The WTO Agreement on Fisheries Subsidies, adopted at the 12th WTO Ministerial Conference (2022), has officially entered into force after crossing the threshold of two-thirds of WTO members’ ratifications in 2025. 

Key Provisions of the Agreement

• It is the first multilateral trade agreement with environmental sustainability at its core.
• Ban on Illegal Fishing Subsidies: Prohibits government subsidies to vessels or operators engaged in illegal, unreported, and unregulated (IUU) fishing activities.
• Overfished Stocks: Subsidies for fishing overexploited stocks are prohibited, except where they are directed towards rebuilding fish stocks to biologically sustainable levels.
• High Seas Fishing: Prohibits subsidies for fishing in unregulated high seas outside national  jurisdictions and not regulated by Regional Fisheries Management Organizations/Arrangements (RFMO/As).
• Transparency Mechanism: Members must share information on subsidies and fishing practices through regular reporting.
• Special & Differential Treatment (S&DT): Developing countries and LDCs are given a two-year transition period from the date of entry into force to implement obligations.
• Committee on Fisheries Subsidies: Established to oversee implementation, review practices, and enhance transparency.
• WTO Fish Fund: Established to provide technical assistance and capacity building to developing economies and LDCs for sustainable fisheries management. (Fund announced in 2022 with ~$18 million pledged).

Global Context 

• Overfishing Crisis:
  • 35.5% of global fish stocks (2021) were overfished, compared to 10% in 1974.
  • Around USD 35 billion spent annually on marine fishing subsidies; of this, USD 22 billion harmful subsidies contribute directly to stock depletion.
• Livelihoods at Stake: Hundreds of millions globally depend on fisheries for food, income, and employment.
• Environmental Sustainability: First WTO agreement explicitly aimed at meeting SDG 14.6 (End Subsidies Contributing to Overfishing).

India’s Position

• Sustainability Principle: India argues for the ‘polluter pays principle’ and ‘common but differentiated responsibilities (CBDR)’, demanding that nations historically responsible for stock depletion should bear more obligations.
• Low Subsidiser: India provides minimal fisheries subsidies compared to advanced fishing nations. Its fisheries sector is small-scale and traditional, not industrialised.
• Livelihood Concerns: The agreement protects India’s small fishers by:
  • Allowing subsidies where measures are taken to rebuild overfished stocks.
  • Preventing large-scale IUU fishing by industrial fleets that deprive Indian coastal communities of resources.

Significance

• Multilateral Cooperation: Demonstrates that WTO members can deliver global solutions to shared challenges like environmental degradation.
• Balance of Interests: Seeks to protect marine resources while safeguarding livelihoods of small-scale fishers.
• Strengthening Multilateralism: Reinforces WTO’s relevance in addressing trade-linked environmental issues.
• Food Security: Ensures sustainable fish stocks, which are a vital protein source for millions.

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