Seafood processors in Newfoundland and Labrador have started the purchasing after backing away from their agenda of prices. They have resumed the business despite the feel that they are paying too high prices. As per the statement of the companies made last week they could not afford the $1.40 per pound established by a government-appointed panel. The processors had been holding out for a steeper cut, while fishermen have wanted a significantly higher price.
Derek Butler, executive director of the Association of Seafood Producers, disputed allegations that the processors were putting scores of fishing communities at risk. Butler also opined that the companies never ever said that they were doing this on the back of rural Newfoundland, or our plant workers, or the businesses we run or the harvesters we deal with and have good relationships with, and that they were prepared to throw it all in.
He explained that the companies were prepared to address issues, which they have done quite well, and now producers are making the decision that it’s time to, such as it is, get back to work. Commenting over the same price last week Butler said that this price was beyond what processors need to operate viably this season, amid slumping prices and a gaining Canadian dollar.
