Eurofish - Romania

Country Description

The fishery sector in Romania

From 1989 to 1999 Romanian fish production decreased 15.8 times, and the market supply decreased 10.3 times (table 1). During the same period, there was a significant decrease of the fishery share in the Gross National Product.

Fishing in the Black Sea

There are 25 trawlers which fish at depths of 18-40 m, and 247 inshore cutters (5-12 m long) which employ passive methods using traps, fixed gillnets and hooks, at various depth depending on the tools used and species fished.

Fishing in the Black Sea is a seasonal activity, from March until October and sometimes into November. The main species are sprat, whiting, horse mackerel, anchovy, shads, dogfish and turbot. Sprat and whiting are the main species, but catches have fluctuated widely during the last decade. Sprat is used exclusively for human consumption, not for fishmeal. It is marketed on the domestic market as fresh (25%), salted (68%), smoked (4%), marinated (2%) and paste (1%).

Generally, less than 50% of the fishing quotas were used in the period 1980-1999 and only 11% of the total in 1999. For the individual species the utilisation was 28.7% in the case of sprat, 3.2% for whiting, 3.5% for anchovy and only 0.4% for horse mackerel. The same situation has also occurred in previous years, as a consequence of the lack of any state support for the fishing sector, fuel and lubricant costs, but also due to the high harbour taxes applied until the end of the third quarter of 2000.

Inshore fishery

Coastal fishing extends upto 12 maritime miles from the coast line at depths not exceeding 12 m using fixed tools such as traps, gillnets, and long line or hooks. Sport fishing, which has increased significantly over the last years is practised in the same area.

Fishing using trawls is forbidden in the area upto a distance of 3 maritime miles, and in the area of the mouth of the Danube until the 20m isobath.

Commercial coasting fishing is permitted only to boats having a length up to 13 m, to maritime aquaculture and to leisure fishing.

INLAND WATER FISHING AND AQUACULTURE

The inland fishing is carried out on a total area of approximately 546,000 ha, consisting of:
• Man made reservoirs, fish farms, ponds and small dams reservoirs; natural waters, including brackish and fresh water lakes (mountain and plain lakes used for irrigation), wetlands, flood plains and Danube Delta; plus 46,000 ha of running water, i.e. streams and rivers (Danube river 1,075 km), navigation and irrigation channels.
• There are about 84,500 ha fish farms and15,500 ha hatcheries
• 66,000 km rivers, of which 18,200 km are in the mountain area

In the mountain area there are 52 trout-breeding units, which breed trout for the re-population of the natural lakes and rivers, as well as for marketing. From 1997, trout production has increased continuously and is a sector with a lot of potential

Three percent of the country’s surface is covered by water.

Of the fish species the salmonides are found in mountain areas while the cyprinidae are found in the plains. The most valuable ones from an economic point of view are the acipenseridae, siluridae and percidae.

The species who have been adapted to the local conditions are the cyprinidae of East Asian origin and the sturgeon Polyodon spathula. The main commercial species are: Alosa pontica (Danube shad), the sturgeons, Acipenser stellatus, Acipenser gueldenstaedti, Huso huso, cyprinidae, Cyprinus carpio, Carassius auratus gibelio, percidae, Perca fluviatilis, Stizostedion lucioperca, siluridae, Silurus glanis and Asian fitoplanctonofags, Hypophthalmichthys molitrix, Aristichthys nobilis, Ctenopharyngodon idella.

Fish farming is done in semi-intensive and extensive systems.
Production varies considerably on different farms, depending on the farming technologies used and the financial means of the companies. Most of the private farms have begun to change their production in accordance with the market requirements, that is they have started to replace existing species with valuable ones such as: carp, zander, cat fish and sturgeon, while the less valuable are used for fish meal.

In 1999 the total production was 14,400 tonnes of which about 9,000 was from aquaculture, 300 tonnes from leisure and sport fishing and 5,100 tonnes from domestic waters fishing.

Among the reasons which conducted to the decrease are:
• the transition to a market econmy
• the dismantling of the fishing fleet
• reduction of production due to inadequate fodder and low producitvity
• increase of production costs (high raw materials prices) combined with the decrease of the buying power of the people
• irrational exploitation of resources
• pollution
• new market requirements

Inland fishing faces at present a series of problems including:
• decreased rate of return in aqua-culture;
• high maintenance costs for hydro-technical works, water works, feed and nurseries.

By instituting measures aimed at solving the problems in the aquaculture sub sector aquaculture production has the potential to rise to 53,000 tonnes by 2007, especially by the controlled breeding of the common carp and of the Chinese species.

PROCESSING AND TRADING OF FISH

Fish is sold on the Romanian consumer market as live fish; whole fish (fresh, refrigerated or frozen); primary processed fish (eviscerated, headless, filleted, portioned); half canned (marinated, fish paste, fish roe, salted, smoked);
and canned fish (in oil, in tomato sauce, other forms).

Fish, as a raw material is processed both as a frozen product onboard ship and as fresh iced or salted fish depending on its origin (still waters, brackish waters or marine water). Most farmed fish is either preserved on ice or is processed immediately as headless, eviscerated, de-boned, or portioned products.

Salting is the main form of processing for the species produced from the Danube Delta area (carp, roach and bream) and from marine capture fishery (anchovy, sprat, and whiting).

Nowadays, the whole processing sector is private and the existing 85 companies have an annual capacity of approx. 20,000 tonnes of preserved and semi–preserved product. Of these companies 20 export part of their production, while the rest carry out primary processing of the raw material (eviscerated, headless, de-boned, portioned) for the domestic market. Most of the raw material is imported mackerel and herring for which there is a high demand on the Romanian market.

