SUMMARY OF PROCEEDINGS I/{ OF

MEETING BE'IWEEN

FEDERAL AND PROVINCIAL OFFICIAIS ON

DEVEIDPMENT OF NEWFOUNDIAND FISHl!:RIES August 21 & 22, 1968

SH Industrial Development Service 224 Department of Fisheries .N4 Ottawa M44 1968 c.2 ~7ooJ

Tl!~ LIBRARY BEDFORD INSTITUTE OF OCEANOGRAPHY BOX '006 DARTMOUTH, N.S. B2Y 4A2

LIST OF PARTICIPANTS

FI SHERIES Ai'JO OCEANS LI BRAflY ' BIBLIOTHEOUE PECHES ET OCEANS OTTAW/~, 01\lT/\FiiO Federal Fisheries K1 A OE6 CANADA

Dr. A.W.H. Needler, Deputy Kinister (Chairman) Dr. R.R. Logie, Assistant Deputy Minister L. S. Bradbury H. V. Dempsey J. G. Falardeau G. L. Grant } H. C. Lucas W. C. MacKenzie W. D. McDougall c. R. Molson R. Prince V. Rossiter G. F. M. Smith W. E. Snaith (Secretary)

Provincial Fisheries

Hon. Aid~n Maloney, Minister of Fisheries and Minister of Community and Social Development R. Young, Member, Newfoundland Fisheries Development Authority z. Sametz, Deputy Minister of Community and Social Development

Other Federal W. M. Crerar, Atlantic Development Board M. s. Strong, Department of Trade and Conunerce D. W. Ware, Department of Finance

(i) D MEE'!' ING on the

DEVELOPMEN'f 01<' THE NEWFOUNDLAND FISHSI-tl~S

arTAWA August 21 and 22, 1968 AGENDA

Place: Fisheries Conference Room A-217 Sir Charles Tupper Building

Wednesday, 9:00 a.m. 1. Shared Cost Programme - Mr. Young, Mr. Bradbury and Mr. Prince 2. Short Term.Technical Assistance - Mr. Bradbury and Mro Prince 3. Fishermen's Technical Extension Service - Mr. Prince 4. McDougall-Barnes Report on visit to Norway, Iceland and Far.oes - Mr. McDougall 5. Freeze-Drying - Progress Report - Mr. McDougall 6. Fish Inspection - Mr. Dempsey and Mr. Young 7. Indemnity Fund - Insurance on Fishing Gear - Mr. Falardeau and Mr. Young 8. Canadian Atlantic Fisheries Information Service - Progre·ss Report - Dr. Needler 9o Fisheries Research Board - Pink Salmon, Herring and Unexploited Resources - Dr. Smith 10. Herring Fishery Development - Discussion

11. Resource Development - Progress R~port - Mr. Lucas

LUNCHEON - TEST KITCHEN 12:)0 - l:JO

(ii) TABLE OF CONTENTS

SYBJECT PAGE List of Participants {i)

Agenda (ii) Shared Cost Programmes 1 Sandlaunce and ·eapelin 2 Queen Crab 4 Synthetic Cod Trap 4 McDougall Barnes Report 4 Freeze-Drying 6 Fish Inspection 7

Indemnity Fund 8 Fishing Gear 8 Vessels 9

Canadian Atlantic Fisheries Information Service 9 Fisheries Research Board 10 Pink Salmon 10 Herring ll

Resource Development 12 Productivity Survey - Stevenson-Kellogg Study 13

lnbucon 14 U.S. Marketing Study (A.D.B.) 15 Market Report - Trade and Commerce 16 Problems of Salted Fish and Ground.fish Industries 16 Comnmnity Fish Handling Facilities 17 Vessel Construction Assistance 18 Centralization 19

FRF.D 20 Fogo Island 21 St. Brides 22 Other Business 22 Food Herring Project Proposal 22 Salmon on high seas 23

(iv) SUM?l.iARY OF PROCEEDINGS

OF MEETINGS BETWEEN FEDERAL AND PROVINCIAL FISHERIES OFFICIALS ON DEVELOPMENT OF NEWFOUNDLAND FISHERIES August 21 & 22, 1968

The meeting convened at 0900 Wednesday August 21, in the Department of Fisheries' Conference Room, Sir Charles Tupper

Building, Ottawa, with Dr. Needler as Chairman. Mr. Young represented the province in the forenoon session and was jo:ined by the Hon. Aidan Maloney, Newfoundland Minister of Fisheries and Minister of Community and Social Development and Mr. Sametz,

Deputy Minister of Community and Social Development in the after­ noon session. A detailed list of those in attendance appears on page i. The discussions for the duration of the meetings centered on subjects outlined in an Agenda which appears on page ii.

Items 1 to 3 Shared Cost Programme - Technical Assistance - Technical Extension Seryice In Newfoundland there are ten projects under way, six on a 75% - 25% basis and four on a 50 - 50% sharing arrangement for a total cost of $835,ooo. The Federal share will be $600,000 leaving a cost to the province of $235,000. - 2 -

Involved in these projects are 27 technical specialists,

including 7 on salt fish extension activities for a total

e:xpenditure of approximately $158,000 for fees, travel and living expenses. Of the 27, 5 are from Japan, 2 from British Columbia, 1 from Denmark, 1 from Scotland, l from Ontario and the remaining 17 from Newfoundland. A detailed review by projects of the programme undertaken by the province under the shared cost arrangements in the years

1967/68 and 1968/69 to-date appears as Appendix 1. Following the presentation of the report there was considerable Sandl.$!.unce discussion on the results with particular attention focused on the & search for Sandlaunce and Capelin and it was explained that there t Capel in were favorable indications for a commercial operation based on

Capelin along the north coast of Newfoundland if' reduction facilities were made available. The price to fishermen for purse-seined Capelin ranged from $7.50 to $8.50 per ton.

While Sandlaunce operations were less extensive than for Capelin it was felt that this resource held considerable prospects for

development of a commercial operation. It was noted that Sandlaunce

were sometimes encountered mixed with Capelin, but that Capelin tend

to be above the bottom, Sandlaunce are f'ound tight to the bottom and indeed, sometimes under the bottom surface. Sandlaunce were to be

found on the Grand Bank and the Scotian Shelf' and in the Gulf of st. Lawrence. - 3 -

There was some discussion regarding the possibility of

encouraging the larger f'ishing companies to adopt a more

aggressive approach to the exploration of the Capelin and

5andlaunce resources.

It was reported that British Columbia Packers is

ordering variable speed equipment for the handling of Sand- ' launce gear and that the purchase cost of suitable seiners

was comparativeq low.

The Chairman, in SUJDDUlng up the discussion, expressed

his satisfaction with the prospects for Sa.ndlaunce

arising out of the work undertaken, but he felt that care r must be taken to ensure that the quantities taken could not

lead to objections founded in the belief that commercial

fishing of the species would have an adverse a!fect on the

groundfish fishery by removing a basic food of the ground

fish. He observed that Sandlaunce were short lived and

that it would take a very heavy fishery to affect species

depending on the resources for food.

Speaking for the province Mr. Young indicated that

monies presently available would not permit engaging in

exploring for Herring, Capelin and Sandlawice after

these species leave the inshore fishery.

The Chairman, commenting in repfy- observed that thel1e

was no intention of going into "scouting" for fish, as this

was an operation to be left to industry. The responsibility

of goveniment should stop with exploratory fishing for new

resources and stocks not presentfy- exploited to ~heir present

commercial potential. -4-

There was considerable discussion on the development of Queen Crab the Atlantic Queen Crab fishery much of which was centered on

the question of the processing of dead crabs. It was generally agreed that care should be taken to see that only live crabs are processed, and while there was no specific regulation for the handling of these crabs, the situation was probably covered

by the general requirement in the regulations that "only live shell fish shall be processed". It was reported that the federal Halifax: Inspection

Laboratory is carrying out work on a study of crab processing.

Reference was made to a legal ruling of long standing in the r United States prohibiting the use of the name "Queen Crab" for r J the species. In the U.s.A., these crabs are ce.lled "Snow C:re.b".

In the circumstances Canadian processors seeking U.S. marketing

outlets for Queen Crab would have to take account or the ruling

and label their cans accordingly.

