Deputy Premier Tom Rideout
Speaking Notes
International Coldwater Prawn Forum

• Good afternoon. Thank you for the opportunity to speak here today. Congratulations to the organizers for putting together such a successful event.
   
• It is extremely important that we in the industry have the opportunity to come together and talk about the issues that impact us collectively.
   
• It is always a pleasure to visit London. My own province of Newfoundland and Labrador has a strong English and Irish heritage. Like many areas of the world we started out as a colony of Great Britain.
   
• For centuries, the British fished our shores used the land to create frontier fishing villages. Truly we owe a great deal of our heritage to the United Kingdom.
   
• Today, I would like to take a few moments to talk about where the global shrimp fishery is going and the constraints that currently face us as an industry.
   
• Everyone in this room is aware that we have seen an increase in the global supply of shrimp from 3 million metric tons to 6 million.
   
• There are many and varied reasons why this is the case. However, it has mostly been due to an increase in the production of warm water farmed shrimp.
   
• During the same period we have seen an increase in the production of cold water shrimp from 300,000 to 450,000 metric tons.
   
• In truth, we have seen an avalanche of shrimp arrive on the global market and therein lies our collective challenge. We are all fighting to retain our individual share of a market place that has seen incredible increases in production.
   
• What we have not been good at doing in the face of this challenge is differentiating our product and working together to achieve the synergies that are so important in the face of growing competition.
   
• While there are certain advantages associated with farmed warm water shrimp, the product simply doesn�t have the natural advantages of coldwater wild shrimp.
   
• Everyone in this room knows that North Atlantic coldwater shrimp is the best tasting shrimp in the world. Now we need to let the rest of the world know that.
   
• By building on the advantages of our product, we have a huge opportunity to build the market for the coldwater product. It is a sustainably harvested product and this is a strength that the Government of Newfoundland and Labrador believes we can use to our advantage to achieve greater returns.
   
• Our government has supported our industry in efforts to achieve certification under the Marine Stewardship Council. To that end we have provided $50,000 in funding. We view this as one way to help our industry move to the next level in providing an eco-friendly product that the world will want to buy.
   
• North Atlantic coldwater shrimp offers many benefits to the consumer. We provide quality inspection programs which lead to a high level of product traceability, food safety and stringent quality control.
• The question now becomes one of positioning. Where do we want to position ourselves in terms of distribution channels, customers and usage of our product?
   
• There is no doubt that warm water aquaculture products have become a fierce competitor for us. However, there is much more that can be done to position the cold water product.
   
• Opportunities abound, not the least of which are in the very important US marketplace. China, the Russian Federation and other emerging economies also represent huge potential markets.
   
• There are certainly opportunities for more proactive marketing and more collaboration between producer regions.
   
• In fact, there is a joint marketing initiative already taking place. Shell-on shrimp producers from Canada, Norway and Denmark have come together to promote their product in China. Indeed, the launch of the campaign at the seafood show in Qindao (Shin-dow) two weeks ago was very well received.
   
• This is the type of cooperation that can position the coldwater shrimp sector to achieve better prices and better overall results.
   
• We all have a need to move forward and right now we have the opportunity to do that collectively. Of course, we all know that there are issues that undermine our common interests and divide us.
   
• We all know that the tariff regime is a major trade irritant in the European Union and emerging markets such as Russia.
   
• We as nations and regions should be working together to have these artificial barriers removed. And if we can have the tariff removed, surely we can find a way to work together to communicate to the world�s shrimp consumers the positive attributes of what is unquestionably the best shrimp product in the world.
   
• Many of you know that we are now effectively at the end of the DOHA round of world trade negotiations. You also know that it was hoped that the DOHA round would solve a lot of the problems facing us in the global trade environment. This hasn�t happened and it not likely to happen. We must now find a way to look past DOHA and seek out other solutions.
   
• Now that we know that we are not going to achieve the results hoped for under DOHA, there is no longer any need to defer addressing shrimp tariff issues. We need to get serious about finding real solutions that will bring real results for the shrimp sector.
   
• We as producer nations must operate on a level playing field in the global marketplace. Otherwise, all the marketing in the world will be for naught.
   
• Ladies and gentlemen, now is the time to ask ourselves some hard questions. We are at a turning point in the world of seafood. The only question for us is will we seize the opportunity of let it pass us by?
   
• There has been a dramatic increase in the world supply of shrimp. What have we done as a sector to role with the changes that have come our way? What have we done to take advantage of these changes?
   
• One thing is clear. None of us can afford to stand by and continue to chase each other to the bottom price. Are we satisfied to continue fighting between ourselves for an ever decreasing share of the pie?
   
• The Government of Newfoundland and Labrador is not content to see this situation continue.
   
• Furthermore, I am confident that the Canadian shrimp sector will receive public sector support for marketing campaigns for North Atlantic cooked and peeled shrimp that involve other producing nations.
   
• We have a product to be marketed. We have the distribution channels in place to get it to the consumer. We�re already selling it at a good price far below its value. Now we must come together and promote it in an effective manner. This can be done.
   
• Before I close, I want to thank the organizers again for the opportunity to speak here today. It has truly been a wonderful and important event.
   
• Thank you again.