Sunday, March 3, 2013

Maybe we should stop calling them dogs

Deckboss was checking out the state's review of the 2012 salmon season and ran across a remarkable figure: $85 million.

That's the estimated dockside value of the chum salmon catch in Southeast Alaska.

Yes, $85 million.

To put it in perspective, the Bristol Bay sockeye catch paid about $118 million.

Most Southeast chum salmon come from hatcheries. Fishermen last year took 12.4 million chums, the sixth-highest harvest since statehood.

The chums paid an average of 75 cents a pound, the state says.

Traditionally, chums have been valued mainly for their roe.

But I'm thinking the roe, or even the large harvest volume, can't fully explain how a bunch of "dog" salmon can tally $85 million.

Is it marketing? New product forms?

I mean, wow, $85 million!

22 comments:

Anonymous said...

There are a lot of numbers with in the numbers in the review. 3.05 million were harvested by Aquaculture Associations. They normally take the first fish to arrive in the harvest area, which are the 6 and 5 year olds which are the heaviest/largest dogs and they normally get more than 30% more money per pound than the fleet does. Still it’s a great economic engine for the area. Aquaculture Associations have large debt loads to the state from start up costs and from the salmon price crash in the 90s from farmed salmon. A good average cost recovery to common property percentage is 30% or lower cost recovery to 70% or higher common property. Some Aquaculture Associations and Mom & Pops are better than others at getting to this percentage. Let the babble begin!

Anonymous said...

DIPAC is debt free and paying NSRAA $1M+ this year to negate the need for some cost recovery in Sitka...= more common property fishing time.

Anonymous said...

Don't expect that price to hold up this year. I'm hearing 50 cents or less this season.

Anonymous said...

The market could be white hot, but that doesn't mean a thing to the ex-vessel price. That price is never stable, the big boys are going to cash in this year after paying out the nose lately.

Anonymous said...

Deckboss,
I have been working with these numbers all week. Astute observation, here are some more:
SE Chinook $14.8 million,
SE Sockeye $8.1 million,
SE Coho $17.8 million,
SE Pink $30.6 million,
Total SE Chinook, Sockeye, Coho, and Pink = 71.3 million.
SE Chum $85.0 million.

So SE chums were worth more in 2012 than the combined value of the rest of our salmon. 80% of these are hatchery salmon.

These are the commercial common property harvest values. They include hatchery fish harvested in terminal areas in the commercial fisheries, but not the cost recovery salmon or broodstock carcasses in my understanding.

A couple of other interesting bits of information.

SE gillnet permit prices in January: $104,000 up from $57,000 in 2010.

SE seine permit prices in January:
$251,000 up from $87,000 in 2010.

Se Troll permit prices in January:

$32,000, down from $33,000 last year.

Troll share of SE enhanced salmon in 2012, 12%.

Anonymous said...

Who is talking 50 cents for chums?

Anonymous said...

How about a $1.00, with Gold at $1700.00?

When the paper costs fifty cents, and the inks a quarter, how much is that doggie really worth?

http://en.wikipedia.org/wiki/File:RunningtheMachine-LincAdmin.jpg

Anonymous said...

An idiot. They are going to be between 70 and 75 cents.

Anonymous said...

Wish we had some of those chum salmon in the month of June in the Nome River.

Nome River

Summer Chum Run

No Longer

Lost at Sea

Anonymous said...

Yes DIPAc is debt free. NRSAA has a $9-12M reserve, and is begging money from DIPAC for cost recovery. How did that happen? DIPAC has so much money and is struggling hard to allow 70% common property harvest of their fish, and throwing money at everything. SSRAA is producing fish, but is getting screwed with their marketing program.
One very obvious thing: With our current high prices and the departments mantra of no new hatchery production, both the regionals and pnp's debt should be going away. If it isn't, follow the money. I was just thinking about the regionals the other day, wondering what the executive directors are paid. The nrsaa guy has proven to be an adept money manager, but a dismal failure in making fish. The ssraa guy is really good at making fish, but really bad with the dough. Maybe they should switch for awhile?

Anonymous said...

