A price of $2.20 per pound for snow crab is not sitting well with Newfoundland and Labrador fish harvesters, with the majority showing a willingness to sit this crab season out if prices don’t change.
Harvesters are saying that fishing at $2.20 is unaffordable. This attitude towards the current economic climate was made abundantly clear at a recent rally held at the Confederation Building, Newfoundland’s seat of government, by the Fish, Food and Allied Workers Union (FFAW).
The union’s goal was to convince the province to step in on behalf of the harvesters to restart negotiations on the price of crab to “something both parties can live with.”
Previously, the Association of Seafood Producers (ASP) and the FFAW attempted to set a price-setting formula, but negotiations fell through. Without a working formula, N.L.’s Standing Fish Price Setting Panel sided with the ASP’s offer of $2.20 per pound as opposed to the FFAW’s $3.10. Previous to the rally, the union claimed in a newsletter that, “The current price of $2.20 puts all of the market downturn solely onto inshore fish harvesters, and off of the processing companies.”
In the aftermath of the rally, the ASP said that despite the relatively low price of snow crab, the time to begin the 2023 fishery is now. The organization also vowed to not immediately renegotiate the price for at least 21 days from April 28.
“We made an internal decision that we had no intention of seeking a reconsideration,” said Jeff Loder, the Executive Director of the ASP. “The price of $2.20, which was set by the panel a few weeks ago. Since then, the price has dropped $1.”
As of May 1, of the over 120 million pounds of total allowable catch (TAC) in the province, not a single pound of crab has been brought in due to harvesters’ unwillingness to fish at $2.20. This stands in stark contrast to May 1, 2022, where over 31 million pounds of crab had been landed in the same timeframe.
“The Gulf and the Maritimes have landed 45.9 per cent and 21.5 per cent, respectively, at a $2.25 price,” said Loder. “The longer the fishery is delayed, the greater impact it has on the premium product Newfoundland seafood is known for. As the season progress, the risk increases of exposure to softshell crab, briny tasting meat and eventually new hardshell. We do not want Newfoundland product to be associated with inferior product versus the Maritimes and Gulf.”
The union’s rally drew in close to 1,000 people on a snowy mid-April day hoisting signs bearing slogans like “Colossal Crab Crisis,” “Save Rural NL” and “Fishers United, Will Never Be Defeated!” The demonstrators came from many parts of the island, with many being bussed in by the union from as far as the province’s Northern Peninsula.
“The snow crab fishery, without a doubt, has been positive for our province. Especially for our coastal communities,” said FFAW Secretary-Treasurer Jason Spingle.
“Unfortunately, it seems to me that their position… is that harvesters aren’t only doing well enough — that they should expect less.”
The leaders of both the provincial New Democratic Party, Jim Dinn and the Progressive Conservative Party, David Brazil, spoke at the rally in support of the disaffected crowd. The provincial NDP leader praised the harvesters, many of whom are from small, coastal communities and repeated a lesson he learned during his time as a teacher in rural communities.
“Basically, without the small communities, you would not have St. John’s,” said Dinn.
Brazil, as the opposition party leader, vowed to hold the reigning Liberal party to task over this issue.
“The minute we abandon the fishing industry, we’re abandoning the people of Newfoundland and Labrador,” said Brazil. “We will guarantee you in the House of Assembly next week, if your plight is not dealt with, there will be questions asked and government will be accountable. If they come up with a solution that works, we’ll support them. If they don’t, we’ll hold them to account.”
Among the FFAW’s supporters were two other major worker’s associations, The Newfoundland and Labrador Association of Public and Private Employees (NAPE) and the Newfoundland and Labrador Federation of Labour. Both expressed their support for the FFAW as they fought for what they deem a fair and sustainable price.
“I know your fight is about so much more than just fish prices. It’s about the value this province places on our fisheries. It’s about reminding the people in power that without this fishery, our communities won’t survive,” said N.L. Federation of Labour President Jessica McCormick. “We hear people say every spring, ‘Oh, it’s the same fight again this year over the price of fish.’ Well, what I say to those people is you’re damn right we’re going to keep fighting.”
The fervor surrounding crab prices has seen all harvesters in the province, so far, tied up to the wharf until snow crab is priced adjust to better suit their needs. Loder stated that not all harvesters are towing the FFAW line, with some wishing to begin the season. He says, however, that pressure from unnamed people have kept them from being able to fish due to safety concerns — a decision he says is their right enshrined in legislation.
“When we hear those individual decisions are being impacted by fear, intimidation and harassment, we feel an obligation to address this issue,” said Loder. “These types of behaviours are not acceptable in 2023. They’re offside the legislation. We do not tolerate it in schools, in our workplaces and it should not occur in the fishery.”
Derrick Bragg, the provincial Minister of Fisheries, Forests and Agriculture, attempted to bridge a gap between these two opposing viewpoints at the rally. While he said he believed in the cause of the harvesters gathered on the steps of the Confederation Building that day, he also noted the depressed market conditions that processors face in 2023.
“Right now, we’re looking at the lowest time in years for crab price — highest time for fuel, highest time for expenses all around. So, it’s not lost on me that $2.20 is one crappy price,” said Bragg. “But as I said, so is $5. I was talking to a plant yesterday — They were offered $1.50 a pound for their crab from last year. That’s not where we want to be… I commend each and every one of you because if you stay ashore, you cut in on the supply. Once the supply is gone, the price should go up.”
Last up to speak was the recently elected FFAW President, Greg Pretty, who spoke about what he and his union counterparts perceived as a raw deal from the price-setting panel.
“No one expected to play Russian roulette with that panel. Nobody expects to play Texas hold ‘em, where it’s all-in on that panel,” said Pretty. “This is the engine that fuels the economy, and it should have the respect of the government… We don’t have it, but we’re going to get it.”
Pretty promised that the fight the union is fighting is far from over.
“There won’t be any crab. There’s not going to be any crab until this thing is sorted out,” said Pretty. “We are planning other political action. We’ll be in touch as to where that takes place and when it takes place. So, thanks for coming, and we’ll see you soon.”
Regardless of the efforts of the FFAW and associated groups, the ASP isn’t backing down on its minimum price. On top of this, the organization that represents 25 processors in the province indicated it is shutting down the idea of a fall crab fishery. Loder doubled down on his assertation that the crab season needs to begin now and suggested the consequences of not doing so could be dire for harvesters, processors and the province at large.
“If we wait much longer, we are getting into lower-quality crab. Producers are not going to fill warehouses and cold storage with lower-quality crab that we’re going to have trouble selling potentially later in the year,” said Loder. “Right now is when the season needs to start.”
The FFAW, however, is not backing down despite the ASP’s call to action.
“The negotiating committee was clear that $2.20 was not a viable price to fish at. It wasn’t a viable price two weeks ago, on Friday, or today and it won’t be viable tomorrow or next week,” said Pretty.
“A disingenuous offer to fish for three weeks at $2.20 would only serve to help a very select few in the industry, while the vast majority of harvesters would be left in the lurch. The companies are manipulating a broken system and it’s unacceptable.”
The solution to this back and forth between harvesters and processors, according to Pretty, is government taking an active role in the negotiation of fish pricing.
“For too long, we’ve had a provincial fisheries minister who has been a spectator, instead of an engaged regulator,” said Pretty. “Hoping the market improves isn’t good enough. We need action or we need a new minister.”
