(VOVworld) – The government has issued a decree to boost fishing development. The government will support fishermen in investment, credit, and insurance. The decree is considered an important premise to develop the marine economy while protecting national sea and islands.

The government offers various incentives for Vietnamese fishermen to build iron-clad fishing ships

The Government will focus resources on upgrading and building fishing ships and fishery logistics services. The decree together with previous regulations on establishing fishery production teams and encouraging businesses to invest in the fishery sector are favorable conditions for the offshore fishing industry.

Maximizing support for fishermen

The government will provide preferential credit for fishermen to build iron clad ships. If fishermen build off-shore fishing ships with a capacity of over 800 horsepower or iron-clad ships for offshore transportation and logistics services with a capacity of over 400 horsepower, they can borrow a bank loan worth 95% of the ship value at a yearly interest rate of 7%. The ship owners will have to pay 1% and the State Budget will fund 6%. For building iron-clad ships with a capacity from 400 to 800 horsepower, ship owners are eligible to borrow a maximum of 90% of the ship value, pay 2% of the yearly interest rate, and the government will fund the remaining 5%. They will receive free training courses on operating iron-clad ships, fishing and preservation techniques, and maintenance and repair charges.

The decree covers insurance, taxation, and other related policies to help fishermen increase production efficiency. The government will support 100% insurance fees for crew members of ships of over 900 horsepower and yearly insurance for ships and fishing equipments. Phan Huy Hoang, Deputy Director of the Quang Ngai provincial Department of Agriculture and Rural Development, says: “The policy is practical and helpful. Making iron-clad fishing ships will contribute to protecting national sovereignty. Iron-clad ships are safer and more modern than wooden ships and they will create a breakthrough in the fishing sector.”

Effectively implement the Government decree

The decree will come into force on August 25. Governor of the State Bank of Vietnam Nguyen Van Binh said the central bank and commercial banks have reserved sufficient capital to support fishermen. “We confirm that we have capital available for fishermen. We will immediately disburse money when the government issue a legal basis.”

The Vietnam General Confederation of Labor (VGCL) will coordinate fishermen, local administration, and businesses to form a chain of production and consumption. VGCL President Dang Ngoc Tung said: “Hundreds of fishing ships need various logistics services. The logistics service ships will provide water, petroleum, and fishing tools for long trips at sea. They will also purchase seafood products and instruct fishermen to process fish to ensure quantity and quality. Catching and processing skills will help increase the value from 6 to 7 times.”

The decree together with previous policies will form a legal framework for fishermen to go offshore fishing to protect national sea and islands sovereignty.