Funding pledge to help seafood industry cope with Covid and Brexit

Money for the seafood and fishing industry has been allocated to help the sector deal with the impact of coronavirus and Brexit.

A £7.75m Scottish government funding package will offer support to fishermen, businesses and harbours.

The seafood industry's exports accounted for 57% of Scotland's overall food exports in 2019 - worth £1.02bn.

The UK government said it is working to address any practical issues facing the seafood sector.

But Scottish Fisheries Secretary Fergus Ewing said it has failed to provide clarity on resilience funding.

He added: "We are stepping in to support the industry and coastal communities across Scotland and ensure we meet the emergency needs of crews by providing welfare support through the Fishermen's Mission

"Both shellfish and trout businesses who have faced losses due to Covid-19 hospitality closures across Europe are now losing products or facing additional costs due to border disruption and new non-tariff barriers.

"It's not just exporting, we know this has serious knock-on effects that ripples right through the supply chain from boats struggling to land at ports to not being able to sell their catch."

'Tougher trading realities'

The package includes £6.45m for the Seafood Producers Resilience Fund to provide support to eligible shellfish catchers and producers, in addition to trout farmers who have faced issues exporting to the EU.

A further £1m is available to support the investment plans of ports and harbours faced with a loss of income through landing fees.

The Fishermen's Mission has also been awarded £300,000 for welfare and emergency support activities to help workers in hardship.

Mr Ewing added: "The fund for shellfish and trout businesses will help the sector survive the ongoing loss of domestic sales due to Covid-19 and the current immediate challenges of Brexit, giving them some breathing space and allowing businesses to make the changes they need to adapt to the new, tougher, trading realities."

Donna Fordyce, chief executive of trade body Seafood Scotland, welcomed the funding.

She added: "This will have a tangible impact on the livelihoods of some of the hardest hit in the sector and in some cases could save generations-old businesses from going under."

'Temporary issues'

Applications will open next week and the details will be published on the Marine Scotland section of the Scottish Government website from Friday.

A UK government spokeswoman said: "We recognise the temporary issues the fishing industry is facing, and know businesses involved in the export of highly perishable goods, such as fish, will be more affected by delays at the border.

"That's why, following a constructive meeting of the Brexit Business Taskforce two weeks ago, we are working with the Scottish government to set up a working group to understand and address any practical issues facing Scottish businesses, including the seafood sector."

She added that a £23m scheme, announced last month, will provide crucial support for fishermen and seafood exporters, who have experienced delays and a lack of demand for fish from the restaurant industry in the UK and Europe.