Synthetic During the discussion on synthetic cod traps, reference was Cod Traps made to the extensive use of gillnets in some parts of Newfound.lam

and it was felt that if, in the course of time, some suitable alternatives could be f'ound, a cut-back in the use of gillnets seemed desirable. Item 4

McDougall - &mes visit to Nozyay, Iceland, Faroe Island.s. Mr. McDougall gave the group a brief sununary, reporting on aspects of his trip with Mr. Barnes to the above noted fishing

countries. It was pointed out that in contradistinction to - 5 -

practices in the Newfoundland and M:iritimes salt cod fishery, 4 major factors affecting quality of salt fish products prevail

in the three countries visitedi 1) All cod is bled at sea as soon as practicable after catching; 2) There are either price or subsidy incentives to fishermen tor landed quality fish; J) All fish are subject to rigid inspection; 4) All fish processing after bleeding is carried out in shore plants.

In the discussions which fallowed it was generally recognized that unQ.er present conditions in Newfoundlarrl (i.e., cod caught r I by traps or gillnets and handled in large quantities over a short season), bleeding of fish when caught would be difficult to establish.

A change for the better would involve long term planning and establishment of more processing facilities ashore. It was suggested that with the extension of the Resettlement Programme more processing ashore might be possible.

The Chairman relt that the time was apportune for a joint project by the Fisheries Research Boa.rd and the federal Inspection Service to study the effects on quality of bleeding fish at sea. It was agreed that it would be difficult to bring about improve­ ments through more stringent inspection regulations and it would be

unwise to put regulations on the books which could not be inforced. It was agreed that a brief edited version of the McDougall-Ba.mes report* delineating their findings should be prepared for the publication "Fisheries of Canada", and at the suggestion of the Chairman

*Notei The report has since been published by the I.D.S. as Project Report No. Z3. - 6 -

it was agreed that the Industrial Development Service should give immediate consideration to a controlled e:xper:iment on

the handling of Herring destined for human consumption on European markets. Mr, YoUJ::l8 informed the group that with reference to

factor 5, page 7 of the McDougall-Barnes report, his Minister

was concerned with the widely accepted practice in Newfoundland

of re-using salt previously used in salting operations, He stated that the Newfoundland government was considering regulations to prevent the practice.

~ I There was some discussion on the length of time fish should

remain in salt. It was noted that in Newfoundl.9nd the duration was 21 days as against the Norwegian minimum of 30 days. Item 5 Freeze-Drzing

The text of a brief report read before the group on freeze­

drying of fish appears as Appendix 2 to these minutes. During the short discussion which followed it seemed that a consensus of opinion held that experience with Sbrjjup and other

foods prepared by this process were not too acceptable, but that

in general they meet most of the quality aspects except flavor. - 7 -

Item 6

Fish Inspection

Mr. Dempsey opened his remarks on this subject by observing

in regard to factors governing the quality of fish products that

inspection will not of itself' guarantee up-grading in quality as

it is only a measure of the effectiveness of quality control.

He explained that present Canadian grade classifications for

salt fish provide 120 combinations based on size, grade and JJX>isture

content. In Iceland, for example, there are only two sizes and three

grades giving 6 combinations. He felt that foreign buyers are not

interested in elaborate grades, but onl,y in quality and II10isture

content. This was his personal experience after discussions with 11 Italian buyers. So far as Canada is concerned two alternatives are

possible:

1) Reduce the number of grades to two or three and industry

can select from these broad grades the type of fish re­

quired for its customers.

2) Develop very precise grades which reflect the needs of

every market. This alternative is not acceptable because

the responsibility to satisfy buyers rests with the seller,

not with the Government.

In a reference to the activities of the "Codex Alimentarius

Commission" Mr. Dempsey said that while international standards for

wet salted fish are now being developed, no international agreement

for dried salted fish standards is likely because no other countries

will agree with the view of the Canadian industry on the number of

classifications the latter dema.nds. Mr. Dempsey said, in response -8- to a suggestion by the Chairman, that his Service was currently

engaged in a study or foreign market requirements for salt fish

in order that accurate information can be obtained before further

work can be done on simplifying official Canadian grades as pro­

posed in alternative 1).

Item 7

Indemnity Fund - Insurance on Fishing Gear The discussion opened with a brief statement by the ProYince referring to its request of some years ago that the provisions of

the Indemnity Fund Act and Regulations be broadened out to include

"fixed gear", such as fish traps etc. To-date nothing has been done.

,- It was e:xplained that while the provincial loan board may be asking to be relieved of its responsibilities in the field, the Province

felt that fishermen should continue to have the opportunity to in­

sure their gear. In reply it was stated that the federal Department of Fisheries had studied the proposal, but it had not been found practicable on a number of grounds. It was suggested that on the basis of the information provided in the statement covering operation of the programme, which appears as Appendix 3 to this report, that there is enough information on which to base a reconunendation for withdrawal of the prograllllle. - 9 -

Vessel Insurance There f ollowod a brief discussion of the programme for vessel insurance. Generally, there were few complaints with the programme, but some difficulties had been experienced in the transitional stage involving the increased premiums arising out of the rec~nt revision of the regulations. Reference was also made to the programmes of insuring larger vessels where underwriters' rates were three to four times higher than the government rate.

In su!D!Djng up the Cba.irma.n observed that insurance for larger vessels is a difficult matter in the light of the competi­ tive position of private enterprise. He felt that government would be pressured into looking at the question of insurance costs. Item 8 C3lladian Atlantic Fisheries Information Service The Chairman explained that the federal department had taken a close look at the possibilUies fot such a programme some time ago. The technical aspects had been investigated along the following lines: a) How information would be obtained from individual units of the fishing fleet; b) How the information would be relayed back to units of the fleet with an indication or the species of fish available;

c) Electronic storage of inf orma.tion aboard fishing vessels; d) Telephonic communication - this could not be entertained; e) Use of helicopters - ruled out largely as a matter of cost. - 10 -

He e:xplained that there appeared to be little enthusiasm for a public service of the kind since all major fishing companies

had developed some system of interchange of information within their respective fleets. He emphasized that the introduction of an advanced information service was a costly business involving

on the part of both industry and gov~rnment, the expenditure of hundreds of thousands of dollars.

The Chairman noted the subject had been dormant for about a year, but he felt that it should be reviewed with particular

attention to the possibilities of developing useful 1nformation

more or less as a by-product of data provided by the Weather Inforns.tion Service and reported catch results. He felt in­ formation could be "scre.mbled" for dissemination to units of the Canadian fishing fleets at little or no extra cost.

Item 9.

Fisheries Research Board - Pink §almon, Herrilng,and Unexploited Resources. Pink Salmon - The group was given a brief outline ot the work

done by the Fisheries Research Board in endeavouring to introduce this dest Coast species to Atlantic waters.

It was reported that in 1967 there were over 8,ooo adult returns from the 1965 plant of which most returned to the parent stream, the North Harbour River. This is considered comparatively successfUl in comparison with small returns from the 1964 plant. No positive explanation is given for the apparent failure of the 1964 plant, except that natural conditions for the 1965 plant were probably more favourable. It is estimated that 4.5 million eggs were deposited by the 8,000 adult returns in 1967. Fry survival from the 1966 - 11 - egg plant was 82% and the number of fry going down stream was est:imated at 4.8 million. The adults should be returning this fall. The low level of observed straying of the 1967 adult re­ turns is considered remarkably low. The Chairman explained that consideration was being

given to a proposal for prohibiting the catching of Pink salmon. In the general discussion it was stated that Pinks was the species selected for the experiment, since there would be no competition by the species with Atlantic salmon for the river resources. Reference was made to the apparent westward movement of same Pinks into Nova Scotia waters and the Gulf of st. Lawrence.

