South Korea wants more Russian pollock quota in return for Far East processing investment
South Korea will invest in a processing complex in the Russian Far East in return for more Pollock quota, reports the Yonhap News Agency.
Korea Trading and Industries Co, Busan Port Authority and two other local companies signed a memorandum of understanding with Alexander Galushka, minister for development of the Russian Far East, to develop the complex in Vladivostok, South Korea’s ministry of fisheries said in a statement.
The project includes a seafood processing plant, a cold supply chain, a warehouse and a fishing boat pier, which will require KRW 133 billion ($177 million) to build, the ministry said.
The preliminary agreement was reached after South Korean Oceans and Fisheries Minister Kim Young-choon met with Galushka to discuss ways to step up marine cooperation on the sidelines of the Eastern Economic Forum held in Vladivostok last week.
Kim asked the Russian federal government's support to effectively push forward the project and increase the fishing quota in Russia's exclusive economic zone set at 36,250 metric tons in April, his office said.
The South Korean plan is the latest investment in the Russian seafood sector to emerge.
This comes after the revelation that a new company, Russky Mintay, will invest RUB 1.2bn ($21m) in a pollock processing plant in the Far East.
The plant, which will be in Russia’s Primorye Territory, will be able to produce around 50,000t of products a year, according to a regional government press release cited by the news agency.
In addition to fillets, the plant will also be able to produce fishmeal. Raw material will be delivered from Vladivostok’s container port.
Russky Mintay was created in August 2017 by Denis Sarana, who is a member of the board of directors of a stevedore company in the Vladivostok port.