Development strategy for fisheries area of Saaremaa for 2009 – 2013

INTRODUCTION

“Development strategy for fisheries area of Saaremaa for 2009 – 2013” has been created by NGO Saarte Kalandus during the period from November 2008 till May 2009. The direct goal of the strategy is to address using the funds of “European Fisheries Fund Operational Program’s 2007-2013” measure 4.1 “Sustainable development of fisheries areas” on Saaremaa’s fisheries area. This document is therefore created according to Ministry of Agriculture’s directive nr 38 dated from the 24.04.2008 (RTL 2008, 35, 511) which lays the basis for above mentioned measure. The Strategy can also be used as a basis document for applying for other activities and funding to develop the fisheries area.

Besides the short summary, strategy contains of five different chapters. On the third chapter there is an overview of how the strategy was created and written and how it is connected to other strategies and development plans for the area. The fourth chapter describes the fisheries sector and it states the state of affairs of littoral zones and coastal villages which includes the general evaluation of the situation. The fifth chapter presents the vision and overall goals to reach by implementing the strategy in the light of existing situation on the fisheries area of Saaremaa. The sixth chapter is devoted to the policies of the strategy. It sets out specific quantitative targets and lists actions to be taken and describes criteria and an assessment process for applying different funding. Seventh chapter shows how the financing is divided and shows the proportions of finances into different policies.
1. SHORT SUMMARY OF THE STRATEGY

NGO Saarte Kalandus membership consists of local government institutions, fishery companies and other NGOs operating in the fishery sector. The goal of the organization is to sustainably develop fisheries areas' fields of operations and fields connected to fisheries areas and to ensure the sustainability and vitality of littoral zone's throughout cooperation in between the members, through partnership and own initiatives by creating and implementing strategies to reach the goal.

The direct goals of the “Development strategy for fisheries area of Saaremaa for 2009 – 2013” are to address on the “European Fisheries Fund Operational Program’s 2007-2013” measure 4.1 “Sustainable development of fisheries areas” usage of the funds on Saaremaa’s fisheries area. However, the strategy can also be used for other activities and support to justify requests which are helpful to the development of the fisheries area.

This development strategy is based on the statement that the coastal fishery which has been through the centuries an important field on Saaremaa, has started to vanish. Interactions between several factors have led to heavy decrease of the income of coastal fisheries on Saaremaa. The low profitability of the coastal fishery has entered into a vicious cycle. There were no possibilities to renew boats and fishing gear and equipment and to renovate fishing harbors. Fisheries low profitability have forced fishermen to start searching for other means to survive and professional fishing itself has remained a second source for income for fishermen. There has been very little value added from young to the industry and the average age of professional fishermen is 61.

The Development Strategy of fisheries area has an aim to turn this development to positive trend with the possibility to include the “European Fisheries Fund Operational Program’s 2007-2013 measure 4.1 “Sustainable development of fisheries areas” funds for development. The aim is by 2020 reach the goal which is that “People from Saaremaa will carry on the sustainability and traditional values of coastal villages together with people who are involved also only part time. We will combine the traditional heritage with multiple investments into modern maritime economy (building ships), fisheries, into aquaculture and into tourism to develop fisheries. Being fishermen is honored and fish is valued and accessible food on the islands.”

Board members of the NGO Saarte Kalandus organized a survey regarding the needs to renovate the fishing harbors and unloading places. From October to November 20008 board members of the NGO visited all unloading places which need renovation, there were meetings with owners of harbors, professional fishermen and with representatives with the local governments. Buildings on these harbors were photographed and possibilities of renovations were thoroughly discussed. According to the visits and discussions NGO created a list of fishing harbors and unloading places which need to be renovated and the list is attached to the appendix 4. During the action- and strategy meeting the Doctor of Science in geology Kaarel Orviku presented his expert opinion regarding the fishing harbors and unloading places which need to be renewed.

Creating process of the strategy was supported by the Ministry of Agriculture who organized training sessions where board members and other active members of the organizations were attending.

