SITUATION REGARDING 2009 GULF SHRIMP QUOTA
There has been a good deal of publicity lately about the increase in the 2009 allocation of Gulf Shrimp to PEI by federal fisheries Minister, Gail Shea. It has been brought to the attention of the PEIFA Board of Directors that some fishermen believe they will have the opportunity to fish shrimp or that there will be a draw of sorts to distribute this allocation. Please let me clarify the situation.
For the past number of years PEI has received a temporary allocation of Gulf Shrimp in an amount of approximately 213 m.t. This allocation was divided between the PEIFA and the PEI Groundfish Association. The shrimp is located in three areas: Seven Islands, Anticosti and Esquiman off the coast of Quebec. Since the allocation was minimal and not viable to be fished by PEI harvesters, the allocation was put out for bid to the processing sector. There is no shrimp processing line in PEI so the bids always went to an off-Island processor. The funds attained from this process were placed in a joint account controlled by the two associations and used to pay off-Island travel expenses for association committee representatives to attend meetings on behalf of PEI fish harvesters.
This year the Minister increased the Gulf Shrimp TAC and allocated 426 m.t., or 1.15% of the TAC, on a permanent basis, to each of Prince Edward Island and Nova Scotia. While this amount is double previous years, it remains short of the 1,000 m.t. request the PEIFA had made. This latter amount is deemed necessary in order to be of direct benefit to the Island harvesting and processing sectors.
In 2008, existing shrimp harvesters from other provinces averaged 41 cents per pound, barely meeting the cost of production. This year market prices in the U.S. have dropped some 13% from 2008 and European markets have softened also. Shrimp prices to harvesters are expected to follow a similar path.
Given the distance; costs of gearing up; costs of crew, vessel and fishing; market situation and expected harvesting prices it simply is not viable for PEI harvesters to undertake the fishing of Gulf Shrimp in 2009. Accordingly, the PEIFA Board of Directors has determined to sell the quota to the highest bidder, as in previous years. If the funds earned from this sale were to be equally divided amongst PEI core fishers, each would receive approximately $75.00. The PEIFA Board determined this was insufficient and that PEI fishermen would be better served with the funds going to programs and services supplied by the PEIFA to support the fishery in general.
The TAC and fleet allocations are made annually. Over the course of the next year the PEIFA will be working towards attaining improved access to Gulf Shrimp, examining ways to allow direct harvesting by PEI fishermen and encouraging the development of PEI processing.
Ed Frenette,
Executive Director.
