107 



Thank you, Mr. Chairman, I ant Joe Blum, Executive Director of 

 the American Factory Trawler Association (AFTA). AFTA la a trade 

 association comprised of 18 member companies operating 44 factory 

 trawlers and raotherships, principally engaged in the groundflsh 

 fisheries In the Pacific Ocean. 



AFTA Is an association comprised primarily of small 

 businesses, and we are pleased that the House Small Business 

 Subcommittee on Regulation has expressed an Interest In Improving 

 the regulatory process affecting members of the fishing Industry, 

 Specifically, we welcome this opportunity to examine the regulatory 

 regime affecting the Pacific whiting fishery. Over the pasfc three 

 years, the Pacific Fishery Management Council (the Council) has 

 adopted several Pacific whiting allocation measures. Significant 

 reallocations, threatening American Jobs and causing substantial 

 economic and social dislocation, have been proposed, but market- 

 based solutions have not been pursued. The regulatory climate is 

 chaotic. By examining, today, the recent management of Pacific 

 whiting and identifying where the process has failed, perhaps a new 

 course for responsible management can be charted when future 

 allocation schemes are considered. 



Prior to 1991, virtually all of the Pacific whiting resource 

 harvested within the U.S. 200-mlle zone was processed by foreign- 

 flag at-sea processors. U.S. fishermen were paid approximately 

 five cents a pound for delivering Pacific whiting to foreign 



