Bangladesh’s deep-sea fisheries: An untapped frontier at a critical crossroads
As Bangladesh approaches LDC graduation in 2026, unlocking its vastly underutilised deep-sea fisheries will require urgent scientific, policy, and investment reforms to shift from subsidy dependence to sustainable, globally competitive growth
Bangladesh is steadily transitioning from a riverine economy to a maritime one, yet our deep-sea fisheries remain vastly underutilised.
While the country produces nearly 4.8 million metric tons of fish annually, only about 700,000 tons come from marine sources. Estimates suggest the Bay of Bengal holds close to 7 million tons of fish, meaning we are harnessing barely 10% of our marine potential.
This gap represents not just a missed opportunity, but a growing strategic vulnerability—especially as Bangladesh prepares to graduate from Least Developed Country (LDC) status in 2026.
Ecological fragility and overdependence
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Nearly 70% of Bangladesh's marine catch comes from migratory species such as chapila, colombo, chandana, and aila. This heavy dependence exposes the industry to uncertainty, as these species may not consistently remain within our territorial waters.
The ecological warning signs are clear. In 1971, our marine ecosystem supported 475 fish species; today, that number has declined to 394. Overfishing, premature harvesting, climate change, and marine pollution are steadily eroding biodiversity. Without careful management, sustainability will no longer be an environmental concern alone—it will become an economic constraint.
Vast maritime space, limited exploitation
Bangladesh's maritime boundary and Exclusive Economic Zone (EEZ) span 118,813 square kilometers, yet active fishing occurs in only 4,000–5,000 square kilometers. The problem is not scarcity, but structural inefficiency.
Fishing activities are regulated by depth, with artisanal vessels operating between 10–40 meters and industrial trawlers beyond 40 meters. However, weak enforcement allows frequent encroachment by small boats using illegal nets, damaging spawning grounds and undermining long-term productivity.
More critically, the country continues to rely on fishing grounds identified in the 1980s. No comprehensive marine surveys have been undertaken in decades. Without new fishing zones informed by modern science, the future of deep-sea fishing will remain constrained regardless of fleet size.
High costs, outdated systems
Industrial trawling is inherently capital- and energy-intensive. Yet most of Bangladesh's trawlers are outdated and lack modern navigation, fuel-efficiency, and preservation technology. Operating costs have risen sharply—diesel prices alone have increased by 32% in the last two years—while fish prices have failed to rise proportionately.
Cold-chain infrastructure remains insufficient, limiting export quality and shelf life. To bridge these gaps, government-backed research and investment are urgently needed in new fish species identification, new fishing grounds, and modern fishing technologies.
The LDC graduation challenge: When subsidies fade
Bangladesh's graduation from LDC status in 2026 marks a historic achievement—but it also presents a serious challenge for export-oriented sectors like marine fisheries.
Post-graduation, many export subsidies will become non-compliant with WTO rules and will gradually be withdrawn. For industrial trawling—where fuel, crew, maintenance, compliance, and financing costs are exceptionally high—this could be destabilising.
Unlike light manufacturing, marine fishing cannot easily absorb sudden cost shocks. Without transitional support mechanisms, the withdrawal of subsidies risks:
• Reduced competitiveness in global markets
• Deferred fleet modernisation
• Lower compliance with international standards
• Potential exit of private investment from the sector
If not managed carefully, LDC graduation could inadvertently weaken one of Bangladesh's most promising blue economy segments.
Policy reform and transitional support
To prepare for a post-subsidy environment, Bangladesh must act now. Vessel replacement, ownership transfer, and licensing processes must be simplified. Under the new fisheries policy, bottom trawlers are to be replaced with mid-water trawlers within 5 to 10 years, but this transition requires predictable financing and administrative clarity.
Monitoring of IUU (Illegal, Unreported, and Unregulated) fishing must be strengthened to protect compliant operators. During fishing ban periods—recently reduced from 65 days to 58 days—commercial trawler operators should receive financial relief and loan repayment flexibility, as operations are completely halted while fixed costs continue.
Export readiness and market expansion
The European Union has approved direct export of block-frozen fish and shrimp from vessels, a first for Bangladesh. Only five vessels have achieved this compliance so far, including two from Rancon Sea Fishing Division with another awaiting approval. And we have successfully exported our onboard block frozen ocean Tiger to Belgium in last October.
This achievement demonstrates that Bangladeshi operators can meet global standards—but sustaining this momentum in a post-LDC landscape will require smarter, WTO-compliant support instruments.
A smarter incentive framework
Rather than traditional export subsidies, the government should consider:
• Capital cost sharing through green financing and soft loans
• Tax exemptions on modern vessels and equipment
• Fuel-efficiency and technology upgrade incentives
• One-stop regulatory services for faster compliance
• PPP-based investment in ports, cold chain, and logistics hubs
The marine shrimp sector deserves special attention. While competitors like India, Vietnam, and Ecuador dominate farmed vannamei shrimp exports, Bangladesh's wild-caught organic shrimp prices have nearly halved, pushing the sector toward crisis. Reducing incentives at this stage risks long-term damage to a high-value export segment.
Time for strategic action
Bangladesh's deep-sea fisheries stand at a defining crossroads. The country's LDC graduation will be a milestone, but success in the blue economy will depend on how effectively we transition from subsidy dependence to structural competitiveness.
With decisive policy reform, scientific management of marine resources, and investment-friendly frameworks, deep-sea fishing can become a pillar of sustainable growth. The opportunity is real—but the window to act is narrowing.
The write is the CEO, Rancon Sea Fishing Division & Rancon FC Properties Ltd.
Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the opinions and views of The Business Standard.
