Prince Edward Island Fishermen's Assoc.

PRESS RELEASE - APRIL 29TH, 2010

Some Positives Seen in Lobster Markets Important to PEI

Nova Scotia is by far the biggest supplier of live lobsters to U.S. and European markets, while PEI is an important player in the processed lobster trade: whole cooked lobster and tails, lobster frozen in brine, and lobster meat ready for use in restaurants. Market analysts say they continue to see weakness in “live” lobster markets, but they say prices for processed lobster markets are strengthening.

In a recent presentation John Sackton of Seafood. Com said, “Live markets are weak for this time of the year, inventories have been high” but “tails and meat are increasing in price, driven by increased foodservice demand.”

PEI supplies just 3% of the live market, but 20% of the lobster meat production in the region, and almost half the frozen lobster in brine packs that are popular in Europe.

“There are other positives” says Ed Frenette, general manager of the PEI Fishermen’s Association. “Inventories were unusually high a year ago, but not now, and processors were struggling to get financing in 2009. This year there are 2 new companies looking for lobster, Minigoo Fisheries in Lennox Island, and Mazzetta in Beach Point, and other new buyers. It’s up to PEI processors to recognize that they have lobster products people want, and demand prices from the market that ensure fishermen are paid fairly too.”

There is also increased demand for something else PEI can supply, smaller live lobsters. Consumers may be staying away from eating in restaurants, but they’re buying more lobster in supermarkets to eat at home.