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fisheries. This, in and of itself, is a tremendous responsibility. I would suggest that loan 

 guarantees are better left to the small business lenders and the regulation of the fishing 

 stocks be left to the National Marine Fisheries Service. 



I would also like to draw this committee's attention to the seafood processing 

 sector. Conventional wisdom states that the entire fishing industry is in trouble because 

 of the depletion of traditional groundfish stocks. This is simply not true. The seafood 

 processing sector is strong and leading the economic revitalization of the Port of 

 Gloucester. Two growing firms are prepared to invest nearly four million dollars and re- 

 locate on the Gloucester State Pier. Other firms look forward to the development of the 

 Blackburn Industrial Park, so they can expand without leaving Gloucester. There is an 

 enormous foreign and domestic demand for seafood. Anyone who attended the Boson 

 Seafood Show could see the incredible vitality of this industry. 



The underutilized non-traditional species have people scurrying to position 

 themselves for this great opportunity. Assistance is needed for vessels to be able to 

 transfer to the fishing styles required to catch these stocks, such as herring, mackerel, and 

 red hake as well as many other species. New equipment needs in these fisheries is costly 

 and I believe SBA can play a significant role in the conversion of many of these vessels 

 as well as infra-structure rehabilitation. 



The SBA has already assisted a company reiocaie on the State Fish Pier through 

 its 504 program. I believe die SBA can do much more for the processing sector. In 

 particular, the SBA must do more to make its programs known to current and potential 

 processors. Now would be the time to come to the assistance of this critical sector within 

 the seafood industry. Without the shoreside demand generated by processors, there will 

 never be a revitalized fishing fleet in the Port of Gloucester, nor in other ports in the 

 Northeast. The SBA could have a pivotal role in the growth of the processing sector in 

 cities like Gloucester, New Bedford, Portland, and Point Judith. In previous testimony, I 

 made these recommendations. I would like to reiterate them here: 



1) Have an outreach program specifically tailored to the needs of the processing sector. 



2) Develop a technical assistance program to help processors understand the necessity 

 and costs of bringing their plants up to HACCP standards. 



3) Help new and expanding processors to develop business plans and markets through a 

 SCORE type progTam that is specifically aimed at new processors. 



4) The above connected with a program to help the conversion of vessels will stimulate a 

 rebirth of the fishing industry. 



Thank you for the opportunity to present my views. 



Sincerely, 



Anthony J Verga 

 State Representative 



