P.E.I. fishers call spring lobster prices 'a slap in the face'

P.E.I. lobster fishers say they're disappointed with prices so far this season, at a time when they're faced with the rising cost of doing business.

The Island's spring fisheries opened at the end of April in Lobster Fishing Areas 24 and 26A, and Lobster Fishers of P.E.I. Marketing Board chair Charlie McGeoghegan said the season didn't start out strong.

Harvesters say they're getting between $6.50 and $7 per pound from processors — less than last year, and about half what they were getting a few years ago.

"That price we got in 2006, and you could buy a fishing fleet in 2006 for $200,000 and now they're $1.5 million to $2 million. Everything has gone up … bait, fuel, engines, pickup trucks, rope, traps, buoys, everything," McGeoghegan said.

"So to expect us to go fishing for a price that's 18 years old is a slap in the face. And we know for a fact … that the demand is high, higher than it's been in the last 10 years, and supply is the lowest it's been in 10 years."

'It's a costly venture'

Francis MacKenzie, who's been fishing for eight years, said the early start to the season didn't help. The water is still very cold, which makes lobster harder to trap.

"Of course everybody would like a few dollars more. Expenses are really high," he said.

"Especially when the cost of everything else is increasing, there is always that concern that it may not be affordable. But so far we haven't had much problem getting rid of the lobster."

MacKenzie, too, cited the skyrocketing costs of diesel and bait as challenges.

"It's a costly venture. Fuel has increased maybe 50 or 60 per cent year over year. And yeah, we're not looking to make a complete fortune, but it has to be feasible at the end of the day," he said.

"Obviously a little bit more is going to help our bottom line, but it is what it is. We just gotta grit our teeth and bear through it, and hope the prices come up … I gotta go out and do my job and hope for the best."

MacKenzie is hoping prices won't drop much further in the coming weeks.

"Any drop in price is disappointing," he said. "We risk our lives day in and day out to catch a delicacy."

'The marketplace is dictating this'

Fisherman Tupper Harris said prices usually drop around Mother's Day, so fishers were hoping to bring in a bit more earlier in the season to lessen that hit.

"We'd like to see the prices go up a couple of dollars," he said.

"It just puts the pressure on if you're not catching your catches or you get windy days like this. It hurts the bottom dollar. You gotta try to make it up somewhere … I hope we see some more lobsters come on and the price stays at least where it's at or maybe a touch better."

But P.E.I. Seafood Processors Association executive director Jerry Gavin said prices are ultimately set by the consumer, not by processors.

"The biggest issue is that if you look at the economy in the U.S. and even in China, the demand just isn't there to pay for a high price," he said.

"At the end of the day, [it] will depend on the volume of lobster coming in and the willingness of the consumer to pay for the product. … The marketplace is dictating this."

A luxury item

Gavin said processors, too, are concerned about the rising costs faced by fishers.

"We definitely recognize the fact that it's more expensive for fishers today with fuel and bait, even labour. Everything is up … so it's really challenging for fishers and we certainly feel for them," he said.

"I'm sure processors would like to pay more, but that's all they can pay to continue to be sustainable."

Gavin said it's hard to predict what the market has in store for lobster prices.

"It's going to be challenging moving forward, I think," he said.

"There's always that concern that there will be a recession. Lobster is a quality product, but at the end of the day it's more of a luxury item for the consumer — and now the consumer[s], in some cases, are worried about paying their mortgage."

Gavin said he hopes consumer demand stays strong enough for prices to remain stable.

McGeoghegan, however, said fishers want just one thing.

"We want fairness. We just need people to pay a fair price, and this is far from fair."