Because of new duties in Ukraine fish will rise in price

High taxes for import have to promote development of fish farming

Import duties for import fish in Ukraine can grow. So the authorities expect to stimulate cultivation of water bioresources within the country.
The idea is in protecting domestic the market on those species of fish which can grow up in Ukraine. For example, on a tilapia.
“We are interested in that Ukrainians ate not frozen, and I skin fish. Therefore suggested MEDT to consider a question of introduction or increase in duties on those species of fish which can grow up in our country” — the head of the State fish agency Yarema Kovaliv reported to UBR.ua.

To start a rate of duty it is offered to lift on a tilapia, so-called “river chicken”. This fish is unpretentious in a stern, and her low-fat light meat has good taste. The main minus — she loves warm water, so costs of cultivation in our latitudes will be big at the expense of heavy expenses on energy carriers.

“One of businessmen gave calculations from which followed that cost of cultivation of this fish is comparable to the present retail price for it in Ukraine” — told Kovaliv.
Gosrybagentstva notes that to speak about the amount of increase in duty early as process of coordination with MEDT is in the beginning. However, if it was succeeded to lift duty on 10%, it more narrow would be good “board” for fish farmers.
At a starting stage for cultivation the carp and a silver carp have the best prospects. Officials say that in Ukraine people know how to grow up them, and the outputs can only increase, especially if to realize a number of steps on state support.

Now 80% of fish on our counters are the share of import. But on the area of reservoirs Ukraine takes a leading place in Europe therefore the problem of ensuring domestic market with characteristic fish does not look fantastic.
Even the import companies in September, 2016 saw prospects of business where the complete alternation — cultivation, processing and realization of fish is possible.
As the CEO of association “The Ukrainian importers of fish and seafood” Dmitry Zagumenny when signing the memorandum of understanding with Gosrybagentstv declared, it is possible to replace partially import and even to enter the markets of such perspective countries as the USA, the countries of Europe, the Caucasus and the Middle East.
Carp, and types, trend for the world, – a tilapia, oysters, an oceanic shrimp are perspective as types of an aquaculture, traditional for Ukraine, for example.

That in networks
However, high taxes for import do not guarantee at all that internal production will develop automatically.
According to participants of the market, now for import of fish, Crustacea, mollusks and other water spineless (the 03rd group of goods of UKTVED) import duties of 2-20% of cost depending on a type of goods are established.
And even at current rates all the same there are businessmen who are engaged in cultivation of new types of an aquaculture in Ukraine.

“We allowed to lease a part of reservoirs, to establish cages and to grow up there fish. There are pioneers — two businessmen who faced bureaucrats and courts. But as soon as they will overcome the first difficulties, in Ukraine the new type of an aquaculture — cage farms will be started”, – Yarem Kovaliv’s UBR.ua told.
According to him, till January 1, 2016 in the country marikultury could not be engaged — cultivation of fish in the sea.
“Marikultura does not develop yet. Experts from the General commission on questions of fishery in the Mediterranean Sea (GKRS) begin researches of stocks of fish, collateral with our scientists, in the Black Sea. They will make the recommendations where and what sea living creatures it is better to breed. This work will be begun in 2017” — say in Gosrybagentstva.
As note in association of “The Ukrainian importers of fish and seafood”, theoretically it is possible to manufacture caviar in Ukraine, for example, from the same trout.
“On caviar there is duty of 10%, but nobody for some reason does caviar in Ukraine, and bring the frozen raw materials” — Dmitry Zagumenny says.

According to him, on a sprat there is also duty in 5%. While the Crimea was under monitoring of Ukraine, this duty made sense. But the third year of the actual fishing there is no sprat, and the tax remains.
“But on a sprat there are no duties and some importers import a sprat under the guise of a sprat. If a sprat of the second grade (shallow) yes in ice blocks, they can be mixed easily” — Dmitry Zagumenny told UBR.ua.
According to him, to domestic manufacturers there would be more advantage if to them lowered taxes on a fish forage, a payment for land lease and reservoirs. reduced the price of the credits, allowed discounts for the electric power that is very essential at cultivation of fish.
Besides, in many countries of Europe along with a routine rate of the VAT (18-20%) the lowered tax rate (10-11%) is applied.
And only one increase in taxes on import will only force Ukrainians there are fishes even less. Experience of Spain showed that increase in a rate for 2% (from 8% to 10%) led to recession of consumption of fish.

“Our appeals to special-purpose committee of BP, the Ministry of Finance and GFS were not heard. The state considers that any privileges on taxes lead to any emergence of schemes on evasion from payment of money in the budget” — Zagumenny explained UBR.ua.
The association of “The Ukrainian importers of fish and seafood” considers that the zero rate of the VAT will promote smuggling reduction.

Than will help aquafarms
Part of the Councils of Associations in Gosrybagenstva took into consideration. For example, as Yarema Kovaliv reported, rates of import duty for forages for high-valuable species of fish will be lowered.
“This production is not manufactured in Ukraine and in the nearest future will not appear as there is no sales market. But for domestic forelevod and osetrovod reduction of import duties from 8% to zero can be essential help” — the official told.
In parallel the state seeks to create conditions under which illegal fish it would be impossible to sell in large volumes. In April has to there will be a project of introduction of the certificate of origin of fish — the document which will accompany a consignment of goods from the catch moment until realization to the end user. Everyone will be able to learn where and when fish is hooked that will give up as a bad job business of poachers.

“If to reduce illegal catch, then the aquaculture will begin to develop. In world catch of fish a part of farmer fish of 52%, and in Ukraine — only 25%. Therefore we want to increase penalties for poaching which now quite often make only 34 UAH in tens of times” — Yarema Kovaliv told.
The relevant deputy bill (No. 5262) where for some types of violations (electrorods and dynamite) criminal liability is provided is already prepared.
Now it is favorable to legal fishing farms to show actual volumes of a catch, so the catch quota in the future depends on them.
“We want to change also the legislation that also our fish farmers could receive a part of funds from 5 billion UAH allocated for support of agricultural producers in 2017. To lower load of the producer, we plan to lower rates of rent of reservoirs and normative and monetary assessment of the earth for akvafermer. Such bill is drafted. We do not create hothouse conditions, but it has to be favorable to be engaged in an aquaculture in Ukraine” — Yarema Kovaliv considers.
Besides, the enterprises of fish branch in May will be able to get access to financing within EIB credit of 400 million euros.
And for engaging of foreign investors to this sphere of FAO conducted a research of fish branch in Ukraine.
“It is the first stage for attracting investors to Ukraine. The report will be published soon” — Yarema Kovaliv assured.

 

On materials: http://ubr.ua/market/agricultural-market/v-ukraine-podorozhaet-importnaya-riba-3835427

Author: KONSTANTIN SIMONENKO

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