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NLIS 5 March 2, 2005 (Fisheries and Aquaculture) Government announces intentions for crab fishery The Government of Newfoundland and Labrador today announced its intention to proceed with a raw material shares (RMS) system for the crab fishery on a two-year pilot basis. Trevor Taylor, Minister of Fisheries and Aquaculture, says the weak outlook for the 2005 crab fishery compels the provincial government to act in the public interest. "This pilot project will strengthen the industry because it will introduce a measure of stability into an unstable situation," says Minister Taylor. "Our crab fishery is threatened by declining prices, unfavourable exchange rates, excess inventory, fish plant overcapacity, and the possibility of the federal government cutting quotas. It would be irresponsible for us to sit idly by without acting to strengthen the economic engine of our fishery." The introduction of an RMS system was a recommendation of the Dunne Commission. "The Dunne Commission and many observers have expressed concern that not everyone has shared in the economic success of our province�s most lucrative fishery," says Minister Taylor. "We have committed to restructuring our fish processing policies to promote sustainable balance and meaningful work in our rural areas." As a condition of their crab processing licence, the amount of raw material that seafood producers can process will be capped. The system will improve regional distribution of crab processing and provide for a more orderly fishery for harvesters, processors, and fish plant workers. The minister acknowledged the concerns of harvesters with respect to their ability to continue to achieve fair prices and continued services from the processing sector. Therefore, prices will be guided by audits of actual returns in the marketplace, in a manner somewhat like the process used in the lumpfish sector. In this way, the amount paid by processors and received by harvesters will be a function of the true market price. Over the coming days, the minister will consult with harvesters on these matters. "It is my expectation that processors will take measures to ensure fairness is maintained in all aspects of their dealings with harvesters, including the provision of services," said Minister Taylor. "I will not hesitate to implement harsh deterrents, including administrative penalties, to deal with any non-compliance." A similar RMS system was piloted in the shrimp fishery in 2004 and, despite an uncertain market, contributed to record landings. An RMS system for shrimp will continue in 2005, with any improvements to be developed cooperatively between harvesters and processors. Media contact: Alex Marland, Communications, (709) 729-3733, 690-6047
2005 03 02 2:00 p.m. |
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