FOPO Committee Report

The Government of Canada would like to thank the Standing Committee on Fisheries and Oceans (SCOFO) for its latest report entitled, Northern Cod: A Failure of Canadian Fisheries Management.  The Government has thoroughly reviewed and given careful consideration to the recommendations contained in this report.

Since the collapse of the northern cod stock, the Government has undertaken considerable work aimed at facilitating its recovery.  In 2003, the Governments of Canada and Newfoundland and Labrador formed the Canada-Newfoundland and Labrador Action Team for Cod Recovery.  The Action Team was mandated to prepare a strategy to contribute to the rebuilding and management of the major cod stocks adjacent to Newfoundland and Labrador.  In 2005, the two governments released a Strategy for the Recovery and Management of Cod Stocks in Newfoundland and Labrador: A Federal-Provincial Approach. 

The Strategy concluded that in order for progress to be achieved on cod recovery, the focus must be on long-term rebuilding considerations and management issues.  This will require a long-term commitment to stock recovery on the part of government, industry, fishing communities, Aboriginal groups and other interested stakeholders.  By extension, it will also require that all parties adopt a more inclusive and collaborative approach to cod stock management. 

As SCOFO points out, there appears to be a growing disconnect between industry and government with regard to the status of the inshore component of the northern cod stock.  Industry participants believe that the biomass and spawning biomass of this stock component is in a much better state than indicated by the Department of Fisheries and Oceans’ (DFO) recent scientific assessment results.

With respect to the northern cod stock, the Action Team determined that the demand for a re-opening of a small-scale fishery represents a major impediment to the development of a more collaborative shared stewardship approach.  The continuation of the moratorium on the northern cod inshore component is often cited by industry as further evidence that stakeholders continue to be excluded from management and decision-making processes.  Given this, the bilateral cod recovery team concluded that this disconnect between industry and government represents a priority management issue which must be addressed in the short-term in the interests of moving forward with stock recovery and sustainability over the longer term.

In an effort to resolve the industry-government disconnect and to support collaborative efforts towards long-term stock rebuilding, in June 2006, DFO announced a Northern Cod Science and Fisheries Stewardship Initiative (NCSFSI)intended to promote the recovery and sustainable management of the 2J3KL cod stock over the long-term.  The initiative consists of five components:

• enhanced research which will include studies on migration and mortality, additional scientific sampling, and an inshore northern cod survey;
• collaboration with Memorial University of Newfoundland and the Newfoundland and Labrador Department of Fisheries and Aquaculture on several research projects;
• a modified management approach which includes a small scale one-year inshore fishery pilot project;
• a post-season review process and a broadly-based consultative process with fish harvesters, processors and other interested stakeholders in the northern cod area in Fall 2006; and,
• fisheries stewardship allowing fish harvesters to test their perceptions about the health of the stock via “on the water” activity in 2006.

Through the NCSFSI, the Government is committing $1.2 million towards cod recovery in Atlantic Canada.  Other projects being funded will include: finalizing and implementing total allowable catch (TAC) decision rules; examining predator/prey relationships; and, modifying the management framework to improve shared stewardship. 

In addition, DFO is investing $8.2 million in science to maintain capacity for ecosystem monitoring; conduct essential ecosystem research; and build essential partnerships with academia, industry and aboriginals.  The Minister of Fisheries and Oceans also recently directed that key Departmental capacity be maintained regarding the stock assessment function. In 2006-07, this meansthat the planned $1.2 million cutback in stock assessment will not be implemented and the scientific personnel maintained.

Once again, the Government wishes to thank SCOFO for its report.  The Minister of Fisheries and Oceans and departmental officials look forward to answering any questions the Committee may have related to this response or any other issues of interest to the Committee.

Recommendation 1

That the Department of Fisheries and Oceans recognize and integrate in its stock assessments and management decisions the complexity of the stock structure of northern cod, particularly the distinction between inshore populations and offshore populations.

Government Response

The Government recognizes that there is a dichotomy between the offshore and inshore populations of the northern cod stock.  Tagging studies that began in the late 1990s resulted in an offshore/inshore split, as well as a further subdivision of the inshore cod population for assessment purposes, which include:

• northern area (2J and northern 3K);
• central area (southern 3K and northern 3L); and,
• southern area (southern 3L).

