Review of Haliotis Midae

Review of Haliotis midae

(Version edited for public release)

Prepared for the European Commission Directorate General Environment ENV.E.2. – Environmental Agreements and Trade

by the

United Nations Environment Programme World Conservation Monitoring Centre

November, 2010

UNEP World Conservation Monitoring PREPARED FOR Centre 219 Huntingdon Road The European Commission, Brussels, Belgium Cambridge

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CITATION UNEP-WCMC. 2010. Review of Haliotis midae. UNEP-WCMC, Cambridge.

Introduction

1. Introduction The endemic marine mollusc Haliotis midae was listed in CITES Appendix III by South Africa in 2007, (CITES Notification No. 2007/007) to help combat the growing problem of illegal harvest and trade (CoP14 Inf. 58). The CITES Trade Data used for this analysis were extracted on 3rd November 2010.

Haliotis midae

2. Species review

GASTROPODA HALIOTIDAE

SPECIES: Haliotis midae

SYNONYMS: -

COMMON NAMES: Midas Ear Abalone (English), Perlemoen (English)

RANGE STATES: South Africa

RANGE STATE UNDER REVIEW: South Africa

IUCN RED LIST: Not evaluated

PREVIOUS EC OPINIONS: -

TRADE PATTERNS: Haliotis midae was listed in CITES Appendix III by South Africa on 03/05/07, then deleted on 24/06/10, hence trade data are currently available for the period 2007-2009. Direct exports of H. midae to the EU 2007-2009, consisted of moderate levels of captive-bred and wild- sourced shells, all from South Africa (Table 1). In addition, Poland reported the confiscation/seizure of 14 shells from the United States of America in 2009. The quantity of wild-sourced shells imported by the EU over this period (355 shells) was considerably smaller than the quantity reported by South Africa (11 882 shells); this may be because South Africa reports on permits issued rather than actual trade. The export permit numbers of the 75 wild-sourced shells and 280 wild-sourced shells reported as imports by Germany in 2007 and 2009 did not correspond to any export permits reported in South Africa’s annual reports. Indirect exports of H. midae to the EU consisted of one wild-sourced carving of unknown origin exported by the United States of America to the United Kingdom in 2008. The United Kingdom reported the confiscation/seizure of one carving of unknown origin from the United States in the same year. Direct exports of Haliotis midae to countries other than the EU-27 consisted mainly of captive-bred live specimens, bodies, meat and shells from South Africa (Table 2). There was also some trade in wild- sourced live specimens and meat. The main importers were Hong Kong Special Administrative Region, Japan, Singapore and Taiwan (Province of China). There were several instances where trade appeared to have been reported by the importer but not by South Africa (Table 2), however an analysis of permit numbers confirmed that the 550 kg of wild- sourced carvings reported as imports by the United States corresponded with a shipment of 550 kg of wild-sourced shells exported by South Africa, and the 420 live captive–bred specimens reported as imports by Japan corresponded with a shipment of 420 kg of live captive-bred specimens exported by

Haliotis midae

South Africa. No corresponding shipment was found for the 29 kg of captive-bred scientific specimens reported as an import by the United Arab Emirates. Table 1. Direct exports of Haliotis midae to EU-27, 2007-2009. All trade was in shells.

Exporter Importer Units Purpose Source Reported by 2007 2008 2009 Total South Africa Germany kg T C Importer 3188 2430 5618 Exporter 4438 3805 8243 T W Importer 75 280 355 Exporter 486 486 Hungary kg T C Importer Exporter 285 100 385 Netherlands kg T C Importer Exporter 5195 4610 9805 T W Importer Exporter 11166 11166 Poland kg T W Importer Exporter 230 230 United States Poland - I Importer 14 14 of America Exporter Subtotals kg C Importer 3188 2430 5618 (main trade Exporter 9918 8515 18433 only) W Importer 75 280 355 Exporter 11882 11882