Herring - Reference was made to fears expressed in some quarters as to the impact on the Atlantic herring stocks of the pressures of commercial fishing operations. It is the view of the Fisheries Research Board that there are a lot more herring than are presently being caught, but on the basis of available information scientists are unable to make anYpredictions at this time. It was noted that in recent years there have been failures abroad and locally

in Canada.. For the present, therefore, Newfoundland should go

ahead with a moderate expansion. In the meanwhile, the ~rd is

doing all it can to assess the effect of fishing on the stocks. The Province reaffirmed its offer made at the last meeting to assist by making available accommodation aboard Newfoundland

vessels for scientists conducting research and to provide instru­ mentation on these vessels. The Chairman observed that present sampling is adequate, but the work-up of data is slow. There is no reason at this time to restrict the operations of i/est Coast fishing vessels

in the Atlantic herring fishery or indeed of a.DY'" other vessels. - 12 -

Brief reference was made to the Board's eJq:>eriment with Capelin. There is evidence that Capelin are available at times other than during the normal spawning season vhen they are taken in inshore waters. There is evidence that some Capelin spawn in offshore waters and same quantities have been taken in tre.wls, but research vessels seldom en­ countered large stocks. The Board does not say t.hat H'Jrring and

Capelin are not found together in offshore waters as reported from Norway, but that it has not found that it doea ?c~ur. In summation, the Chairman said that he felt it important that the Fisheries Research Board and the Industrial

Development Service work closely on an assessment of stocks.

In replying to a question, he referred briefly to · · the chartering by the federal department of six herring trawlers for experimental investigations within the three mile limit in Nova Scotian waters. He explained that the purpose was to obtain first hand information as to whether the operations of these larger vessels actually interfere with in­ shore fishing operations. The Department needed to know now, before generalizing on limiting operations of trawlers. He felt that large trawlers over 100 foot should be excluded from the 12 mile zone except where there is a foreign fishery.

Anything below 100 foot should be pennitted to enter.

Item 11

Resource Developaent - Progress Report A brief paper submitted by the federal department's Resource

Development Service appears as Appendix 4. - 13 -

'lhe Chairman s1.llllll8rized the brief discussion which followed its reading, pointing out that the relation ship between the commercial and sports fishery for saln>n is an important element.

If the fish are more valuable for sports fishing, how is the allocation of the resource to be handled in the light of commer­ cial interests. There is a positive need for economic and other studies to evaluate the soorts fishery.

MEETING ADJOURNED AT 1.305

LUNCHEON IN DEPARTMENT'S TEST KITCHEN

Wednesdgy A.f'ternoon

The meeting reconvened at 1335 hours at which time the Hon.

Aidan Maloney and Mr. z. Sametz joined the discussion.

Item 16

Prod.uctivity Suryey - Progress Report a) Stevenson-Kellogg study - The group was info:nned by }fr. Mackenzie

that there was little to report on progress of the study except

that the terms of reference were delineated and the firm engaged.

It is presently at work and some months will elapse before there

is anything worthwhile to report. An outline of the final terms

of reference as developed in cooperation with the Department,

appears as Appendix 5.

It was explained that while originally the work was to

be concerned with the products of the groundfish industry,

it is now to include nearly all aspects 0£ domestic trade

in fish products. The need for productivity studies is

due to two major factors; - 14 -

i) massive decline in prices of frozen and

filleted fish; ii) rapid e:xpansion or processing facilities.

The position is most acute in Newfoundland where in

1968 several firms had become bankrupt and all were

in straitened circumstances. In Newfoundland, on the

average, plants operate at higher costs and the situation is aggravated by seasonal and other factors such as greater

dependency on the U.S. market for fish blocks than is the case on the ma.inland.

INBUCON, management consultants are e:xpected to provide

I J a progress report by the end of September and a final report not later than November 1st. A first assessment showed among other things: i) a number of plants are badly located as to raw material supply and seasonal operation and costs are too high to enable any prospect £or breaking even; ii) some plants are making a modest profit; iii) most trawlers operate at a low standard of efficiency;

Fish are landed by trawlers at a cost of 5 to 6¢ per

pound as against 3 to 4¢ by inshore fishermen. This is largely due to lack of skill and knowledge of available technology on the part of captains, crews and production managers. - 15 -

iv) there is a lack of basic systems for management control and planning; v) there is a broad need for rationalization of the industry. Mr. Maloney pointed out that there is a high degree of urgency for governments to consider commitments to offset immediate pressures by industry. He stated that these matters could not wait the next stage of the report. There followed a general discussion on ways and means of getting the suggestions and recommendations before the

industry and it was agreed that early confrontation with

industry on the findings is indicated. The Department re­ marked that from a federal point of view assistance by way of loans is preferred to other ways, such as deficiency payments. It was agreed that the first report should be edited and

arrangements made for its presentation to and discussion with industry, as quickly as possible. b) U.S. marketing studies by A.D.B.- Progress Report - A brief progress report covering the scope of the study

and organization for its implementation appears as Appendix 6 •. During the reading of this paper it was observed that

consumption of groun1fish increased by a steady 6.6% compounded

anm1ally from 1960/61 to 1966. In 1967 consumption declined 9f,, which taken together with the anticipated 6% increase for the year indicates a drop o:r 15%. This significant drop is - 16 -

attributed in large measure to the decree of the R. c.

Bishops in the United states abolishing the restrictions Dn the conswnption of meat on Friday. It is estimated that it will take two years for the market to recover and perhaps

three or four before it regains its annual e::xpansion level. The survey is well under way and there is no reason to doubt that it will be completed by the end or the year.

Item 15 }farket Report - Trade and. Commerce Appendix 7 is a brief report prepared by the Department of Trade and Commerce as read to the group •

.... , Item 16 & 17 Problems of Sa1ted Fish anci around.fish Industries A discussion developed around the problems of the salt fish

industry and the quality of production and it was observed that the principal factor involved is the size of fish. It appears that the larger fish preferred for salting are no longer caught by the inshore

fishermen in traps or by longliners. The trouble in Newfoundland stems from the fact that there is a distinct separation of units comprising the fresh fish and the salt fish industries. It was

suggested that the situation could perhaps be remedied if the plants adopted the former Nova Scotian practices of gearing production to

handle both fresh am salt fish. In this way a plant could select the larger fish for salt processing while deploying the smaller fish

to the fresh and frozen product and stand to benefit as a result. - 17 -

Community Fish Handling Facilities

The discussion turned to the matter of fish handling facilities and the question was posed as to whether federal assistance for future community stage programmes would be forthcoming.

The Chairman explained that for the present nothing was provided in departmental expenditure projections. He re­ ferred briefly to the department's submission to Cabinet recommending entry into contract, observing that no action had been taken on it. This was largely because the sub­ mission pre-supposed an increase in the prograIIllle and up to the present the Department had been unable to put up a sufficiently effective argument in justification.

Mr. Maloney expressed disappointment that the programme was not proceeding as· planned. He noted that the draft

agreement had been approved by the Provincial Cabinet. In

a reference to the Resettlement Prograrmne in New:foundland, he

said that the depo.pulation of sma.11 cdmmuhities would extend well into the future and in the meanwhile conmrunity facili­

ties could be of benefit in many places. He hoped that some­

thing could be done to improve existing facilities and that

the Provinc:ial Department of Social Development could train

fishermen and develop a proper environment for successful

exercises lli community development.

It was suggested that a programme might be included along with another programme oriented to quality improvement, par­ ticularly if tied in with an overall progranune for rationaliz­ ation of the industry. - 18 -

It was agreed that a committee should be constituted to draw up well defined criteria with a view to preparation of a new submissionprior to Estimates.

