G37 Limited Processing of Non-Individual Fishing Quota Species
Purpose and Need
The IFQ program was designed to promote the conservation and management objectives of the Magnuson-Stevens Act and Northern Pacific Halibut Act. The program was implemented in 1995 and assigned the privilege of harvesting a percentage of the sablefish and halibut quota to specific individuals with a history of harvest in the fisheries. Persons receive an annual allocation of IFQ and are authorized to harvest IFQ species.
Included in the IFQ program is a provision prohibiting the processing (freezing) of fish, other than IFQ halibut or sablefish, on board a harvesting freezer vessel if, along with that fish, IFQ sablefish were harvested by a person who has catcher vessel quota shares of sablefish. The Council’s intent in allowing the use of catcher vessel quota share on freezer vessels was to increase the fishing opportunities of IFQs held by crew members. The prohibition on freezing non-IFQ species came out of a Council concern that, if the owners of large, industrial-type processing vessels could harvest IFQ species with IFQ assigned to vessel categories B, C, and D while processed fish are on board, these operators could acquire the majority of the “catcher vessel” quota share that would normally be harvested by smaller boats without processing capabilities. These smaller vessels usually use shoreside local processors in coastal communities. The Council did not want to dramatically change the character of the fisheries and deprive coastal communities of the revenue generated by small vessel deliveries of IFQ species.
The combination of allowing catcher vessel quota share to be used on freezer vessels with the prohibition on processing non-IFQ species resulted in unanticipated waste of non-IFQ species caught incidentally to sablefish. Persons are required to retain all Pacific cod and rockfish caught incidentally to IFQ sablefish. Pacific cod and rockfish have a shorter “shelf life” than sablefish, and a typical sablefish fishing trip is too long to maintain sufficient quality of incidentally caught non-IFQ fish. Without the ability to freeze the non-IFQ species, the fish was often landed in poor condition, decreasing the market value of the fish significantly.
The purpose of Amendment 37 (BSAI Amendment 33) was to address the lost revenue and waste that occurs because fish other than IFQ halibut and sablefish are discarded, or if not discarded, become a low-quality product, due to the prohibition on processing fish other than IFQ halibut and sablefish. The amendments were necessary to allow fuller use of the fishery resources in and off of Alaska.
Analysis
A 14-page EA/RIR (final draft dated March 8, 1996) was prepared for these amendments. The analysis determined that the proposal would not have a significant economic impact on a substantial number of small entities, and would not adversely affect shore-based plants because most of the bycatch of non-IFQ species would be discarded as the period of marketability of unprocessed product is typically exceeded. Two alternatives including the status quo were considered. The alternative chosen allows for the freezing of non-IFQ species when catcher vessel quota share is used on freezer vessels.
Regulation Summary
This amendment approved the processing of fish other than IFQ halibut or IFQ sablefish on board the harvesting vessel by persons authorized to harvest IFQ sablefish based on an annual allocation of IFQ assigned to vessel categories B or C. This authorization is not extended to persons authorized to harvest IFQ halibut, due to the fact that halibut is characteristically prosecuted by local vessels that do not have onboard processing capabilities. Several modifications were also made to the regulations implementing the IFQ program in order to accommodate the new provision. In addition, while non-IFQ species could be frozen onboard, the freezing of IFQ sablefish caught with catcher vessel quota share on a freezer vessel would continue to be prohibited.
Results
Allowing non-IFQ species caught incidentally to IFQ sablefish to be frozen onboard freezer longliners enhanced product quality and allowed for the recovery of revenue otherwise lost to discards.