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    Mowi achieves EUR 240 million in Q3 2022

    Mowi got an operational EBIT of approximately EUR 240 million in the third quarter of 2022. During the same quarter last year, it achieved EUR 131 million.

    In more detail, the company harvested a total of 134,000 tonnes of salmon in the quarter, distributed as follows:

    Norway: 87,500 tonnes
    Scotland: 14,500 tonnes
    Chile: 17,000 tonnes
    Canada: 11,000 tonnes
    Ireland: 2,000 tonnes
    The Faroe Islands: 2,000 tonnes

    On the other hand, the total Operational EBIT per kg through the value chain was approximate as follows:

    Norway: €2.55
    Scotland: €0.30
    Chile: €1.25
    Canada: -€0.35 (Canada West: €0.80)
    Ireland: -€1.20
    Faroe Islands: €1.05

    Operational EBIT in Consumer Products was EUR 30 million (EUR 22 million in Q3 2021) and Feed EUR 15 million in Q3 2022 (EUR 10 million in Q3 2021). Farming in Scotland and Ireland were negatively impacted by environmental issues related to micro-jellyfish; incident-based mortality was EUR 0.5/kg in Scotland and EUR 3/kg in Ireland.

    In addition, the reported financial net interest-bearing debt (NIBD) was approximately EUR 1 355 million at the end of the quarter (excluding IFRS 16 effects).

    The complete Q3 2022 report will be released on 9 November at 06:30 CET.

    About Mowi ASA

    Mowi ASA is one of the largest seafood companies in the world and the world’s largest producer of Atlantic salmon. It has worked with the same strain of salmon since its beginnings in 1964.

    The company has its breeding and genetics department. The strategy is to produce own eggs to secure the selection of the best genetic properties.

    It has invested in significant efforts and resources to improve the performance, disease resistance, welfare, and quality of fish.

    Laetitia Tricaud

    Each of our team members has made our Talent Cluster grow in different ways. Even our newest addition, Laetitia (Laëtitia) Tricaud, has taken our organization in a direction towards growth and progress within the recruitment sector in Aquaculture and Seafood. You are probably curious about who Laetitia is, what is her background, and what her role within AquacultureTalent is. This is why today I want to share with you her Aquaculture Story and her key role within our company.

    Human Resources as a Career

    Laetitia has been a Human Resources Specialist and Manager for more than 15 years, and the reasons behind her long-lasting participation in the sector are various. She is very passionate about personnel development, the support of others, and change.

    “My experiences have given me an opportunity to perform an operational and strategic role in order to support managers in the structuring and organization of their practices. To me is more than Recruiting for them, but also making Talent Development a real recruitment policy”.

    For Laetitia, developing herself in Recruitment means being a part of a human adventure, professionally and personally, not only for candidates but for companies. “The period in which we are living is shaping and reinventing companies and the vision of recruitment they have built. It is now more concerning for companies and employers how economical and human issues are affecting their processes. And understanding these have given them the tools to support talent and improve their overall wellbeing”.

    Laetitia Tricaud and Aquaculture

    Laetitia is a Senior Advisor at AquacultureTalent. Previously, she worked in different structures in the Agro-food sectors all across the Human Resources needs. However, now at AquacultureTalent, she is focusing on recruitment “which is perhaps the part of HR I prefer”. She likes to recruit and is in need of the human contact inherent to recruitment.

    “I am able to meet so many different people from candidates to managers and leaders, which allows me to feed myself with their experiences and knowledge. Aquaculture is a sector that is exposed to economical and environmental challenges worldwide, but these challenges are what allow it to prosper and help people make a living from fascinating roles”.

    Aquaculture has also given Laetitia the opportunity to meet people that are passionate about their profession and take the time to explain the challenges they can and have faced within their roles. Roles in which there is a strong respect for the cycle of life and nature, making these a priority and daily challenges, while always aiming to business success.

