Membertou Chief Calls Lobster License Purchase ‘Historic Investment’
CAPE BRETON — The Membertou First Nation has taken a “historic” step into Nova Scotia’s lobster industry with the purchase of two offshore lobster fishing licenses from Clearwater Seafoods Inc.
The Mi’kmaq First Nation will buy two of Clearwater’s eight licenses, for a total of $25-million.
Membertou Chief Terry Paul told Huddle the sale “is a big, big deal” for Membertou specifically, and Mi’kmaq fishers across the province.
“Here in Membertou, we’re very, very excited after making this historic investment. It significantly increases our presence and participation in the Atlantic Canadian offshore commercial fishery,” Paul said.
“This deal brings us in as a new Indigenous participant into the offshore lobster fishery. It’s an opportunity for the Mi’kmaq to participate in the offshore fishery in a new and meaningful way and it allows for Mi’kmaq fishers to have access in the offshore,” he added.
Prior to the sale, Clearwater was responsible for the entire offshore lobster fishery in the Maritimes; the company owned every single license for offshore lobster fishing in the region issued by the federal Department of Fisheries and Oceans.
The 720 tonnes of lobster Clearwater was allowed to harvest through the licenses accounted for about 15 percent of its global lobster sales.
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Clearwater harvested all of that quota with a single boat, the Randell Dominaux. Paul said that will continue once the sale of the licenses is finalized.
“These licenses are all fished by one vessel, for economic reasons, and we [will be] on board with them as part of the workforce,” he explained.
Membertou and Clearwater have signed an operating agreement that will see Clearwater and Membertou employees working together on the Randell Dominaux.
Paul said the agreement will allow the two organizations to share best practices and give Membertou access to Clearwater’s technology and global market access.
Clearwater is also helping Membertou establish a training program to give Membertou members the skills and qualifications to work in the industry.
Paul said all the measures are part of what he considered a “very good business relationship” between the two organizations.
“One big thing, we feel this transaction serves as a model of cooperation and an example of a willing buyer and willing seller model at work,” he said.
“Here in Membertou, as a Mi’kmaq-owned business, we have the ability to choose partners who best fit our business models and operations and also leverage their experience in the field. This will ensure future growth for our community and future growth in the fishery overall.”
Ian Smith, Clearwater’s CEO, expressed similar sentiments in a news release announcing the sale.
“Clearwater is proud to work with Membertou to create First Nation access to this important offshore fishery. This transaction serves as a model of cooperation, with the commercial fishing industry and First Nations working together as equal partners to build value and opportunity for local communities,” Smith said.
Although Clearwater and Membertou have agreed to the deal, the sale can’t happen until it is approved by the DFO.
Paul guesses that will happen by mid-October.
“It’s a process. The deal itself will close mid-October but I feel comfortable with the process that we have. We have a program in place, a training program where our people will be able to participate right away,” he said.