Updated market information for NL snow crab has shown a 75 cent USD increase since the time of the Panel’s decision on April 4, 2018. As a result, FFAW has chosen to utilize our right to apply for a price reconsideration. As we only get one chance to change a previous decision, it was essential to wait until we had definitive evidence of a change in market to present to the Panel. Based on the information presented, the Panel has agreed to hear our position on Tuesday, May 15th.
We were disappointed with the price chosen originally by the Panel, but this recent upturn in the market means the minimum price is simply unacceptable. Harvesters are not receiving a fair price for their product. It is not lost on anybody that over 35% of the TAC has already been landed. As the crab season began there were reports of a very strong market and high demand for crab, two things we made very clear in our original submission.
The FFAW has presented a new price of $5.05 and backed it up with evidence. As per legislation, the Panel must bring down its decision within 48 hours of receiving the request. A decision is expected by 6:59 pm tomorrow evening. Like regular negotiations, the Panel must choose one price or the other. The ASP submission is $4.90.
We will inform you all as soon as a decision has been reached.