THE MEETING ADJOURNED AT 173.3

T!mrsday !fternoon The meeting reconvened at 1335- Item 18 Vessel Construction Assistance Mr. Maloney asserted that he felt very strongly about this programme. He felt e:xamination will show it to be effective and meaning.ful and pointed out improvements experienced in fishing

operations in various parts of the province which could be attrib­

'I uted to the programme. He said that many fishermen were prepared to invest in new vessels, but that the monies available in federal

subsidy estimates were inadequate. He stated that the Chairman of the Newfoundland Fisheries Loan Board would soon visit Ottawa and demonstrate that from $750 thousand to $800 thousand w0uld be required instead of $400 thousand allocated to Newfoundland. He reflected that the programme bears heavily on Newfoundland. fisheries operations based on low price fish. The Chairman observed that the Newf ound1and interest was

confined to boats from 35' to 58 1 in length. He briefly reviewed

developments in Newfoundland as against experience in the ot;her Maritime provinces and referred to the arguments leading up to the decision recommended by the Department of Finance for complementary - l9 - grants raising subsidies on the class of vessels to 50% in Newfoundland. He explained that approval was based on the formulation of a general development programme and said that after providing in estimates for some carry-over from the previous year, $565 thousand was made available for vessel subsidies of which $400 thousand was allocated to Newfoundland. He felt that from the discussions with the Provincial Loan Board, a full review of the programme was possible, out of which some basis for sympathetic reconsideration could be found. Item 20 Fed/Proy. Fisheries Household Resettlement Progrf!mme

A progress report, supported by graphics, was presented by V.P. Rossiter covering the Community Inventory System Study on New:t"oundland Outlying Communities, Program Mobility Resettlement Trends and 5 year program cost projections. The report appears as Appendix 8 • Pursuant to discussion on various aspects of the presentation it was agreed thats 1) First priority be given to an analysis of household mobility trends from evacuated communities to non­ designated relocation communities and to determine the latter relative geographical commuting distances

to the four designated types of approved growth and reception centres,

2) A. study be initiated to ascertain th.e basic determinants influencing the relocation movements of households to

non-designated communities and an assessment of the relative effectiveness of such areas. 3) A comprehensive review and appraisa1 be made of the

programme's financial requirements a.Di to explore possible sources of additional funds for the Centralization Programme. - 20 - The Newf"oundland Minister commented on the increasing liaison and co-ordinating assistance rendered by Federal Fisheries towards securing objectives of the centralization programme, and felt that such continuing involvement was both welcome and necessary.

Item 21 FRED - West Coast Newfoundland

A brief review was given b7 the province outlining the FRED proposals for Newfoundland. It was pointed out that among the ma.in components, were the following:

1) Establish a two stage agreement; a) early action projects of short term or emergency nature; b) long term comprehensive socio-economic development programme based on continued research and planning.

2) In respect of a), to establish an organization for socio­

economic development planning; continue and e:xpand the programme of' research and plaDning; establish a Crown

corporation for research and industrial development with initial capitalization of up to $40 million; create an organization for manpower development; etc, etc. 3) In respect of the long term programme under b), to complete plans for a programme of population consolidation in which large e:xpenditures in permanent community facilities are limited to centers where economic potential is sufficient to support viable comnunities; reinforce programme for improvements to school facilities; continue to invest and improve transportation services to increase population mobility; and so forth. - 21 -

4) The FRED proposals require with reference to rationalization

of the 1'1ewf'oundland fishing industry; i) centralization of landing ani processing at relatively few strategically located ports;

ii) establishment of adquate facilities for the fleet

and for the landing, holding and processing of fish at selected ports; iii) a manpower training programme geared to the practical requirements of fishermen, plant

workers and operators for the area; iv) assistance to qualified fishermen to secUre

more efficient vessels and gear.

Following the presentation there was a lively dis­ cussion on various aspects of the proposal.

The Chairman observed that it is diffieult to give much consideration to the proposals as they had not yet been submitted to the Department. Item 22 Fogo Islapd - Developments Proposed

The group 'W'a.S given a brief report covering some aspects of thinking in respect of the problems confronting the removal of people from Fogo Island. There is apparently a popul.ation of 5,000 people to be moved which, if all were moved at once, would rapidly exhaust funds available for the resettlement programme. In the circumstances if residents wished. to remain on the Island a development programme involving utilization of available resources on the Island would have to be implemented. The question is whether - 22 -

the income which could be generated would make the investment worthwhile. It was suggested that the problem is foreseeable for at least one or two generations aod in the meanwhile the reset·Uement programme is being used to draw off some of the population.

Considerable discussion centered on the question of

population mobility. The observation was made that if' people are mobile it does not matter much where they live. The Chairman iodicated that this might be a significant factor in assessing the programme for vessel assistance.

Item 23 r Future of St. Brides The general view of the group was that the situation at

this location had not been defined and deferment of discussion

was therefore indicated. It was agreed that a reassessment of the economic situation is called for.

Item 24 Other Business 1) The Province expressed the wish to undertake in the coming winter a project for the freezing of food herring for Germany in cooperation with the Industrial Development Service. It was agreed that such a project is in order providina the

hundlin~ of the project ia controlled from the catching operation to the market. The Federal Department would arrange for parallel

inspection. - 23 -

2) In response to a query by the Province it was stated

that there are no im.~edis.te prospects for any inter­ national agreement prohibiting fishing for salmon on the high seas.

3) :Mr. Hs.lon~ expressed his thanks £or the Conference arrangements.

4) The Chairman remarked that a number of subjects requ~red follow-up and suggested thereshould be a further meeting in the not too distant future; this was agreed upon.

The Meeting adjourned at 1640 APPENDIX 1

Resume of Joint Share Projects Carried Out in Newfoundland in 1967-68

(1) 67-101 - Capelin and Cod Seining

(a) Capelin S'3ining Exploration

The aim of this project was to locate and catch offshore, stocks of capelin before they arrived in the inshore waters, and thus extend the fishing season for purse seiners and the operating time of reduction plants.

An extensive survey program was developed and carried out by two large purse seiners equipped with capelin seines designed in Canada and constructed in Norway.

Areas covered were as follows:

(1) Grand Danks, all areas, st. Pierre, Green and Burgeo Bank. (2) St. Georges Bay (inshore and offshore) (3) Fortune Bay (inshore and offshore) (4) Placentia Bay (inshore and offshore) (5) Wolfall Bank {6) Funk Island Bank (7) Tr1nity Bay (8) Conception Bay (9) Offshore and 1nshore ground of the Southern Shore of th'9 Avalon Peninsula.

It is estimated that 50,000 square miles were methodically searched with little or no results.

On one occasion 150 tons of capelin were caught in the mouth of Bay Bulls. However, the vessel was sent offshore and no further commercial production was forthcoming.

It is felt that the vessels began their exploratory cruises too late to effectively locate offshore capelin stocks. This late start was due wholly to a delay in the delivery of the purse seines from Norway. The netting company did not live up to their promises or an early delivery.

On one occasion several Canadian stem trawlers reported what they thought to be large schools of capelin on the Ea.stem Shoals of the Grand Banks. One of the searching vessels was sent to this region and a set was made. It was estimated that approximately 1000 tons of sandlaunce were encircled. However, because of their extremely small size all but a few escaped through the ne shes.

Information obtained and tabulated as a. result of this search program should prove invaluable in future searching and exploratory operations.

(b) Cod Seining

The aim of this project was to locate and catch offshore and inshore atocks of cod fish using a purse seine. - 2 -

A 65 foot purse seiner was chartered and an extensive survey program was carried out in the following areas:

(1) Fortune Bay (insho.re and offshore) (2) Placentia Bay (inshore and offshore) (3) st. Mary's Bay (4) Trepassey Bay.

No schools of cod fish were located in the offshore waters within the range of the purse seine.

Many schools of, presumably, cod were located in the inshore waters, however, due to their very shallow location and their proximity to inshore fishing gear, it was decided to abandon this program until. 1968-69.

Reports emanating from the herring searching vessels indicated that cod fish could be purse seined in Southern Iabrador waters, with ap~rent ease.

67-102 - Herring and Mackerel Scouting and Assessment

The aim of this project was to extend the operating season, in New­ foundland, of herring reduction plants and also purse seiners by locating and assessing herring stocks not, at the present, being exploited, conunercially.

This survey, which lasted well over 6 months, was carried out by four large and one small purse seiners. We should point out that the smaller seiner was used mainly for inshore and near offshore searching while the larger vessels ranged up to 200 miles offshore, in certain areas.

Generally the areas explored were as foil.owe:

(1) F..ast and Northeast Coast of Newfoundland. (2) Southern Labrador including Hamilton Bank. (3) West Coast of Newfoundland.

Findings reported from the Iabrador area were most encouraging however, it was generally felt that the vessels were in the area too late to explore for a spring and summer run. This delay was caused by our inability to secure the ser­ vices of suitable vessels at an early date, because of their activities in the herring fishery, being carried out on the South Coast of newfoundland.

Many large schools of cod were located in Southern Iabrador by use of sonar and echo sounder on the inshore and offshore banks. Also noted in this area were many schools of Bluefin Tuna.

