Minister of Finance Ipumhu Shiimi, has announced that government have generated a total of N.dollars 408.6 million from auctioning fish quota, inclusive of N.dollars 62 000 raised from application fees.
Shiimi made the announcement in the National Assembly on Tuesday, while providing updates on the outcome of the second rounds of auctions that took place a few months ago.
He said that a total of 15 948 metric tons of hake fish were auctioned on 18 June 2021, raising a total of N.dollars 189.8 million, while a total of 87 500 metric tons of horse mackerel fish that were also auctioned the same day, raised a total of N.dollars 128.6 million and 392 metric tons monk fish auctioned on 27 August 2021 raised a total of N.dollars 4.3 million.
“There was a residual balance of 27 300 metric tons of the horse mackerel unallocated due to poor demand at the auction held in June 2021. Subsequently, given the quantum of the metric tons available and with six months remaining on the horse mackerel fishing season, coupled with the limited demand from domestic players, the Ministry of Fisheries and Marine Resource engaged the Government of the Democratic Republic of Congo (DRC) that expressed desire to take up these remaining metric tons, said Shiimi.
He added that in this regard, the Government of DRC has successfully settled their financial obligations of N.dollars 85.7 million on 07 October 2021, and as normal auction rules the quota was sold at the average price of the auction for horse mackerel. Therefore, the approach increased the total metric tons for horse mackerel from 60 200 metric tons originally sold on auction to a full allocation of 87 200 metric tons at N.dollars 214 350.448 million.
“The proceeds from the auction will fund the government priorities, especially in the health sector, which needs additional funds to combat COVID-19. Given the outcome of the auctions, we are still convinced that the auctions remain the appropriate method of exploiting the quota allocated for Governmental objectives,” stated Shiimi.
Source: The Namibian Press Agency
