Board makes recommendations on all applications for processing licences

Tom Rideout, Minister of Fisheries and Aquaculture, today said that the Fish Processing Licensing Board makes recommendations on all applications for processing licences in Newfoundland and Labrador. The minister was referring in particular to the recent request to add groundfish to the current processing licence at Ramea.

�The Fish Processing Licensing Board is arm�s length of government,� said Minister Rideout. �It is the board that assesses all applications and makes recommendations to me on whether or not a given licence should be issued. That�s what the board was established to do. As minister, I have the responsibility to take the decisions of the board very seriously.�

The minister said that the Fish Processing Licensing Board was established with the intention of ensuring transparency and to re-establish confidence in government�s ability to manage the fishery effectively.

�The need for an arm�s length body to make fish processing licensing decisions was the single most common observation during the Dunne report consultations,� said the minister. �This was due to uncertainty and unexpected licensing decisions in the past. Therefore, as I have said many times, I won�t overrule the decisions of the board unless it is absolutely warranted.

�In fact, the Opposition complained when the licensing board legislation was moving through the House of Assembly that the minister could indeed overrule board decisions. Our government made an undertaking at that time that we wouldn�t ordinarily do that, and since returning to the department last November, I have accepted the board�s recommendations in all cases.�

Minister Rideout noted that the board advised his department that the current level of landings in the Ramea area are well below resource thresholds that would normally justify an increase in processing capacity. Furthermore, the board indicated that one of the two groundfish operations in nearby Burgeo has elected not to operate this year due to limited availability of raw material. Other processing facilities in the area are also experiencing similar difficulties.

�Based on this advice from the board, adding another processing licence to the area would only increase these problems,� said the minister.

The minister added that government must make decisions in the fishery based on sound economic reasons.

�The Opposition has stated that Ramea should be given special consideration based on its isolation and its historical connection to the fishery,� said Minister Rideout, �But as a government, we have to act responsibly and make decisions that will protect the industry as a whole. I know this is disappointing for the people of Ramea, but unfortunately we can no longer depend on the fishery as an employer of last resort in areas where the resource simply doesn�t support additional capacity.�

Media contact: Lori Lee Oates, ABC, Communications, (709) 729-3733, 690-8403, oatesll@gov.nl.ca

2006 08 17                                         9:15 a.m.