Table 2. Direct exports of Haliotis midae from South Africa to countries other than the EU-27 2007- 2009. (Note that 2009 annual reports from several of the main non-EU H. midae importers had not been received by 3rd November 2010)

Term Units Purpose Source Reported by 2007 2008 2009 Total bodies - T C Importer Exporter 693620 693620 carvings kg T W Importer 550 550 Exporter - P W Importer 2 2 Exporter T W Importer 6 6 Exporter live kg T C Importer 120123 164401 10200 294724 Exporter 1928900 1493700 3422600 W Importer Exporter 8397 8397 - T C Importer 420 420 Exporter 1151930 1151930 meat kg T C Importer 19980 62504 29799 112283 Exporter 1163904 1569792 2733696 W Importer Exporter 52083 52083 shells kg T C Importer Exporter 12000 94296 106296 W Importer

Haliotis midae

Term Units Purpose Source Reported by 2007 2008 2009 Total Exporter 4550 4550 - T C Importer Exporter 20 20 specimens kg T C Importer 29 29 Exporter ml S I Importer 1 1 Exporter T C Importer 1 1 Exporter 0.1 0.1 - E W Importer Exporter 6 6 It was stated that there was “almost no domestic consumption” of H. midae in South Africa (Bürgener, 2008); however, local restaurants were reported to get some produce from recreational and subsistence fishers (Sauer et al., 2003). The prices of fresh H. midae were reported to have fluctuated between USD 30-40 per kg after 1996, with prices about USD 2-3 lower paid for the frozen product (Sauer et al., 2003). Raemaekers and Britz (2009) stated that “abalone divers in the Eastern Cape were paid between 40 and 60 USD per kg of de-shelled abalone, but could obtain up to 77 USD per kg depending on demand.” The price for dried H. midae was reported to have risen from USD 200 to 300 between the years 1996 and 2000 (Sauer et al., 2003), reaching USD 1000 in 2008 (Fiske, 2008). Particularly in China, dried Haliotis products were reported to have high economic value in traditional medicine (To et al., 2006). Moolla (2008) estimated that the illegal exports of H. midae were ten times bigger than the legal exports. According to To et al. (2006), substantial exports of H. midae from Mozambique to Hong Kong between 1998 and 2002 were likely sourced in South Africa. Bürgener (2008) stated that “apart from the South African fishery and aquaculture production and the Namibian aquaculture operation, there is no other known legal commercial harvesting or trade in abalone in any of the African countries.” Sauer et al. (2003) estimated that about ten illegal factories were producing about 1600-1750 tonnes of canned or dried abalone for the Asian export market every year. Moolla (2008) stated the following about the Asian export trade: “the demand for South Africa’s white-shelled Haliotis midae escalated with the continued boom of both the Hong Kong and Chinese economies. Demand for abalone in Hong Kong, China and other South East Asian nations has increased by an estimated 20% annually between 2004 and 2007. The growth of the South African abalone market in South East Asia has occurred against a backdrop of a collapsing total allowable catch for legal abalone right holders in South Africa and a stagnating abalone farming industry, which produces an average of 900 tonnes of abalone annually. The legal and regulated South African abalone industry – both wild and aquaculture – could have marketed a maximum of 1025 tonnes (shell weight) of [H]aliotis midae to China and Hong Kong during 2006. However, it is understood that Chinese and Hong Kong consumers purchased approximately between 2000 and 2500 tonnes (flesh weight) of South African abalone in 2005 and 2006. These numbers are supported by anecdotal reports by South African law enforcement officials, conservation groups and members of the abalone industry that only about 10% of poached abalone is confiscated by South African authorities.” CONSERVATION STATUS in range states Haliotis midae is a marine mollusc that inhabits rocky surfaces on the subtidal zone (Abbott and Dance, 1991). It was reported to be a South African endemic (Cook and Sweijd, 1999; South Africa, 2007). One record in the Lobito Bay of Angola was listed as “doubtful” by ABMAP (2006). Some farming of H. midae in Namibia was also reported (Ministry of Trade and Industry, 2010).

