MIFCO Undergoing Major Restructuring, New 100-Ton Cannery Planned in Felivaru

The Maldives Industrial Fisheries Company (MIFCO) is undertaking a comprehensive restructuring effort aimed at modernizing its operations, improving efficiency, and strengthening internal controls, according to Managing Director Ahmed Anas.

Speaking in his first media interview since assuming office, Anas told "Mihaaru" that one of the most significant challenges facing MIFCO is its outdated management culture, which has hindered the company's ability to operate efficiently and respond quickly to industry demands.

According to Anas, his immediate priority upon taking office has been to move away from traditional practices, restructure the organization, and transform MIFCO into a modern and professionally managed company.

“MIFCO is a long-established company, but by changing its organizational framework we can further strengthen management and improve efficiency,” he said.

Anas noted that despite being in office for only a short period, steps have already been taken to eliminate inefficiencies and reduce waste within the company's management structure. A new organizational structure has been approved by the board, while efforts are ongoing to develop policies and frameworks aimed at strengthening governance and introducing sustainable operational practices.

As part of the reforms, the role of the company's Chief Financial Officer (CFO) has been expanded to enhance internal controls. The CFO will now have greater authority over expenditure management and revenue oversight.

The company is also working to strengthen its internal audit functions and recruit additional personnel to improve oversight and operational effectiveness.

“We are working to strengthen internal control and take the company to the next level,” Anas told "Mihaaru".

Alongside long-standing operational challenges, MIFCO has also been affected by the economic consequences of the ongoing conflict in the Middle East.

According to Anas, rising fuel prices and increased costs for materials required in fish processing have significantly raised the company's operational expenses.

“The prices of all items required for processing canned fish have increased. In addition to that, freight charges have also gone up. Therefore, the biggest challenge at the moment is that our operational costs have risen substantially,” he said.

In line with the Government's policy of increasing value-added exports, MIFCO is working to expand its fish processing and canning capacity.

Currently, approximately 84 percent of the fish purchased by MIFCO is exported as frozen fish, while only a small portion is processed into canned products.

Anas revealed that plans are underway to construct an additional cannery at the company's Felivaru facility to increase local processing capacity.

“At present, Felivaru can handle 50 tons per day. Out of that 50 tons, we only process or can 16 percent. The remaining 84 percent is prepared for export as frozen fish,” he said.

The proposed facility will add an additional 100 tons of daily processing capacity, increasing the total capacity of the Felivaru operation to 150 tons per day.

According to Anas, feasibility studies for the project have already been completed and efforts are currently underway to secure financing for the development.

He expressed confidence that a modern, state-of-the-art cannery would significantly increase MIFCO's revenue streams, improve profitability, and support the country's goal of exporting more value-added fish products.

MIFCO is targeting completion of the new cannery within the next two years, a move expected to strengthen the fisheries sector and enhance the value generated from the Maldives' most important export industry.