    Joining the AquacultureTalent Team

    As an Advisor, she strongly believes supporting companies and employers with their recruitment processes involves learning about them. Learning about their strategic and financial plans, as well as their human concerns. “I have experiences in strategic roles around these subjects. Which has given me the know-how of listening to them and offering them a piece of professional and benevolent advice. This way, we can ensure that our clients have the right candidates, and our candidates get the right employer”.

    There are so many values in Recruitment that Laetitia treasures and this industry has strong visions and missions regarding these.

    “The passion, the commitment of everyone involved. But also Aquaculture as an essential economical activity. I couldn’t let this opportunity with AquacultureTalent pass.

    I have always wanted to be a recruitment consultant, but I didn’t want to work for a generalist firm. AquacultureTalent is for me a team of experts in Aquaculture, but also in human relations and business organization. I wanted to make the shift in my career, and I am happy this new adventure is along with Aquaculturetalent. I am very happy to find a team, to be part of a new professional family, experts in our field!”

    Employer Branding from The Talent’s Perspective

    We have said a lot about Employer Branding. But what is Employer Branding from the Talent’s shoes? These are strategies we design for them, are they really finding them necessary? Today I won’t be sharing interview results specifically, but more a general overview of how talent perceives all those Employer Branding Efforts and Strategies you spent so much time designing. So, let’s dive in.

    The Process in Attracting Talent

    So we described the general process and elements to designing your Employer Brand. How does this process look from the talent’s end? First, they become familiar with your brand and what you represent. This is by being able to see posts and information of your company, the way you brand to your consumers through the different communication channels. Second, they start liking you. Yeah, they know who you are, they know what you do, but does this actually resonate with them? They need to feel like your company values and mission are something they sympathize with. This part also includes the way you promote the different opportunities and achievements among your teams.

    In the third place, these values and missions are something they want to take a part in. They see your organization as a possibility for their career. They feel like the opportunities and prepositions your company has to offer are something that is for them. Then in the fourth place, they apply. But this process is not a simple one, it also depends on how easy and friendly you make the application process for your candidates. And how is the feedback from your organization once they are taken through the pipeline.

    But we all know Employer Branding doesn’t end in Talent Attraction. So, what are their perceptions once they are part of your organization?

    The Process in Talent Retention

    You both decided to join paths. Now let’s see what happens on the talent’s end regarding your Employer Branding Strategy. First, they start liking working with you. This is because of the way you decide to communicate with your employees, but also has a lot to do with an effective onboarding process, and great leadership. They also keep in consideration the different ways you offer to support them personally and professionally. Your new employees feel like they made the right decision by joining you. Second, your employee is compromised to your organization, and you can see this because their productivity improved or has not decreased in the time they have been with you. This engagement is also tightly linked to the development opportunities you offer for them.

    Photo by Campaign Creators on Unsplash

    In the third place, your employee will develop loyalty. And this is probably one of the most difficult to achieve. The best way to achieve it is by carefully analyzing the reason other employees have left your organization. This is tightly linked to career opportunities, Company’s results, and remuneration. And last, your employees or former employees will recommend your organization to other talents. This is one of the most important signs. Only someone that feels happy and comfortable with your organization will recommend others to do the same.

    AquaBounty’s Chairman of the Board retires

    Richard J. Clothier, chairman of AquaBounty’s Board, is retiring and is therefore stepping down from the Board of Directors and will not stand for re-election, the land-based aquaculture company has announced. Clothier, who has extensive experience as an executive in the food industry and as a director of public and private companies, has held the position since April 2006.

    The outgoing Chairman has extensive operational, strategic and political experience in the agribusiness and biotechnology sectors, which he has brought to the company over the years, as Sylvia Wulf, Chief Executive Officer of AquaBounty, pointed out. “Richard’s contributions to our Board over the last 17 years have been remarkable. His steady guidance through years of challenges has helped to build AquaBounty into the aquaculture leader that it is today”, she said. Moreover, the CEO thanked Clothier for his impact and service to the company and wished him and his family “a wonderful retirement”.

