250,000 people, about 2% of the workforce, are employed nationwide in the fishing sector. With a Rs. 66 billion (US$ 600 million) contribution to the Sri Lankan economy in 2008, the sector amounted to 1.5% of the countries GDP. These are the findings of the comprehensive USAID study carried out over the past few months.

The study shows that less than 7% of the fish catch is exported, a minuscule amount from a sector which has such huge potential. Colombo acts as the nucleus of the wholesale market for this sector and trucks loaded with fish are forced to travel 8-10 hours on poor roads to deliver their load to the capital. The trucks must be refrigerated or use ice in order to keep the fish fresh.

With the help of new technologies there is tremendous opportunity for the marine fisheries sector to fish along the coastal and continental shelf. The current major consumers include EU countries, the U.S. and Japan, as well as the many tourist hotels around the island itself.

In 2008 Sri Lanka imported 76,000 MT of fish, mostly dried and canned for local consumption. The cost of these imports was Rs. 12.5 billion (US$ 116 million). An increase in fresh catch is unlikely to reduce imports unless more canning and drying facilities are opened in the island.

28% of the marine fish caught in Sri Lanka in 2008 was from the Eastern Province, a substantial amount of the overall catch. The USAID study has outlined a number of recommendations to improve the fishing sector in the East. These include multi-day boat fishing, increase exports and the investment of new technology would also help the sector.

Tying in with the fisheries report is that of aquaculture which is another area covered in the USAID study. This area has the potential to generate new income sources and employment opportunities in the Eastern Province. 44,500(14%) of the countries total fish production in 2008 came from inland and aquaculture fisheries.

The three subsectors of the fisheries sectore, of which aquaculture is one employs around 200,000 active fishers and 100,000 in support services. Pond raised fish and shrimps are a successful local market seller, and an area which in the right locations can employ many more people and increase the production of new products such as tilapia, shrimp, sea bass and other fish cultured in ponds, cages and pens.

Successful aquaculture starts with meeting the physical requirements for the production, processing and storage of aquatic animals and plants. The Eastern Province has significant access to fresh, brackish, and saltwater required for the development of aquaculture and inland fisheries. This sector is one which also has huge potential to generate employment and new income in the Province.

The ornamental fish trade is also a big export of Sri Lanka with US$ 9 million coming in from this sector in 2008. With the existing and new niche products the aquaculture sector looks set to become big on the global market. Overall the USAID assessment report shows great potential for both the fisheries and aquaculture sectors in the Eastern Province of Sri Lanka.