Text of strategy is available for reading on the homepage of NGO Saarte Kalandus from the 15th of May and renewed version from 21st of May 2010 at www.saartekalandus.ee

2.2. Strategy’s coherence to other development documents and plans

When talking about development documents it is very important that it is coherent with and has a synergy to other development documents that influence the area. Below you can find how the strategy of fisheries area of Saaremaa is connected to different national and county development plans.

Out of the national and state strategies the most important documents are definitely “Strategy of the Estonian Fishery 2007 – 2013” and “Purview of European Fishery Fund 2007 – 2013” which are the basis documents for this strategy and which determine fisheries area’s strategy’s possible policies and funded activities.

“Estonian Rural development strategy 2007 – 2013” and “Estonian Rural development plan 2007 – 20013” are connected to this strategy through the fourth axel – the LEADER measure, which is aimed to support local action groups in their efforts to improve quality of life in rural areas. Local action groups are operating according to the local strategies. It has also important links to the third axel the quality of life and diversification of rural economy. Essentially, the strategy of fisheries area of Saaremaa is aiming the same goals, but in fishing industry which gives it a complimentary approach. Looking from the fisheries areas point of view, in order to guarantee consistent rural development it is justified to link activities with LEADER action groups’ initiatives and with the third axel of the rural development projects. To avoid duplication of payments, administrative means can be used.

Out of other nationwide EU funding instruments the strategy has the closest connection with “Implementation plan of developing living environment” where one of the main priorities is sustainable and consistent development of regional areas. This priority is divided into three subfields: local public services in rural areas, development of urban areas and improving competitiveness. It is the strengthening the competitiveness of regions which is aimed mostly to use the competitive advantages of tourism, which also supports the activities of the sustainability of fisheries areas – especially in tourism. It is important that funding is not overlapping.

The priority of the implementation plan of development of the economical environment in Estonia - “Development of regional transport infrastructure” - is contributing to regional associations to improve transport infrastructure through process innovation, thus allowing better access and faster connections in order to maintain the regional socio-economic structure of fisheries area and improve the quality of life in the region. Developing regionally important transport infrastructure also includes developing of small fishing harbors and is therefore connected to regional development strategy of fisheries.

Out of the county development documents, where the strategy of developing fisheries area is linked to, is more general documents like “Planning of Saaremaa County” and Development strategy of Saaremaa County 2020”.

One of the priorities in “Planning of Saaremaa County” is increasing the potential of small and middle size enterprises. Amongst other economic priorities there are also diversification of products and services (tourism), developing businesses which work year-around and which are working market-led basis (handcrafts, seminar-tourism) and better usage of alternative resources (seaweed and mud). In tourism it is provided to mainstreaming of marine culture, developing the infrastructure of marinas and boat harbors, development of rural – and nature tourism. The strategy of the fisheries area supports these goals and priorities. In the county planning harbors are classified according to their desired development potential. This cannot be used directly as a guideline for the strategy of fisheries area because the developing of harbors according to this particular strategy depends of the fish stocks, number of fishing companies and of their capability and activities.

On the “Development strategy of Saaremaa County” the main activities for the entrepreneurship and employment are developing enterprises according to the cluster analysis on the specific important fields, like establishing maritime cluster (maritime studies, marine biology, development of coastal areas, boat building) in the collaborative networks and supporting fishing, hunting and forestry as a county-traditional sectors. In this respect the strategy of the fisheries are is in general accordance with county development strategy. However, the country development strategy does not deal in depth with any further development strategy for rural development and fisheries sector.

The development strategy of the fisheries are has intersection with another document – “Sustainable Saaremaa. Saaremaa County tourism development plan for 2007 – 2013 (20)”, as one of the strategic goals of this plan is to increase the intensity of sea-related tourism. Actions to achieve this objective are to improve the infrastructure of accessibility to sea and developing sea-related products and services.

When the development strategy for fisheries area was created, the development plans for local municipalities in order to achieve consistency between strategies. Unfortunately, in most development plans of the local parish governments fishery is not covered in depth and is not coherent. One frequently mentioned topics of the municipal development plans was improving infrastructure and access to maritime ports and developing the network of landing places. The local preferences were used when we created the list of harbors and unloading places which need improvement. (See appendix 4). More generally, it may be acknowledged that this strategy does not preclude the development plans of the municipalities and it is the first systematic development strategy to develop the coastal areas of Saaremaa County.