    “I am honored to have served as Chairman of AquaBounty, an industry pioneer and innovator that successfully developed and brought to market the first-ever FDA-approved genetically engineered animal for human consumption“, Richard J. Clothier stated for his part. “AquaBounty is in an exciting phase with the construction of its new farm in Pioneer, Ohio well underway. I retire with full confidence in the management and the Board to continue the Company’s progression with its high standard of operational expertise”, he added.

    Richard J. Clothier, outgoing chairman of AquaBounty's Board of Directors. Photo: AquaBounty Technologies, Inc.
    Richard J. Clothier, outgoing chairman of AquaBounty’s Board of Directors. Photo: AquaBounty Technologies, Inc.

    Clothier, who in addition to being Chairman of the Board of Directors of AquaBounty, was Chairman of Robinson Plc from 2004 to 2018, and Chairman of Spearhead International Ltd from 2005 to 2015, also retired as Group Chief Executive Officer of PGI Group Plc, an international producer of agricultural products, after 20 years at Dalgety Plc. AquaBounty’s Annual Shareholders’ Meeting to decide on his replacement will be held on May 25, 2023.

    About AquaBounty

    AquaBounty Technologies, Inc. is a land-based aquaculture company providing fresh Atlantic salmon to nearby markets. Leveraging decades of technology expertise “to deliver disruptive solutions that address food insecurity and climate change issues”, it is committed to feeding the world “efficiently, sustainably and profitably”. The company’s land-based recirculating aquaculture system (RAS) farms are located in Indiana, United States, and Prince Edward Island, Canada, and there is one more on the way, its first large-scale farm, being built in Pioneer, Ohio, U.S.

    Grieg Seafood’s annual report for a “historic” 2022

    Grieg Seafood reached in 2022 great achievements. The highest volume ever harvested in their current farming regions, a total of 84,697 tonnes, the record high Operational EBIT of NOK 1,739 million, and a net profit after taxes of NOK 1,154 million, among others goals achieved.

    In Andreas Kvame’s words, the CEO of Grieg, “2022 was a historic year for Grieg Seafood”. The company is part of a global salmon market, supplying 3.3% of the global volume of Atlantic salmon harvested in 2022. As expected, in recent years the company has reached several of its strategic milestones, and this year they keep improving.

    The progression of the company

    During 2020 and 2021 Grieg Seafood, repositioned themself into other geographic locations, where they thought there was a potential for sustainable growth, concretely in Newfoundland (Canada).

    They expect their first Canadian harvests in autumn this year. They are certainly in their element. Besides, they also announced that from this year, they will be able to supply the North American market with more sustainable farmed salmon.

    However, they continue to operate in Europe. From their production regions in the north and south of Norway, they continue to work on demand, which has soared since the end of the Covid-19 pandemic.

    Although, they also point out that in Norway, the ability to achieve this target depends on the outcome of the “salmon tax”. Additionally, in BC, they are still waiting to see how events continue, although the experience in 2022 has been satisfactory.

    Characteristics of success

    One of the company’s features this 2022 has been “post-smolt” production. With this technology the company has managed to shorten the time their fish spend in the ocean. Thus, post-smolt increases survival strengthens sea lice control, and reduces the number of treatments needed in the ocean phase. In other words, this technology improves both cost-effectiveness and sustainability.

    Another highlight of Grieg Seafood’s annual report is the sales organization. This organization has allowed production and sales to work in a more integrated way, as well as increasing the value created from their fish. Specifically, the sales operations were able to establish processing partners and own VAP product presence and sell 6% of their harvested volume as VAP.

    Keep pushing for next year

    Grieg Seafood’s strategy is beyond this year to 2026. Their business strategy is based on sustainability with three key objectives: global growth, cost improvement, and value chain repositioning. Thus, they want to achieve the development and application of increasingly sustainable.

