Louisiana 
                    Seafood Industry Down, But Not Out
                    Posted: 
                    9/20/05 
                    
                  Louisiana seafood 
                    products making their way to the market now are safe – 
                    despite disruptions and losses the industry suffered as the 
                    result of Hurricane Katrina, according to experts at the LSU 
                    AgCenter.
                  Oyster beds in 
                    the Gulf of Mexico east of Terrebonne Parish are closed, but 
                    shellfish, including oysters, harvested from other areas are 
                    safe to eat, said Dr. Jon Bell, a seafood technology professor 
                    in the LSU AgCenter.
                  Bell said the westernmost 
                    portions of the Louisiana oyster beds were never closed and 
                    that they produce about one-third of the state oyster harvest. 
                    All other oyster-growing waters were closed as a precaution 
                    until their safety can be verified.
                  The LSU AgCenter 
                    expert said some growing areas west of Lafourche Parish already 
                    have been assessed by state officials and found to be safe. 
                    They have been reopened to harvest.
                  Bell also said 
                    the tests of the waters and shellfish in these areas indicate 
                    bacteria concentrations are below allowable levels and that 
                    all chemical tests were negative. 
                  The testing is 
                    "part of the normal program for post-hurricane evaluations," 
                    he said.
                  In addition, Bell 
                    said processing facilities that were affected by the hurricane 
                    and resulting power losses must undergo strict sanitization 
                    prior to handling products coming from the Gulf and that they 
                    must continue processing under the Hazard Analysis and Critical 
                    Control Points (HACCP) food safety system.
                  He said shrimp 
                    processors in Dulac and Houma were able to recover from the 
                    storm’s effects and resume shrimp processing within 
                    a week. Facilities further west had no damage and continued 
                    with processing operations supplied by shrimp vessels that 
                    remained in the Gulf or were docked further west during the 
                    hurricane.
                  "All seafood 
                    exposed to floodwaters or spoilage due to lack of refrigeration 
                    is unfit for human consumption and must be destroyed," 
                    Bell said. "Federal, state and local officials are visiting 
                    seafood processing and storage facilities to determine if 
                    remaining stored products are safe or not."
                  The LSU AgCenter 
                    expert added that the U.S. Food and Drug Administration has 
                    announced it is not aware that any seafood processed prior 
                    to the hurricane and stored in the affected areas has entered 
                    the commercial marketplace since the hurricane.
                  "Controls 
                    are in place to ensure the safety of Louisiana’s seafood," 
                    said Dr. Sally Soileau, a nutrition and health agent with 
                    LSU AgCenter in East Baton Rouge Parish. "Products reaching 
                    consumers are produced under safe and approved processes regulated 
                    by the state Department of Health and Hospitals and the FDA."
                  But while the seafood 
                    coming to market is safe, many Louisiana producers in the 
                    hurricane-affected areas are facing trying times, according 
                    to industry observers.
                  LSU AgCenter economist 
                    Dr. Kurt Guidry estimates fisheries losses at more than $151 
                    million based on 2004 dockside values and assumed percentage 
                    losses. In addition, he said infrastructure damage also is 
                    likely.
                  In addition to 
                    commercial fisheries, Guidry estimates more than $20 million 
                    in losses to Louisiana’s charter fishing industry based 
                    on the number of licensed guides in the state, estimated average 
                    revenue per fishing trip per day and estimated number of loss 
                    fishing days.
                  The Louisiana Department 
                    of Wildlife and Fisheries reported 33 percent of the wholesale 
                    and retail seafood dealers licensed in Louisiana, 35 percent 
                    of the commercial fishermen, nearly 50 percent of the commercial 
                    vessels and 63 percent of the charter vessels are based in 
                    the parishes affected by Katrina.
                  Bell said, however, 
                    that many processors west of the storm’s path have been 
                    able to restore power, meet sanitization requirements and 
                    begin processing seafood again.
                  Despite environmental 
                    disruptions, fisheries will rebound, but the people who fish 
                    may be another story, according to Dr. Rex Caffey, an economist 
                    and director of the LSU AgCenter’s Center for Natural 
                    Resource Economics and Policy.
                  "During the 
                    past decade, 42 percent of the commercial fishermen in Louisiana 
                    have gone out of business, mostly because of global competition" 
                    Caffey said. 
                  "Commercial 
                    fishing is one of those labor-intensive industries that does 
                    not compete well in a global market," he added. "The 
                    rising cost of fuel and increasing environmental regulations 
                    also are affecting the fishermen’s bottom line."
                  Caffey pointed 
                    out that New Orleans is the major market for Gulf fisheries, 
                    and the devastation in that city likely will hamper marketing 
                    Louisiana seafood for some time.
                  "The industry 
                    is not just harvesting. It includes docks, ice houses, transportation 
                    infrastructure, value-added processing, wholesale businesses 
                    and retail businesses," Caffey said.
                  "After Katrina, 
                    we don’t know what will happen," Caffey said. "We 
                    don’t know what the fishing industry will look like 
                    after this storm."
                  Caffey said Louisiana 
                    produces 20 percent to 25 percent of the total domestic seafood 
                    in the lower 48 states and 75 percent of all seafood harvested 
                    in the northern Gulf of Mexico.
                  To aid the fisheries 
                    industry, the U.S. Department of Commerce has declared a "fishery 
                    failure and fishery resource disaster declaration" for 
                    the Gulf of Mexico.
                  Dr. Hamady Diop, 
                    an economist with LSU Sea Grant, said this means the Secretary 
                    of Commerce is authorized to request federal relief funds 
                    for the affected Gulf States. He said these funds can be used 
                    to assess effects of the disaster, restore fisheries and assist 
                    affected fishing communities in recovering.
                  "The federal 
                    share of the cost of the relief activity is 75 percent, and 
                    the state will have to match the remaining 25 percent," 
                    Diop said. "Generally, the state participation is non-monetary."
                  Once funds are 
                    appropriated, the National Oceanic and Atmospheric Administration 
                    will provide information on how to apply for relief, Diop 
                    said.
                   
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