3.1. Overview of the situation in the fisheries sector in the region

The borders of the fisheries area of Saaremaa coincide with borders of Saaremaa County, but it does not include the center of the county Kuressaare City. In 2008 there were 19 889 inhabitants in the fisheries area of Saaremaa out of which 15 354 were at working age. The employment in the primal sectors (agriculture, forestry and fishery) on the rural and coastal areas of Saaremaa has decreased during the decade from 23,7 % to 14,9 %. Since the statistics about fishery is almost non-existent we have used data both from the county and from the fisheries area – according to their existence.
3.1.1. Fishing

Fishing is divided according to fishermen into trawl fishery, coastal fishery and into amateur fishery.
3.1.1.1 Trawl fishery

The share of trawl fishery on Saaremaa has been growing. In 2006, trawl fishery took 96% of the total catch (10 873 t) and 89% of the total financial volume of the catch (27 million EEK). The main catch of the trawl fishery are herring, sprat and cod and the fishing areas are located in the open part of the Baltic Sea and in the Gulf of Riga. Nationally, 70% of the allocated herring quota goes to trawl fishery and 30% to the coastal fishery. The most used landing sites are Roomassaare and Veere harbors.
3.1.1.2 Coastal Fishery

Coastal fishing takes place 12 nautical miles from the coast or up to 20 m isobaths (Fisheries Act § 132). The main fishing areas are the southern coast of Saaremaa, Väinameri, Küdema Bay and Tagalaht. Fishing gear which are used are pound nets, traps and nets. The allowed limits have remained stable except limits for nets in the row which limit has been diminished according to the European Council’s directive with 15% in 2009.

The main fishing areas for coastal fishermen is Gulf of Riga, where approximatelt the half of the catch is coming from. The cathc from the remaining three fishing areas (west coast of Saaremaa, Väinameri and Hiiumaa island’s west coast) have been quite similar during the last years.

3.1.1.3 Fishing of red algae

Ptilota F. lumbricalis or red algae is the only algae species in the Baltic Sea which is used industrially and which was first caught from the Kassari Gulf in 1966. For fishing the red algae, trawl is used. During the last years the catch has reached 1000 tons. Since 1976 storm algae is being gathered from the beaches of Saaremaa and Muhumaa islands and it has been valuable addition to the sea harvest of red algae. .
3.1.2. Employment and socio-economic situation

Professional coastal fishermen are persons, who have been issued fisherman’s license. In 1996 there were 664 professional licenses which were issued, but from 1997 there is only 200-300 professional fishing licenses issued for professional fishermen on the fisheries area of Saaremaa. In 2008 there were 239 fishing licenses issued. It is possible to put more than one professional fisherman’s name on one license and the licenses have been issued also to legal persons who are actually not coastal fishermen. The share of coastal fishermen was 1,6% out of whole inhabitants at working age of the county.

In 2008, the largest number of fishing licenses was issued to people who live in Kuressaare (54) who are engaged with fishing activities in various regions of the county. Kuressaare was followed by Kaarma (44) and Muhu (24) parish. More than ten professional fishermen fishing licenses were issued to Pöide, Salme, Kihelkonna and Pihtla parishes.

3.1.3. Situation of the fishing fleet

There are 145 vessels less than 12 meters registered to the fishing fleet registry (segment 4S2) whose home port is located at Saaremaa County (See Appendix 5). 40 of vessels have Nasva harbor as home port, 19 of them have Läätsa harbor as home port, 8 of them have Võrkaia and Lalli harbor as a home port. 70% of segment 4S2 fishing vessels are obsolete and need replacement or renovation, but fishermen’s ability to invest is too small (essentially zero). The average boat length is 7,3 m and average main engine power is of 23,3 kW.
3.1.4. Status of the fish stocks

