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The coastal waters of Japan have a wide diversity of fisheries resources. This poses a great challenge in terms of management. Therefore this study was aimed at outlining the fisheries resources and its management in the coastal area of Futami District in Iyo city. The fisheries production in the coastal waters of Futami as well as the number of boats and fishermen is on the decline. This might be attributed to aging of the fishermen and environmental degradation. However in terms of fisheries management, it can be said that Futami has a good fisheries management system as evidenced by the organization and operations of its Kaminada Fisheries Cooperative Association (FCA). The management has been successful because the fisheries management has always been community centred and there is a proper legal framework supporting the community based system. Fishing rights are well defined and assigned to the FCA to manage. All the fishermen belong to FCA which acts as both a management body as well as a marketing body. Good support system like insurance and credit system has made it possible for the FCA to be successful. The successful fisheries management system in Futami shows that local communities can manage fisheries resources properly with proper legal and organizational support. This community based management system is the most sustainable way of managing fisheries resource.