Haliotis midae

South Africa Distribution and populations status: Most populations were reported to occur in the south-western Cape between Cape Columbine in the west and Cape Agulhas in the south, but the species was also reported to occur in areas east of Cape Agulhas up to the former Transkei region in a discontinuous pattern (Tarr, 2000; Troell et al., 2006; South Africa, 2007). Cook and Sweijd (1999) found evidence of two to three genetically differentiated subpopulations. Although Abbott and Dance (1991) described the species as “moderately common”, more recent surveys showed decline in several populations, including Robben Island (Tarr, 2000) and the Eastern Cape coast (Proudfoot et al., 2006; Moolla, 2008; Raemaekers and Britz, 2009). In some areas, decline was reported to have reached a point where “local reproductive output is diminished and stocks may be failing to recover” (Proudfoot et al., 2006). Proudfoot et al. (2006) found the densities of H. midae to vary between 0.03 and 4.93 individuals per m2, with lowest densities recorded in the most heavily exploited sites. According to Tarr (2000), the future resource of H. midae “may collapse to the point of commercial extinction; even if the abalone resource recovers, populations may not regain the levels of the early 1990s within the next 50 years.” Moolla (2008) considered that “the prospects of abalone stocks being able to recover naturally remain extremely bleak.” However, Raemaekers and Britz (2009) noted that “even though biological indicators suggest that abalone stocks are in serious decline in the more accessible areas, significant catches are still being made and larval recruitment has not been impaired to such an extent as to result in a complete population collapse.” Threats and uses: Illegal harvest as well as ecological changes were listed as major threats to H. midae (Tarr, 2000; Bürgener, 2008). The illegal harvest of H. midae in South Africa was said to be “perhaps the best-documented and most popular example of how a fishery collapsed due to poaching” (Moolla, 2008). The Department of Environmental Affairs and Tourism (2003) reported the total amount of illegal catch in 2001 to be 1023 tonnes. Based on survey data on boat-based poaching, Raemaekers and Britz (2009) estimated that over 2000 tonnes of H. midae were poached in the Port Elizabeth area of the Eastern Cape in 2006. According to Moolla (2008), the number of poached H. midae increased from 400 000 - 500 000 individuals per year in 2003 and 2004 to >1 million individuals per year in 2005 and 2006. Several arrests of poachers holding thousands of fresh or dried abalone were said to have taken place during one week in August 2009 (Gosling, 2009). The South African Revenue Service (2010) reported a single confiscation of nearly 30 000 individuals of H. midae in a single vessel on its way to Hong Kong. According to Steinberg (2005), most exports of illegally caught H. midae were transported on roads or aeroplanes, and often via neighbouring countries. Dried H. midae was said to be favoured by smugglers due to its lightness and the possibility to disguise it as another product (Steinberg, 2005). Slow growth rates were said to increase vulnerability to overfishing (Tarr, 2000); H. midae was reported to take seven to nine years to mature (Steinberg, 2005), reaching a maximum size of about 20 cm shell length after >30 years of age (Newman, 1968 in: Sales and Britz, 2001). Furthermore, the species was considered to have a “vulnerable reproductive strategy”: the highest regeneration success was reported to be found in the aggregated populations of juvenile individuals residing in shallow waters, which were also the most easily accessible areas for poachers (Tarr, 2000). The harvests of H. midae were reported to have increased rapidly in the 1990s, mainly due to increased poaching and recreational fishery catches (Cook, 1998; Tarr, 2000). The recreational fishery was reported to have “peaked at an estimated 750 t in 1993-1994” (Sauer et al., 2003), and reached into areas that had not previously been commercially fished (Tarr, 2000). The rapid increase of illegal fisheries was considered to be linked to the widely accepted claim for free access to marine resources (Steinberg, 2005), the favourable exchange rates, which made it more profitable to export H. midae abroad (Tarr, 2000), the “failure of the state to issue fishing rights and conduct effective sea-based compliance”, and the ease of access to the resource (Raemaekers and Britz, 2009). Poaching had reportedly been increasing throughout the 2000s (Moolla, 2008), as the opportunistic shore-based operations were replaced by efficient and organised boat-based fishing (Raemaekers and Britz, 2009).

