Despite being an island nation surrounded by the Indian Ocean, Sri Lanka has yet to fully capitalise on its fisheries sector, a situation frequently highlighted by local fishermen.
The country’s resource base is substantial: an Exclusive Economic Zone of 517,000 sq km, a territorial sea of 21,500 sq km, and thousands of square kilometres of lagoons, estuaries, and man-made reservoirs that can support both capture fisheries and aquaculture development.
In theory, these natural advantages should position Sri Lanka as a major player in the regional and global fish trade. Yet, reality tells a different story.
According to the Observatory of Economic Complexity (OEC), Sri Lanka ranks only 26th globally in live fish exports, far behind regional leaders. It is 63rd out of 185 countries in live fish imports and contributes a mere 2.3% to national export earnings from fisheries, according to Ministry of Fisheries statistics.
This raises a pressing question: why has Sri Lanka, with such an extensive and resource-rich maritime territory, failed to achieve export levels comparable to other Asian countries?
When compared to its Asian counterparts, the gap becomes stark.
Based on available international data for 2023, China, for example, exported $ 10.4 billion in fish in 2023, leveraging a vast aquaculture infrastructure and technological expertise. Vietnam and Thailand followed with $ 9.2 billion and $ 6.47 billion, respectively, exporting high volumes of shrimp, catfish, and other seafood products.
Within South Asia, India exported $ 8.66 billion in fish, dwarfing Sri Lanka’s modest $ 23.7 million, despite both countries having long coastlines and access to abundant marine resources. India’s success shows that regional scale and potential can be effectively converted into export performance when adequate planning and infrastructure are in place.
Fishing fading away
Local fishermen have long highlighted several persistent challenges that constrain Sri Lanka’s fisheries sector.
They point to poor planning, weak management, outdated technologies, and a lack of modern infrastructure as major hurdles. In contrast, neighbouring countries have invested heavily in aquaculture, cold chain logistics, processing facilities, and export-oriented fisheries policies.
Sri Lanka, however, has yet to make similar strides, limiting its ability to scale production, maintain product quality, and compete in high-value international markets.
Anthony Swami, a 64-year-old fisherman from Mannar, explained the day-to-day struggles. “We are still using the same old methods to locate fishing areas. We know where the fish are, but we don’t have the boats or equipment to reach them safely. Even if we catch a good haul, without cold storage, much of it goes to waste. Our boats can’t handle the rough seas for more than three or four days, so our work is always limited.”
Having fished for over five decades — starting as a teenager when fishing was just for fun — Swami expressed his disappointment at the industry’s stagnation.
“Nothing significant has changed in all these years. Because the work isn’t attractive, my sons aren’t interested in fishing. I’ll be the last in my family to do this. It’s heartbreaking because our waters are some of the richest in the Indian Ocean, yet we are not taking full advantage of this resource. South Indians come here for our fish, but our own Government seems to overlook the sector,” he said.
Statistics from the Ministry of Fisheries paint a picture of the sector’s scale. Sri Lanka has 318,470 fishermen, of which 223,720 work in marine fisheries, with around 85% being coastal fishermen. About 34,550 people are engaged in offshore and deep-sea fishing on multi-day vessels.
The number of fishing families totals 273,240, and approximately 1.1 million people are directly involved in the industry. When including indirect employment and related dependents, around 2.7 million people rely on fisheries for their livelihoods. In total, nearly 18% of Sri Lanka’s population depends on the fishing industry.
Yet, in reality, many coastal areas are seeing a decline in younger generations continuing in the trade.
Francis Silva, a fisherman from Negombo, shared his frustration: “When my father and grandfather were fishing, we were proud of our new boats. But now, decades later, we’re still using the same old boats. My sons don’t want to go out in them; they want modern motorboats and better technology, but those aren’t available here. Every day is a struggle, and we barely see any support from the Government.”
Despite these challenges, Sri Lanka exports a portion of its fish products. In 2024, around 43.1% of exports went to Europe, with 29.3% to the European Union. Ornamental fish exports also brought in Rs. 7,392 million during the same period.
For 2024, the Ministry of Fisheries, Aquatic and Ocean Resources has been allocated capital expenditure of Rs. 7,273.41 million and recurrent allocations of Rs. 1,981.99 million. As of now, financial progress shows 84% of capital funds and 92.24% of recurrent funds have been utilised.
Funds wasted?
Despite the issues faced by the sector, the latest audit report issued by the National Audit Office (NAO) on the Fisheries Ministry last year highlighted serious gaps in financial management, project implementation, and oversight within Sri Lanka’s fisheries sector, raising concerns over public fund utilisation and accountability.
