Whiringa-a-nuku 2007
Issue 12b

  1. Why AFL?
  2. The Gift of the Whale: Inupiat hunting
  3. Balance needed in sharing fishing interest
  4. Only 11 iwi organisations left to mandate
  5. Shane Jones hangs up fisheries boots
  6. New Chair for AFL, Sealord
  7. Directors chosen for Te Ohu board
  8. East Coast Iwi celebrates AFL deal
  9. AFL lobster facility opens in Napier
  10. New Sealord CEO demonstrates passion for fishing
  11. Maori fisheries helps build new crab fishery
  12. Scholars embark on Japanese study trip
  13. Aquaculture analyst heads to Japan
  14. Directors for Trusts appointed
  15. North Island eel fishery cut
  16. Maori TV to show fishing documentary
  17. Forestry man for Maori fishing company
  18. Recovery of government costs discussed
  19. Fisheries Amendment Bill delayed further
  20. New role for AFL accountant
  21. New receptionist for Te Ohu Kaimoana
  22. Financial manager moves to US firm

Other Issues >>

Why AFL

As allocation of the Maori Fisheries Settlement enters the twilight phase with only 11 iwi remaining to receive fisheries assets, iwi organisations will be looking to secure the best return from their investment.

Since it was established in November 2004, Aotearoa Fisheries Limited (AFL) has redefi ned the way the fishing industry has been doing business. Iwi are not just looking for the best price for their annual catch entitlements (ACE) - generated from the ownership of quota - but rather many are leveraging greater investments and opportunities from their assets.

In the last 12 months, AFL has bought signifi cant amounts of ACE from iwi organisations, securing more than 16,000 tonnes to grow AFL, a Maori company owned by all iwi throughout Aotearoa.

So far, 12 iwi have joined with AFL in innovative and holistic solutions enabling them to get the most from their fisheries assets.

Tutekawa Wyllie has been meeting with iwi around the country selling AFL as the “vehicle of choice” to iwi. Better known for his former role as a member of the 1996 - 1999 Coalition Government between the National Party and New Zealand First when he was the elected representative for Te Tai Tonga, these days iwi see Tu in a different capacity. As AFL's project manager whose role is to build solid commercial relationships with iwi, Tu believes there is every reason for iwi to invest their fisheries assets with AFL for mutual benefi t. “We want iwi to automatically think, ‘AFL is going to give us the best deal for our annual catch entitlements, so we'll go with them',” he says. “It's not that we're offering iwi a higher price than our competitors for their ACE, rather we offer iwi added value and opportunities we believe they wouldn't be able to receive from other players in the fishing industry.”

First, there is the three-year minimum price guarantee offered to iwi. This provides certainty over the three years as to what iwi can expect to get for their quota with AFL. Additionally, iwi have a share in any “upside” in price with AFL if the price of fish increases during that time.

Secondly, AFL offers what is called Pataka Kai, allowing iwi to access their customary entitlement, mostly for tangi or special hui, through the commercial arrangement. AFL or Sealord will harvest, process and make available the customary catch to iwi for their customary fishing requirements.

Thirdly, AFL is developing an “investment vehicle” that will allow the purchase of seafood businesses and quota to add value to both AFL and iwi partners. Tu says that while it is still under development AFL is The Gift of the Whale: Inupiat hunting confi dent that iwi partners will have an opportunity to strengthen their balance sheets and work together to grow their fisheries businesses.

Additionally, AFL will work with iwi to develop on-going partnerships that provide tangible returns in their rohe. “We sit down and work with the iwi to identify sound commercial opportunities and we come in to support that initiative where AFL and Sealord also benefi t,” Tu says. It is through this development that the recent deal with Ngati Porou Seafoods Limited was able to be achieved. Ngati Porou Seafoods took over the retail and wholesale business of Moana Pacifi c Fisheries in Gisborne. Ngati Porou Seafoods will lease their ACE to AFL for three years and AFL has been contracted to supply fresh fish to the business. Other arrangements are also in the pipeline with other iwi.

Tu says these additional options provide iwi with added value on their fisheries quota that go beyond a simple annual price negotiation for ACE. “We want to work with iwi to provide further regional investment opportunities for them in the fishing industry, and I believe that the advantages of working with AFL are becoming apparent to more iwi as they receive their fisheries settlement.”

But Tu adds that, importantly, AFL is a 100 percent iwi-owned company and it is iwi that benefit from the growth and profits made by the company. AFL represents an exciting opportunity for iwi to own and develop one of the major fishing businesses in New Zealand while at the same time enhance their own direct investment and involvement in the industry.

“We're marketing all quota for iwi, not just the lucrative species. We have the critical mass to be able to deliver good returns to iwi and want to look at these relationships as very long-term - it's the thousand year paradigm for us,” he says. “There is an opportunity for all iwi to get together and grow AFL into an extremely healthy investment that underpins Maori values of sustainability but delivers a return second to none.”

 

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Tiakina ngā rawa hi ika, a tātou kaimoana mo ngā uri whakaheke
Protecting Māori fisheries assets for future generations