Federal government announces more funding, initiatives to help struggling lobster industry and fishermen

Fisheries and Oceans Minister Gail Shea has announced that the federal government is making a five-year $65 million investment to assist lobster fishermen throughout Atlantic Canada and Quebec adjust to the collapse in lobster prices caused by the global recession while building a more sustainable lobster fishery for future seasons. "Our government stands on the side of affected fishers and families whose livelihoods depend on the lobster industry," said Shea. "The circumstances affecting the lobster industry are unique and lobster fishers had nothing to do with the collapse in lobster prices. All they want is the chance to continue making an honest living doing the job they love."

These measures included in the June 10 announcement include: •Up to $35 million over five years for Atlantic Lobster Sustainability Measures. These measures will help the industry improve its sustainability by enhancing conservation and self-adjustment measures being implemented from within the sector itself. This funding will also help the Atlantic Lobster Fishery meet eco-certification requirements. •Up to $15 million over five years for Atlantic Lobster Sustainability Measures for Low Income Areas. These measures are targeted at lobster-dependent fishers and their associations who have experienced low landings and a corresponding drop in income from lobster. •Up to $15 million this year in Short-Term Transitional Contributions for lobster harvesters who have experienced a significant drop in income from lobster harvesting in 2009.

The government says combined, these measures will provide direct, short-term financial support for harvester groups to develop and implement sustainability plans in their lobster fishing areas (LFAs). The program is flexible to accommodate the varying circumstances found in each LFA, allowing harvester groups to develop their own plan that responds to the unique needs of their area.

Sustainability plans will also be designed to meet the growing market requirements for eco-certification, as detailed by the Marine Stewardship Council's Principles and Criteria for Sustainable Fishing, and the Fisheries Resource Conservation Council in its report Sustainability Framework for Atlantic Lobster, 2007.

While the details of sustainability plans will vary from LFA to LFA they may include conservation and effort reduction measures designed to reduce harvesting capacity. In order to meet the emerging eco-certification requirements of the global seafood market, the Atlantic lobster industry will likely have to demonstrate that overall fishing pressures on the resource are sustainable over the long term. In 2009 the industry group Atlantic Alliance for Fisheries Renewal set an overall target of 30 percent effort reduction across Atlantic Canada and Quebec.

Atlantic Lobster Sustainability Measures for low-income areas are targeted at those LFAs where dependence on income from lobster fishing is high and where landings have been particularly low. Approximately 25 per cent of LFAs fall within this category. Ecosystem pressures in these LFAs have left harvesters with a high dependency on lobster earnings, but with chronically low landings. These LFAs will particularly benefit from efforts to enhance sustainability, and $15 million has been set aside to directly support harvester groups in these areas to develop and implement sustainability plans.

This announcement also includes $15 million in short-term transitional contributions that will assist low-income harvesters severely harmed by the collapse in market demand for lobster caused by the global recession. The short-term transitional contributions will compensate for a portion of their lost income resulting from the decline in the value of lobster landings. To qualify, applicants must be essentially lobster-dependent fishers; must have earned income from lobster fishing in both 2008 and 2009; and must have seen their income from lobster landings drop by 25 per cent or more in 2009. Eligibility criteria for the program will be made available as soon as possible. This program is only available for the 2009 fishing season.

The government says the June 10 announcement builds on previous investments in the lobster fishery contained within the Harper Government's Economic Action Plan. To date these investments include a $10 million investment in lobster marketing, innovation and product development provided through the Community Adjustment Fund.

The Governments of Canada, Nova Scotia, Prince Edward Island and New Brunswick additionally jointly contributed $455,000 for marketing Atlantic lobster earlier in the year. Minister Shea has also announced that federal and provincial governments and industry will collaborate in a lobster development council to address domestic and international market access issues including eco-certification.

Meanwhile, the Senate Fisheries and Oceans Committee has released a report that makes recommendations pertaining to Employment Insurance.

The report says immediate changes to the Employment Insurance program must be implemented to address the problems created by low lobster prices.

As prices paid to fishermen at the wharf have dropped to levels not seen in two decades, the committee recommends fish harvesters be allowed to qualify for EI based on 2008 earnings and EI fishing benefits be extended by five weeks. EI fishing benefits are paid to self-employed fishermen, and eligibility for benefits is based on earnings rather than on hours worked.