NOTE 4 - INVENTORIES

At June 30, 2017 and December 31, 2016, inventories consisted of the following:

	June 30, 2017		December 31, 2016
Frozen fish and marine catches in warehouse	$	4,065,718	$	7,082,129
Frozen fish and marine catches in transit		869,885		1,728,982
		4,935,603		8,811,111
Less: reserve for inventories		-		-
	$	4,935,603	$	8,811,111

An allowance is established when management determines that certain inventories may not be saleable. If inventory costs exceed expected market value due to obsolescence or quantities in excess of expected demand, the Company will record reserve for the difference between the cost and the market value. These reserves are recorded based on estimates.