GRANT
NUMBER: NA27FD0145-01
NMFS NUMBER:
91-SWR-051
REPORT
TITLE:
Program for Development of Outer Island Fisheries in Marshall
Islands
AUTHOR:
Hart, Kevin
PUBLISH
DATE:
April
1995
AVAILABLE
FROM:
National Marine Fisheries Service, Southwest Regional
Office, 501 West Ocean Boulevard, Suite 4200, Long Beach,
CA 90802-4018. PHONE: (562) 980-4033
ABSTRACT

In the RMl
almost all economic development activities are concentrated
in Majuro and to a lesser extent, Arno and Kwajelein Atolls.
Until recently few development efforts extended to the
outer atolls of the RMI (in part because economic opportunities
on these atolls are limited). Copra, the traditional
cash crop in the outer atolls, has fluctuated greatly
in price and production levels in the 1990s. (During the
last 10 years copra prices declined in both relative and
absolute terms). Given the lack of opportunity for
gainful employment and declining copra prices, emigration
to the urban centers is significant, placing considerable
burden on public and private sector services. The outlook
for discouraging migration to the urban centers appears
poor unless individuals can be convinced economic opportunities
do exist in the outer atolls. One way to do this is to
develop cash-generating opportunities in the outer atolls.
In May 1991,
a private entrepreneur (a local boat builder) obtained
S-K support for a project with the goal of demonstrating
that dried fish products could increase per capita income
in the outer atolls of the RMI. The project objectives
were to examine methods of capture, preservation, and
processing allowing for the export of dried fish products
from the outer atolls to municipal centers in the RMI.
The project proposed the formulation of production units
by family groups or clans in which certain familial members
were responsible for capture of fish, while others were
responsible for processing and marketing, etc. Technical
assistance was provided to demonstrate fish drying, smoking
techniques, and marketing strategies. In addition,
records were kept on catch and production inputs, along
with revenue receipts, to evaluate economic efficiency
of these production units. Each family or clan organized
as a unit to produce dried, jerkied, or salted fish products
and allowed the use of small sail-powered fishing boats.
The sail-powered fishing boats were leased to each family,
with the final disposition based on the effort expended
by each group. Fishing gear and processing equipment
were made available to the families through inventories
established with local business interests. Replacement
costs of equipment were borne by each family unit.
The project
PI traveled to Kiribati to review a similar effort and
participated in a regional meeting on novel tuna products
sponsored by ACIAR. In addition, the SPC provided for
a fish post harvest handling specialist to assist the
PI on the project, which included a site visit to the
RMI and one of the outer atolls. A total of 43 fishers
on three atolls (Ailinlaplap, Namdrik, and Majuro) and
over 100 family members were trained in fish drying techniques.
An estimated five tons of dried fish product valued at
$20,000 was produced. Thirty solar dryers costing $4,200;
fish processing supplies worth $1,700; fishing gear costing
$3,000, and four fiberglass sail boats valued at $11,650
were distributed among 19 family groups participating
in the project. The project, which ran for 24 months,
was administratively rated as very successful, and all
project objectives were successfully implemented.
Total project
costs were $100,596, of which $7,221 were in-kind and
$61,019 were direct federal costs. Project NPV is estimated
at $268,335 with a B/C of 1.38. Most of the benefits
identified are attributed to labor. The industry is estimated
to have 5 FTE as of 1995 and will have 65 by year the
2022.