Saving Seafood

Revenues collapsing at leading fisheries firm in China

August 25, 2016 — CNFC Overseas Fishery Co. – the name for the listed arm of CNFC, one of China’s leading trawler operators and processors – has announced a sharp fall in earnings and profits for the first half of the year.

Revenue dropped 15.7 percent to CNY 208 million (USD 31.2 million, EUR 27.7 million) year-on-year, while a loss of CNY 24.39 million (USD 3.6 million, EUR 3.2 million) was also reported by the company, which is state-owned and a one-time flag bearer for the industry in China.

The catch of 7947 tons fell 52.5 percent with the Argentine squid catch down 89.8 percent while tuna catch at 6,064 tons were up 22 percent. The company is also blaming its bad results on the fall-out from the troubled acquisition of Xin Yang Zhou, a processor based in the southern city of Xiamen which was pursued by the Industrial Bank of China for unpaid loans not disclosed during the acquisition.

Read the full story at Seafood Source

Indonesia to Sink 71 Foreign Fishing Boats Amid South China Sea Tensions

August 16, 2016 — Indonesia will cap Wednesday’s Independence Day celebrations by scuttling as many as 71 impounded foreign vessels — mostly Vietnamese but also a handful of Chinese — to signal its determination to protect its sovereignty over lucrative fishing grounds in the South China Sea.

The destruction of the boats comes amid simmering regional tensions over territorial disputes in the water. Former Indonesian foreign minister Marty Natalegawa said the main challenge facing the country was to ensure the message wasn’t misinterpreted.

Natalegawa said the signal has to be conveyed that Indonesia is determined to protect its national sovereignty and territorial integrity. “But some of the risk in our region nowadays is precisely the risk of misperception, miscalculation, minor incidents becoming bigger crises,” he said in a telephone interview last week. “The region as a whole should not lose the habit of open dialogue and diplomatic communication.”

Since the end of 2014, Indonesia has destroyed more than 170 foreign vessels from various nations as it has tried to fend off Chinese claims that waters surrounding the Natuna Islands are part of traditional Chinese fishing grounds.

In June, President Joko Widodo held a cabinet meeting on the KRI Imam Bonjol, a warship that patrols the waters, and last month Indonesia’s popular Maritime Affairs and Fisheries Minister Susi Pudjiastuti said she wanted to “celebrate Independence Day this year in Natuna, where I will witness the sinking of many foreign vessels,” later declaring that only Indonesians “can catch fish in Indonesia.”

Read the full story from Bloomberg

After the Philippines Celebrates South China Sea Ruling, Reality Sets In

July 15, 2016 — MANILA — At a Shakey’s restaurant in Manila this week, dozens of Filipinos — some with Philippine flags painted on their faces — wept with joy and cheered when a tribunal in The Hague announced that Beijing’s claims in the South China Sea were invalid. Around the country, others took to social media and bought rounds of drinks in celebration.

But in the aftermath of Tuesday’s ruling, which China has said it plans to ignore, a post-celebration hangover has set in, with the Philippine government taking a cautious approach in its response to China that has left some Filipinos grumbling that the government is raining on their parade.

The ruling delivered a sweeping victory to the Philippines. Not only was the “nine-dash line” that China used to claim most of the South China Sea invalidated, but the tribunal agreed with nearly every assertion made by the Philippines in the case.

The foreign affairs secretary of the Philippines, Perfecto Yasay Jr., appeared on live television shortly after the ruling was announced. With a somber expression, he said the tribunal’s judgment was welcome and that the government would study how best to respond. “In the meantime, we call on all those concerned to exercise restraint and sobriety,” he said.

Mr. Yasay’s measured comments were met with disappointment by the people gathered at Shakey’s.

Read the full story at the New York Times

UN report: People around the world are eating more fish

July 8, 2016 — UNITED NATIONS — People around the world are eating more fish and global per capita fish consumption topped 20 kilograms (44 pounds) a year for the first time in 2014, according to preliminary estimates in a U.N. report released Thursday.

The Food and Agriculture Organization report said the record consumption, which appears to have continued in 2015, is the result of increased supplies from fish farming, growing demand linked to population growth, reduced wastage, rising incomes and urbanization, and a slight improvement in some fish stocks.

