Friday, March 20, 2015

Is Bristol Bay facing a processor crunch?

The Alaska Department of Fish and Game has surveyed Bristol Bay sockeye processors with the following outcome:

The results of this survey found the 2015 Bristol Bay total intended purchases of 35.5 million fish is approximately 2.1 million fish (6%) lower than the forecast harvest of 37.6 million fish.

Read the full report for a lot more detail.


Gill Netter said...

HA! And that's with Silver Bay in the mix!!.......good, let some up the creek

Anonymous said...

Seems like a good time for the State to solicit foreign floaters to come in and take up the slack of the foreign land based processors of BB.

ADFG #1 statutory directive: maximize the value of a fishery.

BBEDC, when will the new plant/floater be built? Economic development means doing more than just stockpiling 10 ' s of millions of $. Invest into a Dillingham state of the art plant like Silver Bays over in Naknek.

Where's BBNC putting the profits from their $2 billion annual revenue flow?

When is there going to be actual major investments into the industry of BB by the entities that are supposed to be helping the region?

This wanton waste of salmon is basically a criminal offense according to Alaskan law.

Anonymous said...

The processor survey has, in the past, been something to inform the governor about whether or not to allow foreign processors into the bay. Have their been requests to allow foreign processors?

Anonymous said...

So far I agree with the comments, now let's do something about letting foreign processors in the Bay, I'm tired if trip limits and no competition. Tell me how can the 38 million fish be caught if you're on trip limits, therefore the grounds price should not be coming down from last years season.

Anonymous said...

I hear it's tough to find a market
if you just bought in or want to switch to another company.
Nobody is taking on more boats, that
means they already know it's going to be ugly.

Anonymous said...

There was an actual major investment 8:04, 2007.

Read the 2007 Processor Capacity Survey?

"We have found the ideal company to invest in," said Robin Samuelson, CEO of the BBEDC...Neither company plans major management changes, they said. Ocean Beauty will remain in its current headquarters in Seattle, and all "7" (emphases added) of its Alaska processing plants will continue to operate as normal."

Have 7 Big Secret Processor Capacity Reports.

See Robin Samuelson BOF; 2009 Another Big Secret.

Anonymous said...

What foreign processors, most of the Bristol bay processors are foreign. Maybe China, Norway could come but don't they have to sell there farmed junk? Can't ask Russia, of course their Northern Navy gearing up? Most likely to head to the high sea ( doughnut hole ) with their fishing fleet to feed there nation. I'm sure they have ate all their seafood this winter? So don't count your chickens before they hatch?

Anonymous said...

2 million fish, approx. 10 million pounds of sockeye, may not be harvestable. Note that the report already accounts for the 900,000 fish increase in escapement goals.

That is a lot of state tax revenue, local tax dollars and fisherman's income that may not be realized this next season.

Maybe the esteemed AIFMA or BBDNA can actually do something, like write a letter to the governor and make a request on behalf of the fishermen to bring in more production capacity, preferably to a foreign group that does not already import Alaskan salmon, i.e., a new market.

Anonymous said...

AIFMA has practically zero credibility with anyone who could influence this situation. You can't create conspiracies, lawsuits, strikes, etc. and expect anyone to come to your rescue when the market turns. Living proof of this is AIFMA's membership itself; certainly not growing. So, not so "esteemed."

Calling themselves a marketing organization is also a bit curious. What have they marketed in the last 10 years? Certainly not salmon.

Anonymous said...

Who's foreign?

Get propellors.

Anonymous said...

Why would a foreign processor send a boat over when they can get on the phone and have farm fish delivered?

Anonymous said...

AIFMA, "esteemed?"

How about "out of steam."

Anonymous said...

As far as the need for quality in Bristol Bay goes, the extra investment of "jumping through the hoops" as before mentioned is similar to the investment spent on equipment that increases the quantity a vessel is able to harvest (i.e. horsepower, volume, jets). Why can't we instead gear our investments towards increasing a higher price through quality rather than making up for the decrease in price through quantity?
Since this year is a higher volume year with a lower expected price for salmon, the incentive for quality does not matter as much as the ability to harvest fish. With that being said, hats off to the guys investing in new powerful boats. To those who are aiming for increased average price for salmon by making the vessel more quality friendly, kudos to you, you are the future of the industry.

Anonymous said...

SE had a similar processor crunch back in the 90s. A Russian company made contacted with influential fishermen to represent its interest to generate foreign processor acceptance. When asked what he would pay it was lower then what was acceptable. Once word got out what the Russians had offered it was no coincidence that all the shore base processor matched that price.

Anonymous said...

I find it interesting that over the past 15 years every new, credible, processor that came to the Bay--Leader Creek, Copper River (in Togiak) and now Silver Bay, has insisted the every boat they take on has the capacity to chill. I don't know about Copper River, but I do know that Leader Creek and Silver Bay also provide incentives for bleeding and using a salmon slide.

The other new entrants to the processing community--the ones that did not put quality first--all turned out to be fly-by-night operations.

This goes to show, yet again, that the best way to attract more processors, and more processing capacity, to the Bay is to work on raising the quality of the fish we fishermen deliver.

A new processor won't start with a can line. Instead, they'll plan to freeze their entire pack. Because of this, they'll want to minimize the percent of #3 and #2 quality salmon they buy. A credible new processor--one thats serious about being there for the long term--will be far more likely to take the risk if they're sure they can attract a fleet of fishermen who are ready and able to deliver fish that are consistently good quality.

Politically, it's highly unlikely Alaska's governor will permit foreign processors in Bristol Bay. To think that will happen is foolish.

Anonymous said...

These new powerful vessels are equipped with state of the art chillers, insulated fish holds. Wider bigger boats also rock less therefore the fish are also better quality.

Many older boats have uninsulated fish holds especially dividing the engine room and you can see the bottom of their fish hold standing on their deck with the hatches closed.

Anonymous said...

It is not foolish to ask the Governor and make him say NO , on record.

Anonymous said...

Sounds like there are a few Indonesian slave ships that are looking for work.

Anonymous said...

Adf&g dusting off their generic theory of compensatory production for bb.