Saving Seafood

All Hands: Alaska determined to overcome tariff troubles

October 9, 2019 — The theme coming out of Alaska seafood’s annual meeting is — no surprise — tariffs.

The Alaska Seafood Marketing Institute opened its All Hands On Deck meeting today in Anchorage with annual updates from its program directors, followed by public meetings for species committees and the Responsible Fisheries Management program.

International Program Director Hannah Lindoff opened her update with a slide detailing the current state of U.S./China tariffs.

“This is the most up to date information,” said Lindoff. “But if anyone is on Twitter and something changes, please let me know.”

Although most products in Alaska’s portfolio are exempted from U.S. tariffs on Chinese exports — salmon, pollock and Pacific cod — competition in the global marketplace makes tariffs disadvantageous for any fisheries affected by additional duties.

For example, Alaska contributes 10 to 15 percent of the global supply of red king crab. Russia supplies about 70 percent. Alaska’s red king crab quota is down 12 percent for 2020. Golden king crab and snow crab quotas are up 13 and 23 percent, but the tanner/opilio fishery is shut down for the year.

Read the full story at National Fisherman

Alaska seafood industry making plans for China tariff impact

May 13, 2019 — Alaska’s seafood industry is exploring strategies to reduce damage from the Trump administration’s trade dispute with China, officials said.

The Alaska Seafood Marketing Institute plans to explore how Alaska can enter additional markets to expand the state’s seafood brand, The Kodiak Daily Mirror reported Thursday.

The U.S. plans to raise tariffs on $200 billion in Chinese imports from 10% to 25% Friday.

China is the largest export market and re-processor of Alaska seafood, with about $989 million worth of sales to China in 2017 alone. That is more than 50% of the state’s seafood products, the institute said.

The institute is looking at “both traditional and nontraditional markets” for seafood globally, Executive Director Jeremy Woodrow said.

Read the full story from the Associated Press at KTOO

Alaska’s seafood industry by the numbers, plus fish skin’s medical applications and antibiotics in Chilean salmon

May 1, 2019 — Why should every Alaskan budget watcher care about the price of fish?

Because when the price at the docks goes up by just one penny, it means more money for state coffers.

In 2017, for example, the average dock price per pound for all Alaska seafood was 41 cents. If the price had increased to 42 cents, it would have added nearly $2 million more from fisheries landing and business taxes.

That was one of the takeaways in an updated McDowell Group report presented last week at the Alaska Seafood Marketing Institute’s spring board meeting. It offers a good snapshot of the industry that spawned Alaska statehood and is now a seafood superpower.

Read the full story at Anchorage Daily News

Tariffs force Alaska seafood industry to look beyond China

April 1, 2019 — Chinese tariffs are forcing Alaska’s seafood industry to look for markets beyond the Asian giant, according to an industry marketing organization.

The Alaska Seafood Marketing Institute is exploring how to expand the state’s seafood brand in response to a 25 percent tariff on Pacific Northwest seafood imposed by China in summer 2018, the Kodiak Daily Mirror reported Wednesday.

Alaska’s seafood sales are off by more than 20 percent so far this year and could take a big hit in China, said Jeremy Woodrow, the institute’s interim executive director.

“Because of the conflict, it makes our product less competitive in that marketplace,” Woodrow said.

A $5.5 million, three-year federal agricultural trade promotion grant awarded in January will be used to develop nontraditional markets such as Japan, Southeast Asia and parts of South America, according to Woodrow. The funds will also aid continued marketing in China and other established markets such as Germany, he said.

Read the full story at the Associated Press

Despite trade war obstacles, seafood producers find growing opportunity in Asia

March 20, 2019 — Seafood producers that have achieved meaningful sales volumes in domestic markets have been enhancing revenues and sparking enterprise growth through exports and brand penetration in foreign markets, especially Southeast Asia.

In this regard, there are numerous opportunities to broaden sales of already popular products, satisfy demand for products that may not have a thriving market at home, and introduce new species and value-added products to offshore audiences eager to try new seafood options.

Of course, identifying export opportunities and establishing a sustainable presence demands considerable effort on the part of the exporter. Belle Cove, a producer of Maine lobster, has found that North American shellfish, including lobster and snow crab, are very popular in Asian markets.

“The biggest challenge is identifying and qualifying prospective importers,” said Grace Phillips, the sales director for Belle Cove. “Those companies may not have a website or much information on the internet, so it can be difficult to do any meaningful research. We participate in trade missions and exhibit at trade events to meet pre-screened buyers.”

The Alaska Seafood Marketing Institute ASMI has taken a more proactive and informative approach. By positioning ASMI-backed products – including salmon, pollock, crab, and cod – as sustainably managed and wild-harvested, and subsequently promoting these attributes to different market sectors (consumer, foodservice, retail), the organization has successfully maintained a presence in Asian markets, primarily Japan and China, for more than 20 years.