According to The State of World Fisheries and Aquaculture 2016, world per capita fish consumption increased from an average of 9.9 kilograms (21.8 pounds) in the 1960s to 14.4 kilograms (31.7 pounds) in the 1990s, 19.7 kilograms (43.3 pounds) in 2013 and 20.1 kilograms (44.2 pounds) in 2014.

FAO Director-General Jose Graziano da Silva said fish farming or aquaculture — using coastal net pens or ponds to raise freshwater and saltwater species — now provides half of all fish for human consumption.

China has played a major role in the growth of fish farming, accounting for 60 percent of world aquaculture production, the report said.

On a negative note, the report said “the state of the world’s marine fish stocks has not improved” despite notable progress in some areas.

It said almost a third of commercial fish stocks are now fished at biologically unsustainable levels, triple the level of 1974.

Global total production from fishing in 2014 was 93.4 million tons — 81.5 million tons from marine waters and 11.9 million tons from inland waters, the report said. China was the largest marine producer followed by Indonesia, the United States and Russia.

For the first time since 1998, anchovy was not the top-ranked catch in 2014, falling below Alaska pollock, the report said.

Read the full story from the Associated Press at the New Jersey Herald

Indonesia Accuses China of Treating Fishing Waters as Own

June 21, 2016 — Indonesia signaled a harder stance over incursions by Chinese fishing boats in its waters, saying the encroachments appeared to be part of an effort by Beijing to extend its territorial claims in the South China Sea.

Indonesia’s navy last week detained a vessel fishing off the Natuna Islands and arrested seven fishermen after firing warning shots in the air, according to Foreign Minister Retno Marsudi. China’s foreign ministry said the men were operating in “China’s traditional fishing” grounds, “where China and Indonesia have overlapping claims for maritime rights and interests.”

“We suspect that this is structured activity because they were guarded, which means that it was blessed by the government,” Rear Admiral A. Taufiq R., commander of Indonesia’s Western Fleet, told reporters on Tuesday in Jakarta, adding the fishing boat was shot at when it refused to stop and that no one was injured. “That was why China raised a protest, because they think that the area is theirs.”

More Chinese fishing boats have been detected in the vicinity this year, he said. “We need to resolve this issue. If not, they will make a one-sided claim to the waters.”

Read the full story at Bloomberg

Chinese travel pros test Gloucester’s waters — and lobster

June 9, 2016 — The world, it seems, keeps coming to Gloucester. And eating pretty well when it’s here.

The last two years have seen the city’s international profile grow significantly through its participation in events such as the Seafood Expo North America in Boston and subsequent city-organized visits to America’s oldest seaport by seafood buyers from around the world.

In April, the city hosted a large delegation of Chinese seafood buyers and executives to lay the groundwork for potentially generating more seafood trade — particularly lobsters — between Gloucester and the most populous country on the planet.

Each of the events has usually involved a luncheon showcasing the bounty of seafood that local fishermen pull from the waters around Cape Ann and the Gulf of Maine.

On Wednesday, the city shifted gears a bit by welcoming a group of 10 travel and tour professionals from Sichuan Province in southwest China. The group is being hosted by the Massachusetts Office of Travel and Tourism to explore bringing more Chinese tourists to Massachusetts — and, by extension, Gloucester.

Read the full story at the Gloucester Times

Toxic Fish in Vietnam Idle a Local Industry and Challenge the State

June 8, 2016 — NHAN TRACH, Vietnam — Since a devastating fish kill blighted the waters along 120 miles of coastline in central Vietnam, hundreds of people are believed to have fallen ill from eating poisoned fish. Here in the fishing village of Nhan Trach, the squid that sustain the local economy have virtually disappeared. And a fishing ban has left hundreds of traps sitting unused on the beach and dozens of small fishing boats idle.

“We are so angry,” said Pham Thi Phi, 65, who operates a fishing boat in Nhan Trach with her husband and three grown sons. “If we knew who put the poison in the ocean, we would like to kill them. We really need to have an answer from the government on whether the ocean is totally clean and the fish are safe to eat.”

While the immediate cause appears to have been toxic waste from a nearby steel mill, fury over the episode has exploded into a national issue, posing the biggest challenge to the authoritarian government since a spate of anti-Chinese riots in 2014. Protesters demanding government action have marched in major cities and coastal communities over the past six weeks, escalating what had been a regional environmental dispute into a test of government accountability and transparency.