    For this reason, they aim to keep investing in innovation and new technologies to improve the industry and make it more profitable and sustainable, with a reduced footprint and greater fish welfare.

    About Grieg Seafood

    Grieg Seafood is one of the world’s leading salmon farming companies, with a catch target of 90,000 tons in 2022 and 130,000 tons in 2025. It is headquartered in Bergen, Norway, but has fish farms in Norway – Finnmark and Rogaland -, and Canada – British Columbia and Newfoundland -. More than 750 people work for the company in various regions, 180 of them in BC’s coastal communities, where Grieg operates 22 fish farms and one hatchery. 

    Upward Farms closes after more than 10 years working in aquaponics

    After more than 10 years of working in the aquaponics sector to create better connection between food and the environment, Upward Farms closes its Brooklyn headquarters and announced its departure from the vertical farming sector, while maintaining the positivism in what has been achieved.

    Upward Farms announced yesterday that they were closing their Brooklyn headquarters and will no longer operate in the vertical farming sector. “We want to express our deepest gratitude to everyone who has been a part of this journey, including our colleagues, investors, customers, partners, families, and friends,” they said in the press release.

    Thus ends the project that began with Jason Green, Ben Silverman, and Matt La Rosa who wanted to improve the link between the environment and food through sustainability. Upward Farms explained that the complexity of aquaponics is staggering and that challenges would always be the order of the day. They also clarified that they believe that resolving the tension between food and climate is one of the most important challenges of the 21st century.

    For this reason, the company continued to encourage the exploration of regenerative agriculture and soil management, specifically the microbiome. In its view, understanding it is understanding the regulatory system of the natural world. Therefore, in their own words, “improving the soil microbiome […] may be the key to unlocking new levels of fertility and growth in plants and addressing a myriad of other global challenges.”

    Finally, they added in the press release that a small part of their team will continue working on the microbiome. As well as that in the coming months, they will have more to share.

    Maine aquaculture bill voted down by lawmakers

    Maine’s land-based aquaculture community breathed a collective sigh of relief last week, as a bill proposing to introduce stringent regulations for the sector was rejected by the state’s legislature.

    The bill, LD 586, “An Act to Protect Maine Fisheries from the Effects of Industrial Recirculating Aquaculture Operations”, focused on land-based aquaculture. The proposed legislation aimed to eliminate potential pollution and carbon emissions from future land-based projects in the State, as well as restrict feed ingredients and guard against “adverse impacts” on native fisheries and seafood production.

    The bill was proposed to the Maine State Legislature in Feburary 2023, and referred to Maine’s Marine Resources Committee, who unanimously voted it down on 23 March.

    Bill’s proposals “unrealistic”

    The bill’s requirements for zero emissions and a guarantee that feed would contain no wild marine-derived ingredients were widely criticised as “unrealistic” by the aquaculture sector. Some feared that if approved, the bill would “essentially stop any land based aquaculture in Maine.”

    The Maine Department for Marine Resources testified in opposition to the bill earlier in March, noting that the State already has rigorous procedures in place for aquaculture regulation and decision-making.

    Representatives from Cooke Aquaculture USA, feed manufacturer Skretting and shellfish producer Atlantic Aqua Farms USA also testified in opposition to the bill.

    The news will come as a relief to Kingfish Maine, who earlier this month released a statement criticising the bill and warning that if passed, it would block all land-based aquaculture in Maine. Kingfish Maine’s $110 million yellowtail kingfish land-based farm in Jonesport has recently been granted permission to start building.

    Not all aquaculture ventures have been so fortunate, however. Nordic Aquafarms’ proposal for a $500 million land-based facility in Belfast has met with continued opposition. The company suffered a further setback last month, as opponents filed an additional lawsuit to block construction on the planned site.

