Market movement on shrimp price

According to seafoodnews.com, there’s an increase in demand for cold-water shrimp in Europe despite market uncertainty. The article points out that cold-water shrimp from Greenland (Canada's main competitor) into the massive United Kingdom market is now subject to 20% tariff. The FFAW had predicted that just such a tariff would give NL processors a 'significant edge.' Why didn't the union raise that argument in summer price negotiations?

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In April, when the province’s fish price setting panel set the spring shrimp price paid to harvesters at $1/lb, the FFAW argued a possible tariff on Greenland shrimp entering the UK would give Canadian shrimp producers a “a significant competitive market advantage.”

The union went further to say a 20% tariff on Greenland shrimp would give a “significant edge” to Newfoundland processors.

Despite those arguments, the FFAW did not raise the subject of a tariff on Greenland shrimp in recent summer shrimp price negotiations, which saw the panel set the summer price paid to NL harvesters at $1.10/lb (the processors’ offer) over the FFAW’s $1.22/lb.

Raising the question, why the hell not?

The FFAW still has another opportunity for a price appeal or “reconsideration” on the summer shrimp price should the market pick up, so the right timing is critical.

Ryan Cleary,

SEA-NL