The objective of the grant is to support the efforts of the governments of India, Tamil Nadu and Pondicherry to develop and implement a policy for sustainable fisheries management and sustainable revival of coastal communities in the tsunami-affected areas. The grant will finance the following activities: Component 1: Support for the Development of Sustainable Fisheries Policy (US$1 million). This component will include technical assistance for assessing, analyzing and developing policy options and strategy to address the above discussed issues in the fishing industry in Tamil Nadu and Pondicherry. Specific activities will include studies, surveys, workshops and other exercises to facilitate a broad policy dialogue and ensure adequate involvement of all the key stakeholders, including fishing communities. The following are the key areas expected to be covered under this component: Existing fishery resources and balance between fishing capacity and resource potential; Access to and use of resources; Physical infrastructure for the industry; Financial services for the industry; Training and educational needs; Policy and institutional framework for ensuring equitable and sustainable use of the resources. Component 2: Introduction of Alternative Livelihood Opportunities (US$1.5 million). This component will focus on programs to improve the general standards and level of education in the coastal fishing communities and enabling these communities to access livelihood opportunities outside the fisheries sector (such as construction, transport, agriculture, horticulture, animal husbandry, small trade and commerce) as well as in the fishing sub-sectors (such as boat-building, processing, packaging and marketing).