Eligibility for new snow crab processing licences being made available in NL requires group of harvesters with access to combined 4.5 million-pound quota and no ties to other processing companies in the industryAuthor of the article: Gary Kean • The TelegramPublished Apr 17, 2025 • 4 minute readThe new Industry Balance and Opportunity Licensing Approach, is the latest development in the provincial government’s plan to foster more free enterprise in the Newfoundland and Labrador fishery. Photo by Nicholas Mercer /Nicholas Mercer/The Telegram fileThe provincial government is making new snow crab primary processing licences available directly to groups of eligible fish harvesters to increase the sector’s competitiveness and capacity.In a news release issued Thursday, April 17, Fisheries, Forestry and Agriculture Minister Gerry Byrne said the new processing licences are part of the 10-point plan he announced in November 2024 to foster more free enterprise in the Newfoundland and Labrador fishery.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY.Subscribe now to access this story and more:Unlimited access to the website and appExclusive access to premium content, newsletters and podcastsFull access to the e-Edition app, an electronic replica of the print edition that you can share, download and comment onEnjoy insights and behind-the-scenes analysis from our award-winning journalistsSupport local journalists and the next generation of journalistsSUBSCRIBE TO UNLOCK MORE ARTICLES.Subscribe or sign in to your account to continue your reading experience.Unlimited access to the website and appExclusive access to premium content, newsletters and podcastsFull access to the e-Edition app, an electronic replica of the print edition that you can share, download and comment onEnjoy insights and behind-the-scenes analysis from our award-winning journalistsSupport local journalists and the next generation of journalistsRegister to unlock more articles.Create an account or sign in to continue your reading experience.Access additional stories every monthShare your thoughts and join the conversation in our commenting communityGet email updates from your favourite authorsSign In or Create an AccountorArticle contentThe plan aims to increase competition, increase processing capacity and strengthen controls over corporate concentration within the industry.The government is calling the latest development in the plan for snow crab processing the Industry Balance and Opportunity Licensing Approach. According to the news release, it will bridge “harvesters with their own processing and marketing opportunity in recognition of the essential role our province’s primary producers have in the fishery.”Eligibility criteria for this category of processing licence involves the coming together of a group of crab harvesters whose combined annual access to snow crab in 2025 is 4.5 million pounds or greater.The total allowable catch for snow crab in the Newfoundland and Labrador region for the 2025 season is 62,883 tonnes, or nearly 140 million pounds.Such a group of harvesters must enter into a legally incorporated, cooperative business relationship among its partners. The group must also establish proof that the members or owners of the new company include no ownership participation or interests by incumbent participants in the snow crab processing industry.Article content Fishing boats sit in Catalina harbour, Newfoundland. The fishing industry brings millions of dollars into the provincial economy. In 2022, the snow crab fishery alone was worth over $1 billion in catches and export value. Photo by Barb Dean-Simmons/The Telegram file photoEqual opportunityIn an interview, Byrne said this was not a specific request from harvesters, but was an idea that came to mind after seeing an existing processor from within the province, namely Ocean Choice International, partner with a harvester from Prince Edward Island to buy up the financially troubled Terra Vista fish plant in Glovertown.“I’m not against that happening, but I thought why not give fish harvesters from Newfoundland and Labrador the same opportunity,” said Byrne. Fisheries Minister Gerry Byrne Photo by Juanita Mercer/The Telegram file photoThe minister doesn’t expect a new group of harvesters to come forth with a business plan and access to a plant this season, but said it’s now a possibility for any like-minded harvesters to begin working on a plan to maybe acquire a plant next year or some time after.“There is no sunset on this or 12-month deadline,” explained Byrne. “If a group comes to whoever is minister at the time a few years down the road and wants a processing licence, then they will be able to get it.”Article content Fishermen ready crab pots for the season. Photo by Joe Gibbons/The Telegram file photo‘Heart and soul of our fishery’Consistent with expectations of existing primary processing licence holders, the government news release says, harvester groups that are issued a primary crab processing licence will have to comply with the requirements within legislation, regulations and policy, including achieving the minimum processing requirements as prescribed within the Fish Inspection Operations Regulations, the minimum production requirements as detailed within the Fish Processing Licensing Manual and the various reporting requirements.Other species licences will be considered as requested.In addition to proof of access to 4.5 million pounds of snow crab, to be considered eligible for the fish processing licence, the group/applicants must submit the appropriate application and a viable business plan and be:Registered as an incorporated entity in the province and in good standing with the Registry of Companies and Deeds.Registered and in good standing with the Workplace Health, Safety and Compensation Commission.Clear of debt owed to the Government of Newfoundland and Labrador.Article contentThe Industry Balance and Opportunity Licensing Approach is effective immediately.“The heart and soul of our fishery includes our inshore harvesters,” Byrne said in the prepared statement.“When harvesters don’t work, no one works in our fishery. The Industry Balance and Opportunity Licensing Approach bridges the gap of harvesters having more opportunities for self-determination and independence, while supporting our three policy objectives of increased capacity, increased competition, and control of corporate concentration.”Recommended from Editorial Changing tides: Panel sides with union’s snow crab pricing formula No authority: Court rules NL fisheries minister erred in changing crab pricing date Game-changerThe news was welcomed by FFAW-Unifor, the union that represents fish harvesters and plant workers, calling it a “transformative initiative” that bolsters the owner-operator fishery and fosters a more competitive and balanced snow crab industry in Newfoundland and Labrador.Article contentEmpowering harvesters to be able to form cooperative, independently-owned processing entities in this way is a game-changer, according to the union. FFAW president Dwan Street Photo by Keith Gosse/The Telegram file photo“This is a landmark moment for our inshore harvesters, who are the backbone of our fishery,” Dwan Street, FFAW-Unifor president, said in a news release.“Minister Byrne’s leadership in creating opportunities for harvesters to take control of their own processing and marketing is a powerful step toward self-determination and economic independence. This policy not only strengthens the owner-operator model but also ensures a more equitable and competitive market for the benefit of our coastal communities.”The union said the new policy aligns with its advocacy for policies that prioritize coastal sustainability and protect the integrity of the inshore fishery.By requiring new processing entities be free from ownership by existing industry players and meet stringent regulatory and business standards, the union said the policy safeguards against further consolidation and promotes competition in a market with a small handful of large corporate entities.Article contentFFAW-Unifor said it is particularly encouraged by the cooperative framework of this initiative, which fosters collaboration among harvesters while ensuring compliance with provincial regulations, including minimum processing and production requirements.This approach not only enhances capacity, the union stated in the press release, but also empowers harvesters to play a central role in the value chain, driving economic growth and sustainability in rural Newfoundland and Labrador.The Telegram has reached out to the Association of Seafood Producers, which represents processing companies in Newfoundland and Labrador, for comment, but it had not responded as of the time of publication.Article content
Opportunity presented: NL government makes new snow crab primary processing licences available
