Minister of Foreign Affairs Iruthisham Adam has said the government is working to secure tariff reductions on Maldivian tuna exports to Europe.
Recently, the United Kingdom (UK) suspended its 20 percent tariff on Maldivian tuna imports for a period of two years. The government is working to strike similar deals with other markets.
In an interview with PSM News, the Foreign Minister said the government is trying to make the UK tariff exemption permanent through further negotiations with the British government. She said the government also aims to negotiate reduced tariffs for Maldivian tuna exports in other international markets, especially Europe. If tuna exports grow stronger and become more competitive, the country could eventually pursue a free trade agreement, she added.
The European market imposes a tariff between 22 and 24 percent on Maldivian tuna exports. Unlike the UK market, tariffs vary in the European market based on how the fish is processed. Frozen tuna exports face a 22 percent tariff, while canned fish exports face a 24 percent tariff.
The European tariffs were introduced after the Maldives graduated from “least developed country” status to a developing country in 2011, which reduced its special trade privileges. Negotiations with the UK and EU became separate after the UK left the European Union.
The minister said the government hopes the tariff relief will increase tuna exports, and improve competitiveness in the UK and European markets, which will help Maldivian fish products secure better prices internationally. She highlighted that Maldivian fishing is environmentally sustainable because it uses traditional pole-and-line fishing methods and has MSC certification, which is internationally recognised.
The government believes reducing tariffs will help expand trade and support future free trade agreements.