Scientific information is now provided for the offshore and inshore cod populations separately and this information is factored into fisheries management decisions.  The 2006 northern cod one-year inshore fishery pilot project is restricted to inside 12 miles (the inshore zone) and recognizes the distinction between inshore and offshore.

A reopening of a commercial inshore fishery limited by the following conditions:

That the re-opening be done on a bay–by–bay basis with access based on historical attachment;

Government Response

The Government agrees with the intent of this recommendation.  For 2006, the Government will reopen a small scale one-year inshore cod fishery pilot project.  Eligible licence holders will be assigned an individual quota of 3,000 pounds round weight in their respective bay.

That the annual TAC be conservatively set at a level that would allow the biomass to increase, but that would also be sufficient to provide reliable data about the size of the stocks;

Government Response

The Government agrees with SCOFO and a cautious and conservative approach will continue to be taken in the management of the northern cod stock.  The moratorium in the offshore fishing area will continue, and there will be a small scale reopening of the inshore fishery.  The decision to reopen the fishery was taken after careful consideration, while assessing all the information available from science, fish harvesters and industry. 

Stock assessment advice has indicated that total removals of up to 2,500 tonnes of cod from the central inshore area would still allow for some growth in the spawner biomass.  This limited one-year inshore fishery pilot project, with an expected total catch of 2,300 tonnes, is an attempt to gain more information on what is occurring with regards to the cod populations in various bays.

This fishery will provide valuable information on the abundance and distribution of the inshore component of this stock, and it will augment DFO’s reinvestment in scientific research.  It will also allow fish harvesters to test their perceptions regarding the status of the inshore stock component via very limited on the water fishing activity in 2006. 

That, in the calculation of the TAC, landings from sentinel fisheries and by-catch in other fisheries be included;

Government Response

The Government anticipates that all directed catches and by-catch of cod will be accounted for within each fisher's individual allocation of 3,000 pounds.  Catches from sentinel fisheries will continue to be small in 2006.

That no fishery be allowed in known spawning areas during spawning times;

Government Response

The Government agrees with the recommendation.  Spawning periods for cod take place between January and June.  The one-year inshore fishery pilot project and recreational fishery will not take place during this period.  

That gear types be limited to least destructive methods and according to historical practices.

Government Response

The Government’s announcement of a small scale one-year inshore fishery pilot project for northern cod in 2006 is consistent with both conservation principles and historical practices.  The draft Conservation Harvesting Plan for northern cod developed by industry proposes that no more than 2,000 hooks, six gillnets or tended handline will be allowed, as was the case the last time this fishery was open.

That, if it becomes clear that the stocks could also support a recreational fishery, recreational licences be based on a no-fee, tags and compulsory logbook system.

Government Response

The Government recognizes that there is a need to develop a more structured approach to the management of marine recreational fisheries in Atlantic Canada.  DFO is moving ahead with the development of an Atlantic-wide recreational licence and associated protocols to support recreational fisheries, the details of which will be developed in consultation with the provinces and key stakeholders.  Until a consistent approach to the management of recreational fisheries is developed for all of Atlantic Canada, licences and tags will not be required in those areas covered by the Atlantic Recreational Fishing Licence Program and the fishery will be closely monitored to estimate removals.

The implementation of stringent management measures such as dockside monitoring of all cod by-catch landed by Canadian and foreign vessels in Canadian ports and the use of VHF transponder system (“black box”) for all commercial fishing vessels 45’ and over; and the consideration of onboard monitoring.

Government Response

The Government agrees with the intent of the recommendation and has in place stringent management measures and related tools to monitor and control the catch, including by-catch, of northern cod by fish harvesters.  In Newfoundland and Labrador, these include:

• numerous input controls (such as mesh and hook size limits, seasons, and closed areas) and output controls (such as daily and seasonal by-catch limits) in 2J3KLNO groundfish fisheries to limit and control the by-catch of cod;
• a comprehensive industry-funded Dockside Monitoring Program for the monitoring of landings from groundfish fisheries by Canadian and foreign vessels;
• a comprehensive industry-funded and DFO-managed At-Sea Observer program, through which observers are deployed to observe fishing activities on vessels engaged in groundfish fisheries;
• the requirement for all Newfoundland and Labrador-based vessels >35' to carry VMS satellite-tracking transponders; and,
• land, air and sea patrols, inspections and investigations by Fishery Officers to promote, monitor and enforce compliance with input and output control measures.

