Okay.
COVID-19 started in Quebec just as processing plants were getting ready for the new season. The fact that the fisheries sector was quickly recognized as an essential service allowed a number of industry players to mobilize and implement measures to limit the spread of the virus. Protocols have been created for each segment of the value chain, and to date they have proven effective. The protocols have been developed in cooperation with other companies in the agri-food sector, whose common objective was to secure the food supply chain. In times of crisis, everyone working together is very important, and still today, we are offering to share the protocols that have been developed with all Canadian companies.
When Fisheries and Oceans Canada opened area 17 for the snow crab fishery on March 25, a clear message was sent to everyone that fishing would actually take place. We must remember that, at that time, opening the fishing season was uncertain. Most snow crab processing plants in Quebec were ready to take action in early April. We had asked that the opening date be April 10 for area 12, which is the largest in the gulf in terms of volume. This area is also affected by measures to protect right whales. The decision to postpone the opening of area 12 until April 24, to allow even more time for the plants that still had not completed their COVID-19 protocols, was very disappointing.
We must mention that other industries in the agri-food sector did not have the “opportunity” to obtain days, or even weeks, to implement new measures. Let me remind you that the objective of this season was to begin fishing in area 12 as soon as possible in order to limit interactions between fishers and right whales. The ice conditions were conducive to early fishing, which could have started on April 10. A lot of fishing could have been done before the whales arrived, at least by Quebec fishers.
Today, right whales are already in the waters of the Gulf, which is about two or three weeks earlier than expected. Fishing areas are already closed not far from the Quebec coast. To keep the U.S. market open for Canadian snow crab in the years to come, it is recommended that we review our protocol for opening the fishery to ensure that as much fishing as possible is done before the right whales arrive, in the interests of all Canadians. The economic consequences of closing the U.S. market would be devastating for our industry.
The lockdown in North America and internationally has clearly changed market conditions. Major segments of consumer sea products have completely disappeared, at least temporarily, which has created a great deal of uncertainty for many companies. However, to date, market conditions remain generally acceptable for frozen products. The workforce was very fearful at the outset. Processing plant managers have provided training to employees, who were reassured once they saw the measures put in place. Today, the feedback we are receiving from employees is very positive. They want to work and are proud to fulfill their social role during this crisis.
The new Canadian seafood stabilization fund has been well received. The processors have invested significant amounts of money to protect their employees. Since the program was announced, we have heard much less about the measures in the plants. The announcement may have had the effect of reassuring workers in some regions of the country. However, the absence of foreign workers will have a major impact on plant production capacity, particularly during the lobster season. The fact that the new measures are delaying the arrival of temporary foreign workers and that we are still uncertain as to when they will arrive is in itself a major problem.
Some companies will likely emerge weakened from this crisis. Unfortunately, we may well see more acquisitions of Canadian companies by foreign firms between now and the end of the year. In the medium term, this trend will be very harmful to the Canadian economy, because we will see a drop in the price paid to fishers for the resource, which means a lower GDP from the fisheries sector. Worse yet, our food security is at risk in the medium term.
Thank you.