But two months after the fish started washing up on beaches here, the government has yet to announce the cause of the disaster or identify the toxin that killed marine life and poisoned coastal residents.

Read the full story at The New York Times

Maine Coast Co. delivers lobsters around the world

May 31, 2016 — YORK, Maine – Every day is a “crazy juggling game” for Tom Adams, owner of the wildly successful lobster wholesaler Maine Coast Company. His product is live and perishable. His customers are in Seoul, South Korea, Madrid, Spain, or San Francisco. He has to worry about Homeland Security regulations, endless paperwork for China exports, planes that don’t take off on time.

“There’s a lot of risk when your product is controlled by Mother Nature,” said Adams. “We have to get it where it’s going in 48 to 60 hours. Any delay means it doesn’t get there alive. My strong point, I think, is that I have the gut instinct to most of the time play the market correctly. It’s no different than oil futures or some other commodity. It’s just that I’m dealing in lobsters.”

Located in a nondescript warehouse on Hannaford Drive in York, Maine Coast Company has had the kind of meteoric success other businesses would envy. Founded by Adams in 2011 with a $1.5 million loan, sales in 2015 were $43 million – a growth rate of 20 to 30 percent a year.

The company has expanded its space to accommodate tanks that can hold 155,000 pounds of lobster. At the end of June, it will open a $500,000, 5,000-square-foot facility on the Boston Fish Pier that will hold another 25,000 pounds — all the quicker for getting those lobsters on airplanes.

This growth is to accommodate an exploding global demand for Maine’s premier crustacean. According to the U.S. Census foreign trade division, lobster is the No. 1 commodity exported from Maine, and its growth has increased substantially from $231 million in 2012 to $331 million in 2015.

Read the full story at Seacoast Online

NISHAN DEGNARAIN & MICHAEL POSNER: Time to crack down on seafood industry’s worst abuses

May 24, 2016 — Over the last year, a series of Pulitzer Prize-winning news stories have revealed human trafficking, forced labor, and other abuses in the seafood industry. The complexity of global seafood supply chains and significant gaps in regulation have made it very difficult to track, much less remedy, these abuses.

Recently, the U.S. government has begun to expand its efforts to monitor and better regulate the seafood industry, recognizing the links between environmental sustainability and food safety. But these efforts have paid too little attention to addressing labor abuses. The solution to these labor problems will require increased regulation, improved corporate sourcing practices, and greater transparency, all predicated on a sharing of responsibility between industry, governments and other stakeholders.

According to the World Bank an estimated 2.5 billion people worldwide depend on fish for nutrition. Demand for seafood will continue to rise in the future, as population growth, increasing income, and the rising middle class in developing countries like China and India drive demand.

Read the full opinion piece at CNBC

China killed thousands of Maine jobs. Now it’s eating up the state’s lobsters.

May 16, 2016 — LITTLE CRANBERRY ISLAND, Maine — The long journey from this remote island of free-spirited fishermen to the most populous country in the world began, as it does most mornings, at just about sunrise. Bruce Fernald, a sixth-generation fisherman, loaded his 38-foot fiberglass boat with half a ton of bait and set out in search of Maine’s famed crustacean: the lobster.

One by one, Fernald checked the 800 traps he had placed along 30 square miles at the bottom of the Gulf of Maine. He quickly hauled each wire cage onto his boat, reached a gloved hand inside and plucked out the lobster lurking within. The young ones, the breeders and the crusty old ones were thrown back into the water. The rest were dropped into a saltwater tank to keep them alive and energetic on their 7,000-mile trip to China.

“Just do everything you can to not stress them out,” Fernald, 64, said of his cargo. “The less stressed they are, the more healthy they’ll be, just like people.”

Little Cranberry, an island of 70 inhabitants, and China, a nation of 1.4 billion people, increasingly find themselves connected by the shifting currents of the world economy. The rise of China’s middle class has coincided with a boom in Maine’s lobster population, resulting in a voracious new market for the crustaceans’ succulent, sweet meat. Exports of lobsters to China, nonexistent a decade ago, totaled $20 million last year. The bright red color of a lobster’s cooked shell is considered auspicious, making it a staple during Chinese festivals and at weddings.

Read the full story at The Washington Post