That the Minister of Fisheries and Oceans commit to amending the Fisheries Act to deal with licence violations using administrative sanctions subject to appeal through arms-length tribunals;

That, in the interim, the Attorney General of Canada instruct federal prosecutors involved in Fisheries Act licence violation cases to bring to the attention of the court, prior to sentencing, the total cost to the Canadian taxpayer of investigating and prosecuting the offence, and to push for the maximum penalty under the law at sentencing; and

That any financial proceeds forfeited as a result of a conviction for licence violations be used to support an enhanced dockside monitoring or some other equally important program.

Government Response

The Government agrees that there needs to be a transparent, legitimate, effective and legally well-grounded administrative sanctions system in place for dealing with infractions by licence-holders in coastal fisheries.

When DFO met with stakeholders to discuss possible amendments to the Fisheries Act, fish harvesters expressed broad support for the use of administrative sanctions as the primary means of handling fisheries violations. 

The Government is aware that amendments to the Fisheries Act are needed and is actively considering its legislative options for providing: a stable management framework; allocation stability; participatory decision-making; co-management; and, more effective enforcement and administrative sanctioning.

Concerning licence violations and sentencing, the Attorney General of Canada requires and expects prosecutors to follow legislative and common law dictates and from time to time issues policies or directives reflective of sentencing principles.  While the Attorney General of Canada can provide instructions to counsel through policy, those instructions must accord with the Charter and sentencing principles provided for within legislation or through common law. 

The Attorney General of Canada’s exercise of prosecutorial discretion cannot be fettered to mandate a maximum penalty in every case, from the most minor to the most egregious.  Such a directive would undermine the ability of the Attorney General of Canada and prosecutors to present to the court the aggravating and mitigating factors in the context of the offence and recommend a range of sentencing appropriate to the case. 

With respect to the suggestion regarding the total cost to the Canadian taxpayer of investigating and prosecuting the offence, Parliament has considered the issue of recovering costs in appropriate circumstances within the framework of Part XXII of the Criminal Code.  Section 718.21(e) provides for recouping the cost of investigations and prosecution against corporations. Having done so, it has chosen to exclude the notion of a "user" pay system against individual accused persons. 

While the Fisheries Act does not provide a formal regime, it does provide for the fashioning of penalties appropriate for ensuring that a person convicted is sentenced proportional to the nature of the offence and the offender.  These provisions have, in appropriate circumstances, been used by prosecutors to seek costs related and relevant to the investigation when able to be quantified. 

Concerning the financial proceeds, under the Fisheries Act  fines that are imposed and collected are paid into the Consolidated Revenue Fund.  However, in certain circumstances, the courts may direct a supplementary fine be paid to DFO for a specific purpose.  For instance, section 79(2)(F) of the Fisheries Act provides that  where a person is convicted of an offence under the Act,  in addition to any punishment imposed, the court may, having regard to the nature of the offence and the circumstances surrounding its commission, direct the person to pay Her Majesty an amount of money the court considers appropriate for the purpose of promoting the proper management and control of fisheries or fish habitat or the conservation and protection of fish or fish habitat.  Funds received under s 79(2)(f) are placed in a special purpose account and managed in accordance with the Treasury Board Policy on Specified Purpose Accounts and are not intended to augment DFO’s departmental budget.

That Regional Harvesting Councils or Bay Conservation Councils be established to enable resource users to have meaningful input into the management of coastal fisheries; and

That fisheries management practices integrate systematically the collection of the knowledge, practices and observations from individual harvesters, and that this information be disseminated to the appropriate stakeholders.

Government Response

The Government agrees that resource users must have meaningful input into the management of coastal fisheries.  For this reason, through its Fisheries Management Renewal agenda, DFO is promoting increased collaboration, participatory decision-making and shared responsibility and accountability with resource users and others. 

Prior to the implementation of the moratorium on cod stocks in 1992, the Newfoundland Groundfish Advisory Committee, which was comprised of representatives from both orders of government and industry, provided recommendations on the management of most stocks.  This consultative and advisory role was then assumed by the Fisheries Resource Conservation Council (FRCC) which provided arms-length advice to the Minister of Fisheries and Oceans on groundfish conservation including quotas, seasons, and gear restrictions.  The FRCC considered the input of various stakeholder groups involved in these consultations when making recommendations to the Minister.