    The latest land-based venture in the State is Katahdin Salmon in Millinocket, founded by former Nordic Aquafarms executives Marianne Naess and Erik Heim. In a recent interview with WeAreAquaculture, Naess said that she believed going smaller is key to success for aquaculture ventures in Maine. Katahdin Salmon’s plan is to develop a land-based RAS farm to produce 5000 metric tons in phase one, with an expansion to 10,000 metric tons in phase two of the buildout.

    Salmon Evolution signs green debt financing valued at NOK 1,550 million

    The Norwegian company Salmon Evolution has signed a binding loan agreement with DNB and Nordea for a new green debt financing package totaling NOK 1,550 million that will be used to finance phases 1 and 2 of Indre Harøy.

    The new debt financing package is the result of a thorough process that has attracted strong interest from several major banks and investors, such as DNB and Nordea, following Salmon Evolution’s solid operational development over the past year.

    Furthermore, it has several positive effects, such as a significantly lower margin and financial flexibility to finance the initial capital expenditures of phase 2 at Indre Harøy.

    There is evidence of successful growth in the company. This time last year the Norwegian company announced that it completed the first smolt release at its pioneering land-based salmon farming facility. Some 100,000 smolts were released that day, with an average weight of about 300 grams.

    Therefore, about a month ago the company commented regarding Q2 that meetings regarding funding were on track. “The feedback from banks has been very positive and the company expects both significantly higher leverage for phase 2 compared to phase 1 as well as improved overall terms and cost”, the company stated.

    Photo: Salmon Evolution.
    Salmon box. Photo: Salmon Evolution.

    Full details of the financing package

    The agreement explains that all facilities have a term of 3 years with extension options of 2×1 years. Additionally, the debt funding program allows the existing overdraft margin to be increased. In other words, if the business did not have enough money to cover a transaction, the bank would pay for it. This margin has increased from NOK 100 million to NOK 300 million.

    Regarding Indre Harøy phase 2, the capital expenditure is currently estimated at NOK 1,600 – 1,700 million with the new RCF Facility and Construction Facility representing total funding of NOK 1,025 million. This would represent incremental borrowing worth about 60-65%. Thus, the remaining capital requirements are planned and financed from available cash, operating cash flow, capital, or other sources.

    Finally, the Company clarified in the press release that it has not made any major investment decision or finalized any definitive construction agreements for Indre Harøy Phase 2. It also explained that it retains “complete flexibility in terms of timing and expenditure. In addition, faced with a possible investment decision, the Company currently expects moderate investments during the first 6 to 9 months of the project.”

    The RCF line will be fully available at the time of closure, which is expected in April 2023. This means that the company will have significant flexibility to finance the initial capital expenditure of phase 2. Therefore, the use of the Construction Facility is fully funded as approved by the Lenders on customary terms.

    About Salmon Evolution

    Salmon Evolution is land-based in Indre Harøy (Norway). This salmon farming company targeting a production capacity of 100,000 tonnes HOG by 2032. The Company’s core focus is on extending the ocean’s potential by transferring the best preconditions offered by the sea to farm fish on land through its chosen hybrid flow-through system technology (HFS). This secures a truly sustainable production process with controlled and optimal growth conditions and limits operational and biological risk.

    Olaisen Blue adds three start-ups to its portfolio

    Olaisen Blue announces the addition of three innovative start-ups from South Africa, Canada, and Thailand. These start-ups would do the accelerator program for sustainable aquaculture practice.

    Olaisen Blue’s accelerator program aims to grow start-ups that use innovative technology and business models to promote sustainable aquaculture practices. Thus, through the program, start-ups are provided with access to industry experts, mentors, investors, and workspace, all at its head office on the island of Lovund (Norway).

    “We are thrilled to welcome these innovative start-ups to our program,” said Stine Svanevik, CEO of Olaisen Blue. “Their work in aquaculture aligns with our mission to promote sustainable practices that support healthy ecosystems and local communities.”

