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Developing fish factories in 3 islands entrusted to Chinese company

Ministry of Fisheries and Ocean Resources have signed an agreement pertaining to establish fish factories in three islands. The islands include Felivaru from Lhaviyani Atoll, Fiyoaree from Gaafu Dhaalu Atoll and Maadheli from Dhaalu Atoll. The establishment of factories is among the initiatives which will be financed with low interest loans.

The agreement signed by the ministry and a Chinese company, Dongfang Electric International Corporation, aims to resolve the challenges faced by the islands due to the lack of storage areas. It further sheds light on the scope of the project, while unveiling that the project is to be completed and brought to commission within a period of 18 months. Minister Ahmed Shiyam estimated that approximately three months will be utilised to finalise the project design and secure finances before the project is officially launched.

Speaking at the signing ceremony, Minister of Fisheries and Ocean Resources Ahmed Shiyam disclosed that a 100-tonne fish factory will be developed in Felidhoo. The minister observed that despite the island having the capacity to process 50 tons of fish, only 40 tons of fish can be processed. Highlighting several operational issues the island may face, he stated that the factory to be developed in Felidhoo is worth USD 50 million.

Providing an insight regarding the factory to be established in Maadheli under the project, Minister Shiyam revealed that the factory will encompass of facilities to process 50 tonnes of fish and a cold storage with the capacity of 1,500 tonnes. Additionally, the project outlines the establishment of necessary facilities required for operations and the harbour, as this is the first such factory being established on the island. Hence, the minister anticipated that the finance required for the project will range between USD 75 million or USD 100 million.

Furthermore, decisions have been made to establish a 100-tonne fish factory in Fiyoaree, along with a cold storage with a capacity of 3,000 tonnes. Regardless of this being the first fish factory being established on the island, Minister Shiyam affirmed that no funds would be provided to develop the harbour of the island as it is currently under development. The minister expressed confidence that the harbour being established will consist of the necessary facilities, hence not requiring additional finances for development. Therefore, he anticipated that the establishment of the factory would cost between USD 50 million and USD 75 million.

Minister Shiyam revealed that while the export of fish during the holy month of Ramadan generated a revenue of USD 91 million, the processing of fish would assist to generate twice the revenue attained. The ministry revealed that the completion of the project will ensure the processing of 81 tonnes of fish. This initiative also marks the first step towards self-sufficiency of the fish and fish products produced by the country.