Other imports are frozen fish (mackerel, herring, sprat, Alaska Pollack, hake, sardines and anchovy) purchased from Norway, Ireland, Netherlands, United Kingdom, Poland and recently from Argentina, Peru, Greece and Thailand in this order.

Some market sectors, fishing consumers and fishing producers and also the orientation towards certain categories of species and products experienced significant changes in the early 1990s.

LEGAL ENVIRONMENT AND ADMINISTRATION

A new fisheries law was issued in April 2001 which creates the premises for the development and the privatization of the fisheries. The National Company for Fishery Adminstration (CNAFP) was created within the Ministry of Agriculture, Food and Forestry (MAAF) which is responsible for the administration of this sector together with the National Forestry Company (RNP), National Company for the Administration of the Danube Delta (ARBDD) and the local municipalities. In addition the CNAFP issues fishing licences for the pricate persons and companies, establishes the easlry fish quotas and the regulations of measuring the fish stocks.

Although 60% of the fish farms management is done privately, the majority of the fish farms capital is still owned by the government. One of the CNAFP roles is the organisation of public auctions for the transfer of the public properties in private hands through long term leasing.
The companies who wish to operate in the aquaculture sector are authorised by the local offices of the MAAF. They have to prove that they are legally established, that they own or are allowed to use the farm properties and respect the legal requirements regarding the environmental protection and hygiene regulations.

INVESTMENT

The regulations regarding the (foreign) investement in Romania, including the fisheries sector are established by a Govenrment Ordonance issed in 1997. Any private person or company residing in Romania or abroad is alowed to invest through many options established by the law. Any company wishing to invest benefits from a series of incentives such as:
• exemption of custom duties and VAT for goods that are imported for establishing the company
• exemption of custom duties for equipments and machines imported and required in the technologic flow
• deduction of the amortisation costs from the gross profit
• deduction of the advertisment costs from the gross profit

In the case of foreing investments, divedents and profits can be transferred abroad freely, after the legal taxes have been paid. Further incentives are provided for direct investments more than USD 1 million.

PRIORITY OBJECTIVES OF THE ROMANIAN FISHERY SECTOR DURING 2001-2006

The development of the fisheries sector in Romania aims at ensuring a balance between stock sizes and their exploitation level, at strengthening the competitiveness and developing certain economically viable undertakings, stabilising the fish market and improving the fish products quality as well as sustaining the economic development of fish dependent regions.

1. Modernisation and replacement of fishing fleet units

The objective is to introduce sanitary conditions and work safety and to improve technical parameters on fishing boats by the date of accession.

By modernising and replacing fishing fleet units in the Black Sea the production is estimated to reach 10,700 tonnes by 2006.

2. Development of fishing in inland waters (aquaculture)

The main objective consists in increasing the fishing profitability in inland waters and diversifying cultivated species. One-hundred and twenty fish farms will be modernised. Actions relating to artificial breed and reproduction of sturgeons or other still waters species are also to be promoted.

The SAPARD Programme includes projects of fish farms modernisation, improvement of fodder quality and supply, modernisation of pisciculture mechanisation system, environment quality control and hygiene. Supporting the mussel breeding activities is taken into account for the Black Sea seashore, this activity being carried out in two farms, with an annual production of 2.3 tonnes/year.

3. Conservation of sea resources of coastal areas and fishing in seashore areas

The objective consists in reducing the impact upon the ecosystem and the biodiversity of the Danube Delta sea area by fishing activities, up to the 20 m isobath. The objective shall be achieved by protecting the valuable species (sturgeon and turbot) reproduction and feeding areas as well as by introducing the integrated management of coastal area.
Considered to be the biggest in Europe, the Danube Delta is included in the UNESCO projects as natural reservation. A programme of reestablishing the biologic balance is carried on by the government which implies the reconstruction of 40.000 ha of fish farms.

The sea environmental protection of the coast area is based upon ensuring the reproduction conditions for fish species. To this purpose, the annual interdiction orders issued by the Ministry of Agriculture, Food and Forestry will gradually eliminate the dragged depth tools up to 2002.

4. Harbour organisation and modernisation

The objective consists in organising and modernising fishing harbours along the Romanian seashore, especially the small docking harbours, starting in 2002.

The harbour modernisation refers to the fishing and hygienic-sanitary infrastructure such as: unloading racks and elevators, refrigerating premises for fresh fish storage, ice plants, necessary equipment for fish warehouses as well as social utilities for fishermen. The harbour organisation is oriented towards adequate water and power supplies as well as fixing docks.

5. Increasing competitiveness through improved fish processing and trading

The objective consists in improving the quality in fish processing field (by assuring the corresponding market demand, generalising the analysis system of the hazard control points (HCCP) in processing units, improving hygiene and sanitary conditions, technological flows modernisation) and in improving the trading system (by organising and equipping the collection, conditioning, transport and storing points).

The following actions will be considered for the organization of the Romanian fish market: regulating product line organisation, sizing and reorienting the sort-based structure of production according to the consumer’s demand, organising tender markets, correlating the price system with marketing norms and EU quality standards, creating a continuous fish supply system for the most important beneficiaries and ensuring the export demand as well as organising inter-professional associations to increase their participation in the EU accession preparation. This objective is included in the SAPARD Programme.

6. Supporting producer organisations

The objective consists in strengthening the existing producer organisations and increasing their numbers. This objective is included in the SAPARD Programme.