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Economics Teachers' Notes
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Introduction
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Activity B Answers
Activity D Answers
Activity E Answers
Activity G Criteria
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Winking Fish

Activity A: conserving fisheries resources Page 1  2  3

Resources
Photo Set
Why the Fishing Industry is Important to New Zealand
Export Case Study: Hoki
How Humans Impact on Fisheries
How We Conserve our Fisheries
Maori Fisheries Today

Suggested answers
Photo 1: a mixed bag of fish
1 Yes. Fish are a renewable resource, ie, fish stocks replenish themselves, but overfishing can seriously reduce stock sizes. photograph of mixed catch of fish
click to enlarge
2 Nobody owns the fish in the sea. Fish are common property until they are caught. The Government allocates access rights to Maori, commercial and recreational fishers. Access for commercial fishers is secured through Individual Transferable Quota (ITQ) with harvesting rights secured through ownership of Annual Catch Entitlement (ACE) for any one fishing year.
3 Fisheries need to be managed so that fish stocks are not overfished and the impacts of fishing on the aquatic environment are minimised. This enables efficient resource use and minimises negative externalities.
4 Over the last few decades there has been widespread concern over levels of exploitation. There has been a greater demand for fish and at the same time there has been a marked improvement in fish-catching and fish-processing technology and in marketing, storage and transport systems.
5 There are several methods of controlling catch, such as the Quota Management System (QMS), limited entry, permitting, size limits, closed areas, closed seasons, gear restrictions and rahui. All aim to regulate the amount of fish taken.
6

The QMS was introduced in 1986 and has been refined since this time with major refinements made in the new Fisheries Act which was passed in1996. For some time allocation between sector groups was done largely at a political level. With increasing information on levels of recreational fishing, allocations are being made to recreational fishers with the TAC differing from the TACC eg snapper. The 1996 Fisheries Act strengthens the rights given under the QMS.

Advantages include:
Each year the Minister of Fisheries decides what quantity of each quota species may be caught.
The system is flexible and responsive to changing circumstances, eg, Total Allowable Commercial Catch (TACC) can be reduced if the fishery is under pressure.
A wide range of interest groups (including Maori, environmental, industry) have an input in the decision-making process on TACs and TACCs each year.
Trade is the mechanism used to re-allocate ITQ to the most efficient users. Commercial fishers are free to buy and sell ITQ. Trading ITQ does not affect the overall harvest rights (Annual Catch Entitment or ACE) which are set within the TAC and TACC.
ITQs are secure, so people can make long term investments in the fishery and spread their catch throughout the year.
ACE is valid for one year and allows catch to be spread throughout the year.

Disadvantages include:
Because New Zealand's fisheries cover a number of species, it is difficult for fishers to get a set of quotas and/or ACE to cover the range of fish they are likely to catch.
Administering and monitoring such a complex fisheries system provides Ministry of Fisheries (MFish) with special challenges.
The QMS cover most important doesn't cover all commercial species but not all.


On to Activity A - Page 2

 

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