September 2013

Filed Under:

September 1, 2013

September 1, 2013 (MASGP-13-001-9)

SHRIMP SHORTAGE LEADS TO RECORD PRICES

Shrimp prices are skyrocketing to all-time highs, amid a disease that's plaguing the three largest prawn producers: Thailand, China and Vietnam. Wholesale white shrimp prices are nearing $6 a pound, up 56% from a year ago, according to an Urner Barry index. The world is facing an "acute shrimp shortage," the worst of its kind since industrial shrimp farming emerged, say Rabobank analysts in a report aptly named "Shrimp in a crimp." Thailand is the world's largest shrimp producer and has been hit hardest by the disease. The country alone supplies about 30% of the tropical shrimp in the United States and the European Union, and is expected to see its supply cut in half this year.

Each year Americans eat an average of four pounds of shrimp per person, but consumption will probably drop in 2013, the Rabobank analysts say. "After a decade of explosive growth, the global farmed shrimp industry has reached a turning point," they said. Back in June, Darden Restaurants, the parent company of Red Lobster, Olive Garden and other chains, noted higher food costs partly due to "shrimp supply disruptions" could cut into future sales. Seafood alone accounts for about a quarter of Darden's total cost of goods sold, of which shrimp is the most popular protein.

And the disease isn't the only thing pushing shrimp prices higher. In other news on the shrimp beat, the Commerce Department has ruled that China, Ecuador, India, Malaysia and Vietnam have all unfairly subsidized shrimp that's exported to the United States. The ruling could lead the U.S. to enact duties on shrimp from some of those countries, leading to even higher shrimp prices. It was welcomed by shrimpers in the Gulf Coast, who suffered setbacks from the BP oil spill three years ago and now struggle to compete with cheap shrimp farmed in Asia. American suppliers account for less than 10% of the shrimp consumed in the U.S.

NEW GULF REEF FISH REGULATIONS

NOAA Fisheries announces a final rule that establishes a bag limit for vermilion snapper within the reef fish aggregate bag limit, sets the annual catch limit for yellowtail snapper, and eliminates the reef fish venting tool requirement. The final rule will be effective September 3, 2013.

The rule sets a 10-vermilion snapper bag limit within the 20-fish aggregate reef fish bag limit. Vermilion snapper is not overfished (the population is healthy) or undergoing overfishing (catch rates are not too high). However, the Gulf of Mexico Fishery Management Council (Council) received input from some fishermen who believe that the vermilion snapper population may be declining. In addition, recreational landings have been increasing in recent years and could contribute to the vermilion snapper annual catch limit being met before the end of the fishing year. This would result in a closure of vermilion snapper fishing. To minimize the risk of this occurring, the Council recommended a 10-fish vermilion snapper bag limit within the 20-fish aggregate reef fish bag limit.

The rule increases the Gulf of Mexico yellowtail snapper annual catch limit from 725,000 pounds to 901,125 pounds. A recent assessment determined the yellowtail snapper population is considered to be healthy. Therefore, the Council recommended the annual catch limit be increased.

The rule eliminates the requirement to use venting tools when fishing for reef fish. Some scientific studies have questioned the usefulness of venting tools in preventing barotrauma in fish, particularly those caught in deep waters. Barotrauma is damage caused by a quick change in pressure when fish are brought to the surface. In addition, some fish caught in shallow waters may not need to be vented, and attempts at venting may cause damage to fish by improper venting and increased handling times. Finally, the current requirement interferes with using other devices such as fish descenders. These devices can be used by fishermen to return fish back to depth. Because of these factors, the Council recommended the venting tool requirement be rescinded.

Copies of the final rule are available by contacting NOAA Fisheries' Southeast Regional Office at 263 13th Avenue South, St. Petersburg, Florida 33701 or by downloading it off the Southeast Regional Office's Web site for reef fish at
http://sero.nmfs.noaa.gov/sustainable_fisheries/gulf_fisheries/reef_fish/
2013/yt_vs_framework/index.html

HEADBOAT STUDY TO EVALUATE ALLOCATION-BASED MANAGEMENT SYSTEM

NOAA Fisheries has issued an exempted fishing permit (EFP) to the Gulf of Mexico Headboat Cooperative (Cooperative). The Cooperative consists of headboat owners/captains. The Cooperative intends to evaluate the efficiency of an allocation-based management system, using a limited number of headboats in a two-year pilot study. This study, to be conducted in the Gulf of Mexico, is intended to (1) assess whether such a system can better achieve conservation goals established in the Fishery Management Plan for the Reef Fish Resources of the Gulf of Mexico, (2) evaluate the effectiveness of a more timely electronic data reporting system, and (3) evaluate the potential social and economic benefits of an alternative management strategy for the headboat segment of the recreational fishing sector within the Gulf of Mexico reef fish fishery.

