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| Last updated at 9:55 AM on 23/11/09 |
'Something's screwed up' 
Fishermen demand competition for their catch
AARON BESWICK Northern Pen
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| Troy Genge, who along with his brother owns and fishes shrimp from the 65-foot Newfoundland Leader, faces a bleak future without higher prices for his shrimp.
AARON BESWICK PHOTO |
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Competition, that's what Anchor Point's Ren Genge wants.
The owner of the dragger B & B Mariner considers it necessary to the survival of the inshore fleet and consequently the province's shrimp processing plants.
Current legislation prevents out of province seafood buyers from coming in and purchasing a fisherman's catch. The legislation was brought in during the late 1980's to ensure this province's seafood was processed at local plants.
But it also means the province's processors don't have to compete with mainland buyers.
"So this year our boat caught its Gulf of St. Lawrence shrimp 20-50 miles from the wharf in Port au Choix and had to steam some 300 miles to land it in North Sydney," said Mr. Genge, who wasn't allowed to land his shrimp in Port au Choix and truck it to North Sydney.
While Newfoundland processors were claiming they couldn't pay more than 38 cents lb., the processor in North Sydney was offering 50 cents lb. flat price.
"The shrimp plants in Newfoundland are bigger and more modern so I don't see why they couldn't compete," said Mr. Genge. "I don't see why they don't open it up to outside buyers - there's nothing to be afraid of. But we have no one to speak on our behalf - the union can't speak for us because they represent fish plant workers as well and the processors want to keep it the way it is."
The Fish, Food and Allied Workers union also represents the over 500 employees at th e peninsula's four plants (and countless others at the 13 shrimp plants in Newfounldand). Shrimp being trucked past those plants to create work in Nova Scotia wouldn't go over well.
Fisheries minister Tom Hedderson told the Pen he's unwilling to see that work leave the province.
"To open up could be more devastating than it is right now," said Mr. Hedderson. "This year unfortunately we found ourselves not only dealing with the regular challenges but also the challenges that came about due to the downturn in the economy. So my response is to anyone asking for change right now is let's make sure it's not just a knee jerk reaction to the detriment of the industry."
As for the accusations of many fishermen of collusion between the province's processors - that they banded together to force a lower price on fishermen this year because they didn't have to compete with outside buyers - Mr. Hedderson urged caution.
"That's dangerous language, obviously I won't comment except to say that industry has to regulate itself and be regulated from beyond," said Mr. Hedderson. "It is a competitive industry, we have some 13 shrimp plants I believe around the province, and they're in competition with one another."
So for now, allowing outside buyers into the province isn't on the government's agenda.
That worries Troy Genge, who along with his brother owns and fishes shrimp from the 65-foot Newfoundland Leader.
"I'd say another year like this and half the fleet is gone," said Mr. Genge as he took a break from preparing his boat for the winter shutdown. "Without the inshore fleet there will be no work for the plants. Everyone wants to see the shrimp processed here, but the processors have to try to offer competitive prices. Something's screwed up."
Despite this year's shutdown, the crew of the Newfoundland Leader managed to land all but 90,000 lbs of their northern quota. That meant fishing late into the season and hoping for good weather.
"I know it's not been a good year nowhere and they tell us they can't pay any more but I don't believe them. The plants here are plenty modern and when you see them paying 50 cents lb. flat price in Nova Scotia ... well, there's got to be competition."
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23/11/09
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Darryl from NL writes: If there is no competition, then we are living under a cartel, which is 'supposed' to be an illegal trade practice. I agree with Mr. Genge - We need new regulation to protect the harvesters and bring a new-found sense of competition to the processors.
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| Posted 28/11/2009 at 6:36 PM | Alert an Editor | Link to comment |
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