Somalia has secured duty-free access for its fishery products to the Chinese market after signing a new trade agreement with China, a move expected to increase exports, support the country's blue economy and create new jobs across the fisheries sector.
The agreement was signed in Mogadishu by Somalia's Minister of Fisheries and Blue Economy, Ahmed Hassan Aden, and Chinese Ambassador to Somalia Wang Yu. The signing marks a new step in trade relations between the two countries as Somalia seeks to expand access to international markets for its seafood products.
According to Somalia's Ministry of Fisheries, the agreement is expected to increase fish exports while supporting the development of the blue economy and creating employment opportunities across the fisheries value chain. The ministry said the deal will also help strengthen economic cooperation between Somalia and China.
Speaking after the signing, Ahmed said the agreement marks an important moment for Somalia's fisheries sector because local seafood products will now enter the Chinese market without being subjected to import duties. "This is the first time that Somali fishery products have officially gained access to the Chinese market by benefiting from duty-free access, which is expected to increase competitiveness and export opportunities for Somali fishermen and traders," the minister said.
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Ahmed added that the agreement would help deepen economic relations between Somalia and China while creating opportunities for more investment and cooperation in the fisheries industry. He said the new market access is expected to encourage growth in the sector by giving fishermen, traders and exporters access to one of the world's largest consumer markets, which could help increase demand for Somali seafood products. China's Ambassador to Somalia, Wang Yu, welcomed the agreement, saying it would make trade between the two countries easier while strengthening commercial and economic cooperation.
The agreement comes as China continues to expand its zero-tariff policy for African exports. Beijing has extended the policy to cover all tariff lines for the 53 African countries with which it maintains diplomatic relations, removing import duties that previously ranged between 8 and 30 per cent. Exporters, however, will still be required to meet rules of origin and comply with other non-tariff requirements before their products can enter the Chinese market.
Somalia is expected to benefit from the expanded market access as the government works to increase exports from its fisheries sector. The country has the longest mainland coastline in Africa along the Indian Ocean, giving it access to marine resources that have not been fully developed for commercial production and export.
The government has identified the blue economy as one of the sectors that can contribute to economic growth, increase export earnings and create employment. The new agreement with China is expected to support these efforts by opening a larger market for Somali fishery products while encouraging investment across the fisheries value chain.
The deal also comes at a time when the fisheries sector continues to face several challenges despite recording strong fish harvests. The fisheries sector contributes only about 2 to 3 per cent to Somalia's GDP and 2 per cent to exports, despite having the potential to produce 340,000 to 500,000 metric tons of fish annually from the country's Exclusive Economic Zone.
Fish exports increased from $9.9 million in 2017 to $51.3 million in 2022, showing a recovery trend, but the sector still lags far behind its potential.
Traders and fishermen at Mogadishu's main fish market say catches of tuna, mackerel and lobster remain high throughout much of the year, showing the country's potential to increase seafood exports. However, they say inadequate cold storage facilities, limited fish processing capacity and insufficient export infrastructure continue to slow the industry's growth and reduce opportunities to access international markets.
Post-harvest losses are estimated at 30 to 40 per cent due to the lack of cold storage, while poor roads and outdated ports increase transportation costs by 15 to 30 per cent.
Industry stakeholders believe the new agreement could encourage investment in storage, processing and transport facilities needed to support larger export volumes while helping local producers meet international market requirements. The Somali Fisheries Union has identified the lack of international market access and industrial-scale cold storage as major obstacles to growth.
A commercial fisherman from Mogadishu's Hamar Weyne fish market said catches are abundant, especially between October and April, but the sector requires advanced, motorised vessels to maintain production levels during the windy season from May onwards.
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The Chairman of the Somali Fisheries Union said the industry is prepared to capitalise on the new market access.
"With proper international access, the daily yield can easily scale to thousands of kilograms. The announcement of the zero-tariff policy by China is a massive breakthrough," he said. "China has historically supported Somalia's infrastructure and development, and this initiative will generate immense economic momentum. Capitalising on this zero-tariff access will transform seafood exports into a primary revenue stream for the nation."
With duty-free access now available for Somali fishery products entering China, officials expect the agreement to improve the competitiveness of local seafood exports, expand trade between the two countries and support the government's efforts to diversify export markets while creating more opportunities for fishermen, traders and businesses operating across Somalia's fisheries sector.
The implementation of the agreement will require continued investment in infrastructure and compliance with international standards, but the deal represents a significant step forward in Somalia's efforts to develop its blue economy and expand its presence in global seafood markets.