Haliotis midae

According to Steinberg (2005), illegal trade of H. midae was strongly linked with organised crime and drug trade. The main ecological threat to the populations of H. midae was reported to be a decline in the populations of the sea urchin, Parechinus angulosus, linked with an increase in the abundance of its predator, the west coast rock lobster Jasus lalandii (Tarr, 2000; Department of Environmental Affairs and Tourism, 2003). Management and legal protection: Although unrestricted commercial harvesting of H. midae was reported to have already started in 1949 (Steinberg, 2005), it was stated that up to the late 1980s, the “prognosis for the fishery and the resource was good, largely as a result of a conservative management approach and well-controlled management measures” (Tarr, 2000). In the early 1990s, the recreational fishing sector, which counted for the majority of total H. midae catches, was controlled by fishing permits, minimum harvestable size, and limitations to the use of fishing gear (Tarr, 2000). Annual quotas for the Total Allowable Catch (TAC) of H. midae (Table 3) were reported to have been established since 1970 (Steinberg, 2005). Tarr (2000) reported that the quotas were set by a “Working Group of eight or more persons, including scientists from Marine and Coastal Management (formerly Sea Fisheries) and invited members from outside research establishments.” Table 3. Annual Total Allowable Catch in the commercial zones, in tonnes, of Haliotis midae for fishing seasons between 1995 and 2008. Sources: Tarr (2000), (Department of Environmental Affairs, 2010).

1995- 1996- 1997- 1998- 1999- 2000- 2001- 2002- 2003- 2004- 2006- 2007- 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2007 2008 615 550 530 515 500 496 475 431.5 282 223 125 75

According to Moolla (2008), the decrease in TAC over the past decade had had little impact on the growing trade, as for most right holders, the TAC was said to be “used as a mechanism to launder many more tonnes of poached abalone, especially since the relationship with the South African government has been so significantly damaged.” The establishment of the subsistence fisheries category with the new Marine Living Resources Act (No. 18 of 1998) was reported to have caused significant changes in the H. midae fishery (Tarr, 2000). Prior to this, subsistence harvest was said to have been done illegally or under the recreational fishery sector (Sowman, 2006). Tarr (2000) reported that in the new management system, the TAC, separate for each of the seven commercial fishing zones, was divided into commercial, subsistence, and recreational catches, and the changed quota policies made it possible to expand the previously limited number of divers. These changes were considered to have “raised expectations among the residents of previously disadvantaged coastal communities, who demanded the right to fish the abalone resource previously denied [to] them”, and combined with the lack of funding and corruption in the Marine and Coastal Management services, contributed to increased levels of poaching (Tarr, 2000). It was reported that actions were taken in 2001-2003 under the name “operation Neptune” to establish a joint operation against poaching between the police, the military and the Marine and Coastal Management, to bring in more stringent penalties for poaching and to establish specialised environmental courts (Steinberg, 2005). Although the operation was reported to have increased the amounts of confiscated H. midae, it was argued that the lack of support from local communities made it largely inefficient (Steinberg, 2005; Raemaekers and Britz, 2009). Furthermore, Moolla (2008) reported that in 2005, the Department of Environmental Affairs and Tourism stopped funding the environmental courts, and the investigations to “high-profile gang involvement in the illegal trade” were closed. In 2003, commercial harvesting rights were transferred from the commercial factories and recreational sector to the local communities (Department of Environmental Affairs and Tourism, 2003), which was seen as an attempt to control poaching by improving the local communities’ rights to the management of H. midae (Steinberg, 2005). However, the new policy was reported to have failed to control the level of poaching (Raemaekers and Britz, 2009). In addition, Moolla (2008) reported that a worsening “financial crisis” had hampered the functioning of the Marine and Coastal Management

