Saving Seafood

Amazon’s grocery stores may push seafood changes

March 4, 2019 — Amazon’s new venture into opening full-scale grocery stores will force a change in the way fresh seafood and other items are sold, analysts say.

On 1 March, The Wall Street Journal reported Amazon is planning to open dozens of grocery stores in several major United States cities, including Los Angeles, California.

The stores would not be the smaller, 1,800-square-foot Amazon Go concept stores that Amazon began testing last year, but rather, they will be 35,000-square-feet mainstream grocery stores. The larger size will allow Amazon to offer more variety of products – and likely lower-priced items – than Whole Foods Market stores, the Journal reported.

Existing grocery chains should be concerned by Amazon’s entrance into the market, analysts said in the article. Stock prices for Walmart, Kroger, Target, BJs, Costco, and others all sank on Friday, 1 March.

“Amazon has become one of the world’s largest retailers by driving cost out of the marketplace. Food retailers the ilk of HEB, Publix, Kroger, and Albertsons will have the most to lose as they continue to fight for dollars from the ‘middle,’” Steven Johnson, grocerant guru at consulting firm Foodservice Solutions, told SeafoodSource.

Meanwhile, value grocery chains such as Lidl, Aldi, and WinCo will likely have more growth as Amazon enters the market, according Johnson.

Read the full story at Seafood Source

MSC teams up with Walmart in China

August 14, 2018 — An effort to court major retailers in China appears to be paying off for the Marine Stewardship Council, which teamed with Walmart and the China Chain Store and Franchising Association (CCFA) for the launch of a “Sustainable Seafood Week” in a Sam’s Club store in Shenzhen the week of 13 August.

Chinese retailers want to make the upstream portion of the supply chain more sustainable, according to Pei Liang, secretary general of the CCFN. He pointed to the MSC label as a “standard” by which Chinese retailers can measure their sustainability efforts.

“We want environmental protection from suppliers to consumers,” Shi Jia Qi, Walmart China’s vice president of government relations, told SeafoodSource. Shi said Walmart will seek to increase the number of MSC-labeled goods stocked in Sam’s Club stores in China.

Read the full story at Seafood Source

Walmart resolves anti-trust lawsuit against Chicken of the Sea

May 23, 2018 — Walmart has reached an agreement with Thai Union’s Chicken of the Sea International regarding antitrust claims initially brought forth by the retailer back in October 2016, and later amended in May of 2017.

The terms of the agreement will see Tri-Union Seafoods – which trades as Chicken of the Sea International – pay a cash settlement to Walmart and partner with the retail giant in a series of joint programs and new product promotions. New product innovations will also be launched and featured across Walmart stores in the United States as a result of the agreement, Chicken of the Sea said in a press release.

Groups of American wholesalers, retailers, and foodservice outfits began filing lawsuits in 2015 alleging that the three biggest providers of canned tuna in the United States – Tri-Union Seafoods, StarKist, and Bumble Bee – had conspired to “fix, raise, maintain, and/or stabilize prices for PSPs [packaged seafood products]” in the country. The series of lawsuits, as well as Thai Union’s failed bid to purchase Bumble Bee in 2015, spurred the U.S. Department of Justice (DOJ) to launch its own criminal antitrust investigation, examining claims that the three companies had colluded to increase prices for packaged tuna from 2008-2010, until at least July 2015.

Read the full story at Seafood Source

 

Walmart recognizes suppliers’ efforts at sustainability-focused meeting

February 7, 2018 — To help Walmart continue expanding its sustainable seafood supply, the largest global retailer recently met with several large United States seafood suppliers, along with sustainability certifiers and other groups.

The retailer, which operates more than 5,400 Walmart and Sam’s Club stores in the U.S., also recognized three suppliers at the 1 February “Sustainability Summit” at Walmart’s headquarters in Bentonville, Arkansas.

Munhall, Pennsylvania-based The Fishin’ Company was recognized for partnering with Walmart to source its first four-star BAP certified tilapia, Mark Eastham, Walmart’s senior manager for sustainability, told SeafoodSource.

Meanwhile, Jacksonville, Florida-based wholesaler Beaver Street Fisheries was recognized for “its work with Walmart to support a more sustainable shrimp supply chain,” Eastham said.

Frozen seafood supplier North Atlantic Inc., based in Portland, Maine, was recognized for its engagement in Fishery Improvement Projects across the globe.

