The Ministry of Fisheries and Ocean Resources has reopened applications for loans to finance the installation of Refrigerated Sea Water (RSW) systems on fishing vessels. This initiative aims to ensure the preservation of catch freshness and quality, thereby bolstering the fishing industry.
The RSW financing facility is a collaborative effort between the fisheries ministry and the SME Development Finance Corporation (SDFC). Initially launched in September 2024, the ministry received 39 loan applications during the initial period, of which 19 applicants were deemed eligible, according to ministry sources.
Currently, the fisheries ministry is drawing up agreements with those eligible for the loans. Ministry officials informed PSM News that the loans will be disbursed once these agreements are signed.
The reopening of applications aims to streamline the process for applicants. Now, vessel owners with hulls registered with the relevant authorities are eligible to apply for the financing facility, a significant shift from the previous criteria. If the engine installation has commenced as part of the vessel's construction, the vessel must exceed 50 feet in length, sources said. The vessel must also possess a fish storage capacity of over 10 tonnes, as disclosed by ministry sources.
The revised application process also allows vessels to install solar energy systems and purchase generators. Applications for the financing facility can be made through the SDFC online portal.
The government is offering loans ranging from USD 6,486 to USD 129,729 without requiring a mortgage. The RSW financing facility features a grace period of six months, with repayment terms extending up to 10 years.
The government envisions that the installation of RSW facilities on all fishing vessels will effectively address the challenges fishermen face in acquiring ice to maintain the freshness of their catch. This financing facility is a key component of the administration's broader initiative to streamline and simplify the process for fishermen to secure the necessary resources.
Currently, a significant number of fishing vessels in the southern region are equipped with RSW systems. The government aims to install these systems on all fishing vessels across the country.