According to the audit report, provisions of Rs. 850 million, Rs. 600 million, and Rs. 400 million were allocated in 2024 to the National Aquaculture Development Authority (NAQDA), National Aquatic Resources Research and Development Agency (NARA), and Ceylon Fishery Harbours Corporation (CFHC), respectively, for both recurrent and capital expenditure. Additionally, NAQDA received Rs. 97.87 million through supplementary provisions for fisheries infrastructure development.
However, auditors noted that the accuracy of expenditure totalling Rs. 1.8 billion could not be verified. “Expenditure reports detailing how the funds were spent and progress reports for individual projects were not submitted to the audit,” the report states.
Furthermore, despite the Ministry of Fisheries being tasked with policy formulation, programme oversight, and project evaluation, there was no evidence that follow-up or evaluation activities were carried out.
The Gandara Fishery Harbour project, initially scheduled for completion on 6 December 2023, was delayed until 23 December 2024. The delay resulted in interest payments of Rs. 206.83 million to the contractor due to late payments of 38 interim certificates, causing a direct financial loss to the Government.
The audit also flagged NARA’s prawn post-larvae project, which aimed to produce 15 million post-larvae in 2023/2024. Only 3.44 million were successfully deposited in lagoons, as many larvae had to be sterilised due to disease risks. The project, which incurred Rs. 20.32 million, was effectively halted midway without achieving its objectives.
Land management issues were also highlighted. A plot of 110 perches in the Dikkowita Fishery Harbour, formally transferred to the Ministry of Fisheries in December 2022, had already been leased to a private company since October 2021 without proper oversight. The ministry had not legalised the transfer to the CFHC by the end of 2024, preventing the corporation from recovering Rs. 2.34 million in outstanding lease payments and late fees.
The audit further noted lapses in monitoring. NARA was required to fully engage officers in monitoring prawn breeding centres, as stipulated in a letter from the ministry dated 6 November 2023. The audit found no evidence that any officer had been fully engaged, nor that the ministry had conducted follow-up to ensure compliance.
Dispute deepens
In addition, fishermen in the northern part of Sri Lanka continue to voice frustration over the longstanding issue of Indian fishermen poaching in Sri Lankan waters. Despite the problem persisting since 2009, fishermen say no decisive political solution has been implemented.
“All we see is the Sri Lanka Navy seizing some boats, and then the fishermen are released again,” said Jeganathan Sivalingam, a fisherman from Jaffna.
“Catching Indian fishermen from time to time doesn’t solve the problem. What we need is a permanent solution, handled directly by the Government. This is not a complicated task, yet it feels like our governments are afraid of upsetting India. They just seem to dance to India’s tune. We had hoped this Government would bring change, but so far, nothing strict has been done.”
Sivalingam stressed the toll the issue had taken on local livelihoods. “The day we finally stop fishing is getting closer. We have tolerated more than a decade of this. If it weren’t for this fishing conflict, we could have already developed our region into a thriving fisheries hub.”
According to northern fishermen, between 1,000–1,500 mechanised boats enter the Palk Strait, Palk Bay, and Gulf of Mannar daily, engaging in illegal fishing. These fishers, primarily from Tamil Nadu, Andhra Pradesh, and Rameswaram, deliberately cross the International Maritime Boundary Line (IMBL) in search of the highly productive shallow fishing grounds of Palk Bay and the Gulf of Mannar, known for their natural seagrass beds and rich benthic communities.
The Sri Lankan Fisheries Department reports that Indian trawlers predominantly use bottom trawling — a method banned in Sri Lanka — harvesting prawns, demersal fish, sea cucumbers, and squid.
In 2016 alone, it was estimated that 35,600 Indian trawlers conducted illegal fishing in Sri Lankan waters, extracting roughly 1,900 tonnes of shrimp and 4,000 tonnes of demersal fish. Each boat typically conducts 2–6 hauls per day, causing severe damage to the seabed, particularly the seagrass beds that serve as crucial feeding, nursery, and breeding grounds for many species.
Despite numerous attempts, including diplomatic interventions, Sri Lanka and India have yet to reach a lasting agreement to address this ongoing conflict.
Ministry stance
Responding to concerns raised by fishermen across the country, Fisheries Minister Ramalingam Chandrasekar stressed that the ministry had initiated extensive discussions with fishermen’s associations nationwide, actively listening to their grievances while implementing measures to address the challenges they faced.
Acknowledging the damage caused by illegal fishing by Indian vessels, the Minister noted that he had personally visited fishing communities in the north and east, where fishermen had briefed him on the difficulties they encountered.
While a bilateral solution with India is being sought, Chandrasekar stressed that the ministry was also considering amendments to the Fisheries and Aquatic Resources Act and planned to take strict action against illegal fishing activities.
On the issue of declining interest among the youth, the Minister observed that young people were moving away not only from fishing but also from agriculture. “We have launched several initiatives to make the fishing industry more attractive to younger generations by integrating modern technology and innovative practices into the sector,” he said.