COVER
TCP/MAL/4403 TECHNICAL REPORT 1

FISHERMEN RELOCATION PROGRAMME
IN PENINSULAR MALAYSIA


Contents


FAO TECHNICAL COOPERATION PROGRAMME
ON ASSISTANCE TO FISHERIES DEVELOPMENT
AUTHORITY OF MALAYSIA (LEMBAGA KEMAJUAN IKAN MALAYSIA)

FINAL DRAFT



By


Masamichi Hotta

Low Tung Wang


The designations employed and the presentation of material in this publication do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations concerning the legal status of any country, territory, city or area of its authorities, or concerning the delimitation of its frontiers or boundaries.

FOREWORD

The Project entitled “Assistance to the Fisheries Development Authority of Malaysia or Lembaga Kemajuan Ikan Malaysia (LKIM)” was implemented by the FAO from November 1984 to November 1985 under the financing of the FAO Technical Cooperation Programme (TCP/MAL/4403). The Project was based in Kuala Lumpur, Malaysia.

The broad objective of the Project was to assist LKIM in the preparation of a long-term plan and strategy for the development of a fishermen relocation programme. The issue of surplus fishermen is not a new area of concern in Malaysia. The Department of Fisheries (DOF) already indicated in 1971 that there was a surplus of about 19,300 fishermen in Peninsular Malaysia. The problem of too many fishermen in relation to the capital investment and the resources available has become more serious in recent years. In addition, the lack of institutional arrangements to limit new entrants into the fishing sector has accelerated the enhancement of underemployment, low productivity and income among traditional fishermen. Fishing communities have long acted as a traditional reservoir for the unemployed. Under these circumstances, the Government has launched a programme to combat the problem of surplus fishermen with more careful planning, and realistic and systematic approaches.

The Draft Report was reviewed during the meeting held with the Economic Planning Unit, the Ministry of Agriculture, the Department of Fisheries and the Fisheries Development Authority, and the Draft Final Report has been subsequently prepared.

The Project has led to the design of a new project proposal for continuing support to LKIM with regard to the development of the Fishermen Relocation Programme (FRP).

Masamichi Hotta

Team Leader

ACKNOWLEDGEMENTS

This report resulted from the cooperation between the Project and many departments and agencies concerned which included the Fisheries Development Authority (LKIM), the Department of Fisheries, the Department of Agriculture, the Economic Planning Unit, the Department of Veterinary Service and Land Development Authorities such as FELDA, FELCRA, KEJORA, DARA, KETENGAH, KESEDAR both at the Federal and state level as well as the University of Malaya, the University of Agriculture and the University of Science.

Along with this institutional support, there is a long list of people who made important contributions to the preparation of this report. First and foremost is Mr. Khalil bin Hassan, Director General of LKIM who provided wise guidance and valuable assistance to the Project throughout its duration. Mr. Tan Cheng Eng, Director of Planning, LKIM deserves special thanks for his efficient liaison and useful advice. The Project would like to express its gratitude to Mr. Sharoum bin Abd. Majid, Deputy Director General, DOF, Mrs. Rabihah Mahmood, Senior Fisheries Officer, DOF, Mr. Edwin James Savariraj, Senior Officer, DOF and Mr. Yoong Swee Yin, Ministry of Agriclture for their strong support and useful information. Special thanks are due to Mr. Salim A. Rahim, Deputy Director of Survey Land and Settler Emplacement, FELDA for his efficient liaison with FELDA state offices as well as valuable comments on resettlement schemes.