    MariHealth Solutions is one of them. This South Africa-based start-up is developing an animal health monitoring service that uses a proteomic workflow to assess chronic stress and metabolism in farmed fish and shellfish.

    Secondly, there is a Canadian start-up named Blue Lion Labs. This company has been for several years building cutting-edge machine learning software to automatically identify harmful organisms in the water.

    Lastly, there is the Thailand start-up Full Circle Biotechnology. This start-up offers farmers access to proteins that save costs and carbon emissions while simplifying their acquisition process.

    In this sense, Olaisen Blue will provide them with the resources, mentoring, and network they need to improve and grow. “We believe that these start-ups have the potential to significantly impact the aquaculture industry, both in terms of sustainability and profitability,” said Svanevik.

    From the back Sarah Carroll, Katie Thomas, Stine Svanevik, Linda Nystad, Jason Scott and Lene Øy. Photo by: Olaisen Blue

    About Olaisen Blue

    Olaisen Blue is a leading accelerator and Investor in sustainable aquaculture based in Lovund, Norway. Thus, the accelerator provides start-ups with resources and support to promote sustainable practices in the aquaculture industry.

    Australis Seafood in dispute between old and new owner for environmental charges

    Australis Seafood is in dispute between its former owner, Isidoro Quiroga, and the current owners, Joyvio, over environmental permitting charges. Joyvio claims that the transaction was unfair because the numbers reached were to harvest the salmon without regard to environmental standards and Quiroga denies this.

    This story begins at the end of 2018, the year in which the Chilean salmon company, Australis Seafoods, was sold by the businessman Isidoro Quiroga – who had 94.47% of the property – to the Chinese transnational Joyvio, a company that also owns Lenovo. The transaction finally took place at the end of July 2019 and was fixed at US$921 million.

    Now the salmon company is facing sanctioning procedures – charges or “formulaciones de cargos” – by the Environmental Superintendency (SMA), for infractions related to overproduction in five fattening centers, and Joyvio accuses Quiroga of having concealed information in the transaction.

    It all began, according to El Mercurio newspaper, when in June last year Australis Seafoods appointed Andrés Lyon as its new general manager. This manager, who has more than twenty-five years of experience in the industry, explained to the newspaper that when he arrived at the company he detected “strong inconsistencies and anomalies in the operation of the company, which I immediately reported to representatives of Joyvio Food”.

    These suspicions led Joyvio to request arbitration proceedings. The Arbitration and Mediation Center of the Santiago Chamber of Commerce (CCS) took charge of this which resulted in the Asian company taking legal action. Both the businessman Quiroga and his family are involved in this lawsuit, for which Quiroga’s extradition from England, where he currently resides, is also being requested.

    It happened before

    According to Lyon, he found “excess production concerning the environmental permits that exist in the concessions”. This is an “overproduction of between 20 and 80% in the five centers for which we were charged, which correspond to production cycles before the transaction. It was a systematic practice that began years before the sale of the company, and the period of review of the company, the due diligence.”

    He further explained to El Mercurio that the company has no risk of viability, but it does change the company’s production capacity. “We have compliance programs to compensate for those tons of overproduction. There are 20 thousand tons. The company has produced in recent years, around 100 thousand tons per year, which incorporates that overproduction. After the findings, we have to extract 20 thousand for two years, 2023 and 2024. Today we have 96 concessions, and we have to make a flexibilization,” he pointed out.

    These facts would imply that the previous administration was already carrying out this type of action. Therefore, according to what Lyon stated to El Mercurio, after the documentary analysis, these acts would be in force for at least since 2016. These “generated an overproduction that causes strong contingencies to the company. Contingencies that the selling part knew about and did not declare.”

    For Quiroga is just a discourse of “victims”

    Following these statements, Quiroga responded openly in a statement published by El Mercurio. In it, the businessman lamented how Joyvio’s Australis “tries to solve its financial and business management problems.”

