The purpose of this study is to identify problems and suggest improvements of estimating procedures and item of fisheries supply-demand statistics served as a basis for the fisheries supply-demand policies. Korea Rural Economic Institute(KREI) and Ministry of Oceans and Fisheries(MOF) respectively publish the fisheries supply-demand statistics. But the reliability of data is low as the statistics of these two organizations are limited and show discrepancy in the numbers. It is therefore difficult to use them as the basic data for policies. Also, an accurate data aggregation is difficult due to following problems in the items of statistics. 1) Problems in estimating route sales and non-route sales of production, 2) adequacy of fishery product yield rate compared to raw material in the fisheries import/export sector, 3) selection of target companies for understand stocks and survey scope of fish species, 4) applying'0'to non-edible product demand etc. In order to develop the fisheries industry as a future growth industry, it is necessary to establish the accurate fisheries supply-demand policy as the instability of fisheries supply and demand is increasing. To do this, statistical reliability has to be improved. The improvements proposed in this study should be implemented considering urgency. First of all, an exhaustive analysis of stock statistics and conversion rates of raw material yield in the fisheries import/export sector should be conducted. In the medium term and the long term, transferring production statistics to MOF and surveys on the use demand of non-food product and the level of reduced and discarded seafood products should be carried out in consecutive order.
In the fisheries industry, the cost of oil Is the greatest factor, contributing 25% 40% of the cost of production. In order to support fisheries, the government has supplied large amounts of money for oil to the fisheries industry. However, the elimination and restriction against the subsidy of fisheries has been actively discussed throughout international organizations Including the WTO. The purpose of this thesis is to study the existing issue of subsidies on the fisheries Industry, which is currently disputed in international organizations, and predict a future policy about the oil supply that considers the most important factors on fisheries. In chapter 2, the paper begins by outlining the tendencies of discussion in relation to the subsidy on fisheries among international organizations, and categorizes them on the basis of their types. Chapter 3 defines the current conditions and characteristics of the Korean subsidy on fisheries and analyzes which portions of the subsidy on fisheries should be eliminated first when it is prohibited. In chapter 4, procedures and problems for producing tax-free oil are discussed, because tax-free oil has a higher possibility of being ruled out. Chapter 5 proposes a reasonable plan concerning oil supply policies for maintenance or enrichment of the fishing industries, post the elimination of subsidies. Conclusions were drawn in eight areas as a result of this study: 1) securing the large storage of oil, 2) extending customers of oil to include non-fishermen, 3) coordinating the segmentation of marketing area, 4) diversification of the sales goods, 5) producing oil sales experts, 6) developing original brands, 7) expanding the purchasing area to buy oil in the international market, and 8) operating funds to stabilize oil price. It would not be appropriate to wait until international organizations decide to ban the subsidy of fisheries. Corresponding plans ( such as securing the large storage of oil) tend to be large scale and long-term projects because they take a number of years, from designing the oil storage tank to selecting the proper region and initiating the construction. Therefore, it is strongly suggested that any extensive and time consuming projects including preparation for the tax-free oil should be completed in new actions before the ban by the international organizations.
During the past 100 years, Korean fisheries management policies have enforced the license system, it is the most typical regulation system in Korean fisheries. Even now, it has caused resource management failure, it has also invited economic inefficiency and inequity. Accordingly, the Korean government has recently introduced the self-regulatory management system for fishermen with the TAC system. These systems are one of the most market-oriented regulation systems in fisheries management systems. It is defined as regulatory policy tools other than regulations with command and control approach. It is also called “alternatives” which is composed of regulatory alternatives and non-regulatory alternatives. The self-regulatory management system and the ITQ system are cooperative-based co-management between government and fishermen as an alternative management strategy ; it is gaining the increasing attention to improve the effectiveness of fisheries management in Korea. It is expected not only to positively improve function in fisheries regulation, but also to decrease inefficiency in fisheries policies. However, these systems have many problems. The monopolization of rent is one of the typical examples. As solutions for the problem in the aspect of fishery management, fisheries policy is need of approach to industrial organization. For instance, Contestable market theory is one of the good theoretical background, it mean that market is able to free entry and free exit. Thus, fisheries management carry out policies such as revitalization of the used market of capital goods in fisheries, organize of the self-regulatory management group. Conclusively, as the exploiters and managers, fishers and the government should put emphasis on improving economic efficiency so that fishery would grow as an industry that contributes to the increase of social welfare, and the change to that direction will be the only way for our fisheries to preserve its importance.
