FAO in Sri Lanka

Fuel Saving: Increasing Profits in the Sri Lankan Fishing Industry

30/05/2024

Colombo, Sri Lanka - This week, 28 multi-day fishing vessel owners, boat builders, and government fishery officials convened in Colombo to explore fuel-saving options for long-line vessels in Sri Lanka. “Increasing fuel prices have impacted the profits of fishers as well as fish prices for local consumers in Sri Lanka,” said Mr Dammika Ranathunga, Additional Secretary of the Ministry of Fisheries.

The Food and Agriculture Organization of the United Nations (FAO) and the Ministry of Fisheries of Sri Lanka organized a workshop on fuel savings in the Fisheries Sector. The workshop presented several fuel-saving innovations, including the introduction of bulbous bows on vessels, modern fuel-efficient engines, and improvements to rudder, propeller, and hull designs. Other practices included applying anti-fouling coatings below the waterline and installing hull bottom air lubrication systems.

The design, testing, construction, and benefits of the bulbous bow were a focal point of the workshop. An FAO prototype installed on a longline vessel belonging to Mr Ruwan Fernando from the Chilaw fisheries district was tested at the Polytechnic University of Madrid (Spain) and constructed at the Cey-Nor Foundation shipyard in Colombo. Sea trial data recorded a fuel savings of 11 to 13 percent, with even better results achievable at speeds between 7 to 8 knots.

Mr Derrick Menezes, FAO Naval Architect, highlighted that “annual fuel savings for an average longline fishing vessel in Sri Lanka would be around 1,150 liters per fishing trip, translating to a cost saving of approximately 1.5 million LKR per vessel per year.” He added that the construction and installation of the bulbous bow would cost around 1.8 million LKR, which can be recovered in 4 to 6 fishing trips. The bulbous bow is a technically and financially feasible investment, enhancing the seakeeping and profitability of multiday fishing vessels. Mr Aravinda, Fisheries Officer at the Sri Lankan Department of Fisheries, noted that there are 508 multiday longliner vessels between 45 to 55 feet in length that could potentially benefit from the bulbous bow design.

Dr Raymon Van Anrooy, FAO Senior Fishery Officer, provided initial economic data on longline vessel performance in 2023, indicating that running costs and labor costs accounted for 55 percent and 27 percent of total operating costs, respectively. He reported that the average longliner was profitable in 2023, with an estimated net profit margin of 23 percent and a return on investment (ROI) of 22 percent. The gross value added by the multiday longliner fleet to the Sri Lankan economy was estimated at around 50 billion LKR in 2023.

The workshop also addressed vessel safety and construction weaknesses observed in some fishing vessels. Dr Van Anrooy highlighted opportunities to reduce reliance on fiberglass-reinforced plastic (FRP) vessels, which pose pollution and disposal hazards at the end of their life cycle. High-Density Polyethylene (HDPE) boats were suggested as an alternative for small fishing vessels up to 12 meters. This material is less prone to damage, 100% recyclable, and requires less maintenance.

Mr Sarath Premalal, FAO Project Manager, concluded the workshop by emphasizing the need to modernize the fishing fleet, adapt to the challenges of climate change, and invest in fuel-saving technologies aimed at reducing greenhouse gas emissions by the fishing industry.