LUXEMBOURG — The European Union is to give Thailand six months to drastically change its policies on illegal and unregulated fishing or face an EU seafood import ban by the end of the year.
Two people with knowledge of the decision told The Associated Press Monday that the 28-nation bloc will give Thailand an ultimate warning or it could face export losses of over half a billion euros a year.
The move is to be officially announced on Tuesday.
The sources, including one EU official, spoke on condition of anonymity because the announcement has yet to be made. They said Thailand now has six months to come forward with a new approach to stave off the ban.
Thailand is a major exporter of seafood, with yearly revenues of almost 5 billion euros (175 billion baht or $5.4 billion), and an EU ban would seriously affect the industry. Annual exports to the EU are estimated to be worth between 575 million euros (19.88 billion baht) and 730 million euros (25.23 billion baht).
As the global stocks of fish are dwindling, the EU has started to take increasingly tough action against EU nations which it feels are not playing by the rules.
The EU says that illegal fishing around the globe accounts for some 15% of catches and has created a 10-billion-euro black market that is hurting the environment and fishing communities alike.
Now, the EU hopes it can start cooperating with Thailand so that it improves its practices by tightening the practical and legal loopholes that the illegal fishing industry now exploits.
After the so-called "yellow card'' it can go back to a green card for nations that fully meet EU standards, or the EU can issue a red card and impose the trade ban.