Stimulating investment in pearl farming in ... - World Fish Center

Page 11lip spat can be harvested in commercial quantities in Solomon Islands, and that saleablepearls can be produced. Previous pearl oyster research data from Solomon Islands issummarised in a companion document to this report (Hawes and Mesia, 2007).One positive element in this regard is the current moratorium in Solomon Islands on pearlshell exports. The Fisheries Division imposed this in 1994 in response to fears of overexploitationfollowing high levels of shell exports in prior years. The moratorium is still inplace, although some illegal harvesting takes place and illicit export consignments, primarilyof white-lip shell, are occasionally intercepted. Surveys have shown that white-lip pearloyster populations persist in several parts of Solomon Islands, though current numbers areprobably too low for a pearl industry based on wild caught shell (see report by The EcologyLab (2008) in this series). However, production of pearl oyster spat has been successfullydemonstrated in Solomon Islands by the WorldFish Center. WorldFish hatchery-reared spatwere grown out and seeded to produce pearls without any particular technical difficulties (seeHawes and Mesia 2007).Other factors that are positive for the development of a pearl-farming industry in SolomonIslands include:• there are large numbers of potential farming sites;• based on WorldFish Center trials, pearl oyster growth rates appear to be about25% faster than in Cook Islands;• labour costs are generally low (current minimum rural wage of about US$ 5 perday in Solomon Islands, as compared to about US$ 50 per day in FrenchPolynesia).Although environmental and economic conditions appear favourable, there are several factorsthat may work against the development of a pearl farming industry in Solomon Islands. Inparticular, there is a generally poor external perception of Solomon Islands by many potentialinvestors (Government instability or unreliability, ethnic tensions, security of investment,etc.). These issues are often exaggerated, as discussed in a report from this project on theeconomic and investment climate in Solomon Islands (Hughes 2008).Even if investors (whether foreign or domestic) were forthcoming, this would not necessarilylead to a situation in which rural Solomon Islanders would be able to participate in theindustry. The natural business decision of a commercial pearl farmer would be to carry outspat collection/ production himself along with his pearl seeding and harvesting activities, andto undertake his business in as secretive a manner as possible in order to protect his owncompetitive advantage. Under these circumstances there would be few flow-on benefits torural Solomon Islanders apart from a few manual jobs, and no mechanism to support thedevelopment of community or family-based farming activities. It is the responsibility of theSolomon Islands Government to implement policy and legislation to ensure that developmentof a pearl industry is managed in a way to make it attractive to investors, environmentally andeconomically sustainable and capable of delivering benefits to rural communities.4.2. LegislationSeveral government documents pertain to the management of fisheries aquaculture inSolomon Islands. Chief amongst these are the Fisheries Act (1998), Fisheries Regulations(2002) and the Ministry of Fisheries and Marine Resources’ Aquaculture Development Plan.Responsibility for the management and development of Solomon Islands’ marine resourceslies with the Ministry of Fisheries and Marine Resources (MFMR). The Fisheries Act (1998)(hereinafter referred to as the Act), is the major piece of legislation governing fisheries and