Maldives Industrial Fisheries Company (MIFCO), on Sunday, announced the decision to cancel the fixed fish prices set for Maldivian fishermen.
The current rate of MVR 20 per kilogram will be discontinued from September 24 onwards, in favour of a floating price mechanism.
Speaking at a press conference, the state fisheries company's CEO Ismail Fauzee revealed that the policy change was finalised in an effort to remedy difficulties in managing MIFCO's cash flow.
According to Fauzee, MIFCO had purchased fish from local fishermen under the fixed rate for seven years.
Following the implementation of the new pricing policy, rates in Maldives will reflect global market prices. The fisheries company added that the floating price would be displayed on the company's website and updated on a daily basis.
Describing the measure as a step towards achieving progress within the Maldivian fisheries sector, Fauzee reiterated MIFCO's commitment to develop the industry.
MIFCO particularly highlighted that the new policy would enable Maldivian fishermen to earn more profit during periods in which higher market rates are recorded globally.
It was also noted that fishermen would be guaranteed payment within a maximum of seven days after their catch is weighed.