The International Council for the Exploration of the Sea reads the intensity of the exploitation of the herring with a sustainable level and situation of herring at the open part of Baltic Sea as good and situation of herring in the Gulf of Riga being also good. Pike perch’s, eel’s, perch’s, bream’s, whitefish’ and ide’s situation in the coastal waters is still bad. The fish stocks in Väinamere which in 2003 showed some improvement thanks to the very strong formation of the generation of perch in 1999 and 2002, has grown worse again. Stocks of the eel have been decreasing in the Baltic Sea and relevant institutions in European Union are taking measures to improve it. At the ichthyologic monitoring fishing on the coast waters of the west coast of Saaremaa the superior and dominating catch is flatfish and the stocks of flatfish in coastal water are good. On the basis of the strength of roach generations it can be predicted that stocks of roach is increasing. The numbers of powan was high 2001 – 2002, but till today it has reduced substantially. The biggest problem for that species is the lack of suitable place for breeding; the traditional spawning areas are covered with seaweeds. The reason for stocks being weak for these species is therefore independent from the fishery.

3.1.5. Harbors and landing sites

In 2008 there were 65 different harbors and landing sites on the Saaremaa County according to the market’s primary receipts, out of which 8 harbors are registered into the registry of harbors (Kärsa, Mõntu, Nasva, Roomassaare, Saaremaa, Triigi, Kuivastu, Veere). There was only one small harbor amongst them (Kärsa).

Small harbors and ports which are mostly used by the coastal fishermen are in bad condition and not registered into the registry. Most of them have been built during 1960 – 1970 and these have never been seriously renovated. Landing sites and uploading places are also old and worn down and in many harbors and landing sites the equipment is missing. Half of the harbors which need renovating are in private hands. Bigger trawler harbors ( Veere, Mõntu, Nasva) have received EU funding (SAPARD and RAK measures).

New factor which is increasingly influencing the future of harbors is amateur fishing and propagation of recreational shipping and marine tourism. In many small harbors including fishing harbors the number of boats owned by amateurs is bigger than number of professional fishermen boats. Coasts of the fisheries area have a great marine tourism potential. It is important to develop access to the land from the seaside, which mean that lot of small harbors need to be restored and repaired. It is important to ensure the maritime safety of the coastal waters in the county, which again requires that harbors need to be aligned at least with the national minimum requirements to safety.

Renovation and maintenance of the small fishing harbors is often hindered by the unstructured ownership relations, which means that harbors are either owned by many different persons whose interests can be conflicted and to gain some agreements can be difficult. Some harbors have never finished the process of registering the real estate of the harbor.

With regards of the wide range of society’s expectation to the small fishing harbors there are many new interest groups besides the fishermen – amateur seafarers and amateur fishermen plus tourism operators and local governments. From one side this can improve the prospect of renovating the small harbors because it is possible to involve bigger group of people. From the other side it makes it more difficult due to the ownership conflicts and legal issues.

In order to manage harbors more efficiently there is a need to create non-profit organizations or business associations with quite complicated ownership management and apply funds to renovate the harbors and buildings and if needed for deepening the harbors (where necessary).

3.1.6. Aquaculture

The main areas for aquaculture on Saaremaa are fish farming, production of raw material and growing crayfish. There are 10 companies on the fisheries are who are engaged with aquaculture (See Appendix 6) and the species which are mostly grown are rainbow trout, carp and crayfish.

Main producers of trade fish on Saaremaa are OÜ Pähkla Vähi- ja kalakasvatus and OÜ AquaMyk. Biggest part of the rainbow trout is marketed as live fish to tourism business. The companies involved in aquaculture are planning to increase the production capacity, to breed and grow more of the habitant material by themselves, to increase the share of manufactured and processed trade fish in sales and to diversify production through the tourism services. As a completely new possibility it is considered to start breeding and growing warm-water bass species for trade fish.
3.1.7. Processing of fish and marketing

3.1.7.1 Industries of processing fish and products

On the 01.01.2009 there were according to the Veterinary and Food Agency 10 fish processing companies in the fisheries area of Saaremaa (See Appendix 7) where most of which were on the western part of island of Saaremaa (4 companies in Nasva).
Main activities in the fish processing industry on Saaremaa are freezing fish (7 companies), preparation of preserve production (7 companies) and salting the fish (5 companies). Number of employees in the industries of processing fish in Saaremaa has decreased dramatically during the last decade; the total number of employees is 248. There are 3 small micro fish processing companies which have less than 10 employees in the region. There is a need to create more opportunities for small fish processing companies (smoking, filleting, grilling) in the harbors.
3.1.7.2 Marketing