Facing the current difficulties of fisheries industry nationally and internationally, economic cooperations between South and North Korea are needed urgently. Applying the process of economic integration to fisheries sector of separated nation, cooperation processes are divided as follows; (1) indirect and direct fisheries trade, (2) reciprocal use of fishing grounds, (3) joint venture in fisheries sector, (4) free movement of production factors and common fisheries policy. Here, fisheries trade falls under economic interchange stage. Reciprocal use of fishing ground and fisheries joint venture come in economic cooperation stage. Finally. free factor movement and common fisheries policy are related with economic integration stage. This paper investigates the schemes for fisheries cooperation between South and North Korea in preparation for a unified Korea, focusing on fisheries trade. The paper is composed of 5 chapters. Chapter 2 discusses structure and characteristics of North Korea trade, and trade situation between South and North Korea. Then, the present condition of North Korea fisheries industry and fisheries trade trend between South and North Korea are presented in chapter 3. Next, chapter 4 tackles the most common problems encountered in fisheries trade between South and North Korea, and the devices and schemes to raise fisheries trade between South and North Korea. Finally, chapter 5 summarizes and concludes the research results.
The experience of many countries strongly suggests that bad governments and institutions have been a serious, if not the most serious, obstacle to economic growth and industry-structural adjustments. All public sectors pursue a mix of both predatory and productive activities-bad governments emphasizing the former, while good governments finding a way of promoting the later. In fishery public policy studies, much confusion exists about the roles of policy illustration and prescription. In general fishery public sectors involve collective actions by numerous individuals under conditions of uncertainty, complexity, bounded rationality, and imperfect information structure. All collective fisheries action organizations consist of a center(e.g., government), which leads fishery group actions, and peripheral participants(e.g., fishermen), which are controlled by the government. A paradigm is developed that gives both theoretical and empirical meaning to the constitutional determination of fisheries political preference function or fishery public sector governance structures. Three relevant spaces are specified: policy instrument, results, and constitutional. The collective-choice rules of the constitutional space structure the tradeoff between public and special fishery interest groups. Fishery public sectors seeking sustainable reductions in wasteful rent-seeking fishing activities should select constitutional principles and institutional structures that tend to promote resource sustainability. In particular, the effects of internal and external events on fisheries may result in a greater or lesser concentration of interest group power. Thus, the structure of the fishereis political power must be assessed in any prescriptive evaluation of alternative fishery governance weights.
The purpose of this study is to investigate empirically interaction among the financing decision, investment decision, and profitability by using 41 fisheries corporations in Korea, and to suggest implications of the empirical results for government's financial policy for fisheries corporations. Sample period is 19 years from 1982 till 2000. This analysis method employs the two stage least squares(2SLS) estimation method. From the results of regression analysis by 2SLS estimation method, the adjusted $R^2$ values were high and the overall F values indicated significant. The empirical results of this study are as follows; (1) determinant factors of capital structure model for fisheries are profitability, firm-size, fisheries investment of total asset, and business risk. As pecking order theory explains, the higher is profitability the lower is debt ratio. The larger firm-size, the higher is debt ratio. The higher is fisheries investment of total asset and business risk, the higher is debt ratio. (2) determinant factors of investment model for fisheries are the change of sales, business risk, and debt ratio. These factors have positive relation to fisheries investment of total asset (3) determinant factors of profitability model for fisheries are fisheries investment of total asset and debt ratio. These factors have negative relation to profitability. On the basis of analysis results, on the government's financial policy for fisheries corporations, I suggests that with interest rate reduction, the government should lend more funds to solve the crisis in the financial structure of the fisheries firms
This study aimed to evaluate the TAC policy and to examine the effective annual TAC quota in the sandfish stock rebuilding plan using a bioeconomic modelling method. In the analysis, first, a sandfish bioeconomic model was developed by combining a sandfish stock population model and economic models by fishery and second, achieving stock rebuilding targets and changes of fishing revenues by the level of annual TAC quota were examined. Model results indicated that the TAC 1,500ton policy would have the greatest impact on the increase of sandfish stock biomass comparing to the status quo and other TAC policies. In addition, it was evaluated that the total fishing revenues of coastal gillnet and danish seine fisheries could be increased the most in the TAC 2,500ton policy. In both cases of TAC 3,500ton and 4,000ton, the fishing revenues of both fisheries were inversely reduced due to the decrease of catch by coastal gillnet and the decline of market prices by danish seine's excessive catch. Furthermore, they would have a negative impact on sandfish stock biomass.
