Actuality September 4, 2007.

As long ago as in April Vladimir Putin (the President of Russia) declared in the message to Federal Assembly, that it was necessary to stop issue of fishing quotas fish to the foreign companies and give preference to the domestic enterprises.

It seems, that fishing companies seriously pondered over. There was made a suggestion to forbid issue of fishing quotas

to the companies with a foreign capital. Besides it, the first vice-prime Sergey Ivanov suggested to assign quotas not to companies but to boats. Moreover, shares in foreign fishing companies will be bought out.

That, as the head of the Department

of Agriculture declared Alexei Gordeev, shares of fishing enterprises which belong to foreign countries will be bought out.

It should be noted that presently the Korean, Chinese and Japanese companies control 65% of fishing of Russian pollack. Although the president of International association of operators of marine products market and the president of group «Taleks» Alexei Totunov considers that share of foreigners in the fishing of fish s not really so big. Officials did not exactly decide on how to reduce the number of foreign fishing companies. But it is exactly known that stopping of quotas issue to the commercial companies with foreign share will be the first step. It is planned to begin it from 2008. In opinion of the leader of public relations center of Russian Fishery Alexander Savel'ev, all companies participating in auction should be obliged to disclose beneficiaries and in this way to check the presence of foreign capital.

However, there is no concept of beneficiaries in the Russian legislation, it will be necessary to make amendments

not only in a law about fishing but also in the great number of other legislative acts.

However much it is not the only difficulty.

In fact foreigners doing fishing for a long time will not easily give in. And analysts assert that the great num ber of loop-holes and combinations will be found.

For example, it is possible to create one Russian company,

which will be founded in another Russian one, having the capital of foreigners in it.

Besides it, there is another problem.

As the first vice-prime Sergey Ivanov said, quotas for cod, salmon and crab must be assigned not to companies but to boats.

But in this case it is necessary to take into account that building of large-capacity vessel costs minimum 15–20 million Euros to the company. So that a ship covered the expenses a cost and began to bring profit, quotas must be assigned not less than for 10 years.

It is necessary also to note that according to the information, the wear of fishing boats is 80%. In connection with that he considers, it necessary to «foresee the special section about building of fishing boats in federal program of support of civil shipbuilding». There is also a suggestion about the reduction of VAT at building of boats for the Russian companies on the Russian shipyards.

All these are on the level of discussion.

But there is probability, that most suggestions will be approved and accepted with the amendments.

Thus, it is not it is not ruled out, that in the nearest future fishery will become Russian business.