In late 2003, the FRCC refocused its attention on the development of a long-term strategy for Atlantic Snow Crab, the responsibility for providing a broad-based forum for industry input into groundfish management measures and TAC was assumed once again by DFO.  This task is achieved through a series of consultative processes with stakeholder groups. These processes incorporate the views and opinions of local fishermen's committees, as well as individual harvesters and processors.  In recent years a number of specially focused consultation processes have been created to deal with specific and high-profile issues such as the development of a recovery plan for cod.

At a more operational level, industry representatives, primarily the harvesting sector, are involved in a collaborative manner during the development of Conservation Harvesting Plans (CHPs.  CHPs provide the detailed management measures under which various groundfish species are harvested.  Fish harvesters and processors also play an important role in the scientific assessment process through the Sentinel Fisheries Program, the Fisheries Science Collaborative Program, and the Regional Assessment Process. 

Also, as noted in the preamble, with respect to the 2006 northern cod fishery, DFO will initiate a post-season review process and a broadly-based consultative process with fish harvesters, processors, fishing communities and other interested stakeholders in Fall 2006. 

That the planned $20 million cutback over three years (2004-2008) in DFO’s budget for Science program activities, particularly with respect to the “Sustainable Fisheries and Aquaculture” strategic outcome, be reconsidered, and that an immediate reinvestment in cod science be made.

Government Response

The Government agrees with the intent of this recommendation.  The current focus of DFO’s science program is on adjustment and realignment of the program to better address new and challenging demands for science information.  The forecasted budget reduction for science activities are in part linked to overall government expenditure review and reallocation efforts.  Furthermore, some of this reduction relates to “sunsetting” programs that were not intended to be funded on an ongoing basis.   

However, as noted in this response’s preamble, the Minister of Fisheries and Oceans announced in June 2006 enhanced research which will include studies on migration and mortality, additional scientific sampling and an inshore northern cod survey.  DFO will also collaborate with Memorial University of Newfoundland and the Newfoundland and Labrador Department of Fisheries and Aquaculture on several research projects.

In addition, new funding recently identified for the Department will be used in part to invest in priority areas that directly support the DFO Sustainable Fisheries and Aquaculture strategic outcome. DFO Science is investing $8.2 million to maintain capacity for ecosystem monitoring; conduct essential ecosystem research; and build essential partnerships with academia, industry and aboriginals.

Furthermore, the Minister has recently directed that key Departmental capacity be maintained regarding the stock assessment function. In 2006-07, this meansthat the planned $1.2 million cutback in stock assessment will not be implemented and the scientific personnel maintained.

That there be more studies on cold-water deep-sea corals and sponges. DFO should remain open to the option of using Section 4 of SARA to protect sensitive habitat on the Nose and Tail of the Grand Banks should a potential candidate for listing be found.

Government Response

The Government agrees with the intent of this recommendation and recognizes the importance of research and conservation and management of the impacts of human activities on deep-see coral and sponges, as well as other sensitive benthic areas and species.

DFO has pursued the application of an ecosystem based approach to fisheries and ocean management as the means to address the impacts of human activities on sensitive benthic areas and species, such as corals, seamounts and thermal hot vents.  The identification of areas which are ecologically and biologically significant; sensitive to physical, chemical or biological damage and therefore vulnerable to alteration, disturbance or destruction is an integral part of the DFO and the Government of Canada’s approach to management of human activities in marine waters.

Corals and sponge reefs within the current five large ocean management areas have and continue to be identified as part of this process, and the impacts of human activities, such as fishing, are being managed, on a  case by case basis, and where necessary, mitigation and protection measures are put in place to protect them.  Examples include the Northeast Channel Coral Conservation Area in South West Nova Scotia, the Lophelia Coral Stone Fence conservation Area off eastern Nova Scotia, the Marine Protected Area in the Gully.  Other fisheries specific closures have aimed at protecting sensitive cold water corals, such as the closure in NAFO Division 0A in Davies Straight where a specific area was closed to Greenland halibut fishing to protect deep sea cold water corals.