“They were also the first supplier to sign up for the Ocean Disclosure Project,” Eastham said. North Atlantic also operates Bali Seafood International, which is building a commercially sponsored fishery management model for small-boat fisheries in Indonesia.

Around 75 suppliers in total attended the sustainability summit, along with representatives of the Global Aquaculture Alliance’s Best Aquaculture Practices program, the Marine Stewardship Council, the Alaska Seafood Marketing Institute, the Aquaculture Stewardship Council, and the Global Sustainable Seafood Initiative.

“This forum provides us with the opportunity to reflect on what we have accomplished and what we can do to accelerate progress toward sustainability – so that we can enjoy not only a vibrant seafood industry but vibrant oceans,” Eastham said.

By 2025, Walmart will expand and enhance sustainable sourcing to cover 20 key commodities.

“This is an important issue for Walmart, as seafood is one of the commodities we have pledged to be a part of our long-term sustainability commitments,” Eastham said.

Walmart is working with sustainable seafood suppliers that share the retailer’s commitment to providing sustainable seafood to its customers, he said.

“Our goal is to build transparency and continuous improvement with the seafood supply chain, so that we can build confidence and provide for our customers now and in the future,” Eastham said.

At the meeting, Walmart executives highlighted the retailer’s progress in sourcing sustainable seafood to date and discussed the company’s future goals. Eastman said by 2025, “based on certain factors including price and demand,” Walmart U.S., Sam’s Club, and Walmart Canada will require all canned light and white tuna suppliers to source from fisheries that are either third-party certified or engaged in fishery improvement projects (FIPs). The company has also committed to carrying FAD-free and pole and line canned tuna in its U.S., Canadian, and ASDA-brand stores, Eastham said.

Read the full story at SeafoodSource

 

Was Your Seafood Caught With Slave Labor? New Database Helps Retailers Combat Abuse

February 1, 2018 — The Monterey Bay Aquarium’s Seafood Watch program, known best for its red, yellow and green sustainable seafood-rating scheme, is unveiling its first Seafood Slavery Risk Tool on Thursday. It’s a database designed to help corporate seafood buyers assess the risk of forced labor, human trafficking and hazardous child labor in the seafood they purchase.

The tool’s release comes on the heels of a new report that confirms forced labor and human rights abuses remain embedded in Thailand’s fishing industry, years after global media outlets first documented the practice.

The 134-page report by Human Rights Watch shows horrific conditions continue. That’s despite promises from the Thai government to crack down on abuses suffered by mostly migrants from countries like Myanmar and Cambodia — and despite pressure from the U.S. and European countries that purchase much of Thailand’s seafood exports. (Thailand is the fourth-largest seafood exporter in the world).

For U.S. retailers and seafood importers, ferreting slavery out of the supply chain has proved exceedingly difficult. Fishing occurs far from shore, often out of sight, while exploitation and abuse on vessels stem from very complex social and economic dynamics.

“Companies didn’t know how to navigate solving the problem,” says Sara McDonald, Seafood Watch project manager for the Slavery Risk Tool.

The new Seafood Watch database, which took two years to design, assigns slavery risk ratings to specific fisheries and was developed in collaboration with Liberty Asia and the Sustainable Fisheries Partnership. Like Seafood Watch’s color-coded ratings, the Seafood Slavery Risk Tool aims to keep it simple — a set criteria determines whether a fishery will earn a critical, high, moderate or low risk rating.

A “critical risk” rating, for example, means credible evidence of forced labor or child labor has been found within the fishery itself. Albacore, skipjack and yellowfin tuna caught by the Taiwanese fleet gets a critical risk rating. A “low risk” fishery, like Patagonian toothfish in Chile (also known as Chilean seabass), is one with good regulatory protections and enforcement, with no evidence of abuses in related industries.

Read the full story at National Public Radio

 

North Korean workers prep seafood going to US stores, restaurants

October 5, 2017 — HUNCHUN, China — The workers wake up each morning on metal bunk beds in fluorescent-lit Chinese dormitories, North Koreans outsourced by their government to process seafood that ends up in American stores and homes.

Privacy is forbidden. They cannot leave their compounds without permission. They must take the few steps to the factories in pairs or groups, with North Korean minders ensuring no one strays. They have no access to telephones or email. And they are paid a fraction of their salaries, while the rest — as much as 70 percent — is taken by North Korea’s government.