At the state level, there is also a long list of people who deserves special thanks. The Project is thankful to Mr. Md. Nor Hassan, LKIM State Director Trengganu, Mr. Toran bin Ishak, FDC Manager Besut, Mr. Hashim Muda, LKIM State Director Kelantan, Mr. Raja Harun bin Tuan Long, FDC Manager Geting, Mr. Zaruddin bin Rejab, LKIM State Director Pahang, Mr. Aziz bin Yusof, LKIM State Office Pahang, Mr. Othman bin Yusuf, LKIM State Director Johore, Mr.Hamid bin Zainul Abidin, LKIM State Office Johore, Mr. Roslee bin Haji Ismail, FDC Manager Mersing, Mr. Chin Peng Yong, LKIM State Director Perak, Mr. Husin bin Mustapha FDC Manager, Manjung, Mr. Mohd. Ismail, LKIM State Director Kedah, Mr. Chan Yeak Luon, LKIM Kedah Office, Mr. Goi Kim Par, FDC Manager Kuala Kedah, Mr. Ismail bin Saad Tg.Dawai/Yan FDC Manager, for their excellent cooperation in arranging the project team work in the field.

I would also like to thank the DOF's state directors, among them Mr. Ismail bin Taufik of Perak, Mr. Choi Siew Kiang of Johore, Mr. Mohd. Yusof bin Othman of Pahang and Mr. Hashim bin Ahmad of Kedah for their cooperation.

With regard to report compilation, Hotta wrote Introduction (Chapter 1), Development Policies, Objectives and Constraints (Chapter 2), Field Research Survey (Chapter 3), Findings of the Field Survey (Chapter 4), Proposed Strategy (Chapter 6) and Conclusions and Recommendations (Chapter 7 and 8). Low prepared Appendix 2 and 4, as well as the computer tabulation of field survey data. Local Alternatives to Fishing and Future Programmes (Chapter 5) was a joint effort of Hotta and Low. Appendix 3 was prepared by Che Man bin Che Muda, Development Officer LKIM who acted as a counterpart staff for the Project.

FOOD AND AGRICULTURE ORGANISATION OF THE UNITED NATIONS
November 1985


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Contents

Foreword

Acknowledgements

List of Tables

Abbreviations and Acronyms

Abstract

1. INTRODUCTION

2. DEVELOPMENT POLICIES, OBJECTIVES AND CONSTRAINTS

2.1 The New Economic Policy (NEP)

2.2 The National Agricultural Policy (NAP)

2.3 The History of Fishermen's Relocation Programmer In Malaysia

2.3.1 Steering Committee for Resettlement of Surplus Fishermen
2.3.2 Achievements and Reorganization of the Committee
2.3.3 Development Plan
2.3.4 Role of the Concerned Agencies

2.4 Recent Trends in Malaysian Fisheries

2.4.1 Production Trends
2.4.2 Productivity
2.4.3 Regional Disparity
2.4.4 Catch Per Unit Effort (CPUE)
2.4.5 Significance of the Problem

2.5 Objectives and Policy of the Fishermen's Relocation Programme (FRP)

2.5.1 Justification and Objectives
2.5.2 Surplus Fishermen
2.5.3 Vessel Buy-Back Programme (VBBP)
2.5.4 Fishermen's Registration System

2.6 Progress in Implementation of the FRP by LKIM and DOF

3. FIELD RESEARCH SURVEY

3.1 The Fishermen Development Area (FDAs)

3.2 The Survey Areas

3.3 Field Survey Methodologies

4. FINDINGS OF THE FIELD SURVEY

4.1 Socio-Economic Characteristics and Living Conditions of the Fishermen Interviewed

4.2 A Willingness to Change Occupation and/or the Place of Residence

5. LOCAL ALTERNATIVES TO FISHING AND FUTURE PROGRAMMES

5.1 Cottage Industries

5.2 Manufacturing

5.3 Aquaculture

5.4 Animal Husbandry

5.5 Agriculture

5.6 Land Development Schemes

5.7 Off-shore Fishing

5.8 Conclusions on the future absorptive capacity (1986 – 1990)

6. PROPOSED STRATEGY

6.1 General Considerations

6.2 Role of LKIM and DOF

6.2.1 LKIM's Responsibilities and Functions

6.2.1.1 The Determination of Broad Policies, Objectives and Goals

6.2.1.2 The Formulation and Implementation of Plans and Projects to Carry Out Such Policies

6.2.1.3 Periodic Reporting, Monitoring and Evaluation of the Progress of the FRP

6.2.1.4 The Coordination between the Departments and Agencies Concerned

6.2.2 DOF's Responsibilities and Functions

6.3 Organization Set-up of LKIM

6.4 Information Collection, Storage and Dissemination

7. CONCLUSIONS

8. RECOMMENDATIONS

APPENDIX 1. Estimated Budget For The Relocation Of Surplus Fishermen (1986–90)