Read the full story at Seafood Source

 

Alaska’s seafood industry says the U.S.-China trade war is costing it dearly

March 1, 2019 — The trade war with China is impacting Alaska’s seafood industry. Alaska seafood exports to China have dropped by a fifth compared to last year.

Alaska Seafood Marketing Institute’s Jeremy Woodrow told the Alaska House Fisheries Committee Wednesday that the industry blames Chinese tariffs. That’s according to a recent industry survey.

“Of the members that responded back to us, 65 percent reported they had immediate lost sales from the increase of these tariffs, 50 percent reported delays in their sales, and 36 percent reported that they lost customers in China just due to these tariffs” Woodrow explained. “Another 21 percent reported that they had unanticipated costs because of the trade conflict.

Alaska sold nearly $800 million of seafood to China in 2017. Not all Alaska seafood is bound by the Chinese tariffs imposed in retaliation to the Trump administration’s own tariffs on Chinese goods. Flatfish like flounder are subject to tariffs though Alaska pink salmon processed in China and re-exported are not.

But Woodrow said poor relations between the two countries makes some Chinese buyers reluctant to buy Alaska seafood anyway. China is Alaska’s largest foreign market and Woodrow warned that finding new outlets will take time.

Read the full story at KBBI

Chinese tariffs challenge Alaska seafood, new markets emerge

February 27, 2019 — Alaska’s fishing industry provides more jobs than any private sector in the state. On Tuesday, the House Special Committee on Fisheries received an update from the Alaska Seafood Marketing Institute.

The tariff war with China remains a concern. The Alaska Seafood Marketing Institute put a lot of effort into selling Alaska’s seafood to China, said Jeremy Woodrow, the interim executive director of the ASMI. For every $10,000 spent on marketing in China, the Alaska seafood industry gets $1 million. But with the tariff war between the U.S. and China, Woodrow said, “We are expecting big drop offs in our Chinese market.”

However, Woodrow had plenty of positive news to report. In December, U.S. Sen. Dan Sullivan was able to add a provision to the Farm Bill that would require Alaska seafood pollock to be used in fish sticks in American school lunches. Previously, fish sticks in American school lunches were comprised of Russian pollock. Woodrow said this would equate to about $30 million a year. Alaska pollock makes up the bulk of the Alaska’s fishing harvest volume: 57 percent of the 5.9 billion pounds of seafood harvested in a year.

Ukraine has been a growing market for Alaska seafoods ever since the Russians placed an embargo on U.S. fish about five years ago, Woodrow said this market has been steadily growing.

Read the full story at the Juneau Empire

ASMI requests federal aid to cushion losses in US-China trade war

December 7, 2018 — The Alaska Seafood Marketing Institute (ASMI) is crossing its fingers that its request goes through for several million dollars in federal aid to defray costs of the trade war between U.S. President Donald Trump’s administration and China.

ASMI, a state-run entity, has requested USD 9 million (EUR 7.9 million) over three years as tariffs threaten to undermine the market for Alaskan seafood in China. The request was submitted to the Agricultural Trade Promotion (ATP), a U.S. Department of Agriculture program designed in part to mitigate the adverse effects of tariffs.

The organization has been getting around USD 4.25 (EUR 3.74) million a year in federal aid for over a decade, according to Jeremy Woodrow, ASMI’s communications director and current interim executive director. This new aid money would be on top of that.

Read the full story at Seafood Source

Alaska Seafood Marketing Institute to request state funding boost

November 6, 2018 — Legislative and governor candidates have vowed across the state to further cut Alaska’s budget, but many state departments drafting their budget requests for the coming fiscal year are going in a different direction.

On Friday, the Alaska Seafood Marketing Institute became the latest state-supported agency to warn that budget cuts have reached their limit and in some places have gone too far.

In an unusual statement, the public-private partnership said it will be requesting $3.75 million more from the state in the coming year.

“There’s only so much you can do to squeeze down on the role and responsibilities of state government, and as far as others, there’s some departments looking at increments … I guess mostly in programs that will pay long-term benefits,” said Mike Navarre, commissioner of the Alaska Department of Commerce, which controls ASMI’s budget.

An “increment,” in the jargon of the state, is a budget increase.

“We used to invest in seafood marketing. We’re looking to do it again,” Navarre said.

Read the full story at the Juneau Empire

ALASKA: Alaska gubernatorial hopefuls Dunleavy, Begich square off in fish survey

November 1, 2018 — If Republican candidate Mike Dunleavy wins his bid to become the next governor of Alaska on Tuesday, look for an all-out effort by the state to expand its seafood export markets but not a direct challenge of president Donald Trump’s tough trade policies.

“A governor of one state clearly doesn’t set trade policy for the nation,” he said in one of several responses to a survey on commercial fishing organized by the Kodiak Chamber of Commerce.

Democratic candidate Mark Begich, meanwhile, would bring together a bipartisan group of governors from other states to pressure the federal government into changing course.

“As governor, I won’t sit on the sidelines when national policies hurt Alaska, like Trump’s trade war with China,” he said.

Read the full story at Undercurrent News