During the fall, the inshore and offshore waters of the Great Northern Peninsula, White, Green and Notre Dlme Bays were extensively surveyed with the exception of a 60 ton catch of herring being DBde at New Bay Head in October very few commercial sized schools of herring were noted.

Reports from fishermen in these areas indicate that heavy concentrations of herring have been noted in the past in the very late :f."all or early spring. Every report of herring sightings by inshore fishermen were investigated and in every case they were found to be shallow, thin schools located very close to .shore and not in range of the seine. - J -

The West Coast of Newfoundland was surveyed during the summer but no commercial sized schools were located.

During late October and November a vessel was dispatched to the South Coast of Newfoundland and the first commercial schools of herring were located off lawn, Newfoundland. As a result of this find, herring fi:;;hing along the South Coast was started much earlier than is usually the case. It is safe to say that the fleet began operations in this region a full month before that of the previous year.

It is generally agreed that as a result of this years searching activi­ ties that the emphasis should be placed on the North and East Coast of Newfoundland and Labrador as soon as the ice conditions permit.

Early in October extensive schools of herring were located around the Funk Islands, however, because of adverse weather conditions and the ver-J shallow rough bottom it was impossible to operate a purse seine.

67-103 - Shrimp Development

The aim of this project was to conduct experimental and exploratory fishing operations to locate conunercial stocks of shrimp.

A'n extensive and comprehensive survey program was deYeloped and carried out by 60' - and 65 foot inshore trawler,

The 60 foot wooden side trawler was equipped l'1ith a Japanese designed four seam trawl and the 65 foot wooden stern trawler was fitted out with Norwegian gear.

In both instances the services of a gear technologist under contract to the Industrial Development Service was required to modify and adapt the trawls to not only the fishing vessels but also the type of bottom.

The 65 foot stern trawler conducted exploratory operations in the following regions:

(1) Placentia Bay (2) St. Mary's Bay (J) Conception Bay (4) Trinity Bay (5) Notre Dame Bay

The 60 foot side trawler operated in the main :in the deep trenches around Ra.mea and Burgeo.

ThP- stern trawler experienced great difficulties in locating suitable trawling bottom in almost all areas with the exception of Conception, St. Mary's and Placentia Bays. While Tr:inity Bay is an area where trawls can be used quite successfully, operations were severely curtailed by the amount of set nets in almost every location. - 4 -

Encouraging amounts of shrimp were taken in Conception Bay and further exploratory fishing will be carried out m 196B.

This sector of the proj":tct was curtailed to quite a degree by the fact that the stem trawler developed some major mechanical problems and had to go on dry dock and was otherwise unable to operate for almost two months. When the vessel finally became operational the weather conditions were very severe and only limited searching operations could be carried out.

The 60 foot wooden side trawler on the other hand located moderate conm.ercial beds of shrimp with head on shrimp sizes ranging as low as 35 heads­ on per lbs. to as high as 75.

3everal thousand pounds of shrimp were sorted out, frozen in the green state and sent to various markets for evaluation and market acceptance.

Several pieces of shrimp sorting equipment were designed and placed on board this vessel. Using a washing and sorting device the crew was able to sort out the scrap fish very quickly and place in plastic bags uniformly sized shrimp.

Reports from the Ramea area state that shrimp are most abundant in the spring and it is reconnnended that further exploratory cruises be carried out at this time.

Shrimp gear was purchased from Biloxi, Mississippi, however, it arrived too lat'3 to be employed on a third phase of the project, which was to re-conduct exploratory fishing operations in the Fortune Bay region.

67-104 - Crab Development

The aim of this project was to assist in the establishment of a crab fishing and processing industry in the Trinity Bay area. To catch and process queen crabs caught in Greenland Halibut nets.

As a result of an exhaustive survey it was decided to carry out the project at Hant•s Harbour, Trinity Bay. Part of tpe existing fresh fish plant was remodelled and the necessary processing equipment was constructed and in­ stalled. While the plant was being readied, exploratory fishing operations, using locally constructed crab traps, was carried out,, primarily in Trinity Bay and also to a lesser extent in Conception Ba.y. The result of the eJtploratory fishing operations was most encouraging, however, very 1-ittle production could be landed until the plant renovations etc. were completed. The plant was finally ready to operate early in December, however, by this tim.e, because of extremely bad weather conditions, little product was available, the fishing vessels had to remain in port for days and sometimes weeks at a timeo

During the construction of the pl.ant and its equipment a comprehensive program was carried out wherein prospective plant workers and management personnel were trained in the art of handling the crab from the cooking to packaging.

It was noted that management, the plant workers and the fishermen in the vicinity were keenly interested in this new industry. - 5 -

67-105 - Synthetic Cod Traps

The aim or this project was to increase the productivity of the inshore fisherman by introducing and testing cod traps or a new design.

Six traps, designed in Japan, were placed, in the hands of interested fisherm~n at the following locations:

( 1) Fogo Island (2) st. John's (2) (3) Cape Broyle (2) (4) Calvert

A Japanese technician, assisted by two Newfoundlanders, assessed each fishing locality and placed the traps in what was thought to be the most advantageous position.

In all but one location, Fogo Island where a suitable berth could not be located, these traps outproduced the "standard" Newfoundland tre.p.

The fishP-rmen soon learned that because of the restricted tunnel entrance it was only necessary to haul this type of trap, once a day. The no?'­ mal practice, using the Hewfoundland trap, is to haul at least twice a day.

At this point in time, it is hard to say whether the tunnel trap actually fishes better than the traditional trap, it is .felt that the "secret" of the tunnel trap is due to the fact that, once inside the trap, the fish cannot escape.

The tunnel trap works best in whatis commonly known as an inside berth, where there is little tidal current.

It should be pointed out that even though these new traps out produced the standard traps, without exception, all were set in secondary rather than prime berths. The fishermen already had their own gear in the water by the time the Japanese traps were ready for setting.

It is recormnended that in 1968, traps should be designed to operate in u~re exposed locations.

As a result of the success of these tunnel traps, the College of Fisheries conducted a month training course in the construction of these traps - over thirty interested fishermen attended.

67-106 - Combination Boats (1966 Program)

This project was added to meet the final costs of construction of two 65 foot wooden steni trawlers. - 6 -

67-ID7- Snap Gear longlining

The main objective is to increase the productivity of the longliner by employing specialized hauling equipment and by attaching the hooks to the ground­ line using removable snaps.

A typical 38 foot wooden longliner was equipped with a mechanical drum, hook racks and snaps by a Newfoundland technician employed by the Industrial Development Service.

Soon after operations began it became quite evident that this method of · fishing had several advantages, hereafter listed.

(1) ~bre fishing line could be set and hauled in comparison with the traditional type. (2) More hooks could be used when fish were concentrated and conversely when 9Carce. (3) U!ss crew could be employed without losing efficiency. (4) Less experienced fishermen could be employed as coiling had been completely eliminated. (5) Baiting of the gear is much less complicated and much less time consuming. (6) When the vessel cannot sail for reasons of bad weather baited hooks can be stored in a cold room very easily.

This vessel operated with great deal of success in the traditional long­ line fishing grounds in Notre l)lme Bay.

67-108 - Iampa.ra Seining and Japanese Liftnetting for Squid & Herring

'!he objective of this project was to increase the productivity of the inshore squid and herring fishennen by te::.ting the practicabilityof the Iampara Seining method and also to ascertain whether or not this method could be success­ fully employed in connection with a light attraction system, in the more offshore location so

A 55 foot longliner was extensively converted and suitable deck machinery and hauling equipment was installed.

This vessel had moderate success in the following areas:

(1) Bonavista Bay (2) Trinity Bay (3) Conception Day

Because the use of the I.ampara Seine is fairly complicated a great deal of the time was used to train the captain and the crew in its use. Towards the end of the season good catches of squid were made, the largest single set yielding 25 tons.

It is reconunended that this project be continued and expanded in 1968 to include the following species: Capelin, cod, mackerel, herring, and of course squid. -7-

67-109 - Trawler Salt Cod

This project was abandoned because of lack of interest shown by the induatr1J•

67-110 - Inshore Gear Demonstrations in Labrador

The objective of this project was two fold, one to introduce and demonstrate, new fishing vessels and techniques to the resident Iabrador fisherm.en and two to conduct exploratory fishing operations in the Iabra.dor area, at a time when fishermen usually return to Newfoundland, and thus e:::>..-tend the fishing season.