APPENDIX 2. Outline of Land Development Agencies (FELDA, FELCRA, KEJORA, DARA, KETENGAH KESEDAR, KEDA)

APPENDIX 3. Present Status of Vocational Training Facilities in Malaysia

APPENDIX 4. The Fishing Districts Surveyed by the TCP/MAL/4403

STATISTICAL ANNEX

REFERENCES

LIST OF TABLES

Table 1 : Marine Fish Landings In Peninsular Malaysia By Type Of Fishing, 1973-83 (Metric Tons)

Table 2 : Productivity Of Fishing (1981 and 1983)

Table 3 : Production And Productivity On The West Coast And The East Coast

Table 4 : Catch Per Unit Effort Of Major Fisheries

Table 5 : Number Of Surplus Boats & Fishermen By States

Table 6 : Number Of Surplus Boats And Fishermen In Purse Seine Fishing, Zone A

Table 7 : Number Of Surplus Boats And Fishermen In Purse Seine Fishing, Zone B/C

Table 8 : Number Of Surplus Boats And Fishermen In Trawl Fishing Below 40GRT, Zone B

Table 9 : Number Of Fishermen Benefited From Aquaculture Projects

Table 10 : Fishermen's Reaction To FELDA Schemes In Connection With The Field Survey Conducted 1985

Table 11 : Fisheries Development Areas

Table 12 : Origin Of Fishermen

Table 13 : Income Of Fishermen: Income From Fishing

Table 14 : Income Status Of Fishermen (Total Income In Malaysia Ringgit Per Month)

Table 15 : Number And Percentage Of Fishermen's Household Size (No. Of Dependents)

Table 16 : Number And Percentage Of Fishermen By Educational Level

Table 17 : Boatowner Fishermen By Types Of Engine By FDA

Table 18 : Number of Days At Sea Per Year By FDA

Table 19 : Supplementary Occupation Among Respondent Fishermen By FDA

Table 20 : Number Of Fishermen Who Own Land By Size By FDA

Table 21 : Usage Of Land By FDA

Table 22 : Registration Status Of Land Owner Fishermen by FDA

Table 23 : Number And Percentage Of Fishermen Who Own House

Table 24 : Number And Percentage Of House Owner Fishermen By Registration

Table 25 : Basic Amenities (Pipe Water)

Table 26 : Basic Amenities (Electricity)

Table 27 : Basic Amenities (Toilet)

Table 28 : Basic Amenities (Telephone)

Table 29 : Membership Status Of Fishermen

Table 30 : Future Plan Regarding Enlargement/Improvement Of Boats/Engine/Gear

Table 31 : Fishermen Willing To tblange Occupation As Well As The Place Of Residence

Table 32 : Number And Percentage Of Fishermen Willing To tblange Occupation By Race

Table 33 : Number And Percentage Of Fishermen Willing To tblange Job By Age

Table 34 : Willingness To tblange Occupation By Educational Level

Table 35 : Number And Percentage Of Boat-Owner Fishermen That Are Willing To tblange Job By Types Of Boat

Table 36 : Fishermen's Willingness To tblange Job By Income Status (Total Income Including That Derived From Other Than Fishing)

Table 37 : Number And Percentage Of Fishermen Who Want To tblange Job And Shift Even Though They Own House And Land

Table 38 : Reasons For Not Willing To Migrate

Table 39 : Prefered Occupations To Join

Table 40 : Number And Percentage Of Fishermen That Know FELDA

Table 41 : Employment Opportunities Projected By SEPU, Kedah (1986–90)

Table 42 : Aquaculture Projects Planned By LKIM (1986–90)

Table 43 : Costs And Return For Calves Rearing By Using PKC

Table 44 : Cooperation Between LKIM and DVS in Kedah in Livestock Rearing, 1985

Table 45 : Boats and Labour Requirements in Off-shore Trawl Fishing of Over 70 tons Zon C and D

