Economic development:

Fisheries sector third largest contributor

Chamikara Weerasinghe

The fisheries industry has gained the position of being the third largest contributor to the country's economic growth and development this year.

Sri Lanka's economic growth rate accelerated from 3.5 percent last year to 8.5 percent with the renewed confidence following the end of terrorism.

The best contributor to this has been the hotel industry.

The size of their contribution is 20.3 percent. The second best contribution is from the export crop industry, which is 20.2 percent. Fisheries and Aquatic Resources Minister Dr Rajitha Senaratna said.

Fisheries sector is the third best contributor whose contribution to economic development is 18.3 percent, he said.

"We have set the industry on a firm footing to boost our contribution to 50 percent," the Minister said. President Mahinda Rajapaksa liberated the entire fisheries industry from income taxes for five years when he read the last budget in Parliament.

The President allocated Rs 300 million to develop fresh water fisheries. Took steps to reduce interest rates on bank loans of fishermen, he said.

The Bank of Ceylon has reduced their interest rates on bank loans allocated for the sector from 12 percent to eight percent.

He said Ceylon Fisheries Corporation has become a profit making institution with the steps taken by them to increase its production.

The Corporation which was selling seven tonnes of fish per day six months ago, is now selling 15 metric tonnes.

The Ceylon Fishery Harbours Corporation income has also increased by Rs 13 million. The Harbours Corporation has earned Rs 28 million in September against Rs 15 million it made in March.

Minister Senaratna said when he took over the Fisheries Ministry it was running at a loss of Rs 76 million and it has come down to Rs 14 million.

The Minister said he has asked the Corporation's Chairman to give its workers a bonus.