Imagine if the government told grandmothers across the province that they had to sell their knitted quilts and mittens to a new government body that would, in turn resell the knit products and take a cut. Rightly so, such an absurd decision would go over like a lead balloon. Unfortunately for commercial fishermen in Western Canada, that type of system is a reality.

Since 1969, commercial fishermen in Manitoba, Northwestern Ontario, Saskatchewan, Alberta and the Northwest Territories have essentially been forced by the federal government and their respective provincial governments to sell their catch to the federal government’s Freshwater Fish Marketing Corporation.

Freshwater pays fishermen for their catch, processes the fish in Winnipeg, resells them and then pays out a dividend to fishermen at the end of the year; depending on the organization’s finances. And let’s be clear, Freshwater has nothing to do with stewardship of fish species, merely the marketing of fish that are caught.

There are some exceptions to this relationship, but as Freshwater has the power to set the rules, it has largely prevented any competition to itself. Consider that local fishermen can’t even sell their catch directly to local restaurants and supermarkets without obtaining a license which is administered and controlled by Freshwater.

Although the body was set up to help local fishermen, many are now questioning who serves who.

After all, the fishermen who are forced to sell their catch to the government body do not have pensions, sick leave benefits or other perks that employees at the federal body enjoy; which are fully paid for by the fishermen. Further, it has been suggested that the pay levels of some staff at the federal body are higher than what fishermen feel are competitive.

Naturally, those issues and many others have led many fishermen to push for the right to choose where to sell their catch; they think they can manage the marketing process better than the federal body. That’s right, they’re not calling for the elimination of Freshwater Fish Marketing Corporation, but rather the right to do what most other people can do – decide where they want to sell their products.

Further exacerbating the problem is the fact that the management of the fish themselves has come under scrutiny. Documents obtained by the Canadian Taxpayers Federation shows the number of fish that spoil under Freshwater’s management has increased nearly 500 per cent. In 2006/07, only 27,279kg spoiled at the plant, yet by 2008/09, it had risen to 133,796kgs.

Freshwater has defended the spoilage spikes as being attributed to extraordinary events – a storm that delayed a shipment and a barge that broke down. However, many fishermen disagree, noting that the spoilages occurred with many species and over extended periods of time, not during the two brief events alone. They have also raised concerns with other aspects of Freshwater’s management. For example, they have pointed out that fish delivered to the Winnipeg plant on a Friday sometimes have to sit all weekend before they are processed.

Regardless, every kilogram of fish that spoils or is marketed inefficiently ultimately reduces the bottom line to fishermen.

One thing is for sure, a lot has changed since Freshwater was established four decades ago, it’s time to loosen Freshwater’s grip on the industry and allow fishermen to sell where they please. Doing so will let fishermen who like Freshwater's services to continue doing business with them, while letting the dissatisfied go fish for a better deal.

By: Colin Craig
Posted: July 09, 2010
Topic: Manitoba

Contact the regional director Colin Craig for further information.

Type: Commentary

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