The object of this paper is to review the fisheries subsidies of the major FFG(Fish Friends Group) which argue the elimination and the phasing-out, to compare with Korea's subsidies category and provide the basic information for planning of fisheries subsidies policy and the negotiation strategy in the future. The result from the comparative analysis of the subsidies between the major FFG showed that WWF(World Wildlife Fund) fisheries subsidies categories, with the exception of Marketing and Price Support Program which is similar to Korea in terms of the supporting type and methods, differ from those of Korea. Also, The unique type of WWF Fisheries Subsidies, which is beyond Korea's subsidies, are Direct Payment for Fishermen and Fishery Wokers, Capital & Infrastructure Support, Fishery Management and Protection, etc. In case of capital support and fisheries fuel, the payment method or other institutional backgrounds is somewhat different from each nation. On the base of this analysis, this paper is suggesting the direction of the Korea's Fisheries subsidies policy as follows ; First, developing new policy methods and supporting ways such as Direct Payment for Fisherman is needed. Second, Converting fisheries subsidies category expected to be classified to Red Amber into another type of non-negative subsidies should be carried out, demonstrating that these kinds of subsidies give no negative effect to the environment and the trade, Third, Reviewing the categorize system of Korea's subsidies and revising it according to international trends is necessary as well. In respect to WTO/DDA, the watchful analysis of Korea's fisheries program must be preceding in ahead of making the negotiation strategy. And Korea firstly need to stress the fact that, while the major FFG can directly pay for fisheries section, other nations have no choice but supporting in preferential tax or loan manner. Using this kind of strategy, it is may enlarge the negotiating power in the WTO/DDA to reflect fully Korea's position.
This paper focused on meaning, problems and prospect of structural reform of coastal and offshore fisheries in Korea. Structural reform can be defined as effective combination of production factors in order to enhance fisheries productivity and it can be realized mainly through fleet reduction, modernization of fishing vessels and fishing gear etc. However, the structural reform alone will not be sufficient to advance Koreanl fisheries facing with severe challenges from both inside and outside. Domestically, worsening status of fisheries resources, decreasing number of fishermen, worsening financial status of fisheries businesses and severe competition cause structural problem in fisheries sector and internationally the pressure from WTO and OECD to reduce tariff and subsides in fisheries poses severe challenges. The structural reform should be carried out in relation with the general adjustment programs across coastal and offshore fisheries such as M&A among fisheries businesses, adjustment of number of fishing permits and fishing areas. And the policy to enhance the fishing productivity is needed for recovery of fisheries resources and for the reduction of fishing efforts, that is, the approach which combines economic and resources concerns is needed. For the effective implementation of the reform, effect analysis of the reform program is needed and at the same time, eradication of illegal fishing, reduction of fishing fleet and reduction of fishing cost should be realized. However, the most important thing is the will and efforts of the government for successful reform. If the government does not exert sufficient efforts for the structural reform, Korea could be degraded into a backward country in fisheries.
This study analyzes patent trends regarding farming-related technologies such as breeding or nursery technology, production systems, and new cultivation methods in order to provide objective patent information about the trends of R&D on marine products' proliferation or farming. Presently, in Korea, we try to secure marine living resources through the formation of artificial resources instead of environmental improvement policy or resource management policy. However, this is not about eliminating the causes of marine environment destruction but just the policy for improvement, so it is needed to revise the related policy with more ultimate measures. And it is necessary to develop technology that can secure the rights by integrating patent application strategies from the stage of R&D for medicine that can be utilized in chief farming countries and provide intensive support for the research centering around strategic varieties for farming in each region as well as strategic national farming varieties afterwards. Also, the analysis shows that it is urgent to make applications overseas based on domestic applications in order to develop technology that can be commercialized in not just Korean but overseas market as well.
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