A thirty eight foot combination fishing vessel -was taken to M9.kkovik and operated on a strictly conanercial basis by a local fisherrna.n. Reports re­ ceived to date indicate that this phase of the project has been quite successful in that production was good and the vessel was able to operatP. on many nays when the smaller local vessel had to remain in port because of weather conditions.

The captain of this vessel had attended a course at the College of ,. Fisheries and appeared to be very knowledgeable in not only the operation and "philosophy" of the boat but also in the use of traditional and new .fishing gear.

A 65 foot wooden stern trawler in company with a traditional Iabrador floater was sent to the Hamilton Bank area in Augu~t to explore the fishing grounds for "late" stocks of cod and other species.

The trawler after much searching, over a ·wide area, was able to locate extremely suitable fishing grounds. Jobst of the catch consisted of flounder and Greenland halibut, which could not be retained. This was due whol.ly to the fact that the catch had to be salted and salted flounder and Greenland halibut have a very limited market.

The floater was equipped with gill nP.ts, which were operated from nx>tor boats. While some individual catches worthy of note were made, the overall r&­ sults were very discouraging and a very small ambunt of salt fish was landed.

It. was decided to abandon this type of project in 1968.

67-111 - Fishermen's Technical Upgrading

The objective of this project W-ds to send interested fishennen to spe­ cific locations in either Canada or other parts of the world, so that they could view, first hand, fishing operations and thus upgrade their technical knowledge.

In all, four fishermen were selected and sent to the following areas:

(1) Two Danish seining captains were sent to Scotland to go to sea on Scottish seine netters and view fishing operations. (2) A trawler captain was sent to Denmark to go to sea on Danish midwater trawlers operating in the North sea. This man would be working with a Danish expert, who would be coming to Newfoundland in 1968 to conduct. exploratory sandlaunce fishing operations. - 8 -

(3) A lampara seiner captain was sent to Harbour Breton., Newfoundland to go to sea and ob~erva fishing activities on a large herring seiner. Int his way he was able to obtain much valuable infonnation which he could employ in his own fishing activities.

R.A. Prince Industrial Development Service Department of Fisheries St. John's, New£oundland.

August 16, 1968 JOINT SHAR~ PROJ~CTS (N~"WFOUNDL>.ND) 1968-69 - to date

68-101 - Herring, sand launce, capelin, mackerel, scouting and assessment and related developments. An extensive systematic searching program has been developed to attempt to locate commercial stocks of the above mentioned species. In all, 7 vessels are involved, 4 purse seiners and 3 trawlers. Of the three trawlers, two are equipped with ) wing bottom trawls and primarily interested in locating and catching sand launce and capelin; the other vessel is equipped with a mid-water trawl similar to that in use in Nova Scotia and is searching primarily for stocks of herring and cod. To date large commercial bodies of capelin have been located, at least a month before their arrival on the shore, in the offshore waters off the northeast, north and northwest coasts. In all, two commercial catches were landed at south coast reduction plants; the vessels travelled well over 500 miles from the point of capture. After being on board the seiner for five days the capelin were considered by the plant's management to be in excellent condition having withstood the long and sometimes rough trip very well. It is the opinion of not only the captains of the chartered purse seiners but also the observer/technicians that a commercial capelin season lasting upwards to 3~ months could be developed along the north­ east coast of the Province IF reduction plant facilities were close at hand. The price paid to the fisherman for purse seined capelin was between $7.50 and $8.50 per ton. This, we would suspect, would rule out hauls to distant plants but might not be a deterent if landings could be made daily or three or four times a weeko The capelin caught offshore appeared to be much larger than shore run in every case but oneo Off Bacalieu Island, in May, a set was made on a school of capelin. While there was a large percentage of large capelin caught, there was also many very small ones, so small in fact that they meshed in the netting, almost causing the seine to sink.

The trawlers working on the northeast edge of ~he Grand Banks located and landed, in three trips, 110 tons of capelin. Again these capelin were much larger than the shore run and they were mostly male fish. These capelin were caught while the trawler was searching for sand launce. Three landings of sand launce have been made at south coast reduction plants amounting to approximately 70 tons in ail.

• 0 0 • • • 0 • 0 0 - 2 -

Because of extremely bad weather conditions which have and still exist on the Grand Banks fishing time has been extremely limited.

Accordingly, a large side trawler normally oper~ting in the groundfish fishery has been chartered and is presently on the Grand Banks. The first catch reported was thirty tons for a one hour tow, in winds over 30 knots. To date, no further news is available.

According to the Danish fishing master engaged by the Industrial Development Service who is in charge of the fishif1€; operation, there is every indication that a commercial fishery is possible. He states that he has never seen as heavy markings over such an extensive area in all his years fishing in the North Sea, as he has observed on the Grand Banks. This year there appears to be an abundance of mackerel along the south and east coasts of the Province. At the present time a purse seiner is opereting along the south coast and has reported two small catches of mackerel. They are experiencing difficulty in finding mackerel in sufficiently deep water to operate.

68-103 - Shrimp Development Two 60' side trawlers have been chartered for a five month period to explore the south and west coasts of the Province. To date a large area located roughly west of Cow Head and extending north to the end of Esquiman channel shows a great deal of promise. Catches of over 3,000 lbs. of sorted shrimp in 5 tows have been reported in 14D+ fathoms west of Port Saunders. The count of shrimp heads on ranges from 52 - 67 per lb. To test the efficiency of the Biloxi and 4 seamed trawls presently being employed,the sand launce vessel will be proceeding to the Port Saunders area and comparative fishing will take place. This plan was developed after discussions with the Danish expert on sand launce, who claims that the three wing trawl is used in the shrimp fishery of Denmark, with good results. While very large shrimp (25 to 50 to the pound) have been caught in the Ramea area, there does not appear to be large bodies of shrimp on the grounds explored to date. Catches in this region appear to average 1,500 lbs. for 5 tows.

• • • 0 • 0 0 0 0 0 - 3 -

68-104 - Crab Development Two areas of the Province are being explored this year; a) the offshore and inshore waters of Conception, Trinity and Bonavista Bays as far north as Fogo Island b) the offshore and inshore waters of the south coast from Cape St. George south to St. Pierre Bank and eastwa.rd and northward to the Burin Peninsula. Excellent catches of crabs have been reported in Trinity and Bonavista Bays. Using the large Canadian built traps, catches,on the average, are upwards to 150 lbs. per trap for 24 hours. Experiments using a conical Japanese trap have also shown promise. These traps, while much smaller and certainly less costly ($13.00 landed in Newfoundland) average 40 lbs. per trap per 24 hours. Further experiments will be carried out next year to place triggering devices in these traps to increase production. The sunken gillnet fleet is also delivering crabs to the plant at Hants Harbour. The crabs caught in the gillnets usually appear weaker than those produced in the traps. To try and reduce the abnormally high mortality, three small live tanks were constructed and placed on the gillnetters. The results were very satisfactory. These tanks were transported from vessel to vessel to give almost every fisherman a first hand look at the operation and results of the tanks. Because of their low cost (less than $40.00) and effectiveness many of these boats are now equipped with tanks. 'l'wo large holding tanks were placed at the following locations, Old Perlican and Salvage. Crabs caught from either nets or traps were placed in these units to await delivery to the Hants Harbour plant when there was sufficient quantities. These tanks have greatly increased the amount of crabs available to the plant, tha.n was the case last year. In the case of Salvage, 180 miles from Hants Harbour, crabs arrive at the plant, in very good condition. Some problems with regard to high sea water temperatures; have been overcome at Salvage by extending the inlet hose so that it draws its supply from deeper waters. Interest in fishing for crabs by the inshore fishermen appears to be fairly good and it is expected that several boats will be rigging out so that they can fish for crabs exclusively. Prices paid to fishermen range from 6¢ a lb. at Salvage to 8¢ a lb. at Hants Harbour.

• • • • • • 0 • • 0 - 4 -

The exploratory program on the south coast is just underway and nothing of any value can be reported at this time.