To ensure a consistent and systematic approach, DFO is developing a policy to address the fishing impacts on benthic and other sensitive areas, including cold-water corals.  Consistent with practice to date, the policy will place a priority on identifying sensitive benthic habitat areas on a scientific basis and include a risk-based approach where an impact assessment of fishing on the sensitive areas will be made and mitigation and conservation measures will be considered, where appropriate.  Particular precaution will be applied in deep sea areas where insufficient knowledge exists to form the basis of a scientific assessment.

Canada with the support of NAFO Contracting Parties are pursuing an ecosystems-based management approach, including through an increased focus on sensitive benthic areas.  In effect, Canada is advancing a similar approach to that advanced within Canadian waters, with respect to the protection of sensitive benthic habitats beyond national jurisdictions, urging that decisions taken to conserve and manage activities that may impact such habitats, on a site specific, scientific-based approach, so that the most appropriate measures can be taken to protect sensitive benthic habitats.  

The Government’s approach also supports increased research and studies on deep-sea coral and sponges and other benthic marine features.  For instance, DFO’s deep-sea water coral research has been expanded under a three-year International Fisheries and Oceans Governance Strategy where funding was provided to study deep-sea coral trophic relationships, reproductive ecology, and their role as fish habitat.  As part of this initiative, a dedicated scientific research cruise is planned for the Grand Banks in 2007 in order to study deep-sea corals in their habitats using a deep sea remotely operated vehicle.

That the Government of Canada restate clearly its support for the UN General Assembly resolution 59/25, and do everything it can to enforce the resolution.

Government Response

The Government notes the support of the Committee for the 2004 (59/25) United Nations (UN) resolution on sustainable fisheries and reaffirms its support for the resolution.  The resolution called for:

“… States, either by themselves or through regional fisheries management organizations or arrangements, where these are competent to do so, to take action urgently, and consider on a case-by-case basis and on a scientific basis, including the application of the precautionary approach, the interim prohibition of destructive fishing practices, including bottom trawling that has adverse impacts on vulnerable marine ecosystems, including seamounts, hydrothermal vents and cold water corals located beyond national jurisdiction, until such time as appropriate conservation and management measures have been adopted in accordance with international law.” (Paragraph 66, Resolution 59/25)

UN General Assembly Resolution 60/31 requested States and Regional Fisheries Management Organizations (RFMOs) to report back to the UN on actions taken to give effect to paragraphs 66 to 69 of resolution 59/25.  This information is to be taken into account in the preparation of the report of the Secretary-General for the sixty-first session of the UN General Assembly (UNGA) which begins in September 2006.

The results of the UN reporting process will inform the UNGA debate on Oceans and the Law of the Sea and Sustainable Fisheries scheduled to take place this fall.  It will include a two day review of progress on actions taken pursuant to paragraphs 66 to 69 of resolution 59/25.  The Government will determine if further recommendations for action are necessary based on the outcome of the UNGA sessions.

In keeping with the resolution, Canada encourages and has led collaborative scientific efforts to increase the ecological understanding of sensitive areas and determine their extent and location.  For example, DFO hosted the International Marine Ecological Experts Workshop in December 2005, which was aimed at defining criteria that can be used to identify marine areas beyond national jurisdiction that are of ecological or biological significance and that may be considered for special management measures such as Marine Protected Areas (MPAs). 

Additionally, DFO’s strategy to address the impacts of human activities on sensitive marine areas includes the development of a policy that will help guide fisheries management decisions in conserving, and where necessary, protecting in a targeted way, areas that will have been identified on a scientific basis.  The policy would outline a proactive risk-based approach that would require more precautionary decisions for deep sea areas that are data-poor.  This domestic approach is helping to shape and influence the international debate.

Internationally, the Government has been actively advocating for the modernization of RFMOs, which includes incorporating ecosystem considerations in fisheries management decisions.  It is critical that RFMOs take into account a broader range of interactions and move away from single stock management.

During the September 2005 annual meeting of the Northwest Atlantic Fisheries Organization (NAFO), the organization adopted a Canadian proposal for the collection of data, which could lead to measures for the protection of the most fragile seamounts (undersea mountains) and the species that live there.  NAFO's Scientific Council has been asked to develop criteria for determining ecologically and biologically sensitive areas, and a framework for using the data and information it acquires to better manage these sensitive areas. 

