The World Trade Organization has brought into force a landmark deal to eliminate billions of dollars in subsidies that drive overfishing. Effective September 15, the WTO fisheries agreement is hailed by campaigners as a breakthrough for ocean health and a chance to restore global fish stocks.
A turning point for WTO fisheries rules
The agreement became possible after Brazil, Kenya, Tonga, and Vietnam formally ratified the deal, giving it the support of two-thirds of WTO members. Originally concluded in June 2022, the pact prohibits governments from granting subsidies to fleets targeting overfished stocks or operating in international waters. It aligns with United Nations Sustainable Development Goal 14.6, which calls for eliminating subsidies that enable illegal, unreported, and unregulated fishing.
Transparency provisions are central to the WTO agreement, including a ban on subsidies for unregulated high seas fishing, one of the ocean’s most fragile areas due to weak governance. Binding rules are expected to cut excessive fishing pressure, promote sustainable practices, and strengthen the resilience of coastal communities worldwide. The European Union, which ratified the agreement in June 2023, has framed it as a pillar of its broader Ocean Pact.
Financial support for low-income countries
To ensure implementation, the WTO has also activated a dedicated fisheries fund for low-income countries. The fund, with the EU as its largest contributor, will help governments adapt to the new rules while supporting small-scale fishing communities. “Global fish stocks will now have the chance to recover, bringing tangible benefits to local fishers,” said Megan Jungwiwattanaporn of Pew Charitable Trusts.
Globally, governments spend an estimated $35.4 billion annually on fishing subsidies, including fuel for distant-water fleets. A 2019 study commissioned by the Pew Charitable Trusts found that $22 billion of this total constitutes harmful subsidies. The largest subsidizers include China, the EU, the United States, South Korea, and Japan, though not all are covered by the new WTO fisheries deal.
What comes next for WTO members
WTO members are now tasked with incorporating the agreement into their domestic frameworks. Compliance will be monitored through detailed reporting to a new WTO Fisheries Subsidies Committee, which will oversee implementation. This first phase of the pact took more than 20 years of negotiations and will lapse in four years unless expanded with more comprehensive and permanent rules.
