LMR – Stepped up processor demand drives lobster price

The September lobster market was crazy busy, frustrating, and at the same time just so-so.

Canadian and US processors were crazy busy bidding on and trying to fill huge contracts for frozen lobster tails and meat. LMR_sd-SH Their high level of interest in shedders was driving up the boat price, a move welcomed by fishermen who were landing fewer lobsters so far this season.  But some speculated that processors were reaching a tipping point:  Can their plants be profitable at the current frozen market values and the current prices for live lobsters?

US exporters were frustrated trying to fill ridiculously strong Chinese and Asian demand for large size hard shells that were all but unavailable.

Canadian exporters were also frustrated because by late August they were running low on stored live hard shell lobsters.  They’d inventoried about 18 million pounds by the end of Canada’s productive spring fishing seasons.  But only about 5 million lbs remained to fill those cruise line and casino contracts, regular orders, and Asia’s strong and ever-increasing demand for large sizes.  Canadian Lobster Fishing Areas don’t start opening again until Oct. 15, which means some will start turning to summer pounded lobsters, their own or Maine’s…


Read the rest and much, much more in the October issue of Commercial Fisheries News.

Read online immediately and download for future reference.