Ensuring sustainable fisheries and protecting sensitive marine ecosystems and habitats is of utmost importance to the Government.  We will continue to work collaboratively with other countries to ensure the protection of sensitive marine ecosystems, including, meeting commitments stemming from UN resolutions.

That Canada protect sensitive groundfish habitats from bottom trawling, halt any further expansion of the bottom trawl fleet into new fishing areas, and ensure that all areas currently closed to trawling do not re-open, nor further expansion be permitted, until adequate risk and impact assessments have been completed.

Government Response

The Government shares the Committee’s interest in ensuring the protection of sensitive habitat.  For many years, DFO has imposed management measures to restrict certain fishing practices and activities in order to limit threats to sensitive marine areas and species. Examples include the Northeast Channel Coral Conservation Area in South West Nova Scotia, the Lophelia Coral Stone Fence conservation Area off eastern Nova Scotia, the Marine Protected Area in the Gully.  Other fisheries specific closures have aimed at protecting sensitive cold water corals, such as the closure in NAFO Division 0A in Davies Straight where a specific area was closed to Greenland halibut fishing to protect deep sea cold water corals.  On the west coast, the Government has closed four reef areas located in waters of the Eastern Queen Charlotte Sound and Hecate Strait to all bottom contact gear to protect four unique sponge reef ecosystems.

As the Department learns more about the nature of these habitats, it is responding with new measures to protect these areas.  An ecosystem based approach to the management of oceans activities is being applied both spatially and sectorally in Canadian marine waters.  The Government’s commitment to the application of  ecosystem-based management in five large scale ocean management areas in each of Canada’s three oceans is yielding critical information on the state and location of ecologically and biologically significant areas and species and on the location of areas sensitive to particular human activities, including specific fishing gear types.  This information is of direct relevance to management decisions with respect to new fishing areas and areas currently closed to bottom trawling.

Ecosystem-based Management is also being applied sectorally. For example, DFO is developing a policy to address fishing impacts on benthic habitats and sensitive habitat areas in a more systematic way.  The policy will place a priority on identifying particularly sensitive and biologically significant benthic habitat areas.  It will also outline the processes for dealing with management of fishing activities and their impacts on benthic habitats in existing fishing areas, historical fishing areas that are currently closed, and frontier areas or new areas never fished. Identification of sensitive benthic habitats will be scientifically based using data from various sources, including, non-fisheries sources.

In addition, DFO agrees that the process to make decisions to allow fishing in areas that have sensitive benthic features should include a risk and impact assessment.  Both biological impacts and socio-economic impacts of possible management actions should be considered before a decision is made about conducting fisheries in these areas.

That DFO, as a matter of policy, consistently restrict the use of any harvesting technology where and when it is determined to be having a negative impact on the sustainability of a species. DFO should also establish sanctuary areas to protect the sustainability of species in areas and at times when they are most vulnerable.

Government Response

DFO is mandated to manage fish resources in a sustainable manner.  When a stock assessment determines that management actions are required to address a stock decline, DFO considers a broad suite of factors, from fishing patterns and timing, to gear use, gear type, habitat measures and environmental impacts. 

DFO has restricted the use of some gear technologies in certain areas on both the west and east coasts to protect habitats and species.  Management actions of this sort, gear restrictions and closures, will continue to be used where there is no other alternative.  Decisions will be based on the precautionary approach, that is, preventative actions will be considered based on an assessment of the potential risks to the stocks and actions will not be delayed due to a lack of full scientific certainty.  In addition, through programs such as the Selective Fishing program on the west coast and support for gear modifications on the east coast, DFO has encouraged gear changes and fishing practices to create more sustainable fisheries. 

DFO is also mandated to lead the development and implementation of plans to integrate the management of activities with a view to achieving sustainable development.  To this end, understanding the factors which determine the sustainability of a species, of its supporting habitats and identifying the measures needed to protect them at the times and in areas where they are vulnerable are key objectives of the ecosystem based approach to management.   The identification of ecologically and biologically significant areas, of ecologically and biologically significant species, of degraded areas and depleted species is an integral component of the risk based assessment conducted for each ocean management planning area.  The identification of these areas and species will guide the management of sectoral activities and pin point areas which may require special protection including potential marine protected areas.

With respect to sanctuary areas, DFO has established closures to protect spawning and nursery areas for groundfish on the east coast and has designated Gilbert Bay as a Marine Protected Area.  DFO will continue to take conservation action where necessary to protect the important habitat areas for key species. Decisions regarding these areas will be science-based and made through Integrated Fishery Management Planning processes.  

