MIFCO to be split from STO to become independent company

President Ibrahim Mohamed Solih has announced Maldives Industrial Fisheries Company (MIFCO) will be split from State Trading Organization (STO) this year, to be established as an independent company.

He made the announcement whilst delivering the annual presidential address at the opening sitting of the Parliament for the year 2022.

Noting that last year’s fish purchase was the highest ever made by MIFCO in the last 15 years, President Solih said that the company will raise the price per kilo of tuna starting from March this year.

He detailed that from then on. MIFCO’s fish prices will be tied to global prices for tuna. If prices are high in global markets, MIFCO will be able to buy fish at a higher price.

“MIFCO will be split from STO and established as an independent company this year. I spoke about improving MIFCO’s operations in the last presidential address as well,” he had said.

Speaking further, President noted that the level of income generated by fishing depends on the capacity to adequately and safely store it. In this regard, he added that the government will be issuing MVR 59 million in loans to install freezers in 118 fishing vessels.

In 2021, MIFCO bought total 58,350.309 tonnes of fish – paying fishermen MVR 901 million in total for it. The highest amount of money was paid to fishermen last year during December; being MVR 170 million.

MIFCO was designated as a subsidiary of STO in 2016, during former President Abdulla Yameen Abdul Gayyoom’s administration. STO’s Managing Director Hussain Amr has stated that the chance resulted in the company incurring a loss of MVR 450 million in a span of three years.