The Honourable Bernard Davis, Minister Responsible for Labour, today announced details for the establishment of a provincial Fish Price-Setting Strategic Review Team to assist with the development of a formula-based framework for fish price-setting, and other potential mechanisms, to address ongoing issues with the current price-setting process.

The strategic review team’s mandate includes economic analysis, stakeholder consultations and review of current legislation, policy and regulations, with the objective of finding a solution that reflects the respective roles and values of the harvesting and processing sectors.

The strategic review team consists of three members appointed by the Lieutenant-Governor in Council, based upon nominations from Fish, Food and Allied Workers – Unifor, the Association of Seafood Producers Inc., and the Provincial Government.

All three members have extensive experience in the fishing industry, and include:

• Glenn Blackwood (Chair);
• Gabriel Gregory; and
• William Broderick.

Members will begin their review immediately and will make recommendations to the Minister Responsible for Labour.

Quotes
“The fishing industry is a vital economic generator in Newfoundland and Labrador. In light of the recent market volatility, our government is establishing this Fish Price-Setting Strategic Review Team in an effort to avoid future disruption in the industry. We are committed to supporting the sustained growth and success of the fishing industry as a whole.”
Honourable Bernard Davis
Minister of Environment and Climate Change and Minister Responsible for Labour

“Identifying a solution to the fish price-setting process that addresses the concerns of both harvesters and processors is key to the timely start and execution of our various fisheries. I am confident that the establishment of the Fish Price-Setting Strategic Review Team will result in positive outcomes and lead to maximum economic benefit for all those who make a living from our seafood resources.”
Honourable Elvis Loveless
Minister of Fisheries, Forestry and Agriculture

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BACKGROUNDER

Biographies of Fish Price-Setting Review Team Members

Glenn Blackwood
Glenn Blackwood holds a Bachelor of Science (Hons.) in marine biology and a Master of Arts in resource management from Memorial University. Globally recognized for his leadership and expertise in fisheries and ocean sciences, Mr. Blackwood brings a wealth of knowledge into this role.

Mr. Blackwood most recently completed his term as Vice-President of Memorial University (Marine Institute) after 16 years of exemplary leadership in navigating the institute through largely successful expansions and transitions. Throughout his career, he has further directed the Marine Institute’s Centre for Sustainable Aquatic Resources, was the Managing Director of the Canadian Centre for Fisheries Innovation and served as Assistant Deputy Minister of Fisheries and Director of Resource Analysis with the Government of Newfoundland and Labrador.

A Fellow and a Governor of the Royal Canadian Geographical Society, Mr. Blackwood has also been an elected Chair of the International Association of Maritime Universities for two terms, and was a member of the Boards of the World Maritime University, Ocean Supercluster and the Oceans Frontier Institute.

Gabriel Gregory
Gabriel Gregory holds a Bachelor of Commerce from Memorial University and is a certified management accountant through the Society of Management Accountants. Mr. Gregory has spent most of his decades-spanning career in the fishing industry and brings extensive knowledge and experience to his role.

Mr. Gregory is currently the principal of a private consulting company that provides fisheries and management consulting services to both industry and government clients. Throughout his career, Mr. Gregory has held senior executive roles at Beothic Fish Processors Limited (President) and at Fishery Products International Limited (Executive Vice President of Atlantic Operations) .

Furthermore, Mr. Gregory has served as the Chairman of the Canadian Centre of Fisheries Innovation, Vice-Chair of the Fisheries Resource Conservation Council, Director and President of the Canadian Association of Prawn Producers, and Director and President of the Groundfish Enterprise Allocation Council.

William Broderick
William Broderick is a retired Fish, Food and Allied Workers – Unifor (FFAW-Unifor) Inshore Director who worked with the union for 16 years. Prior to being hired as a staff member, Mr. Broderick held the election position of Inshore Vice-President with the FFAW from 1995-2004.

Mr. Broderick has an extensive background in the fishing industry, with a career spanning over more than 25 years. He has served as a member of the Fisheries Resource Conservation Council from 1999-2003, and has been serving on the Board of Directors of the Fish Harvesters Resource Centres from 1993 to present. Nationally, he has been the FFAW – CAW member on the Board of Directors of the Canadian Council of Professional Fish Harvesters from 1996 to present.