68-105 - Synthetic Cod Traps In all, in 1968, 13 traps of Japanese design were used by Newfoundland fishermeno The results have been beyond all expectations. One trap in Cape Broyle has produced over 500,000 lbs. of cod for the season, more than the total production of all of the traps in Cape Broyle. Catches ranging from 250,000 to 480,000 lbs. have been reported from all but one location. Interest in this type of trap is very high, so mush so, that it is quite possible that the College of Fisheries will hold several courses this fall and winter so that fishermen who have not been able to see how they are constructed can learn. A development of recent date is the so called "gill net trap" which can be.fished in very deep water. Three traps have been built and are now being distributed to interested fishermen. There is one obvious advantage to this trap and it is that should for any reason, the fisherman not be able to haul this net, the fish will not die as is the case with gillnets. The trap is small enough to be operated by two orthree fishermeno This gear should not cost much more than 6 cod gillnets (exclusive of the cost of the three anchors required)o Further experimentation with this type of trap will be carried out over the winter.

68-106 - Mollusc Survey and Related Developments A scientific team from the Marine Sciences laboratory at Logy Bay have been asked to carry out an assessment of the stocks of mussels located on the north and east coasts of the Province. In brief, they are to report on the commercial availability and accessability of th~ various species of mussels. Also a study of the general operations of the Eveleigh plant, at Comfort Cove, presently harvesting and canning mussels is being carried out. An interim report is expected by the end of Augusto

• • • • • • • 0 0 • - ) -

68-107 - Scottish seine netting explorations

Two south coast Danish seiners have been chartered for a 4 month period to conduct exploratory Scottish and Danish seining operations along the west coast of Newfoundland. To date very few commercial areas have been locatedo By using the Scottish seine in the deeper waters of Esquiman channel, catches of up to ),000 lbs. of redfish (per tow) have been reported. Because of the muddy nature of the bottom, however, they are experiencing a grea~ deal of difficulty in retrieving the nets. 68-108 - New squid catching gear and related developments

As yet squid have not made their appearance along the coastline of the Province. Two chartered vessels, one equipped with lights and a lampara seine, the other with "lights" and a modified Japanese liftnet are searching inshore and the near . offshore waters for squid. To date not catches have been reportedo

Projects 68-102 and 68-109 - nothing to report to dateo

R.A. Prince Industrial Development Service Department of Fisheries St. John's, Nfld.

August 20, 19680 APPENDIX 2

FREBZE DRYING

Freeze drying involves the removal of moisture (ice crystals) from a frozen product by sublimation, i.e., the moisture in the product passes directly from the solid to the gaseous state, by-passing the liquid state. The process takes place in a vacuum chamber at very low pressure and with a controlled input of heat. Theoretically, only distilled water leaves the product and the product does not shrink or lose shape. The major processing steps involve: food preparation, freezing, drying and packaging. The food preparation may include cooking, trimming, slicing, etc., depending on the product. Freezing usually takes place outside the drying cabinets.

Dryin~. The frozen food is placed on trays and inserted on rac s in the drying cabinets. Drying may take from 6 to JO hours depending on the product, thickness, shape, equipment, temperature and pressure. The product is dried to about 2% moisture content, which involves removing more than 99% of the original moisture content. Packaging. Thie is a very important step and the dried food must be placed in an air-tight, moisture-proof, light-proof package. Packages are generally nitrogen flushed to prevent oxid§tion during storage. A shel£ life of up to two years at 70 F. can be expected if the product has been processed and handled properly. PRODUCTS

A wide variety of freeze dried food products are now in production throughout the world, but there does not appear, at this time, to be any major breakthrough in terms of mnss consumer consumption. It also appears evident, and contrary to earlier predictions, that the tendency is for freeze drying to be used mainly to improve accepted dried products rather than replace fresh or frozen ones. There is a quite substantial freeze dried production in the U.S. where

••••• 2 - 2 -

the u.s. Armed Forces appear to be large buyers. There also appears to be a substantial market in the re­ manufacturing field for inclusion in soups, cereals, desserts, prepared meals, etc. COSTS Processing costs may range from 7 to 25 cents per pound of water removed, but it is likely that future costs may reach a level of 4 to 5 cents per pound. This is, how~ver, just the freeze drying cost and does not include food preparation, freezing, and packaging. Thus, if freeze dry processing costs are compared with canning or freezing costs, it would appear that the additional costs of freeze drying might be in the order of 4 to 8 cents per pound of product, even at the lower expected processing costs. The high processing costs, even at the present time, appear to be acceptable, however, for high value and specialized foods, particulRrly where drying is a requisite, and where a better quality dried food than is now available is indicated. It would appear that our lower priced fish species would not stand this additional cost at the present time. Higher priced species such as lobster, scallops, shrimps, would probably stand the additional costs, but these species already provide a relatively profitable market in the present consumer accepted forms. I understand that a large volume of shrimp is freeze dried in the U.S. as well as some crab. There are three companies freeze drying these products in the U.S. at the present timei (1) United Fruit and Food Corporation, Bost.on, Massachusetts. (2) Kellogg Company, Battle Creek, Michigan. (J) H. J. Heinz Company, Pittsburgh, Pa. INVESTMENT A freeze drying plant with a capacity of about 8,ooo pounds of water remova:· per day, which would produce the equivalent of about 2,opo pounds of finished fish product, would cost in the order of $JOO,OOO as a rough estimate, and would provide about 2,000 sq. ft. of cabinet shelf area.

• •••• J - 3 -

QUALITY Palatability tests of freeze dried foods conducted by the UoS. Department of Agriculture in 1962, reported the palatability characteristics of freeze dried seafood (shrimp and crab only) to be of high quality and equal to frozen seafoods in all palatability aspects except flavour • . Freeze drying studies carried out by the Fisheries Research Board of Canada (J.F.R.B. V. 24 No. 7 1967) indicate that freeze dried cod steaks processed from pre-rigor, quick or slow frozen con and post-rigor, quick frozen cod were of acceptable quality. Slow frozen freeze dried cod steaks failed to retain the quality level of consumer acceutance, but this may be attributed to the invariably lower quality of the slow frozen fish rather than to the freeze drying process per se.

w. D. McDougall, P. Eng., Industrial Development Service, Department of Fisheries, Ottawa. August 19, 1968.

NOTE: Literature references other than indicated: Kermit Bird, u.s. Department of Agriculture. APPENDIX 3

FISHERMEN'S IND~ITY PLAN Fixed Gear Financial Operations to March Jl, 1968 by Region and Fiscal Year

Excess Losses Fiscal Net Claims Premiums Loss Year Premiums Paid Over Ratio Total Partial Claims Policies Value No. Amount No. Amount

No. $ $ $ $ % $ $

NEWFOUNDLAND 1965-66 1966-67 147 211,475 2,115 J,844 -1,729 181.8 9 J,844 1967-68 186 258,4.50 2,603 3,810 -1,207 146.4 1 600 9 J,210

MARITIMES 1965-66 5 18,200 182 182 1966-67 87 259,730 2,757 15,082 -12,325 547.1 8 10,140 12 4,942 1967-68 113 321,705 3,114 13,666 -10,.552 438.8 7 lJ,667

QUEBEC 1965-66 1966-67 37 64,550 715 465 2.50 65.1 J 465 1967-68 42 102,300 1,043 8,837 -7,794 847.2 8 8,837

ONTA.1UO

1967-68 2 4,240 43 4J

BRITISH COLOMBIA

1965-66 1 1,600 16 16 196f.-67 4 8,800 140 140 1967-68 7 31,600 286 286 -

Taf AL 196.5-66 6 19,800 198 198 1966 ... 67 275 544,555 5,727 19,)91 -1),664 338.6 8 10,140 24 9,251 1967-68 J.50 718,29.5 7,089 26,313 -19,224 371.2 1 600 24 25,714 APPENDIX 4 PROGRESS REPORT ON Ti!E NEWFOUNDLAND PROGRAM OF TllE RESOURCE DEVELOP~\ENT SERVICE

Presented to the Meeting on the Development of the Newfoundl::mll Fisheries, Ottawa, Ontario, August 21 and 22, 1968.

