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Why Does Halibut Cost So Much?

January 4, 2019 — Dishes fly across the galley. Water gushes through the scuppers and onto the deck. Five crew members on the 17.5-meter commercial halibut boat Borealis Iwalk like drunkards, holding onto anything stable. “We’re going to get bounced around a bit,” Dave Boyes, the boat’s captain and owner, deadpans.

My day started at first light, about six hours ago, watching the crew let out 2,200 galvanized circle hooks laced with chunks of pollock, squid, and pink salmon to soak across 13 kilometers of ocean bottom. Then, we ate breakfast and rested in cramped, cluttered bunks while the boat bounced on 1.5-meter waves and—below, in the cold unseen depths—the hooks sunk deep into the lips of the predatory halibut.

Now, the crew readies for battle, cinching rubber rain gear and running crude gutting knives across electric sharpeners—a portent of the bloodshed to come. When Boyes toots the boat’s horn, it’s game on.

My love of halibut got me here—in Hecate Strait, off northern British Columbia—as did my disdain for the price. Salmon are held up as the iconic symbol of the Pacific Northwest, but the way I see it, halibut is king, offering superior flavor and texture. When I can afford it, I serve the white fish baked with a glaze of butter, mayonnaise, and whole grain Dijon mustard.

During a summer visit to my local fish shop—Mad Dog Crabs in the Cowichan Valley of Vancouver Island—fresh halibut fillets sold for CAN $6.38 per 100 grams, compared with $5.28 for sablefish and $3.74 for sockeye salmon. “It’s the prime rib of the sea,” explained fishmonger Scott Mahon, who fished commercially for over 20 years. “Better taste, better quality, and better shelf life.” Unlike the farmed salmon industry, halibut aquaculture remains a relatively nascent enterprise and does not offer a less-expensive alternative to consumers.

Read the full story at Hakai Magazine

US government shutdown threatens Alaska cod, pollock, crab harvests

January 2, 2019 — Should the US federal government shutdown continue, it could put a serious clamp on commercial fishing off the coast of Alaska, KTOO reports.

The government will allow fisheries in the Bering Sea to start as scheduled with an initial opening for Pacific cod on Jan. 1 and a second opening for pollock and other species on Jan. 20, the Alaska public radio station explains. However, due to the shutdown, the National Marine Fisheries Service isn’t doing the required inspections of scales for weighing fish on boats or monitoring equipment. And special permits that some boats need are not being issued.

Nearly all of the large boats that fish for cod starting Jan. 1 have already had their required inspections, said Chad See, executive director of the Freezer Longline Coalition. And the more lucrative pollock season is several weeks from restarting.  But blocking only a single fishing trip by a large factory trawler could cost the industry millions of dollars, the article warned.

Read the full story at Undercurrent News

Government shutdown, if it continues, could cost Alaska’s lucrative Bering Sea fisheries

January 2, 2019 — Even if the shutdown does persist, the federal government will allow the Bering Sea fisheries to start as scheduled, with an initial opening for cod Jan. 1, and a second opening for pollock and other species Jan. 20.

But the fisheries are heavily regulated, and before boats can start fishing, the federal government requires inspections of things like scales — for weighing fish — and monitoring equipment that tracks the number and types of fish being caught. And the National Marine Fisheries Service, which regulates the Bering Sea fisheries, isn’t doing those inspections during the shutdown.

Other boats need special permits before they can start fishing, and those permits aren’t being issued during the shutdown, either.

“My understanding is the vessels that have not been certified yet will not be certified until the government opens up again,” said Haukur Johannesson, whose company, Marel, provides scales to the huge factory vessels that work in the Bering Sea. “And if they don’t get certified, they cannot go fishing.”

Read the full story at Alaska Public Media

Quotas set for Alaska groundfish, plus Southeast rockfish opener

December 21, 2018 — Cod catches will decline next year in both the Gulf of Alaska and Bering Sea, while catches for pollock could be up in the Bering Sea and down in the gulf. The North Pacific Fishery Management Council set the 2019 quotas this month for more than two dozen fisheries in federal waters.