Mr. Broderick has been a FFAW representative on the Board of Directors of the Professional Fish Harvesters Certification Board, where he is currently serving as the Chairperson, a position he has held since the organization’s first election of governing officers in 1997.

BACKGROUNDER

Terms of Reference for the Fish Price-Setting Strategic Review Team

Purpose
The fishing industry is a vital economic generator in Newfoundland and Labrador, with a total value of $1.4 billion dollars annually, and employing more than 17,500 people. Historically, the fishery was based on groundfish, primarily cod, but for the past 30 years it has been dominated by shellfish, with snow crab accounting for more than 50 per cent of the total value of the fishery.

Established in 1971 and amended over time, the Fishing Industry Collective Bargaining Act (the Act) regulates collective bargaining between fish harvesters and processors. The Act includes authority for the appointment of a Standing Fish Price-Setting Panel (the Panel). In addition to duties such as the facilitation of collective bargaining in the fishing industry, the Panel has a mandate to set price and conditions of sale for a fish species where parties have been unable to conclude a negotiated collective agreement.

The current panel approach was implemented in 2006. While amendments have been made to the Act since that time, market volatility and disputes between interested parties have continued to create challenges for ongoing stability in the industry. Government will facilitate the development of a new approach for setting fish prices annually.

In an effort to address ongoing issues with the current price-setting process, a Fish Price-Setting Strategic Review Team (Strategic Review Team) will be established to assist with the development of a formula-based framework for fish price-setting, and possibly other mechanisms, with the objective of avoiding future disruption in the processing and harvesting sectors.

Mandate and Objectives
The Strategic Review Team will make recommendations to the Minister responsible for Labour about matters regarding the process for fish price-setting as outlined in the Act, including the recommendation of a new formula-based framework. The objective is to find a solution that reflects the respective roles and value of the harvesting and processing sectors, and leads to a fair and balanced distribution of the market value to all participants in the fishery. To complete the work, the Strategic Review Team will:

1. Consult all interested parties such as the respective organizations of fish harvesters and processors, and consider these views in the recommended framework;
2. Consult current and past members of the Panel;
3. Consider current relevant legislation, regulations, and policy;
4. Consider the findings of reports, previously prepared for the Province, about the Act and fish price-setting;
5. Complete economic analysis of historic pricing structures for various species;
6. Examine pertinent formula-based approaches applied in the fishing industry in other jurisdictions;
7. Report on the type and rationale for each variable that should be considered in a new formula for determining annual fish prices, such as price to harvesters, labour cost, yield, market prices and exchange rates;
8. Develop and test formulaic approaches to price setting and seasonal adjustments, including economic modelling cases depicting how the recommended formula framework will function under various scenarios of fluctuating market conditions and for different species;
9. Outline any important considerations for implementation of the recommended formula (e.g. time period for applying the formula and any potential interruption mechanisms such as seasonal adjustments);
10. Report observations to the Minister regarding potential impacts to industry parties under different possible scenarios and at different stages of formula implementation; and,
11. Provide recommendations regarding other considerations for fish price-setting that are identified through the review process.

Composition
The Strategic Review Team shall consist of three members appointed by the Lieutenant-Governor in Council (LGIC). Members will have relevant experience in the fishing industry and the Minister will accept nominations for consideration from the Fish, Food and Allied Workers-Unifor and Association of Seafood Producers, to inform the selection of one member per organization. One of the three members will serve as Chairperson, as appointed by the LGIC, for the purpose of facilitating results through mediation and finding common ground between the harvesting and processing sectors.

Resources
To complete its work, the Strategic Review Team will be supported by the Departments of Environment and Climate Change and Fisheries, Forestry and Agriculture.

A small budget will be available to hire external expertise as required. The remuneration rate for members of the Strategic Review Team will be in accordance with the Level I rate outlined in the Guidelines for Agencies, Boards and Commissions.

Timelines
The mandate of the Strategic Review Team is time sensitive.

Initial meetings with industry will begin immediately, followed by completion of the requirements outlined in the mandate and objectives section.

A report will be submitted, including a recommended formula-based framework, by October 12, 2023.