Direct marketing and direct sales through personal contacts is important when talking about realization and sale of the catch of the coastal fishermen. For selling larger quantities of the catch is done directly by fishermen themselves to primary middlemen or to fish processing companies, which can dictate the price of the fish according to the market demand and supply situation at the time, because fishermen don’t have possibilities to long-term storage of fresh fish. Marketing of smaller quantities and marketing of certain species (flatfish, roach) is very problematical. In order to strengthen fishermen’s position in determining the price on the market and to increase incomes of the catch it is necessary to create storage possibilities and use common marketing.
3.1.8. Fisheries, coastal villages and tourism

Saaremaa County is one of the leading tourism areas in Estonia –according to the number of visitors on the fourth place and according to the number of inhabitants the most visited place on the country. Rural tourism is also very well developed. For example, according to the database of Estonian Rural Tourism, out of 331 tourism service providers 47 are from Saaremaa, which creates 14% of the total rural tourism service providers. There are more than 2000 beds in the rural areas of Saaremaa. The image of the sea and fishing is integral part of the image of Saaremaa. Therefore it is only natural that they are also used when providing tourism services.

Fishing from the sea and fishing from the ponds are part of the maritime tourism. On the homepage of the Estonian rural tourism you can find 22 companies who are offering active vacation by fishing in the nature and 9 companies who are offering angling services. In the portal www.saaremaa.ee there are 20 companies who are offering fishing as a part of active recreation. According to the evaluation of representatives of tourism businesses there is a lack of opportunities to go fishing together with professional fishermen in maritime tourism. Therefore, to make fishing tourism become an important additional source of income for fishermen, closer cooperation between the coastal fishermen and tourism operators is necessary. However, it is unlikely that fishing tourism and more generally tourism connected to fisheries will be self-sufficient branch of tourism on Saaremaa and the only reason to come and visit the region. It is rather one of the sub options to support and diversify other tourism services.

We can say that the tourism potential of coastal villages is not yet used fully. There are only few places where you can go to the sea just for fun and interests, where you can taste freshly prepared and cooked local fish or just spend time in the environment of the coastal villages. The rich heritage of the maritime culture is not exhibited anywhere else besides on the museums of Saaremaa and Muhumaa islands.

Tourism in the coastal villages is actually very closely connected to reviving and regenerating of coastal villages and improving the quality of life which depends on the local community. Many coastal villages are severely depleted of viable young people and there are few permanent residents. However, there a quite a lot of people who live there during the summer periods, so called “summer-islanders” – who would be interested in taking active part of organizing events and developing villages. To organize common activities and involve as many people as possible, there are several village societies which work to improve coastal villages is also funded and supported by the Fishery Fund of European Union.
3.1.9. Summary

Coastal fishery, which has been on the very important place on Saaremaa County for centuries has been disappearing. This is primarily caused by the interaction of different factors which has caused that the profitability of has been very low for years. First, the price of selling herring, which has earlier been the main sales product for middlemen, has been very low. Second, the stock of several valuable fish has diminished. The main reason for that is larger increase of abundance of seals and cormorants in the region. Third, the main business model has been predominantly based on single fisher, where joint in activities have been very small and which at the end leaves fishermen in a weak position when selling products and does not give much power for fishermen to dictate the price.

The low profitability of the coastal fishing has left them in a declining vicious circle. Therefore, it was not possible to renew and renovate boats and fishing gear and equipment and renovating the fishing harbors (here, once again, it shows the above-mentioned weakness in the business model, because it was not favorable for the management of shared infrastructure). The low profitability of fishing has forced lot of fishermen to find other means to their livelihood and the professional fishing have become secondary source of income. Because of the unstable incomes very few additional young people have been added to the fisheries. Number of fishermen whose only income is fishing is very small and they are in relatively high average age.