Haliotis midae unit since 2006, leading to the halting of co-operation with international partners, and a lack of funding for the upkeep of tools, such as patrol vessels, which were used to control poaching (Moolla, 2008). Raemaekers and Britz (2009) reported that although a Management Plan had been drafted for the Eastern Cape H. midae in 2002, it was never implemented. In the Eastern Cape, “most ‘antipoaching’ operations were said to be short term, and the resources dedicated to combating illegal fishing were no match for the well equipped and highly organised illegal syndicates with their sophisticated intelligence network” (Raemaekers and Britz, 2009). Similarly, in the Western Cape area, Moolla (2008) stated that the “South African government does not have the resources, strategy or skills to significantly halt the poaching of remaining abalone stocks.” Gordon and Cook (2003) stated that “South Africa’s law-enforcement authorities have been engaged in an armed battle to stop that country’s illegal catch for a number of years”, and according to Gosling (2009), “abalone poaching has increased by about 300 percent in the past three years.” The violence was described to be “escalating into a small war on the southern Cape coast, where the rocketing international price of abalone is fuelling the illegal trade” (Gosling, 2009). Raemaekers and Britz (2009) interviewed boat-based poachers in 2007, reporting that the “risk of arrest and successful prosecution was minimal.” In February 2008, all H. midae harvesting in South Africa was suspended as “the only viable option at this stage to provide an opportunity to prevent a total commercial collapse of this highly valued, almost globally extinct resource” (Department of Environmental Affairs and Tourism, 2007b). However, according to Moolla (2008), “Various bodies, including WWF, TRAFFIC, Feike Natural Resource Management Advisers and the University of Cape Town’s Environmental Evaluation Unit have stated publicly that banning the harvesting of abalone under the current circumstances – characterised by a complete lack of trust and working relationship between government and the abalone industry and affected communities, and an absence of any compliance and socio-economic strategies to mitigate the various consequences of a ban – will only fuel the illegal fishing of this resource.” In June 2010, the fishing ban of H. midae was temporarily lifted (Parliamentary Monitoring Group, 2010; Real, 2010). At the same time, the regulatory authority Marine and Coastal Management was transferred under the Department of Agriculture, Forestry and Fisheries and set under an audit, as it was noted by the Minister of Agriculture, Forestry and Fisheries that earlier, “when the Department confiscated abalone the proceeds of their sale contributed towards the budget of the Department. So, bizarrely, the Department had had a vested interest in poaching” (Parliamentary Monitoring Group, 2010). It was also reported by the Parliamentary Monitoring Group (2010) that concerns were raised in the Department of Agriculture, Forestry and Fisheries about the delay in action to help small-scale fishing communities, as well as about the allocation of permits and the filling of vacant posts within the regulatory body. It was reported that all harvesting of H. midae was banned in the Dyer Island sanctuary and in the Betty’s Bay Marine Protected Area (Department of Environmental Affairs and Tourism, 2003). The 2007 modification to the Marine Living Resources Act from 1998 set the prohibition of diving and possession of diving gear in the Bird Island Marine Protected Area; areas between Quoin Point and Danger point; areas between Venus Pool and Olifantsbos; Dyer Island, and Robben Island (Department of Environmental Affairs and Tourism, 2007a). However, Raemaekers and Britz (2009) recorded at least 210 illegal diving boat operations in Bird Island during a six month period in 2007. Also, according to a newspaper article by Yeld (2007), fisheries inspectors, lacking a boat, failed to respond to reports and interfere with ongoing poaching in Betty’s Bay in November 2007. Regulation of international trade: Moolla (2006) argued that “closing the trade loopholes [was] without doubt the key tool to successfully fighting IUU [illegal, unregulated and unreported] fishing.” Listing H. midae in CITES was seen as an important action “so that any trade in abalone requires a permit and greater levels of regulation”, and it was reported that “China has indicated its willingness to put into place a permitting system to more effectively regulate the import of South African fish products into China and Hong Kong” (Moolla, 2006). Bürgener (2008) considered the inclusion of H. midae in CITES Appendix III in 2007 to be “a step in the right direction as it enlists the help of other countries in tracking South African abalone in international trade and also strengthens

