January 23, 2009

Canada grapples with unsold lobsters

Officials in Canada's Prince Edward Island province are seeking government help with $25 million of frozen lobster the market isn't buying.

Executive Director Olin Gregan of the Seafood Processors Association of P.E.I. told the Canadian Broadcasting Corp. the global economic downturn has resulted in a downward spiral of both demand and prices for lobster.

He said he met with provincial and federal officials about the inventory caught and processed in 2008, but wouldn't divulge what was discussed.

He did say many lobster fishermen are already debating whether it's worthwhile to go out on the water when the spring lobster season opens.

The lobster industry generates $250 million in revenue for the province each year, and in peak season, employs some 7,500 people, the report said.