- Public bid held to select two management companies to run largest-ever fisheries funds worth KRW 35 billion

 The Ministry of Oceans and Fisheries (Minister Kang Do-Hyung) will hold a public call from February 28th (Wednesday) to March 22nd (Friday) to select management companies to run two fisheries funds, worth a total of KRW 35 billion, to be established this year.

 Since 2010, the Ministry has operated the Fisheries Fund program, co-financed by the government’s Fisheries Development Fund of Funds and investment from the private sector, with the aim to create a growth foundation for fisheries management companies and revitalize investment in the fisheries sector. The fisheries funds established through the program are used to invest in fisheries businesses with high growth potential for eight years upon establishment, consequently promoting the inflow of private capital to support the growth of fisheries management companies. As of 2023, 18 fisheries funds with a total investment of KRW 261.4 billion have been established, and KRW 145.6 billion has been invested in fisheries firms to promote further growth.

 This year, the Ministry plans to establish the Blue Food Tech Fund, a special-purpose fund worth KRW 20 billion, as well as the first-ever Secondary Fund, worth KRW 15 billion, which it will fund at a significantly increased rate of contribution. Blue Food Tech, including 3D printing and alternative meat, is a business sector that creates new added value through the convergence of new technologies with the overall seafood industry. The Blue Food Tech Fund is expected to drive innovation of the blue food sector. In addition, the Ministry plans to further improve investment efficiency through the Secondary Fund, which will be used to provide continued support in terms of necessary time and capital to realize growth to companies already receiving investment through the existing fisheries funds. Notably, the Secondary Fund is the first fisheries fund aimed to secure liquidity for fisheries funds* and is accordingly expected to provide a growth foundation for businesses while promoting the revitalization of the fisheries investment market.

 * Acquire assets or equity interests in fisheries management companies newly receiving investments from sub-funds that have received contributions from the Fisheries Fund of Funds (master fund)

 In addition, in consideration of current market conditions and the challenges they pose to recruiting private investors, the Ministry plans to adjust its project operations accordingly, including temporarily easing investment restrictions for fund management companies that have failed to complete the formation of investment schemes due to voluntary withdrawal from the bid without requests for deadline extensions.

 Fund managers interested in participating in the public call for fisheries fund managers can submit their proposals and supporting documents to the Agricultural Policy Insurance & Finance Service by the submission deadline. Detailed information, including on submission procedures, can be found via the Agricultural Policy Insurance & Finance Service website or point of contact.