89 



Testimony before the Small Business Subcommiaee 



Jime 4, 1993 

 Page 3 



Among other conclusions, die study further defined die inextricable connecdon between the 

 onshore utilization of flic whiting resource and the overall health of the seafood industry and coastal 

 cominunities. The study fiirthcr recognized, and the consortium of local private and public efiTort 

 pursued, the critical necessity of obtaining a shoreside allocation piefereuce for whiting in arder to 

 optimize die physical and economic efficiency and die salutary effects of dns fishery for coastal 

 indusay and communities. 



I will leave to odios to document die significant allocadon policy and decisions diat die 

 Council has made ova die past several years as well as die relationship of diosc policies and 

 decisions to whiting and coastal entities. 



Impacts to Oregon 



Sjjeaking more direcdy to die 1993 whiting fishery, what are some of the impacts to 

 Oregon's coastal fishermen and communities from the onshore processing of Pacific whiting — bodi 

 under the Council's recommended allocation and under the final decision rendered by the Secretary 

 of Commacc? 



According to economist Dr. Hans Ra<itkc, in a recent report to the Interagency Team for die 

 CUnton Administration's northwest forest sommit, "the onshctte whiting industry will generate 

 about $40 - $50 million in personal income - about 1/4 of die total income generated by fishing. This 

 relates," Raddce continued, "to about 2,500 jobs, many of which are high paying family-wagB lesvel 

 jobs, jobs such as trawler crews, electricians, ouck drivers, insurance agents, and retail clerks. For 

 example, each trawler involved in the Pacific whiting fishery generates about 135 jobs." 



As many as 60 medium-to-large tiawlers have been involved in the Pacific whiting fishery 

 off of the Oregon coast in the past five years. ITiis includes diose boats who had been involved in 

 the joint venture fishery as well as diose in the domestic whiting fishery. One consequence resulting 

 fiom die loss of opportunity by diese pioneers of the Pacific whiting fishing was dearly recognized 

 by the study: these boats wiQ either move into other fisheries off the Oregon coast — ^reducing 

 opportunities for other smaller boats — or to Alaska or otfao* parts of the world where these trawlers 

 will impact other existing fisheries. 



The Council fully understood this relationship in its consideration of the whiting fishery for 

 eaiiier years as well as in its shOTeside allocation recommendation for 1993. Previously the Council 

 had stated: "The Council's number one responsibility is to coastal canmimities, traditional 

 fishermen, and traditional processing entities, and tlic Council believes whiting is crucial to the the 

 long-term economic picture." 



1 "Hie relationship between direct jobs (crews on tiie ship) and total jobs geneiated is high for the whiting fishery, 

 because the whidng is a high volume, low priced raw product that is turned into a product (sodmi) that invol-ves a 

 relatively high amount of jxocessiiig. On-line fish processing, an important component of the whiting industry, 

 receives about 11% of the total income generated by this fishery. The rest is earned by a vadety of peq)Ie local m 

 the coastal communiues." 