    Furthermore, he added that “Joyvio scandalously over-indebted itself to buy Australis, on the basis of retirement expectations that were impossible for any company to fulfill. And then they failed when they had to adapt to the new regulatory conditions. The debt pressure was so high that Shaopeng Chen, Joyvio’s chairman, decided not to listen to the warnings of the Chilean executives and ordered the company to continue producing as usual. This is taking its toll on them”.

    Finally, he explained to El Mercurio that “the discourse that they would have been victims of a swindle, which they would have realized only four years after the purchase, is only for the Chilean public”.

    About Australis Seafood

    Australis Seafoods has come to occupy a leading position in the Chilean salmon industry. This is thanks to the entrepreneurial vision with extensive experience in the business. The company is vertically integrated, in the fish farming, as well as frozen and canned products.

    In short, the most important details of the “salmon tax”

    Two days ago the final government proposal on the “salmon tax” in Norway was released. Thus, We Are Aquaculture covered the details of Finance Minister Trygve Slagsvold Vedum’s approach to the Norwegian parliament, the main changes are explained with seven questions.

    General aspects

    What does the rate affect? It is proposed that the resource rent tax is restricted to standard, commercial fish farming licenses relating to the production of salmon, trout, and rainbow trout.

    How much is the rate? The rate is set at 35%. After the controversy of 40%, there has finally been a 5% decrease over the initial proposal.

    When starts? The tax became effective in early January, but the specific details of the proposal were not agreed upon until 28 March. It will be retroactive.

    Financial aspects

    What is the threshold for paying tax? There is a minimum threshold above which companies start paying the tax. This has finally been increased to NOK 70 million compared to the original proposal. With it, the government intends to ensure that only companies with large profits pay the tax.

    What about the price board? The Government proposes to grant statutory authority to base gross receipts from the sale of salmon, trout, and steelhead on tax assessment prices to be determined by an independent price board. This involves setting market prices for tax purposes sold in a free market.  The objective is for the tax assessment price to be equivalent to the market value of the fish at the time it leaves the pen, regardless of where in the value chain the sale takes place.

    What processes does it apply to in aquaculture? Only to aquaculture, it does not apply to other related processes in the sector. This would imply that activities that take place before and after the at-sea phase (broodstock and smolt production or slaughtering) will be subject to normal corporate income tax.

    How are taxes calculated? The proposal wants taxes to be structured on cash flow, just as with oil and natural gas. The proposal wants to put an effective tax rate of 35%, and the formal tax rate at 44.9%.

    The cash flow tax has the same characteristics as the passive participation of the State in the company. In this case, the State assumes an equal share of all future revenues and costs. In case this income is negative from resource rents it can be carried forward with interest and deducted from future resource rents. The deduction would retain its initial value.

    First Nations raise their voice against Discovery Island licensing decision

    The Coalition of the First Nations for Finfish Stewardship is speaking out on the decision by Canada’s Minister of Fisheries, Oceans and Coast Guard, Joyce Murray, to non-renew the Discovery Islands salmon farm licenses. For the indigenous community, this has meant went up in smoke their auto-determination rights.

    Last week the three major British Columbia salmon producers, Mowi Canada West, Grieg Seafood BC, and Cermaq Canada filed applications for judicial review against the decision of the Minister of Fisheries, Oceans, and the Canadian Coast Guard, Joyce Murray, for non-renewal of the Discovery Islands salmon farm licenses.

    However, not only the companies came out against this decision, but also the Wei Wai Kum and We Wai Kai. The First Nation coalition is also seeking to overturn the Minister’s decision based on indigenous rights, which have not been respected. This week First Nations issued a statement expressing their dissatisfaction with Murray’s decision.

    Ronnie Chickite, the elected Chief Councillor of the We Wai Kai First Nation stated that “this court challenge is not about whether we support fish farming or not. It is about our inherent right as title holders to decide how our territory is used, and determine for ourselves if, when, and how fish farms could operate in the future.” From their point of view the non-renewal licenses is a political decision “heavily influenced by Nations who do not have title in our territory.”

