South Carolina shrimpers applaud decision to impose duties on shrimp imported from four countries
Nov 27, 2024
CHARLESTON, S.C. (WCBD) - South Carolina shrimpers are celebrating the U.S. International Trade Commission's recent decision to crack down on frozen shrimp imports from four countries.
The ITC voted in favor of issuing countervailing duties on frozen, warm-water shrimp imports from Ecuador, India, and Vietnam after the U.S. Department of Commerce determined those governments were illegally subsidizing the industry.
They also voted to impose anti-dumping orders on imports from Indonesia. Dumping occurs when foreign nations and exporters dump shrimp on the market at an unsustainable rate, thereby artificially deflating the price.
These practices have "materially injured" the U.S. shrimping industry, the commission found.
"We're grateful because it's an acknowledgment of what we feel and we experience in the industry and we see on a daily basis," said Bryan Jones, a first-generation shrimper who lives in McClellanville.
Jones serves as vice president of the South Carolina Shrimpers Association and was among a group of commercial fishermen who testified before the ITC in Washington, D.C. in October.
"[These issues] really came to the forefront around 2010 with the proliferation, or rapid increase, of foreign shrimp ponds," explained Jones. "They were able to scale up and be able to produce shrimp at a rate that quickly took over market share because they would produce it cheaper and quickly and have a little bit more consistency."
Since then, local fishermen have been sounding the alarm on dumping because it not only harms them financially, but also exacerbates other struggles within the industry like rising fuel and labor costs, demographic shifts in the industry, and the loss of working waterfronts.
"If not for the imported shrimp crisis, one: we'd be able to pay more, pay our crew more so we wouldn't have the crew issue," Jones said. "Two: you'd have more young people wanting to invest in the business and buy into shrimp boats because they would see a profitable future...and then three: commercial docks and properties would probably have much more property value to sell it to a real estate developer like you saw Indpendent Seafood in Georgetown do, rather than keep it open as a seafood dock if they're competing against imported shrimp."
‘Potato cartel’ conspired to spike frozen potato prices: Lawsuits
The quality of shrimp coming from overseas is an issue, too.
Jones noted that while the U.S. has regulatory measures in place, they are not adequately funded which often results in shrimp being sold to consumers without proper inspection first.
According to a 2015 Consumer Reports bulletin, the U.S. Food and Drug Administration tests only about 1% of foreign shrimp shipments for potential contaminants.
"Of that 1%, one-third of it is rejected for things like nitrofuran antibiotics or filth -- filth just means it's dirty, potentially that it's kind of decomposed, or did not make it over in a safe manner," Jone said.
He further explained that rejected shipments are not confiscated or destroyed, meaning boats can take them to a new port of entry where they could pass through uninspected.
Still, eliminating foreign shrimp from the U.S. market is not the goal nor would it likely be feasible given that domestic shrimpers account for only about 5.5% of the global market share.
All shrimpers really want is a level playing field, Jones said.
"I wouldn't say we can't replace imported shrimp, but that's not our goal," he continued. "Our goal is just to be able to go out, compete in a fair marketplace, and provide for our families."
And while the ITC's recent action will ease competition for domestic shrimpers by making it more expensive for foreign countries to export their products into the country, Jones knows more can be done to achieve parity across the industry.
A bill filed in October by Congresswoman Nancy Mace (R-S.C.) would be a step in that direction.
“Foreign dumping of shrimp filled with contaminants that don’t meet US safety standards is undercutting honest, hardworking, American fisherman,” Mace said on Oct. 18 as she stood in front of the shrimp boats on Shem Creek and introduced the Protect American Fisheries Act.
The bill proposes to amend the Magnuson-Stevens Fishery Conservation and Management Act to include “economic causes” as a reason for declaring a fishery resource disaster.
The declaration, made by a governor, is the first step in receiving federal relief administered by the National Oceanic and Atmospheric Administration or NOAA.
“The types of relief that we’re talking about in this bill would mean direct assistance to fisherman and seafood businesses, conservation funds would be unlocked to help restore the fishery, fishery-related infrastructure, primarily to focus on direct assistance to fisherman,” Mace continued.
Jones also advocates for the Save Our Shrimpers Act, a bill filed by Republican Congressman Troy Nehls of Texas that would "prohibit federal funds from being made available to international financial institutions for the purposes of financing foreign shrimp farms."
Jones acknowledged that these legislative actions coupled with public awareness could make a big difference for local shrimpers.
"At the end of the day, that's what's going to save our industry is a well-informed consumer that makes intentional decisions," he said.