The fishing industry is emerging as an early European casualty of soaring diesel costs amid the Iran war, with at least half the Dutch fleet staying in port this week. The pressure is most acute in the Netherlands because of an outsized number of beam trawlers in its fleet, which makes up about 7% of the European Union's total. These ships target high-value North Sea flatfish such as sole, turbot and brill, but burn relatively large amounts of fuel.
Industry group VisNed said 80% to 90% of such trawlers did not sail out this week, highlighting the significant impact of rising diesel costs on the industry. The Dutch Fishers Union has reported weekly fuel bills that ran 12,000 to 13,000 euros before the war started on February 28 are now heading toward 30,000 euros.
This represents a staggering increase of over 150% in just a few months, leaving no money to pay a crew. The Dutch may be hardest-hit, but they are not alone, as other European nations such as Belgium and Britain also use beam trawlers. Fleets targeting groundfish such as cod and haddock around Europe are near or at loss-making levels with current prices.
The industry is facing significant pressure to adapt to the new reality of high diesel costs, which are affecting not only the Dutch fleet but also other European nations. Europêche, the representative body for EU fishermen, has reported that top fishing nations Spain, Italy and France had all introduced modest support measures, but with fuel costs up by around 70%, some ships have been unwilling to put to sea.
The industry is now seeking relief from the European Commission, which has relaxed state aid rules for the industry during previous energy crises. The managing director of Europêche, Daniel Voces, stated that the industry met with the EU fisheries chief, Costas Kadis, this week to ask the European Commission to again relax these rules.
The immediate impact on consumers will be tighter supply and higher prices, as restaurants may need to adjust their menus to maintain their margins. The price of sole had already jumped to 18 euros at auction this week from roughly 12 euros, highlighting the significant increase in costs for fishermen.
Faced with those costs, he predicted that fish would disappear from the menu, as some restaurants may not be able to afford to continue serving them. This could have a ripple effect on the entire food supply chain, leading to increased prices and reduced availability of fresh seafood.
The fishing industry is facing an unprecedented challenge due to high diesel costs, which are forcing many ships to stay in port. The industry needs urgent support to adapt to this new reality and ensure that consumers continue to have access to fresh seafood.
The European Union's fisheries policy is under pressure to address the crisis, as fishermen struggle to make ends meet due to rising fuel costs. The industry is calling for relief from the European Commission, which has a critical role to play in supporting the fishing industry during this challenging time.
The fishing industry is facing significant challenges due to high diesel costs, which are affecting not only the Dutch fleet but also other European nations.
