Government remains committed to implementing sharing system for crab sector

In response to concerns voiced today by demonstrators at the Confederation Building, the Minister of Fisheries and Aquaculture, Trevor Taylor, says that the Government of Newfoundland and Labrador is standing firm in its position that a Raw Material Sharing (RMS) system is needed in the interest of industry stability. The government also remains committed to incorporating the views of fish harvesters, plant workers, and processors into the two-year pilot project for the crab sector.

"Whenever you introduce change to help stabilize an industry, you have to expect that there are going to be some who prefer the status quo," says Minister Taylor. "Industry report after report has recommended capping the amount of crab that fish plants can process despite the likely opposition to such a system. Government decided to follow these recommendations because of the triple threat of a stronger Canadian dollar, lower prices for crab in the marketplace, and looming quota cuts. We are also concerned about the impact of crab from last year that remains in inventory. We stand by this decision because we need a new approach for the processing sector in the 2005 season.

"I have said from the beginning that we are prepared to engage in productive discussions with everyone in the industry to address their concerns about the potential impacts of an RMS system. My offer to work with involved parties to find ways to address their concerns within a sharing system still stands. We are taking steps to ensure an open and transparent price-setting mechanism, and we will take steps to address fears of corporate concentration. At the end of the day, I recognized that we cannot force harvesters to fish crab. But, given the alternative, we will not be pushed off a sharing system that is designed to encourage stability in a sector that is so important to the economies of rural communities and to the province as a whole."

Media contact: Alex Marland, Communications, (709) 729-3733, 690-6047

NOTE TO EDITORS: Additional background information, including Minister Taylor�s March 2 news conference speaking notes, is available online - www.gov.nl.ca/releases/2005/faq_n2005.htm

2005 03 09                               3:00 p.m.