This means Americans buying salmon for dinner at Walmart or ALDI may inadvertently have subsidized the North Korean government as it builds its nuclear weapons program, an AP investigation has found. Their purchases may also have supported what the United States calls “modern day slavery” — even if the jobs are highly coveted by North Koreans.

At a time when North Korea faces sanctions on many exports, the government is sending tens of thousands of workers worldwide, bringing in revenue estimated at anywhere from $200 million to $500 million a year. That could account for a sizable portion of North Korea’s nuclear weapons and missile programs, which South Korea says have cost more than $1 billion.

While the presence of North Korean workers overseas has been documented, the AP investigation reveals for the first time that some products they make go to the United States, which is now a federal crime. AP also tracked the products made by North Korean workers to Canada, Germany and elsewhere in the European Union.

Besides seafood, AP found North Korean laborers making wood flooring and sewing garments in factories in Hunchun. Those industries also export to the U.S. from Hunchun, but AP did not track specific shipments except for seafood.

Read the full story at the Associated Press

US, Japan, Spain focus of new Walton Family Foundation markets strategy

June 6, 2017 — The Walton Family Foundation will focus its efforts to improve seafood sustainability on the demand side of the global market, concentrating its efforts on the United States, Japan and Spain, the organization announced at the SeaWeb Seafood Summit in Seattle, Washington on 4 June.

The U.S., Japan and Spain together import more than two-thirds of the world’s globally traded seafood products, and are all major destinations for seafood from the five countries the foundation has targeted in its supply-side sustainability efforts.

“This strategy is about following the flow of fish and dollars from Indonesia, the United States, Mexico, Chile and Peru to those markets where those fish are bought and sold,” said Teresa Ish, the foundation’s Ocean Initiative program officer.

The foundation, created by Walmart founders Sam and Helen Walton, announced in September 2016 that it would commit USD 250 million (EUR 224 million) to marine conservation efforts in those five countries. The focus of the WFF efforts will be to “ensure that the important policies of these major seafood markets helps level the playing field for lagging actors across the industry who haven’t seen that the future of fishing needs to be sustainable, as well as the major producing countries who are putting short-term resource use ahead of the long-term sustainability of their industry,” Ish said.

In 2016, the United States imported around USD 2.2 billion (EUR 2 billion) in seafood products from Chile, Indonesia, Mexico and Peru, while Japan imported USD 1.1 billion (EUR 976 million) and Spain brought in USD 290 million (EUR 258 million) in seafood from those four countries combined.

“Our markets approach aims to encourage industry to make investments – of money, time, staffing and brainpower – that raise incomes and improve the quality of life for individual fishermen and fishing communities in these countries,” the foundation said in its report, distributed at SeaWeb.

Read the full story at Seafood Source

Lawsuit takes aim at kings of the tuna industry

June 5, 2017 — Clandestine phone calls. Surreptitious emails. In-person meetings to avoid a paper trail.

The purpose of all the secrecy? To keep the price on packaged tuna — the quick source of protein found in cans and pouches — artificially high.

New details of exactly how the country’s three largest tuna companies, including Pittsburgh’s StarKist Co., allegedly spent years sharing information and collaborating are included in a pile of amended complaints submitted last month in federal court by numerous grocers, restaurants and suppliers.

It’s the latest round in an ongoing court battle alleging price fixing in the packaged seafood industry. Bumble Bee Foods and Tri-Union Seafoods, which trades under Chicken of the Sea, both based in San Diego, are also named.

The U.S. Department of Justice, which is conducting its own investigation into alleged price fixing in the industry, announced in early May that Bumble Bee Foods agreed to pay a $25 million fine after pleading guilty to conspiring with competitors to fix prices. The DOJ said the company also is cooperating with the antitrust investigation. It’s the third charge to be filed in the investigation.

The DOJ had released information that triggered the amended complaints, according to one attorney.

A spokesperson for Starkist, Chicken of the Sea and Bumble Bee declined to comment on pending litigation, but in 2016 attorneys representing StarKist urged the court to dismiss the case. They argued that it’s not unusual for people working in the same industry to know each other and to meet at industry gatherings.

But a lot of retailers are arguing that the evidence shows the exchanges were not so innocent.

The latest court documents — which are heavily redacted — include details such as Walmart and Ohio-based grocer Kroger charging that executives “used misleading subject lines on emails to affirmatively conceal the conspiratorial nature of their communications from those not involved in the conspiracy.”

