THE rock lobster industry is bracing for one of the toughest seasons in memory, as a predicted low catch coincides with difficulties in the global market.
But most involved are surprisingly upbeat about the situation.
Only a few seasons ago, fishermen and processors were predicting doom and gloom because a record harvest was expected to bring prices crashing through the floor.
Instead, many producers had their best season for years.
It seems that many in the WA industry believe they have adapted well to the upheaval in foreign markets, as new competition, economic concerns and restructuring of the market change the way their business is done.
Western Rock Lobster Development Group chairman Tony Gibson said the biggest concerns for the WA industry lay in Japan, the second largest export market.
Mr Gibson said ongoing economic trouble hung like a pall over Japan but underlying this was an alteration to that country’s traditional buying habits, which made export much tougher.
But years of facing uncertainty over Japan’s economic future have hardened many producers to the prospect of significant problems.
MG Kailis group managing director Alex Kailis said lobster remained resilent despite being at the luxury end of the market.
Mr Kailis said that people still liked to enjoy themselves and lob-ster seemed to stay on the menu.
Another issues is the Australian dollar, with the low rates helping WA fishermen weather the global fallout.
While most benefit from this, the uncertainty does create issues for those dealing on international markets.
According to the Geraldton Fishermen’s Cooperative annual report, the group was sitting on unrealised foreign exchange contract losses of $413,738 at June 30, having sold $US12.6 million forward at an exhange rate of US51.98 cents.
According to GCC chairman John Fitzhardinge, the cooperative effectively hedged half its sales, which meant any losses on one side of the ledger were matched by gains on the other.
