Fisheries and Aquaculture
April 22, 2015

Standing Together for Fairness in Northern Shrimp Quota Allocations

All-Party Committee Presents Socio-Economic Impacts Report to Federal Minister

Members of the all-party committee on northern shrimp quota allocations met yesterday with the Honourable Gail Shea, federal Minister of Fisheries and Oceans, to present a report, titled Socio-Economic Impacts of Shrimp Quota Reductions in Newfoundland and Labrador, recently completed for the Department of Fisheries and Aquaculture. The review confirms the committee's position that the Federal Government's "last in, first out" (LIFO) policy relating to Northern Shrimp allocation decisions is having a devastating effect on the province's economy, particularly in rural regions.

"The all-party committee has shown leadership in seeking a fair approach to northern shrimp quotas and allocations. The information we presented to the federal minister makes a compelling case to end the LIFO policy, adopt an allocation method that reflects the value of both inshore and offshore fleets and results in greater benefits to the provincial economy. The recently announced rollover of northern shrimp quota and allocations in Shrimp Fishing Area (SFA) 6 for 2015 allows time for Minister Shea and her officials to review this information in advance of decisions regarding next year's quota and allocations. I am hopeful we can work together with the Federal Government to develop a more equitable sharing arrangement for the northern shrimp resource."
- The Honourable Vaughn Granter, Minister of Fisheries and Aquaculture.

The committee also identified various mitigation strategies to lessen the social and economic impacts of shrimp quota allocations on Newfoundland and Labrador. The socio-economic review shows that the only high impact mitigation strategy is an alternative allocation method such as restricting SFA 6 to the inshore only, or establishing a permanent allocation percentage within SFA 6.

"The economic impact of the LIFO policy on Newfoundland and Labrador is of grave concern and needs to be fully addressed by Minister Shea. It's clear that DFO has the responsibility in this case to initiate a dialogue with both inshore and offshore shrimp harvesters which would result in an alternative policy. By eliminating LIFO and replacing it with a new policy mechanism to ensure a fair sharing of the resource, the outcome will be a greater balance in the northern shrimp allocations."
- Dwight Ball, Leader of the Official Opposition

During the meeting with the federal minister, the committee reiterated its warning that continued application of the LIFO policy would result in a significant decline in inshore harvesting enterprises, a loss of five or more shrimp processing plants, displacement of several hundred workers employed as vessel crew and plant workers, and negative impacts for dozens of communities.

"I look forward to our continued work in getting the federal minister to recognize the urgency for the future of Newfoundland and Labrador rural communities and the growth of the province's economy of ending the LIFO policy. I have encouraged her to recognize, as is so clearly shown in the study released by government, that adopting an alternative allocation method is the best way forward for the people and communitiesof Newfoundland and Labrador."
- Lorraine Michael, Parliamentary Leader of the New Democratic Party

The report, Socio-Economic Impacts of Shrimp Quota Reductions in Newfoundland and Labrador is available on the Department of Fisheries and Aquaculture's website at: //www.fishaq.gov.nl.ca/Socio_Economic_Impacts_of_Shrimp_Quota_Reductions.pdf

QUICK FACTS:

• The all-party committee on federal shrimp quota allocations presented a report, titled Socio-Economic Impacts of Shrimp Quota Reductions in Newfoundland and Labrador, to the federal Minister of Fisheries and Oceans yesterday in Ottawa.
• LIFO policy has already shown significant negative impacts and the committee reiterated its warning that its continued application would have a devastating effect on the province's economy, particularly in rural areas.
• The committee identified various mitigation strategies to lessen the social and economic impacts of shrimp quota allocations on Newfoundland and Labrador. The socio-economic review shows that the only high-impact mitigation strategy is an alternative allocation method.
• More than 100 communities in which inshore shrimp harvesters and plant workers reside are impacted by federal allocation decisions.
• The report, Socio-Economic Impacts of Shrimp Quota Reductions in Newfoundland and Labrador is available at: //www.fishaq.gov.nl.ca/Socio_Economic_Impacts_of_Shrimp_Quota_Reductions.pdf

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Media contacts:

Roger Scaplen Director of Communications Department of Fisheries and Aquaculture 709-729-3733, 697-5267 rogerscaplen@gov.nl.ca	Carla Foote Director of Communications Office of the Official Opposition 709-729-6151, 691-6673 carlafoote@gov.nl.ca
Jean Graham Director of Communications New Democratic Party Caucus Office 709-729-2137, 709-693-9172 jeangraham@gov.nl.ca

2015 04 22                              1:10 p.m.