The Association of Seafood Producers has serious concerns that the market for snow crab is not functioning normally, and some producers are making the decision to limit production because of the uncertainty.
The association says Japanese and American buyers have been either reluctant to place orders for snow crab, or have slowed their purchases week after week in hopes of finding the bottom of the market.
Newfoundland and Labrador has landed and produced over 60 per cent of the crab, well ahead of previous years given this year’s increase in quota.
(File photo: Derek Butler)
Seafood Executive Director Derek Butler says the market is not operating as usual, and producers cannot continue normal production with such uncertainty. He says some members are making the decision to limit production over the balance of the season.
He says the full picture will become more apparent in the coming days as producers come to grips with the amount of inventory they’re willing to hold until the market starts buying again.