The Bering Sea pollock quota got a 2.4 percent increase to nearly 1.4 million metric tons, or more than 3 billion pounds.

Bering Sea cod TACs were cut 11.5 percent to just over 366 million pounds (166,475 mt).

In the gulf, pollock totals will be down 15 percent to 311 million pounds, a drop of 55 million pounds from this year.

Gulf of Alaska cod quota will again take a dip to just over 27 million pounds — down 5.6 percent.

Meanwhile, boats are still out on the water throughout the Gulf of Alaska and Bering Sea hauling up final catches of various groundfish for the year.

The 4 million-pound red king crab fishery at Bristol Bay is a wrap, but crabbers are still tapping away at the 2.4 million-pound Bering Sea Tanner crab quota. Snow crab is open, but fishing typically gets going in mid-January.

Divers are picking up the last 35,000 pounds of sea cucumbers in parts of Southeast Alaska. About 170 divers competed for a 1.7 million-pound sea cucumber quota this year; diving also continues for more than 700,000 pounds of giant geoduck clams.

Southeast trollers are still out on the water targeting winter king salmon.

Read the full story at National Fisherman

Farm bill’s untold story: What Congress did for fish sticks

December 21, 2018 — The Farm Bill Congress passed last week will be known for many things. It increases subsidies for farmers and legalizes industrial hemp. But for Alaska, the bigger impact might be what the bill does for fish sticks served in school lunchrooms across America.

The national school lunch program has for decades required school districts to buy American-made food. But that doesn’t always happen when it comes to fish.

“There was a major loophole,” Sen. Dan Sullivan said. “Major. That allowed, for example, Russian-caught pollock, processed in China with phosphates, sent back to the United States for purchase in the U.S. School lunch program.”

Let’s break that down: Rather than buy fish sticks made of Alaska pollock, many school districts buy fish caught in Russian waters that are frozen, sent to China, thawed, cut up, sometimes plumped up with additives, refrozen and sent to the U.S. And it qualifies for a “Product of USA” label because it’s battered and breaded here.

“Literally turns a generation of kids in America off of seafood when they have this as fish sticks in their school lunches,” Sullivan said. Aside from being bad for Alaska’s fishing industry, Sullivan said the twice-frozen Russian pollock is bad seafood and kids won’t like fish day at school.

Read the full story at Alaska Public Media

‘Buy American’ provision survives in US Farm Bill, big win for Alaskan pollock

December 12, 2018 — Alaskan pollock harvesters and processors have scored a major victory over their Russian competitors in the waning moments of the 115th US Congress, promising to end their dominance in US school meals.

A provision championed by senator Dan Sullivan, an Alaskan Republican, to close a major loophole in the US Department of Agriculture’s “buy American” food rules for school systems, has survived and is included in the text of the final 2018 farm bill conference report released Monday night by House and Senate agriculture committee leaders, Undercurrent News has confirmed.

The legislation must still go back to the floors of both chambers for final votes before Congress concludes, which is expected to happen by Dec. 21. But those final steps are considered largely perfunctory and president Donald Trump could wind up signing the bill before the end of this week.

Read the full story at Undercurrent News

ALASKA: NPFMC advisory panel proposes 33,000t hike in Bering Sea pollock TAC, 7,000t drop in cod

December 7, 2018 — The advisory panel to the North Pacific Fishery Management Council (NPFMC) voted in favor of a 33,000-metric-ton increase in the eastern Bering Sea pollock total allowable catch (TAC), as well as a 7,000 drop in the Pacific cod TAC.

This draft TAC sheet will then go to the vote at the NPFMC meeting in Anchorage, Alaska, on Friday. The supply outlook comes with prices for cod and pollock set firm.

According to an Undercurrent News source, the advisory committee is recommending a pollock TAC of 1.397 million metric tons for 2019, up from 1.364m in 2018. The panel also recommended a Pacific cod TAC of 181,000t, down from 188,136t in 2018. For Pacific cod in the Aleutian Islands, the panel voted in favor of a TAC of 20,600t.

