The UK has signed a fisheries framework agreement with the Faroe Islands.
This is the second coastal state agreement negotiated since the UK left the EU and follows the UK-Norway fisheries treaty signed in September.
Fisheries Minister Victoria Prentis said: “This agreement will ensure that annual fisheries negotiations can take place this year to the benefit of our fishing industry.”
Isles MP Alistair Carmichael said: “This is a positive arrangement that provides greater certainty to fishermen in Shetland ahead of our exit from the Common Fisheries Policy at the end of the year.
“The similarities with the recently agreed UK-Norway arrangement puts the UK in a good position.
“However, it will only be as good as the political will invested by the Scottish and UK governments to get good deals in the annual negotiations on access and quotas.”