- Under the Aegis of:
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- Negotiated and adopted at the WTO’s 12th Ministerial Conference (MC12) in June 2022, Geneva.
- Objectives:
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- Prevent Overexploitation: Prohibit subsidies that contribute to overfishing and overcapacity.
- Ensure Food Security: Secure livelihoods of millions dependent on fisheries for nutrition and income.
- Promote Fair Trade: Create a level playing field by disciplining subsidies that distort competition.
- Key Features:
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- Subsidy Prohibitions: Bans subsidies for illegal, unreported, and unregulated (IUU) fishing, fishing of overfished stocks, and fishing on unregulated high seas.
- Transparency Mechanism: Members must notify subsidies and fishing activities for monitoring.
- Implementation Support: Establishment of WTO Fish Fund ($18+ million pledged) to aid developing countries and LDCs.
- Committee on Fisheries Subsidies: Regular dialogue, compliance review, and technical assistance.
- Multilateral Milestone: First WTO agreement focused on environmental sustainability and ocean governance.
- Significance:
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- Global Marine Protection: Helps address the fact that 35.5% of global fish stocks are overfished.
- Economic Equity: Reduces unfair advantage of heavily subsidised fleets from large fishing nations.
- Support to Small Fishers: Protects livelihoods of hundreds of millions dependent on artisanal fisheries
