MIFCO to take over Ensis Canning Factory

Ensis Canning Factory, which has had a hefty investment of USD 25 million (MVR 385 million) by a private Maldivian investor, is set to be handed over to MIFCO.

As the rumors that MIFCO was planning to buy Ensis Cannery were getting louder, MIFCO released a statement last night saying that they have conducted the research needed to acquire "Ensis Cannery's processing capacity". The factory has been discontinued for a year and a half. As per MIFCO, they are currently discussing the details with Ensis.

As per MIFCO's words, the Ensis Factory was invested in quite heavily and includes the latest machinery and tools needed in its line of work.

The price for MIFCO to "acquire" such a heavily and privately invested entity has not been set yet. It is still uncertain whether MIFCO will be renting or buying the factory.

Information on Ensis Cannery:

- The cannery was opened on 9th December 2019, the first of its kind in the Male' area.

- Invested amount: USD 25 million (MVR 385 million)

- A cold storage capable of holding 1,200 tonnes of fish was acquired.

- 25 tonnes of fish are stored per day.

- Around 200 employees were working at the cannery by the time it closed in September 2023. 80 percent of the employees were women.

- Cannery plot size: 50,000 sqft.

- The main reason the cannery had to be closed was after MIFCO increased the price of fish bought from fishermen to MVR 25 per kilo.

The cannery was officially inaugurated on 9th December 2019, in line with Fisherman's Day. The cannery was the largest investment Ensis Company had seen in its 23 years.

As told by the company at the time, the purpose of the factory was to prepare fish cans and fish products by combining different flavors from all types of fish without wasting any type of fish. Fish were sealed in cans along with water, oil, chili sauce or sunflower oil.

Then-Ensis Factories Director Abdul Waheed told Mihaaru News in an interview at the time that they had to stop buying fish from fishermen due to the losses they were facing for buying it at MVR 25.

He went on to say that the cannery and the factory had been constructed after taking out a foreign loan, and that the business could not move forward anymore due to the huge losses it incurred. He said the such a huge investment was made with the assurance from the government that great opportunities would arise for private businesses.

MIFCO has stated that they are working on increasing the productivity of the company.

"The biggest challenge MIFCO is currently facing is the huge delay in compulsory repairs and maintenance of marine fishing vessels, along with operating infrastructure, machinery and other equipment. Essential and basic repairs, along with making necessary changes are a priority at MIFCO as well," as per the statement.

The statement also included the following: "The state and MIFCO are committed to improving the ability to add value to the purchased fish in the country as work is underway to increase fish procurement and storage capacity."