Sea Resources firms up foothold

Sea Resources Group has shored up its foothold by signing deals with
two Danish companies to manufacture fishing gear and hydraulic
machinery. Officials of the leading deep-sea fishing entity said the
twin deals would cut import- dependency and help the local company
explore global markets. One of the joint venture deals was with
Cosmos Trawl, a Danish fishing gear maker. In line with the
agreement, a state-of-the art unit will be set up to make net and
trawl doors to meet rising demand by deep-sea fishing trawlers in
Bangladesh and beyond. To make hydraulic machinery in Bangladesh, Sea
Resources has signed another agreement with AS-SCAN Hvide Sandem,
also a Danish company. "We are trying to sharpen our competitive
edge," said Amanullah Chowdhury, joint managing director of Sea
Resources that boasts a 15- vessel fleet for deep-sea fishing. In the
sector, there are 140 trawlers officially permitted to go for
deep-sea fishing. Usually, deep-sea fishing trawlers catch shrimp,
pomfret, snapper and tongue sole in the Bay of Bengal -- home to 490
species of fish belonging to 133 families. Of them, 65 species have
commercial importance. Sea Resources earns about $12 million in
exports a year. Officials said most of the fishing gear used by
trawlers is generally imported. Similarly, hydraulic equipment is
also imported. "The agreements will also allow us to use the know-how
in making modern fishing gear such as customised net, trawl doors and
hydraulic fishing equipment," said Chowdhury. He also said the joint
venture would enable them to make modern fishing gear in Bangladesh
at lower cost, giving it a competitive edge to explore business
opportunities not only in Bangladesh but also in South and Southeast
Asian regions. "In future, we want to tap regional markets," he said.
Supported by the Danish Business-to- Business (B2 B) Programme under
Danida, a pilot phase of commercial production of net is underway to
establish a net loft on the bank of Karnaphuli river in Chittagong.
Chowdhury said the joint venture entity to be named SRL-Cosmos Ltd
would start production of customised net and multi- flexible trawls
by January. The agreement with AS-SCAN Hvide Sandem on manufacturing
machinery is also expected to facilitate local capacity in
manufacturing hydraulic equipment such as net drum, pump, motor and
steering gear. The production unit will be set up on the premises of
Sea Resources, one of the subsidiaries of Fishers Shipyard Ltd.
"Initially we hope to make hydraulic machinery for deep-sea fishing
vessels. In the long run, we will be able to provide hydraulic
equipment for the emerging shipbuilding industry," he said. Chowdhury
hoped that initial investments for establishing the net loft and
hydraulic machinery unit would stand somewhere between $25-30
million. "After completion of these two projects, we will be able to
improve our efficiency in deep- sea fishing and reduce our cost."