    First Nations chiefs. Photo by: Coalition of First Nation.

    Procedures and justifications make no sense

    According to First Nation, they explain that the government’s procedure and justifications in terms of sustainability do not make sense. Thus, they explain that the Laich-kwil-tach Nations presented to the Minister in November 2022 a proposal. This proposal was based on a gradual reintroduction process to test fin-fishing operations. It would start with a fish farm operating for one cycle in their core territory under their strict supervision. The data of the research and study led by indigenous people could have provided conclusive data with to make decisions.

    As explained by Chris Roberts, the elected Chief Councillor of the Wei Wai Kum First Nation: after a trial process and further engagement with our members, we would then consider next steps if we could determine for ourselves that impacts of fish farms are minimal or negligible on wild salmon and the environment.”

    A “clear lack of recognition” of their rights

    First Nations have had their decision-making power taken away from them, and their rights are taken away.

    “Rejecting this proposal is rejecting our right to decide for ourselves. With our own research and knowledge, whether salmon farming was a fit for our communities,” added Chief Roberts. “It’s a clear lack of recognition of our inherent right to self-determination.”

    In their statement, they explain that Minister Murray’s decision has set a dangerous precedent for both nations on future decisions. It has also brought uncertainty because the Minister’s decision was based on an undefined “enhanced precautionary approach”. From their perspective, this statement could have ripple effects on rights, coastal communities, and Canada as a whole.

    Their priority has been always the protection

    Our priority is and always has been the protection, stewardship, and restoration of wild Pacific salmon stocks in our territories. Added Chief Chickite. He explained that their “proposal would allow us to conduct Indigenous oversight and monitoring, build Guardian Watchmen programs, and create a holistic approach to managing the marine environment consistent with our self-determination and the protection of wild salmon. However, it can not be.

    First Nations trusts that this decision will once again be overturned by the federal court, enabling the Laich-kwil-tach proposal to be considered. With this proposal, the indigenous groups expect that their rights will be recognized as important and that a proper dialogue will be initiated between nations about the creation of a blue economy.

    Cermaq Canada “disappointed” to have to go through the courts

    Cermaq and First Nations have published a statement this week regarding Joyce Murray’s decision on salmon farming licenses in the Discovery Islands. British Columbia’s three major salmon producers, Mowi Canada West, Grieg Seafood BC, and Cermaq Canada filed judicial review applications last week against Canadian Minister of Fisheries, Oceans, and Coast Guard Joyce Murray’s decision to not renew licenses for Discovery Islands salmon farms.

    That same week Mowi and Grief Seafood spoke out with We Are Aquaculture explaining their positions. This week First Nation and Cermaq have released a statement detailing the controversy of this decision.

    “Our industry’s future appears increasingly dictated by out of touch Ottawa political priorities“, stated Cermaq. “This should be a cause for grave concern for all Canadians in terms of economic stability, food security, and true climate change action.”

    The company explains that it is “disappointed” that again they have to go through the courts, instead of dialogue. “The Minister’s decision not to renew Cermaq’s aquaculture licenses, which are supported by the First Nations in whose core territories we operate, demonstrates her lack of understanding of our industry and the reputable science that underpins it, they explain.

    For Cermaq, the Minister “stubbornly clings to a polarizing path versus a balanced approach”. This decision represents a before and after for continuing to provide affordable food and jobs for rural coastal areas. They also believe that environmental stewardship and climate action without neglecting the conservation of wild salmon is possible.

    About Cermaq Canada

    Headquartered in Oslo, Norway, and a wholly owned subsidiary of Mitsubishi Corporation, Cermaq is one of the world’s leading producers of sustainable salmon and trout, with operations in Chile, Canada, and Norway.  It holds 26 salmon farming licenses in British Columbia on both the east and west coasts of Vancouver Island.