SEAFOODNEWS.COM by Michael Ramsingh — May 27, 2015 — The ongoing strike among Customs workers in Chile is harming relationships between Chilean salmon exporters and the customers they serve in overseas markets.
According to Alfredo Ovalle, president of salmon importing company SeaCorp Seattle, the strike–now in its eighth day– has further eroded his confidence in buying salmon from Chile.
Last week Chilean Customs workers walked out of their jobs demanding better pay and working conditions. The workers organized under (ANFACH) want a deal with the government guaranteeing that they will modernize Customs ports and add more staff to the operations. Workers already rejected a government proposal that would have added 250 jobs to the sector. However, workers want an additional 800 positions.
The work stoppage has essentially paralyzed all trade out of Chile, including the countries major fresh and frozen salmon shipments. Salmon industry organization SalmonChile reported fresh sales losses at $30 million just days into the strike.
“As important as financial losses, it is the crisis of confidence and image that we are suffering today. The capital position has been built in recent years, is heavily damaged, “he argued the president of SalmonChile, Felipe Sandoval.
Ovalle says the workers have a legitimate claim in their demands. He says importing from Chile can be a difficult process to navigate with “too many problems and few solutions to do business” with the country. Ovalle added that the strike was “icing on the cake” about the growing dysfunction he has faced in dealing with Chile’s inefficient Customs process.
Major producer Camanchaca said with each day the strike passes confidence among overseas buyers depending on the Chilean supply erodes
“Chile has lost credibility as a reliable supplier. Buyers are going to buy from Canada and Norway,” Camanchaca’s CEO Ricardo Garcia.
Chile’s Fruit Exporters Association have called for the government to quickly resolve the situation with Customs.
SalmonChile desperately wants a deal to get done that would get Customs operations moving again. Until then, Sandoval says the salmon industry’s export businesses will only continue to deteriorate.
“As we have explained on other occasions, the salmon industry is prevented from stopping because this deadlock can have serious consequences on the health and environmental aspects,” Sandoval said.
This story originally appeared on Seafood.com, a subscription site. It is reprinted with permission.