Read the full story at the Pittsburgh Post-Gazette

First-Ever Fishery Improvement Project Launched in Japan

November 10, 2016 — The following was released by Ocean Outcomes:

Sustainable seafood movement takes a big step forward in East Asia as industry, fishermen, and NGOs come together to launch the “Tokyo Bay Sea Perch FIP”, the first project of its kind in Japan.

Tokyo, Japan — In 2016, the market value of sustainable seafood reached an all-time high of $11.5 billion USD, placing further incentive to increase the sustainability of fisheries across the globe. Asia’s share of global seafood production is up to 69%, by some estimates, but only 11% of this is certified as sustainable seafood production including Marine Stewardship Council (MSC) and Aquaculture Stewardship Council (ASC) certifications. As such, implementation of Fishery Improvement Projects (FIPs) in Japan will ensure the growth of the Asian sustainable seafood market.

Ocean Outcomes (O2) and Kaiko Bussan Inc. today announced its launch of the “Tokyo Bay Sea Perch FIP”, Japan’s first Fishery Improvement Project (FIP). The project was introduced by Seafood Legacy Co., Ltd. to Seiyu GK, a subsidiary of Walmart Stores, Inc., the American multinational retail corporation and global leader in sustainable seafood, who have decided to support this project that will improve the sustainability of the sea perch fisheries in Tokyo Bay. As part of the project, at the end of October 2016, Seiyu test marketed the “Tokyo Bay Sea Perch FIP” product in 4 stores in the Kanto area and received positive feedback from customers regarding the quality, freshness and the reasonable price of the products. Going forward, Seiyu will discuss its support for this project including continued “Tokyo Bay Sea Perch FIP” product sales in stores and project grant contribution.

  • About Fishery Improvement Projects (FIPs)

A Fishery Improvement Project (FIP) is a collaborative project between fisheries stakeholders, such as fishermen, businesses, distributors, and NGOs, to improve the sustainability of a fishery. Two-thirds of the top 25 North American retailers, comprising 90% of the global seafood market, have committed to supporting FIPs. Projects like the “Tokyo Bay Sea Perch FIP” are vital if fisheries want to improve and access global markets.

Tokyo Bay is a major fishing ground for sea perch and a historically and culturally important sourcing region for edomae sushi, the style of sushi created during the late Edo-period (late 19th century) that influenced the nigiri sushi that is common today. The “Tokyo Bay Sea Perch FIP” will ensure sustainable fisheries management and the enjoyment of sea perch for generations to come.

As a first step in the project, Ocean Outcomes collaborated with Kaiko Bussan to complete an assessment of current fishing practices calibrated against internationally recognized best practices standards. The assessment found opportunities to modify fishing practices and gather additional data as steps which could better inform fisheries management and lead to more sustainable practices overall. These opportunities, described in detail in the FIP work plan, include plans to better monitor bycatch of endangered, threatened, and protected species, plans to collect fishery data to better evaluate and monitor stock abundance, and a commitment to work towards a more collaborative management plan.

Below are comments from each organization regarding the launch of the FIP.

Shunji Murakami (Ocean Outcome / Japan Program Director)

“Launching the Tokyo Bay Sea Perch FIP is a monumental moment for the sustainable seafood movement in Japan. Improving fisheries practices benefits both marine resources and fishing communities.”

Kazuhiko Oono (Kaiko Bussan, Inc. / President and CEO)

“Fishery improvement, while a new concept for Japanese fishermen, makes sense. We harvest, process, and sell the sea perch we catch, so our business is completely reliant on abundant sea perch resources. As the resource declines, so does our fishery. This project will ensure we’re harvesting the optimal amount of sea perch while not negatively affecting the amazing environment in which we work.”

Wakao Hanaoka (Seafood Legacy Co., Ltd. / CEO and Founder)

“Our hope for this project is to invigorate the Japanese market in a way that encourages cooperation amongst retailers and producers in the implementation of more sustainable fishing practices. This will benefit ocean ecosystems, businesses, fisheries, and local communities.”

Kumie Wama (Seiyu GK / Vice President of Corporate Affairs)

“Responsible and sustainable fishing practices, which the participants of “Tokyo Bay Sea Perch FIP” have committed to undertake, are very important for the future of marine resources in Japan. As a company that relies on shared marine resources, we consider it our corporate social responsibility to provide environmentally friendly products to our consumers.”