Table 46 : Boats and Labour Requirements in Off-shore Purse Seine Fishing of Over 70 tons East Coast, Zone C and D

Table 47 : Projections of Employment Opportunities for Surplus Fishermen in Various Industries (1986–90)

LIST OF STATISTICAL ANNEXES

Annex A : Estimated Number Of Fishing Gears In Operation And Their Productivities (1983)

Annex B : Allocations of Trawlers Below 40GRT In Zone B By FDA 1984/85

Annex C : Proposed Number Of Purse Seines (Fish) Boats In Zone B To Be Added/Siphoned Off In East Coast By FDA

Annex D : Proposed Number Of Purse Seines (Fish) Boats In Zone B & C To Siphoned Off In West Coast By FDA

Annex E : Allocation Of Purse Seine (Anannovy) Boats (Licensed) In Zone A By FDA 1984/85

Annex F : Number Of Traditional Boats And Fishermen That Are To Be Siphoned Out Of Zone A By FDA

ABBREVIATIONS AND ACRONYMS

AsDBAsian Development Bank
BPMBank Pertanian Malaysia
DARAPahang Tenggara Development Authority
DOADepartment of Agriculture
DOFDepartment of Fisheries
DOLDepartment of Labour
DVSDepartment of Veterinary Services
EPUEconomic Planning Unit
FAOFood and Agriculture Organisation
FDAFishermen Development Area
FDCFishermen Development Centre
FELCRAFederal Land Consolidation & Rehabilitation Authority
FELDAFederal Land Development Authority
FOAFarmers' Organisation Authority
FRPFishermen Relocation Programme
GNPGross National Product
KEDAKedah Development Authority
KEJORASouth East Johor Development Authority
KEMASCommunity Development Division
KESEDARKelantan Selatan Development Authority
KETENGAHTrengganu Tengah Development Authority
KUKKonsep Unit Keluarga (Family Unit Concept)
KUKENALSmall Fishermen Group (Kumpulan Kecil Nelayan)
LKIMLembaga Kemajuan Ikan Malaysia (Malaysian Fisheries Development Authority)
MARACouncil of Trust For Indigenous People
MARDIMalaysian Agricultural Research & Development Institute
MCCMilk Collection Centres
MIDAMalaysian Industrial Development Authority
MTIMinistry of Trade and Industry
MMDCMalaysian Management Development Centre
NAPNational Agricultural Policy
NEPNew Economic Policy
PERNASPerbadanan Nasional Berhad (National Corporation Ltd.)
PKCPalm Kernel Cake
PNFishermen's Association (Persatuan Nelayan)
RISDARubber Industry Smallholders Development Authority
SEDCState Economic Development Corporation
SERUState Economic Research Unit
SKNFishermen Cooperative Societies (Syarikat Kerjasama Nelayan)
TDCMalaysian Tourist Development Corporation
UNDPUnited Nations Development Programme
VBBPVessel Buy Back Programme

ABSTRACT

The main objectives of the Fishermer's Relocation Programme (FRP) are twofold: one is to alleviate the incidence of poverty of traditional fishermen by offering them alternative employment opportunities and the other is to decrease in absolute terms the number of fishermen in order to reduce the impact of fishing effort to resources. The chief administrative instruments to attain these objectives are the Fisheries Development Authority (LKIM) and the Department of Fisheries (DOF), which act as the main agents for establishing policies, planning and implementing the FRP in Malaysia. Fishermen's relocation and resettlement projects are however closely linked with the activities undertaken by other departments and agencies as well, and proper coordination and concerted efforts among these offices are essential. The absorptive capacity of surplus labour by other sectors of industry seems to be promising particularly in land development and manufacturing. To expedite the relocation of surplus fishermen, fostering technical skills and entrepreneurship among them is indispensable. In view of unsatisfactory performance in the achievements of training programmes conducted by LKIM, it is deemed necessary to carry out an overall evaluation on the sub-programme “Upgrading Of Skills And Entreneurship”.