However, coastal fishing is still socio-economically an important source of livelihood on Saaremaa County on rural areas, where the number of possible sources for income is quite limited. Losing the professional skills and traditions of coastal fisheries would be irreparable.
Meaningfully organized and combined with extra activities (including aquaculture, primary processing of fish, marine tourism and fishing etc), modernized coastal fishing would give income for bigger part of inhabitants of rural areas and at the same time to help preserve the traditions and cultural heritage and the special environment of the coastal villages. In this, we see a significant part in activities of NGO Saarte Kalandus, which helps enlarging the cooperation and joint improvement of fishing industry.

While implementing the aims and goals of this development strategy the complicated economic situation should be considered, because it can influence the self-financing opportunities of the fishing industry.
4. VISION OF DEVELOPMENT AND GENERAL OBJECTIVES

NGO Saarte Kalandus will contribute improving the sustainability and improving the living quality of the coastal fishery and in more general, fishing industry on Saaremaa County. Our vision for 2020 is as follows:

The viable community of fisheries area of Saaremaa

People of Saaremaa will continue to bear the continuity and stability and values of the coastal villages together with part-time inhabitants. Combining the cultural heritage with many investments into modern maritime economy (boat building), fishery, into aquaculture and into maritime tourism has been successful. Being fishermen is honored and fish is recognized and accessible food for everybody.

In order to implement the vision there are five general objectives set in a way, that each of them corresponds to a strategy of action and which is described in the following chapter.

General objectives

• There are small fishing harbors and placing sites which satisfy both fishermen and also other interest groups’ needs.

• There are modern and environment friendly facilities created for catching and producing fish, aquaculture, product development and for marketing and sales which ensure the added value for products and which satisfy the changing needs of consumer habits.

• Coastal villages have valued living environment and livelihood and they are attractive objects of tourism.

• The businesses of coastal villages are diversified and support sustainability and well-balanced development, which ensures the remaining inhabitance or increase in the inhabitants.

• People living and working in the fisheries area are competent and active.

We have described reasons for implementation, the SWOT analysis summary, the overall goal, specific objectives and activities after each course of action.

General objective:
There are small fishing harbors and placing sites which satisfy both fishermen and also other interest groups’ needs.

Specific objective
At least 6 fishing harbors have modern conditions and required conditions for servicing fishermen and all harbors which are renovated are also registered into registry of harbors.
5.2.3. Objectives and actions to reach objectives

General objective:
There are modern and environment friendly facilities created for catching and producing fish, aquaculture, product development and for marketing and sales which ensure the added value for products and which satisfy the changing needs of consumer habits.

Specific objectives
1. Up till 2013 there are created or modernized conditions in at least in six small micro companies to producing, processing and transportation of fish and aquaculture.

5.3.3. Objectives and actions to reach objectives

General objective:
Coastal villages have valued living environment and livelihood and they are attractive objects of tourism.

Specific objectives
1. Tourism products and services related to fishery are attractive and these are visited or used at least by 5000 visitors annually.

5.4.3. Objectives and actions to reach objectives

General objective:
The businesses of coastal villages are diversified and support sustainability and well-balanced development, which ensures the remaining inhabitance or increase in the inhabitants.

Specific objective
At least 10 small micro companies in fishing industry have found extra opportunities in service sector or in handcraft.

5.5.3. Objectives and actions to reach objectives

General objective:
People living and working in the fisheries area are competent and active.

Specific objective
At least 100 employees have participated in trainings which have improved their vocational skills, ability to adapt, chances to get job or helped their subsistence.
Board

BOARD OF NGO SAARTE KALANDUS
Rainer Maripuu OÜ Astacus 508575 rainer.maripuu [at] mail.ee
Andrei Prii FIE 5077714 priiandrei[at]hot.ee
Arvi Talk OÜ Vesitüki 5253966 arinabb[at]hot.ee
Jaan Köster OÜ Papissaare 5051129 papissaare[at]hot.ee
Mati Heinmets FIE 5037563
Raimu Aardam Orissaare vald 5038998 raimu.aardam[at]orissaare.ee
Rein Kuusk FIE 5209920
Tiiu Kupp Eesti Kalapüüdjate Ühing MTÜ 5224997 tiiukupp[at]hot.ee
Villi Lepik FIE 56631950