Creating a Direct Connection Between Fishermen and Consumers

Presented by Anna ChildJune 15,2011

Objectives

Background on North Carolina commercial fishing industry

Idea behind the community supported fishery (CSF) model

How business works, successes, challenges, future

Ideas for model to be applied internationally

130 km of coastline

Harker’s Island area nicknamed “Downeast”

History of North Carolina CoastFor nearly 400 years, fishermen have worked

on the water, built boats and nets, and sold seafood along the coast

Fishermen can trace their fishing heritage back four or five generations

Some traditional fishing methods still used

Species Caught in NCIn-Shore Off-Shore

Yellowfin TunaGrouper

TriggerfishBlack Sea Bass

Striped Sea BassMahi-MahiPompanoSnapperTilefish

King Mackerel

Challenges Facing the CoastDecline from the 1990sFishing communities struggle to maintain a

viable fishing industryCollection of events and conditions make it

extremely difficult for local commercial fishermen to sustain a livelihood

Causes of DeclineInflux of less expensive seafood from abroadFrom 2000 to 2005: 40% decline in dollar

value of seafood landed, from $108 million to $64 million (NCDMF, 2006)

90% of shrimp found in the US market are imports

From 1997 to 2002: wholesale prices of shrimp fell ~40% (Fritsch, 2004)

Causes of DeclineIncreased regulations on fishing techniques,

amount, species and by-catchCan give foreign competitors an advantageTensions between recreational and

commercial fishermen

Causes of DeclineIncreased population growth and

development from tourism industryHigh fuel costs mean that cost of production

> profitRunoff from fertilizers, pesticides and wastes

from agricultural industry

Market ChallengesMost fishermen sell to the fish houseOffer services such as ice machines, coolers,

fuel, mechanicsIn the 1980s, >20 fish houses in operation. In

2011, four fish houses operate Downeast

ImpactFrom 1999 to 2006, more than 1000

fishermen have stopped working as commercial fishermen, >50% decrease (NCDMF, 2006)

Decline in both total landings and dollar values of seafood

North Carolina Total Landings 1972-2005 (NCDMF, 2007)

However, increase in demand for seafood in the US.

Consumer Demand for Local295 consumers surveyed in NC, 89% said it

was important that seafood they eat in NC be local. 83% responded they were willing to pay more.

Why? 31% taste 30% supporting a local economy 15% personal health 15% supporting the local environment 9% misc

Andreatta & Parlier, 2010

Local, Direct SalesNew strategy borrowed directly from the U.S.

small-scale farmersFarmers face similar trends, turned to selling

directly to obtain a higher price

Local, Direct SalesFarmers created community supported

agriculture (CSA) shares that functions as a buy-in club

Consumers or “shareholders” pay the farmer for a share of the harvest in advance

For farmer, payment covers seasonal start-up production costs

For consumer, get a regular share of fresh produce during production season

Model has now been adapted for fish

Community Supported Fishery (CSF) Shares

Prepayment is the shareholder’s investment in “their” fishermen

Variety of fish species are provided on a seasonal basis

Fishermen are able to sell their products at a premium

CSF BusinessesFirst CSFs established in Maine and

MassachusettsNow, twenty total in the U.S.Gaining significant media coverage

Core Sound SeafoodEstablished in March 2010First season from June-August 2010,

subsequent seasons in fall of 2010 and spring of 2011

Drop off 4 hrs from coast

Share OptionsWeekly Bi-weekly

Full Share (1.8kg) enough for a family for

1-2 meals 310 euro for 10

deliveriesHalf Share (.9kg)

enough for a couple for 1-2 meals

155 euro for 10 deliveries

Full Share (1.8 kg)enough for a family for

1-2 meals155 euro for 10

deliveriesHalf Share (.9kg)

enough for a couple for 1-2 meals

78 euro for 10 deliveriesAlso provide a weekly email detailing what is in

share, who caught it and how, cultural history, how weather impacts fishing and suggested recipes

Example of Seafood ProvidedSpring 2011 Season

Week 1: Flounder & ShrimpWeek 2: Bluefish & ScallopsWeek 3: Jumping Mullet & ClamsWeek 4: Flounder & ShrimpWeek 5: Pink Snapper & Soft Shell CrabsWeek 6: Spanish Mackerel & ShrimpWeek 7: Crabmeat & ClamsWeek 8: Flounder & Blue Crabs Week 9: Spanish Mackerel & Soft Shell CrabsWeek 10: Black Sea Bass & Crabmeat

=Biweekly

Successes on Supply SideConsistently bought from five Downeast

fishermen, total fifteenOn average, pay fishermen 30% more than

fish houseGuaranteed market for a portion of catch

before they catch itDowneast Fund

Successes on Consumer EndGrown from one drop off location to threeGrown from 100 shareholders to 200Beginning to sell to wholesale marketsShareholders learning about new fish species, seasonality in seafood, enjoy supporting local

“The newsletter and recipes are great and I especially love knowing a bit of background about who caught the share, what the weather was like, etc. It's great being so tied to the whims of the weather and seeing how that impacts fishing. Definitely

makes me more aware of my food.”

ChallengesAt times, difficult to fill sharesDifficult to work with same fishermen

consistentlyWorking with consumer assumptions around

sustainable fishingOffering enough varietyHigh fuel priceNeed more shareholders

Future PlansOffering a fall share in SeptemberPartnered with NGO to donate leftover fishConnection with farmers to bring local

produce back to coast

Ideas for Model to be Applied Internationally?

Must have access to high income market willing to pay premium price

Work with existing fishing cooperative organizations in developing countries with a focus on marketing, investment in infrastructure and compliance to quality/safety regulations

Possibility for N. African CSF to nearby European markets?

Work with artisanal fishermen groups in Europe to form CSFs?

Andreatta & Parlier 2010 The Political Ecology of Small-Scale Commercial Fishermen in Carteret County, North Carolina. Human Organization (Mobile, AL) Summer 2010.

Fritsch, Peter 2004 As Shrimp Industry Thrives in Vietnam, Trade Fight Looms. The Wall Street Journal (New York), October 21. URL: <http://www.americaneconomicalert.org/view_art.asap?Prod_ID=1226> (March 15, 2011).

North Carolina Division of Marine Fisheries (NCDMF) 2006 North Carolina License and Statistics Section. Summary Statistics. URL: http://www.ncfisheries.net/download/2005BigBookofData_1sted.pdf (March 15,2011).

North Carolina Division of Marine Fisheries (NCDMF) 2006 Fish Dealer Report. License and Statistics Section. URL: http://www.ncfisheries.net/download/JanJun06FishDealerReport.pdf (March 15,2011)

Works Cited

“...the small-scale sector can be expected to remain the backbone of the fishery sector in many if not most developing countries for many years to come. It is therefore all the more necessary that institutional changes are implemented to ensure the sustainability of the sector as well as safeguarding its important contribution to local food security, to economic development, to generation of employment and income and as a supplier of safe, nutritious, wholesome fish and fishery products to domestic and international consumers.”

Committee on Fisheries, Sub-Committee on Fisheries Bremen, Germany, February 2004:

Issues of Access of Small-Scale Fisheries Catch to International Trade