The Cooperative requested an EFP that authorizes their members to harvest a specific amount of red snapper and gag at any time during the 2014 and 2015 fishing years. Their allocation is based on the Cooperative participants' 2011 aggregate landings of red snapper and gag as a percentage of the total landings in that year for each species. Those percentages were applied to the expected red snapper and gag recreational catches allowed for 2014 and 2015. The Cooperative was allocated 148,089 pounds whole weight (ww) for red snapper, based on the proposed red snapper recreational catch of 5.39 million pounds ww. The Cooperative was also allocated 42,114 pounds gutted weight (gw) of gag, based on the current gag recreational catch of 1.519 million pounds gw. These weights will be translated into numbers of fish. NOAA Fisheries has authorized a maximum of 20 headboats to participate in the Cooperative. The Cooperative currently consists of 11 headboats, and it may add additional vessels before the 2014 fishing year begins.

All vessels in the program will be required to purchase, install, activate, and maintain a Vessel Monitoring System. A participating captain will "hail out" as the vessel leaves the dock, and "hail in" at least one hour prior to landing, alerting law enforcement and port agents to his/her return. Landings will be reported at the end of the trip using electronic reporting software approved by NOAA Fisheries, and allocations will be monitored through the NOAA Fisheries Southeast Regional Office's Catch Share Program Web site. Academic researchers, in collaboration with the Cooperative, intend to conduct a socio-economic study of the anticipated effects of the change in headboat cooperative management using currently available data sources. Simultaneously, they will develop additional survey instruments to gather economic data for an analysis of the effects of the pilot project on Cooperative vessels after its first and second years. Data collection will emphasize impacts of the pilot project.

MODIFICATIONS TO GULF OF MEXICO COASTAL MIGRATORY PELAGIC AND REEF FISH CHARTER VESSEL/HEADBOAT PERMIT RENEWAL
AND TRANSFER REQUIREMENTS

NOAA Fisheries announced a final rule that eliminates the requirement to submit a current Certificate of Inspection from the United States Coast Guard with the application to renew or transfer a federal Gulf of Mexico (Gulf) coastal migratory pelagic and reef fish charter vessel/headboat (for-hire) permit. The rule also prohibits the harvest or possession of coastal migratory pelagic and reef fish species on a vessel with a Gulf for-hire permit that is carrying more passengers than is specified on the face of the Gulf for-hire permit. A permit's passenger capacity currently is based on the Certificate of Inspection when the moratorium permit was first issued. The final rule became effective August 30, 2013.

Regulations implemented through the Coastal Migratory Pelagic and Reef Fish Fishery Management Plans limit Gulf for-hire permit transfers and renewals to vessels that have the same passenger capacity or a lower passenger capacity. This measure was put in place to limit overall coastal migratory pelagic and reef fish fishing effort by the for-hire sector. However, because NOAA Fisheries can only renew or transfer a permit if the vessel's current Certificate of Inspection is equal to or less than the passenger capacity on the Gulf for-hire permit, this limits the transfer and renewal options for the owner of a permitted vessel. The new rule will:

Eliminate the restriction requiring the Certificate of Inspection when transferring for-hire permits.
Simplify the requirements to renew or transfer a Gulf for-hire permit.
Maintain the cap on fishing effort for the for-hire sector.
Allow for-hire vessels to carry more passengers for non-fishing activities if their Certificate of Inspection is greater than the passenger capacity on the face of their Gulf for-hire permit.

GULF COAST SEAFOOD WEBSITE LAUNCHED

The enhanced Gulf Coast Seafood website has officially gone live. Please visit http://eatgulfseafood.com/ and check it out! The new site features the latest video vignette (first in the series), a robust recipe section with recipes from each of the five gulf states, a brand new "experience" page with a number of highlights including species information, graphics, and of course the "find it" page. Please help us spread the word and encourage your friends and followers to check out the new site. It's a great resource for recipes and finding Gulf Seafood.
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