NLIS 6
May 7, 2004
(Fisheries and Aquaculture)

 

Shrimp auction relisted: Minister to introduce auction for June 2004

Trevor Taylor, Minister of Fisheries and Aquaculture, is addressing the ongoing pricing dispute in the shrimp fishery by returning to his original intention to implement a mandatory auction system.

"Fish harvesters, represented by the Fish, Food and Allied Workers (FFAW), and fish processors, represented by the Association of Seafood Producers (ASP), have been unable to achieve a start to the 2004 shrimp fishery. This leaves me with no alternative but to implement an auction system," said Minister Taylor. "Otherwise, it seems obvious to me that we are in serious danger of losing the entire season."

A litany of efforts undertaken by the Department of Fisheries and Aquaculture to facilitate a successful outcome, as was achieved for snow crab, have culminated in today�s announcement that an auction for shrimp will be implemented in early June 2004. The auction system will allow free market forces to prevail, which will ultimately ensure that quality is maintained and that the structural problems within the system are resolved.

The delay in the fishery is unacceptable and Minister Taylor is highly concerned about the likelihood of long-term impacts. Locally, the many plantworkers dependent on the fishery are being unduly impacted by a dispute between the wealthiest members of the industry. Each day that the fishery is delayed will translate into even lower annual incomes for many workers. Internationally, the delay is impacting markets. The industry has made substantial progress over the past two years in developing markets. However, this delay has the potential to destroy these achievements, and it would take years for our industry to recover from a lost season. Many large international customers are displeased with the lack of product, and the province�s shrimp products face being delisted. Furthermore, our competitors are currently filling the available reduced 6 percent tariff quotas for shrimp into Europe. At current rates, most of our product will be facing the full 20 percent tariff rate, thereby effectively closing access to one of our main markets.

Minister Taylor is calling on the FFAW to release vessels to fish under the price schedule now under dispute, pending the opening of the auction in early June. As well, the minister encouraged the parties to proceed with establishing an interim price in the Gulf so as to facilitate a quick start to that fishery.

Details on the auction system will be announced in a timely manner.

Media contact: Alex Marland, Communications, (709) 729-3733

2004 05 07                                          3:05 p.m.


SearchHomeBack to GovernmentContact Us


All material copyright the Government of Newfoundland and Labrador. No unauthorized copying or redeployment permitted. The Government assumes no responsibility for the accuracy of any material deployed on an unauthorized server.
Disclaimer/Copyright/Privacy Statement