Read the full story at Undercurrent News

Bleak outlook for Pacific cod could see 2019 US pollock TAC hike, despite reduced biomass

December 5, 2018 — Although the biomass for pollock in the US eastern Bering Sea fishery is coming down, the total allowable catch (TAC) for 2019 could actually be increased, due to the outlook for further cuts to Pacific cod.

The TACs for pollock and cod, especially in light of the gloomy outlook for the latter, will be a major focus of the North Pacific Fishery Management Council (NPFMC) meeting in Anchorage, Alaska, this week, which will go ahead, after an earthquake hit the city last Friday. With whitefish prices set high, the Barents Sea cod and haddock fisheries coming down for 2019 and the Russians only increasing their pollock quota for next year marginally, industry players globally are looking to what happens at the meeting.

First, National Oceanic and Atmospheric Administration (NOAA) scientists present their views on the outlook for 2019, then the council will decide on TAC levels for pollock, cod, yellowfin sole and other fish. There is uncertainty around pollock and cod moving further north, as previously reported by Undercurrent News. 

Read the full story at Undercurrent News

Tyson closes $2.16bn deal to buy McDonald’s Filet-o-Fish processor

December 4, 2018 — US chicken processing giant Tyson Foods has closed a deal to buy the Keystone Foods business from Marfrig Global Foods, for $2.16 billion in cash, which takes the company into fish processing in a major way.

The acquisition of Keystone, a major supplier to the growing global foodservice industry, furthers Tyson Foods’ domestic and international sales growth goals, the company said in a statement.

“Our biggest growth opportunities are in value-added foods and international markets. Our acquisition of Keystone helps us achieve both,” Noel White, Tyson’s president and CEO said. “The addition of Keystone’s team, industry expertise and international operations strengthens our capabilities. I’m pleased to welcome our newest team members to the Tyson Foods family.”

Headquartered in West Chester, Pennsylvania, Keystone supplies chicken, beef, fish and pork to quick-service restaurant chains, as well as retail and convenience store channels. Its value-added product portfolio includes chicken nuggets, wings and tenders; beef patties; and breaded fish fillets.

Read the full story at Undercurrent News

Only way is up for pollock prices in 2019

November 20, 2018 — The prices for all forms of pollock look set to continue to increase next year, sources in the US, Russia, China and Europe told Undercurrent News.

Prices for pin-bone out (PBO) blocks, double-frozen fillet blocks, and the headed and gutted (H&G) raw material the latter is based on, all look set for higher levels in 2019, having already firmed in 2018, the sources said.

During the China Fisheries & Seafood Expo, held Nov. 7-9 in a venue close to Qingdao, ex-warehouse prices of around $3,500 per-metric-ton were being discussed for PBO blocks for A season. Prices for B season of 2018 were done around $3,350/t. Also, double frozen fillet block prices of around $3,200/t are also being discussed for next year.

“We see the price of $3,500/t reached and confirmed and we will take it up from there,” Fedor Kirsanov, CEO of Russian Fishery Company (RFC), told Undercurrent at the show, of the situation with PBO. US suppliers and also a large European buyer confirmed this level.

The level in the A season of 2018 was around $3,000/t (see image below and use the Undercurrent prices portal for interactive data), a leap from the very low level of around $2,350/t hit in the B season of 2017, as the price bottomed out. The pace of the increase has shocked buyers, but producers have been quick to point out this is only a return to a historical norm.

“We felt the fall was pretty quick. Now, it’s going more back to normal. It’s also not like pollock has gone off the charts. It’s back to a level where everyone can make money. It’s going back to a level where producers can make investments,” Tom Enlow, CEO of UniSea — a pollock, cod and crab processing plant in Dutch Harbor, Alaska, which is owned by Japan’s Nippon Suisan Kaisha (Nissui) — told Undercurrent.

The speed of the price increase has been driven by new markets taking the fish, he said.

“When the prices were very low, the producers looked at new markets. There has been more focus on deepskin for Asia and also surimi. Demand for surimi has been very strong, due to the shortfall in warmwater surimi,” the Nissui executive said. “The shortage in warmwater is the reason Thailand is so hot at the moment for surimi. Also, Japan is stable, but they take almost half of the surimi the US produces.”

Read the full story at Undercurrent News

 

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