That DFO commission a comprehensive study to assess the ecological impacts of bottom trawling inside Canadian waters as well as the economic impact of a moratorium on this technology.

Government Response

The Government understands the importance of being able to assess the impact of harvesting technology on the ecosystem.  As such, DFO recently completed a comprehensive peer review of the potential impacts of gears like bottom trawlers, on habitats.  This review  resulted in a  scientific advisory report entitled, Impacts of Trawl Gears and Scallop Dredges on Benthic Habitats , Populations  and Communities.  The advisory report concluded that these fishing gears do impact benthic populations, communities and habitats."   However, it was determined that the effects were not uniform, but depended on: the specific features of the seafloor habitats, including, the natural disturbance regime; the species present; the type of gear used; the methods and timing of deployment of the gear; the frequency with which a site is impacted by specific gear; and, the history of human activities, especially past fishing, in the area of concern.

With respect to the economic impact, DFO analysis indicates that in 2004, the landed value of the east coast fisheries using bottom trawl gear was estimated at $435 million, which was approximately 23 percent of all landings by value.  The contribution of these fisheries to regional economies and the Canadian economy cannot be overlooked and in moving forward, the involvement and cooperation of the fishing industry will be critical in developing long lasting, sustainable solutions.

That the federal cabinet decide not to add northern cod to the list of “endangered” species under the Species at Risk Act.

Government Response

The Government agrees with this recommendation.  In April 2006, the Governor-in-Council, on the recommendation of the Minister of the Environment and the Minister of Fisheries and Oceans, decided not to list northern cod under the Species at Risk Act. 

The Fisheries Act allows DFO to take a targeted and flexible approach to conserving cod and recognizes that some Canadians are fishing cod stocks that have been supporting sustainable fisheries, or catching cod as by-catch in other fisheries. 

DFO takes the conservation of cod very seriously and has made the recovery of cod a top priority.  DFO is working in an unprecedented partnership on the cod action teams with the provinces, fish harvesters and key stakeholders.  These teams have developed long-term rebuilding strategies which will play a major role in the management of cod stocks in the coming years.

That the Government of Canada aggressively promote the expansion of markets for harp seal products; and,

That DFO increase the commercial quotas for the seal harvest in accordance with market conditions.

Government Response

The Government has made continuing efforts to gain improved access to the global market for seal products.  Markets exist for seal products in three forms: sealskins; seal oil; and, seal meat.  Exports of seal oil and meat have been limited due to market depression.

The primary market for seal oil and pelts is Europe, while the main market for meat remains in Asia.  The United States (U.S.) Marine Mammal Protection Act (MMPA) of 1972 prevents the importation of Canadian seal products into the U.S. since it effectively bans the import of almost all marine mammal products.  The Government has made continuing efforts to gain improved access to the U.S. market for seal products, including, inquiries at the World Trade Organization (WTO) concerning the justification of the MMPA restrictions. According to the U.S., because of its permit/waiver system, the MMPA is not in violation of WTO agreements.

DFO is mandated to manage the seal hunt to ensure a healthy, abundant population.  The work of Fishery Officers, in partnership with the Canadian Coast Guard, ensures a safe and orderly hunt as well as compliance with Marine Mammal Regulations. Financial subsidies for meat and the establishment of industry associations ceased in the late 1990s, and marketing and promotion has since been the responsibility of the industry. DFO does, however, continue to encourage the fullest possible use of the animal.  The Department’s role in an international setting is to provide factual information about the management of the seal hunt.

In recent years, quotas for harp seals have been at the highest levels in decades to accommodate socio-economic objectives.  In some years, quotas have been set above the replacement yield (the number of animals that can be taken in a given year without reducing the population in the next year).

DFO uses a precautionary management regime to facilitate a market-driven harvest that will enable sealers to maximize their benefits while keeping conservation a top priority. Objective-Based Fisheries Management allows DFO to manage the seal hunt based on socio-economic considerations with flexible management measures that would not reduce the population below 70% of its highest known abundance.  Should the population be reduced below that level, more stringent measures are adopted.  Commercial quotas are established to provide sealers the maximum benefit possible from the resource while keeping it at a sustainable level.