The government has continued to generate revenue through fish auctions with figures showing that more than N$700 million has been raised through the auctions. This approach involves auctioning fish quotas through a competitive bidding system, ensuring that the nation receives fair compensation for its fisheries and maximizes the benefits of its natural resources.
In the latest development, the government has announced its intention to auction 600 metric tons of Monk Freezer Fish to the highest bidder. The Ministry of Finance and Public Enterprises and the Ministry of Fisheries and Marine Resources have invited bids for this quota, with specific conditions. Bidders must submit offers in multiples of 100 metric tons, with a minimum price set at N$10 000 per metric ton of monk freezer fish. Successful bidders are expected to make their payments by 15 September, with the full auction results slated to be disclosed by the end of September.
Notably, in 2021, the Ministries of Finance and Fisheries and Marine Resources reported that auctions held during the year raised an impressive N$567 million. One such auction occurred on 31 March this year, where 30,540 metric tons of horse mackerel were auctioned, resulting in a total revenue of N$52.3 million. The government considered this auction successful, as it led to improved prices, increasing from the reserve price of N$3,000 to an average of N$3,017.64 for freezer horse mackerel and from N$750 to N$754.02 for wet horse mackerel. This outcome reinforced the efficacy of auctions in price discovery and resource allocation within the sector.
On 16 December 2022, the government successfully auctioned 15,000 metric tons of hake, raising a total of N$110.1 million. The ministry hailed this hake auction as another success, with prices rising from a reserve price of N$7,000 to an average of N$8,592.55 for wet hake and from N$9000 to N$10,207.41 for freezer hake. This reaffirmed the value of auctions in facilitating price discovery and resource allocation.
On 1 July 2022, the government auctioned 1000 metric tons of monk freezer fish, resulting in a revenue of N$6.4 million. This continued success underscores the effectiveness of auctioning as a means to discover market prices and allocate natural resources efficiently.