Japan Losing Out in Sockeye Market As Higher 
Prices Expected in Bristol Bay This Year
Japan is getting priced out of the Alaskan sockeye market because of strong US demand. Japanese traders are compelled to buy above their market cost if they accept the prices proposed by US packers. Traders point out that the Japanese cannot keep up with the US prices because the current price level of salmon products distributed in Japan do not meet the raw material costs. At the same time, it is highly probable that the prices of Bristol Bay sockeye this season will exceed last year’s level.
Chris Oliver, Executive Director director of the Alaska-based North Pacific Fisheries Managment Council, has been offered and has accepted the position of Assistant Administrator of National Marine Fisheries Service. A tentative start date is Monday, June 19, 2017. Oliver notified members of the NPFMC and staff by email yesterday, explained that "this appointment is still subject to the White House vetting and approval process, which may take a few weeks, so it is NOT final yet." He said that recent industry rumors, plus the need for transition planning, led to his email.
In other news, the Japanese Parliament agreed to ratify the first international treaty that tackles illegal, unreported and unregulated (IUU) fishing—the Port State Measures Agreement (PSMA). This puts Japan, one of the three major seafood consuming nations in the world, at the forefront in the global fight against IUU fishing. “Japan’s decision today is an important milestone in the fight against IUU fishing, and we expect to see important behavioral changes in the water over the next few years,” Maria Damanaki, Global Director for Oceans at The Nature Conservancy, said in a press release.
Meanwhile, slow lobster landings in both PEI and New Brunswick have hit a wave of demand, pushing up competition at the wharf, and prices to harvesters. Dealers say that on the docks there is now a fierce competition between processing plant buyers and live dealers. Lack of supplies and the very strong live demand is going to impact meat and tail markets later this summer say traders. Last year high prices in the Gulf in May and June set up a disastrous year for processors, many of whom lost money when the price of tails failed to cover the costs of these purchases. Currently the price of 4 oz American lobster tails has recovered somewhat compared to May of last year. But the depressed tail price last year was largely a result of inventories of tails that existed going into the spring season. That is not the case this year. So the market is likely to be much more responsive to raw material costs.
Finally, an email from the World Wildlife Fund reveals concerns that Tasmania's salmon industry is having a "significant negative impact on the environment" despite WWF's endorsement of Tassal. "WWF Australia has asked the Tasmanian Government to establish an independent, scientifically robust and transparent process, using independent marine and fisheries scientists, to set new biomass limits for Macquarie Harbour salmon farms," the email said. "At the moment the Government isn't responsibly managing the leasing or regulating [of] the industry, which is having a significant negative impact on the environment."
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