The FFAW is raising the alarm over what they say is an “unprecedented gap” in the price of NL snow crab and the price of that same product from the Gulf of St. Lawrence.
The union says the first Urner Barry quote for the year for five to eight ounce crab sections has come in at $11.05, while product from the Gulf of St. Lawrence has been quoted at $13.12 cents—a $2.07 gap.
Since 2020, the union says the difference between the two areas has usually been between 15 and 20 cents during the fishing season.
The union accuses NL processors of engaging in “anti-competitive behaviour” compared to their counterparts in the rest of Atlantic Canada after the price-setting panel went with the FFAW’s formula for this year.
As president Dwan Street explains, if the price dips too low it would force a price reconsideration.
She says that will automatically happen if the price drops below $10.60, and she is alleging some “underhanded” work to achieve that. Street says that could do damage to the industry in the marketplace.
The Association of Seafood Producers is calling the FFAW’s take on the matter “cavalier.”
Association of Seafood Producers executive director Jeff Loder. (VOCM News)
Jeff Loder told VOCM Open Line with Paddy Daly that this is a very uncertain time in world markets, and any commentary on the matter should be thought through carefully because the White House is watching.
“Donald Trump signed an executive order last week, making it clear that seafood in the United States was a priority for him, and he began the process of looking at how to improve competitiveness. Now, what that means in practice is it’s now the focus of the White House to some extent. Once a Prime Minister or a President of the United States or a premier of a province takes on an issue, that is where it will be dealt with on that point on.”
That’s why says Loder, it’s important that cooler heads prevail in terms of public commentary on price differentials.
“When I read that release yesterday” says Loder, “it was done so cavalier, it was done without any consideration for …alternative explanations for the price differential between Atlantic Canada and Newfoundland, but to say something publicly now accusing anyone of a behaviour that is potentially offside of multiple rules, and have the priestly chance of showing up in Undercurrent or these other U.S. seafood databases and media centres, is foolish.”
