Fishers threaten to boycott over slashed diesel subsidies
Monday, June 06, 2011
Malaysian deepsea fishing trawlers will not sail if the price of diesel goes up. Nationwide, trawler operators said they would not head out to fish if the government gets rid of super subsidies on fuel – which it already did last week.
All operators from Sarawak together with their associates across Malaysia have united and said they will boycott the sea if the government does not change its mind. The Perak Trawlers Association threatened a boycott on 11 June.
“We will be meeting all our counterparts in Peninsular Malaysia on 11 June to discuss the matter,” said Kuching Trawlers Association Secretary Tan Boon Ting. “We will stand together over this issue.”
The secretary warned that if everyone agrees they may call for a boycott, reports Free Malaysia Today.
“The cutting of fuel subsidy should not be taken lightly,” he affirmed.
All Malaysian associations, he said, agree that slashing the subsidy will have a deleterious effect on their livelihood, which has already fallen due to lower catches in recent years. Many have considered switching professions, reports Borneo Post.
He wants the subsidies back for C2 trawlers.
“If the cut is in place, we will have to pay extra MYR 10,000 (USD 3,308) per trip. It is impossible for us to absorb this extra cost,” Tan said.
“If we do that, members will have to adjust the price of fish and the consumers will pay higher prices. And it will have serious repercussions on the fishing industry,” he expounded.
Last month, the Sarawak Fishing Vessels Association reacted immediately to the government’s announcement by asking that it overturn its decision. Association chairman Ha Tung Ting issued a caveat saying there would be “serious repercussions” if the government proceeded with its plan.
Among the groups directly affected by the government’s decision are trawlers and other logistics-related groups.
But the government appears adamant, as cutting subsidies will save it MYR 659.30 million (USD 218.1 million).
The Sarawak Lorries Transport Association (SLTA) answered by raising transport charges from 20 to 30 per cent. President Jong Foh Jit justified the move by explaining that its members had no other way to cover their overhead costs.
Other industries to be hit by the government’s decision on subsidies are expected to increase their rates similarly.