OCI gets OK for China export deal

A company operating a fishplant in southern Newfoundland has been temporarily allowed to export yellowtail flounder to China, as long as it meets government conditions.

Ocean Choice International intends to ship smaller yellowtail flounder for processing in China, where labour costs are significantly cheaper than its plant in Marystown.

Under a deal brokered with the Newfoundland and Labrador government, fish larger than 450 grams will continue to be processed at Marystown.

The company said it will be able to employ 250 workers in Marystown for about 35 weeks this year. OCI told the government that without the agreement, it could not afford to employ as many people for that long.

Allan Moulton, the Marystown plant representative with the Fish, Food and Allied Workers union, said members aren't keen on the deal, but agreed with it nonetheless.

"Nobody, including myself, wants to see any more fish going out of this province unprocessed than is absolutely necessary," Moulton said Wednesday.

An audit confirmed for the FFAW that OCI's claims about the difficulties in processing small yellowtail at Marystown were true.

"I didn't see many options here."

OCI previously had an exemption to ship yellowtail flounder smaller than 480 grams to China.

The Newfoundland and Labrador government's approval is for one year. Moulton said the duration of the agreement was key for the union's support.

"It could be 50 per cent of the entire yellowtail quota going out of the province unprocessed, and that's why it's vitally important that this is a short-term measure," Moulton told CBC Radio's The Fisheries Broadcast.

Under the export deal, OCI has agreed to unannounced inspections to ensure larger fish are not being shipped to China.