Haliotis midae regulatory controls in key importing countries such as Hong Kong, the People’s Republic of China, Taiwan and Japan.” However, Steinberg (2005) listed several limitations to the control of international trade by CITES listing, suggesting that the control of illegal international trade of canned H. midae would be potentially very difficult, as the product may not be identified unless it was destroyed. Furthermore, the dried product was reported to be reliably identified only through DNA testing, which would require expertise in the customs offices of the receiving countries (Steinberg, 2005). Hence, it was stated that “a successful CITES listing would have to be preceded by a great deal of co-operative work between South Africa and consumer countries” (Steinberg, 2005). According to TRAFFIC (2010), the de-listing of the species from CITES in 2010 was due to the South African government’s failure to address issues related to the effective implementation of the listing, and the “inadequate awareness of the listing amongst neighbouring States through which poached abalone is laundered, and in the key importing countries.” S. Moosa, the Director of the independent natural resources advisory firm Feike, had reportedly stated that poachers were “using the unendorsed CITES permits as tools to facilitate poaching” (Groenewald, 2009). The farming and ranching of Haliotis midae: The farming of H. midae in South Africa was reported to have started in the late 1980s (Cook, 1998) and to now dominate the export market (Troell et al., 2006). In 1998, Cook (1998) reported there to be nine registered farms of varying sizes, and by 2005, South Africa was reported to be the largest producer of cultivated Haliotis outside Asia (Troell et al., 2006). Hecht (2009) reported the total production of H. midae in 2008 to be 934.21 tonnes, accounting for over 80% of the total value of aquaculture production in South Africa. To et al. (2006) conducted a market survey, finding that “consumers are unable to tell cultured and wild-caught abalones apart, and therefore consumer preference for wild-caught abalones is unlikely.” Most of the commercial H. midae farms were reported to be located in the Western Cape Province, with some farms also found in the Eastern and Northern Cape Province (Troell et al., 2006). They were reported to be mostly land-based operations, where seawater was pumped into tanks (Troell et al., 2006). Wild-caught H. midae were reported to be difficult to spawn (Cook, 1998; Sales and Britz, 2001), hence some farms have their own hatcheries with broodstock conditioning protocols (Sales and Britz, 2001), whilst other farms purchase juveniles from other hatcheries (Troell et al., 2006). Some wild H. midae populations along the east coast of South Africa were reported to have been replenished through the introduction of hatchery-produced seed (i.e. juveniles) (Troell et al., 2006). The development of H. midae ranching was also reported to have taken place, where hatchery- produced seed have been stocked in kelp beds on the northern west coast, outside the natural distribution range of the species (de Waal and Cook, 2001; de Waal et al., 2003 in: Troell et al., 2006). The objective of this ranching was reported to be the commercial harvesting of animals once they had reached marketable size (Troell et al., 2006). However, the introduction of hatchery-produced H. midae in the wild for restocking or ranching purposes was reported to have faced problems regarding ownership of the released individuals, the identification of seed versus natural recruitment, lack of knowledge on survival rates, and high lobster predation rates (Tarr, 2000). The survival of farm- produced juveniles was found to be dependent on the size at the time of release, with small individuals having high mortality rates (de Waal and Cook, 2001). Cook (1998) reported that there was a marketing ban of farm-produced H. midae within South Africa, due to the risk that the marketing of smaller than minimum harvestable size H. midae could potentially lead to the marketing of illegal undersized wild-caught individuals (Cook, 1998). According to Steinberg (2005), the South African H. midae farming industry had expressed its concern over the CITES listing of the species, due to “impractical administrative burdens associated with the CITES permit system.”

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