Former minister of finance Iipumbu Shiimi has urged the government to increase its auctioned fishing quotas, following a revenue of N$944 million generated over the past four years.
Shiimi said this in an opinion piece published in The Namibian’s fishing supplement today – specifically about what is known as ‘government objective’ quotas.
These quotas were allegedly used as a conduit by the former fisheries minister Bernhard Esau, ex-attorney general Sacky Shanghala, and former Investec Asset Management Namibia boss James Hatuikulipi to allegedly divert over N$300 million from the state to themselves or friends.
In 2017, Esau allocated N$44 million from the same government objective quota to Swapo through the National Fishing Corporation of Namibia (Fishcor).
The Fishrot scandal forced the government to review the government objective quota by selling it to an open market, instead of the previous regime where it dished out hand-picked companies close to the former fisheries minister.
Shiimi admitted that the quota was potentially previously abused, but said reforms made in 2021 involving selling the quota to the market earned the state money for government health and social welfare programmes.
“First, increasing the quantity of the (government objective) quota as this helps to improve the benefits that Namibians derive from this natural resource,” he said.
Shiimi said fishing quota levies are relatively low compared to the price the industry should have paid at the auction.
He cited an example of a government objective quota auction in 2021 which fetched the state’s coffers N$567 million.
This, he said, was “despite the auctioned quota being under 10% of the total allowable catch (TAC)”.
In contrast, Shiimi said, fishing levies from the other 90% of the TAC generated N$237 million only.
The auction netted the government N$106.6 million in 2025 so far.
Last year, the government generated N$44.44 million, while it generated N$110.19 million in 2023 and N$116.55 million in 2022.
The amount varies depending on how many times a year the government conducts the auction process.
The former minister said the government has also formulated a policy to guide the use of the proceeds from the government objective fish quota, which was approved by the Cabinet in 2024.
“The policy identified priority sectors that should benefit. They include education, health, housing and veterans,” he said.
In 2020, the Cabinet directed the Ministry of Finance to work with the then Ministry of Fisheries and Marine Resources to auction off the government objective fish quota.
The initial auction failed. Most bidders were speculators who could not pay, and major fishing firms stayed away due to unfamiliar upfront payments.
Shiimi admitted the flaws and said the government went “back to the drawing board”.
In 2021, the rules were revised: Deposits and financial guarantees became mandatory, and auctions were held earlier in the fishing season.
“The government consulted De Beers and an Oxford University professor on auction design,” Shiimi said.
PROTECTING THE TURF
Confederation of Namibian Fishing Associations chairperson Matti Amukwa yesterday told The Namibian that the auctions are not only legally questionable, but are also distorting the industry.
“The Marine Resources Act is very clear on the provision made on government objectives.
“You can’t, for example, say you are auctioning quotas to build a classroom, because that function is already within the education ministry.
“The purpose of auctioning quotas is for emergency outbreaks only. Instead of this being a random situation under emergencies, it has become routine, which doesn’t even benefit Namibians.”
Amukwa said it created a “parallel quota industry”.
He warned that the government, by becoming the largest quota holder without employment or value addition obligations, was creating an industry that doesn’t follow rules.
This, he said, allowed some operators to function outside the commitments placed on right holders.
“Namibian fisheries may be shifting from rights-based long-term management to open-for-all short-term management. This was already leading to job losses and reduced value addition.”
Amukwa said the auctioning off of fishing quotas to the highest bidder is not provided for in the act, and does not maximise value for the nation.
“. . . and is discouraging Namibianisation. Quotas sold at high prices at auctions do not reflect their real economic value when applied under national development principles.”
TROUBLESOME MINISTRY
The Fishrot-hit industry has over the years faced allegations of enriching Namibia’s ruling elite.
Former agriculture, water and land reform minister Calle Schlettwein has warned that the industry should be saved before it’s too late.
In another opinion piece published in The Namibian’s fishing supplement today, the former minister says the sector needs reforms.
“The fishing sector has demonstrated a lack of fiscal responsibility, and many of its players have foreign offshore headquarters located in tax havens,” he says.
According to him, “iIllegal outflows, tax avoidance schemes, transfer pricing, and other tax evasion measures deny the Namibian authorities their fair revenue from the sector”.
Schlettwein says these circumstances necessitate a comprehensive review of the fishing sector.
“While the government adopted a balanced approach between conservation and economic vitality at independence, these positive trends have been eroded over time and the amended policies and regulations are now detrimental to Namibia’s economy,” he says.
The former minister believes the introduction of a new arrangement of portfolios, placing the fishing sector together with agriculture, water, and land reform, will not address the challenges of declining fish stocks, stagnation in growth, continued dependence on foreign entities for marketing and distribution, low tax revenue, and an opaque quota system.
As a result of the long-standing abuse of both pelagic and white fish resources, Schlettwein says Namibia’s fishery sector has faced significant regression.
“Some stocks were depleted, necessitating a decade of conservation before they could be sustainably exploited.”
Consequently, Schlettwein says, the government’s policy just after independence prioritised the viability of the fisheries sector, while simultaneously maximising its potential and improving access for Namibians.
“However, economic pressures arising from an over-capacitated and over-capitalised fishing sector, coupled with political pressure to enhance access to the sector, are overriding scientific stock assessments and are potential causes for stock depletion,” he says.
PILLAR OF ECONOMY
Current minister of agriculture, fisheries, water, and land reform Inge Zaamwani-Kamwi acknowledges the tensions but reaffirms the ministry’s commitment to sustainability and transparency.
She pledges to fight illegal fishing, boost local ownership of vessels, expand value addition, and strengthen policy.
“Quota allocation will be conducted with the utmost transparency and accountability, firmly anchored in our Namibianisation policy,” she says.
Zaamwani-Kamwi says the sector contributed 4% to gross domestic product in 2024, down from 4.6% in 2023 due to total allowable catch reductions, but still earned N$13.8 billion in exports and supported over 19 440 jobs, with 71% of those onshore.
She says 98% of the 465 fishing rights holders were 100% Namibian-owned.
“Aquaculture produced 700 000 tonnes of fish and employed 509 people in 2024, with investment interest in seaweed, salmon, and abalone ventures around Lüderitz.”
The ministry is also reviewing the Marine Resources Act and hake management plan while developing strategies for other key species.
“Our vision is a holistic blue economy that improves livelihoods while ensuring long-term sustainability,” she says.
LICENSING AND JOB LOSSES
Amukwa also raised alarm over delayed vessel licensing that lead to job losses.
“All fishing processes start with vessel licensing. Without that, no catches take place . . . the industry literally comes to a standstill,” he said.
Amukwa said licensing delays disrupt raw material flow to processing plants, leave freezer trawlers idle, and lead to workers being sent home on short-time.
“The losses incurred by processing plants standing still are substantial,” he said.
Amukwa also questioned the ongoing fishing by selected commercial vessels in the 200m isobar under the guise of research.
“We all know this is a breeding ground which we don’t need to tamper with,” he said.
He demanded clarity on the selection criteria, findings, and reasons for the extension of such operations.
He further raised concern over illegal fishing in Namibian waters.
“The fish caught illegally in our waters compete in the same markets and exert downward pressure on prices.”
Amukwa said the industry stands ready to work with the ministry, but called for fair treatment.
“All rights holders are equal before the law. Preferential treatment creates unnecessary tension.”
*Read the opinion pieces of Zaamwani-Kamwi, Shiimi and Schlettwein in today’s fishing supplement.
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