The SSRAA Manager and board has paid down all of its interest bearing debt and we now have more in reserves than we do debt. We have also exceeded our corperate goal of 75% of fish to the common property fisherman 25% to cost recovery we will keep our man at SSRAA thank you.

Anonymous said...

I would'nt doubt the idiot is right about .50. The yen is going down rapidly.

Anonymous said...

1:31 your post is off base, you should educate yourself.
Its best to stay silent and be thought of a fool rather than open your mouth and remove all doubt.

Anonymous said...

Chums will be between 75 and 90 this year, is what I have been told, if you want to start a rumor it will be 50,thats what you will get.
The value of these hatcheries toour fisheries is becoming very apparent in SE as it has in PWS

Anonymous said...

Chums processed in the Native way, dried and/or smoked are priceless. Good food for the poor people of Western Alaska where jobs to earn wages are few and far between. A way of life is being destroyed as a result of the Political Salmon Wars of Western Alaska thanks to the CDQ program.

Anonymous said...

I agree with 1:12 call your gear group board members at the aquaculture associations and ask them questions. The board is responsible for all financial decisions made, they will tell you the rationale used to govern these associations to enusre future sucess. Reserve money is very important as is cost recovery and the returning salmon forecast. Also I wouldn't worry about the GM's pay that is also set by the board and they will pay the person based on their performance, no one works for free and great leaders should be paid accordingly...they dont have easy jobs

Anonymous said...

\Gee ,Maybe we should start a chum hatchery in western Alaska, seems the areas that did are getting massive returns , wow 85 million dollars in Hatchery chums, thats 10 milllion chums! what would that do for western Alaska , That is an awful lot of dried smoked salmon and a very good living for the villages. Would the native corperations be interested in this way to help thier people?

Anonymous said...

"Gee" or Haw, either way, Western Alaska is the State's Salmon Sacrifice Zone because they have the CDQs from the Pollock Fishery in the Bering Sea.

Western Alaska has the CDQ program stemming from the salmon killing pollock fishery. It's their job to bring "fisheries related economic development" to the region. That was a Ted Stevens deal. Then along came Don Young in 2006 and gave the managers of the CDQs an easy way to become millionaires on the peoples dime with no oversight or accountability to the poor people of Western Alaska.

The CDQs are a red herring fix that isn't working as intended because they all jumped back into the sea where millions are being made for the "future" when the last salmon is killed off as ByCatch.

As for the "native corperations... to help thier people?", we Natives have been waiting for 41 years for their help as mandated by the Federal Government back in the early 70's when a handful of men made a deal with the government. It hasn't happened yet, so why do you think it'll happen now?

If the people of Western Alaska value their salmon culture and tradition, their easy fix is to demand accountability from the CDQ program. Congress can help. They are scheduled to review the CDQs this year, 2013. Except the politicians have rose colored glasses on because they love their jobs more than they love salmon. It's therefore up to the people of Western Alaska to save their salmon culture.

Anonymous said...

For the blogger at 6:15 PM, March 8 - there is a hatchery in Western Alaska that can raise chum salmon!

Some history can be read at: http://alaskaleaks.typepad.com/blog/2012/03/why-the-state-of-alaskas-department-of-fish-and-game-vandalize-the-hobson-creek-hatchery.html

That action clearly shows that the State don't want to help the people in Western Alaska so they ganged up on private citizens and gave them some impossible hoops to jump and the story goes on and on and on and on and on and on just the way they like it because that's been the broken record for going on 30 years.

In the meantime, the salmon returns are continuing their downward spiral. Maybe you could help spread the word around. No support from the State unless you live in the Cook Inlet area.

Anonymous said...

I thought we called them Keta salmon now, better sounding to the restaurants down here....not that I agree, just saying

Anonymous said...

Keta sounds too yuppish.

Dog Salmon

Hefty

Stout

Makes

Good

Dry

Fish

The

Eskimo

Way

Dog Salmon

Anonymous said...

Summer Chum Runs

In Western Alaska

Can't Subsist

In The Best Month

For Making

Dry Fish

Got To Save The Kings

Bye, Bye Summer Chum Run