10 ALASKA RESOURCE REVIEW SPRING 2025 Seafood Task Force looks to take steps amid issues affecting industry BY TIM BRADNER ALASKA’S SEAFOOD INDUSTRY IS FACING ROUGH WATERS AND THERE’S NO INDICATION WHEN THINGS WILL IMPROVE. The primary causes through much of the year have been market conditions and geopolitics. Now President Donald Trump’s tariffs are adding new levels of uncertainty. In addition: The war in Ukraine and its accompanying embargo have cut off U.S. access to Russian markets; a strong dollar has made exports of U.S., mainly Alaskan, products expensive for buyers overseas; inflation worries among U.S. consumers have depressed domestic demand (there is still a perception that seafood is expensive protein); cost escalation and supply-chain issues, a continuing effect of the pandemic, have all combined to make a perfect storm over the last year. The National Oceanic and Atmospheric Administration (NOAA) has estimated that Alaska’s seafood industry lost $1.8 billion last year. Now there are new wrinkles: Tariffs and tariff-induced inflation; continuing workforce challenges; and new uncertainties as to whether foreign workers will be able to get temporary work visas to staff seafood plants. However, there is better news. Alaska’s traditionally strong fisheries management continues to result in sustainable harvests. Although these vary by region and species, the net effect is relative stability. That being said, a recent concern is the impact of sharp cuts to the NOAA workforce by the Department of Government Efficiency (DOGE). NOAA biologists monitor the health of offshore fish stocks and recommend sustainable harvest levels. The seafood industry depends on those and the work of NOAA scientists to defend the offshore fisheries against lawsuits. Added to that list is the concern for DOGE cuts to the National Weather Service and the weather forecasts that fish harvesters depend on, said Sen. Gary Stevens, president of the Alaska Senate who led the Legislature’s seafood task force last year. The other bit of positive news is that several of the recommendations made by the seafood task force for legislation that would help harvesters, seafood processors and coastal communities are moving through the Legislature, Stevens said in a briefing. These won’t solve the big issues affecting the industry but they will help ease the pain. One proposal that may be enacted in the current session is an expansion of the seafood product development tax credit that will help processors invest in new equipment and technology. There is a seafood product development tax credit now that has been shown to be successful, but it is limited to species listed in the state statute. The proposed change will expand this to all fisheries, giving harvesters and processors greater flexibility and the ability to tap new markets. A second proposal is a bill that would allow fishing vessel owners to form insurance cooperatives that would lower insurance costs by pooling risks. Obtaining affordable insurance has become a major issue for harvesters, Stevens said. A third piece of legislation would have the state increase the share of revenues from the state fisheries landing tax paid to municipalities in coastal communities. Communities along the coast that support processing plants and harbors for fishing vessels now get a share of the state revenue which has declined. The legislation would increase the share. Another proposal is to provide some state funds for the Alaska Seafood Marketing Institute (ASMI) to promote U.S. domestic sales of Alaska fisheries products. There are several other proposals still being developed by the Seafood Task Force that will be considered in the 2026 legislative session and in the following year, Stevens said. LEGISLATURE STEPS IN TO HELP WITH SEAFOOD Shutterstock Photo Alaska legislators continue to look for solutions that will help alleviate issues within the industry.
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