Good morning. Thank you, Chair.
I would like to thank the committee for inviting the Atlantic Groundfish Council to appear before you today to contribute to your study on northern cod.
Our offshore cod members are adjacent to the resource and are family-owned and family-operated businesses in Newfoundland and Labrador, including the Wareham family from Arnold's Cove and the Sullivan family from Calvert. Combined, our members employ more than 2,000 people from over 300 communities throughout Newfoundland and Labrador. This includes hundreds of crew members in our offshore operations who work year-round and live primarily in rural communities, contributing to regional economic development.
The return of the commercial cod fishery in Newfoundland and Labrador is something we have all remained hopeful about and committed to. The AGC and its members continue to be invested in the growth of this resource and its long-term sustainability. In this regard, we recognize the importance of Canada continuing its responsibility to be stewards of this iconic cod stock, and we will continue to contribute to this goal.
Over the last three decades, we have been working to rebuild the northern cod stock through continued engagement with Fisheries and Oceans Canada and other stakeholders at every opportunity available, including participating in and contributing to northern cod science assessments, advisory committee meetings and working groups. Of note, our commitment has included a $9-million fishery improvement project in partnership with the Sustainable Fisheries Partnership, with customers like Marks and Spencer, Young's Seafood and Thistle Seafoods in the United Kingdom, Sysco France, and High Liner Foods in Canada and the United States financially contributing to it.
Our FIP brings together academia, government, supply chain partners and industry. The FIP is conducting world-class, groundbreaking research on cod migration and stock composition. Our northern cod acoustic tracking project has improved our understanding of cod migration and genetic linkages. This knowledge is crucial to long-term fisheries management and to building a Marine Stewardship Council certified fishery.
The latest assessment of northern cod confirms that the stock has been in the cautious zone of DFO's precautionary approach framework since 2016 and is estimated to be 24% above the limit reference point in 2024. Results from the science assessment show that northern cod stock size has remained stable and relatively unchanged since 2016. Similar to previous years, we see that fishing mortality remains low and natural mortality continues to be high. We note there are some positive signals in the stock, such as above-average fish condition, a wide range of ages—indicating that older fish are surviving—broad dispersal of the biomass stock across stock units, continued recruitment at about 80% of historical levels and increased fishery catch rates. Furthermore, northern cod is now the second-largest groundfish stock in Atlantic Canada behind unit 1 redfish in terms of total biomass.
Based on these factors, this is no longer a stewardship fishery but rather a commercial fishery, consistent with the stock's cautious zone status. Without knowing until now that the stock has been in the cautious zone for eight years, there has already been potential revenue lost from this fishery. The economic and societal success of the northern cod fishery in Newfoundland and Labrador requires a balanced fishery, which includes inshore, midshore and offshore components. A balanced fishery will ensure continued access to premium global markets year-round, longer operating seasons for vessels and plants—which promote more year-round, higher-paying employment in coastal communities—and an environment conducive for investment in industry modernization and technology.
Our sector supports a balanced fishery that promotes the viability and stability of all fleet sectors. Within this context, the Canadian offshore sector was provided with access to northern cod for the 2024-25 commercial fishery. We continue to propose a phased approach that will see our share increase—consistent with historical levels—over time, as the fishery grows.
Going forward, as acknowledged by DFO, industry and other stakeholders, there is a need to begin assessing a suite of candidate harvest strategies for northern cod that can determine appropriate fishery removal levels for the stock as it moves throughout the cautious zone of the precautionary approach framework. This will require the determination of an upper stock reference point and accompanying harvest rate, which have not yet been established for this stock.
We welcome the department's commitment to convene the northern cod working group to complete this important work as soon as possible in order to have an approved harvest control rule prior to the 2025 season. We look forward to working collaboratively to achieve an appropriate harvest strategy for northern cod to support a long-term, sustainable fishery.
Thank you for your time. I look forward to your questions.