The Resource Development Service's operations in the Province of Newfoundland and Labrador are at present limited to the freshwater and estuarine environments . The anadromous species, Atlantic Salmon and Speckled Trout occupy most of their attention, although resident freshwater species are also investi­ gated. A very small but important investigation is examining the possibilities of oyster development. The total staff of 44 includes twelve biologists and three civil engineers, ~~d their total budget for the current year is $518,000.

The two main activities of the Service in Newfoundland are expansion of the Atlantic Salmon resource, and 'protection of all vulnerable fisheries re­ sources from indusLrial or pubiic water use projects and pollution. Good progress has been made since the Branch of the Service was established in Newfoundland i1 the mia-1950's in opening up previously inaccessible watersheds to Atlantic Salmon production through fishway construction and complementary transfers of adult fish. In 14 years, over 3000 square miles of watershed have been added for salmon rearing. As an example of the beneficial effects of such work, the escapement this year to Great Rattling Brook, a tributary of the Exploits which was opened up with a fish­ way in 1960 (650 square miles), will be 2500 Atlantic Salmon. Adding commercial and sport fishery exploitation means that a total run of two to three times this size has been developed in only 8 years.

TI1e biggest contribution of Resource Development to date has been in devising means of protecting anadromous and freshwater fish from pollution, hydro­ electric diversions and many industrial water use projects in Newfoundland and Labrador. This contribution is not as obvious to the casual observer as resource expansion activities, but a lot of fisheries environment has been saved from des­ truction by the presence of the competent technical staff of the Service to advise the Regional Director of Fisheries.

For the future, it is planned to broaden act1v1ties to include investi­ gations leading to better management of our salmon fisheries to ensure optimal escapement and harvest. We also foresee the need to investigate the possibilities of greater exploitation of freshwater species, and to consider introductions of species not native to some of the large areas of standing wat~r in the Province. Oyster development possibilities will be investigated more aggressively, now that experir.1ents have established that American Oysters of good quality can be grow;1 in certain Newfoundland waters. Finally, some very exciting salmon development possibilities, particularly on the Exploits River, are to be thoroughly appraised both from a biological and economic viewpoint, and the possibilities of coexistence of an expanded salmon nesource with other uses of the Exploits River will be devel­ oped with Provincial authorities.

Department of Fisheries of Canada, Resource Development Service, Ottawa, 21 August, 1968. APPENDIX 5

Project Report No. 1 June 13 , 1968

FISHERIES COUNCIL OF CANADA FISH MARKETING STRATEGY STUDY BASIC PROJECT PI.AN

Purpose

The underlying purpose is to lay the foundation for an industry program to increase Canadian per capita consumption of the products of seas and inland waters. The aim: to increase both sales and profits.

Over-all Plan

As outlined in Stevenson & Kel~gg's letter of November 10, 1967, the basic requirement is to develop and use an effective Lla.rketing strategy. This in tum calls for a three-phase business plan:

1. A marketing strategy study to identify directions of action and rules for making marketing policy decisions;

2. A period of org

3. Development of an action program that will have a profitable payback to the industry over a relatively short time, possibly about two years.

The present study concerns only the first, or strategic, phase of this comprehensive plan.

The Study Network

The accompanying network diagram reflects our original proposal of November 10, 1967, as subsequently accepted by the Fisheries Council in its letter of May 16, 1968.

The Preliminary Planning period will culminate in the start of Qualitative Consumer Research on June 17. This lower path is the critical one. On the top of the chart, research on the attitudes and values of Influentials, Institutional, and Retail people is shown running parallel and more or less open-ended.

In mid-August, the initial depth interviews will be completed. Into the results from this Consumer Qualitative Research will then flow preliminary findingG from the su:rlfeys of Influentials (food editors, home economists, etc.) and Institutional personnel (hospital dietitions, industrial caterers, restaurant operators, etc.). This will help us plan the Quantitative Research t:1at will track down fish consumption and relate quantities purchased to the presence or absence of ''values" in the Qualitative material. - 2 -

When the ma.in Quantitative Research is underway, we will go into the Retail trade channe.ls in search of attitudes and physical handling practices that affect sales of fish and related narine products. The Quantitative Research will involve a year-long study of actual fish eating, patterns and the attitude held toward fish consumption. Wives, husbands and children will be included. Purpose: to find out the business significance of values discovered in the Qualitative Research, both negative and positiveo

The Quantitative Research is in quarterly cycles. (At the end of the 1st Quarter, in February, 1969, the network shows results from the Retail, Influentials and Institutional work again being fed in to assist in research evaluation and any necessary redirection.)

By mid-November, 1969, the main research work is corapleted, and scheduled to be reviewed and summarized between then and the end of December. New "product concepts" coming out of the basic research will then be tested to see if they really justify expenditures on product development.

While the planning and execution of Concept Testing is proceeding, we will pull together the quantitative data in the form of a market Segmentation Analysis. This takes place in January-February 1970, and leads to the final, or report-writing phase.

Final presentation is scheduled for mid-June, 1970.

The botto:n row shows approximate dates for project review meetings with representatives of the Fisheries Council and any other persons the Council nay wish to include.

Cash Flow

As outlined on the accompanying Cash Flow table, the cash requirements have been forec.:lst as follows for fiscal years ending March 31:

196e-69 $ 98,000 1969-70 70,000 1970-71 32,000

The flows slows down a little as the project proceeds, reflecting initially concentrated expenditures on field research and project planning. Occasional peaks in 1968 and 1969 are the result of expected quarterly payments for the studies of consumer attitudes and related product usage.

We bill our accounts monthly on a progress basis. Expenses for travel and living, long distance phone calls, report production and out.side research services are billed at cost.

Coe D. Suydam Project Director APPENDIX 6

PROGRESS REPORT ON THE FISHERIES MARKETING STUDY

WITH SP:m IAL REFERENCE TO N&IFOUNDIAND

1. SCOPE OF THE STUDY:

The object of the study is to examine marketing efficiency in the Groundfish trade between the Atlantic Coast and the United States. In terms of geographic coverage, the Study comprises the following five provinces: New Brunswick, Nova Scotia, Prince Edward Isl.and, Newfoundland and Quebec. The Study deals only with Groundfish; however, it covers all forms of Groundfish.

With reference to the province of Newfoundland (as in the case of the other four provinces on the Atlantic Coast) the Study will attempt to assess the demand for, and supply of Groundfish in the U.S. market. It will also undertake an evaluation of the marketing system by which Newfoundland markets its ground­ fish in the various regional U.3. markets. In doing so, it would attempt to compare Newfoundland's existing Groundf ish Marketing system with an efficient (model) marketing system, pointing out areas of marketing inefficiency, suggest norms of marketing efficiency and identify the scope for introducing improvements in the present marketing system.

The study consists of three sequential phases. Each phase is covered by a market survey. For example, during the first phase, an attempt will be made to identify the marketing probleIILs and assess the adequacy of marketing facilities at port or landing level in the Province of Newfoundland. The second phase attempts to identify the manner in which Groundfish exporting enterprises in the province market their products in the U .s. market. The third and final phase deals with the Groundfish rnarketing process in the U. s., with particular reference to the Groundfish imported from Newfoundland, vis-a-vis Groundfish imports from other Atlantic provinces as well as from European Countries.

2. ORG.iiNIZATION OF THE STUDY AT THE PROVINCIAL IEVEL:

In Newfoundland, as in other provinces on the Atlantic Coast, a Joint Government-Industry Committee has been set up to oversee the study. The Corrunittee, at present, consists of the following members:

E.J.i:. Gosse Provine ial Department of Fisheries R.C. Crewe Provincial Department of Fisheries Paul P. Russel Bonavista Cold Storage Co. Ltd. Denis L. Munroe Fishing Products Ltd. P.L. Breau Atlantic Fish Processors Co. Ltd. H. lake H.B. Clyde lake Limited T. O'Donald Nfld. Quick Freeze Ltd. E.A. Harvey The Frozen Fish Trade A. ssociation

Messrs. R.C. Crewe and E.A. Harvey a re the contact men for the local Committee. - 2 -

The marketing study project was, initially /1 discussed with the Newfoundland Provincial Committee at a meeting held in St. John's on April 19th, 1968. At this meeting, the scope, content and approach of the study was outlined to the Committee in detail. The Committee endorsed the proposal and wholeheartedly agreed to co-operate with the A.D.B. in executing the Market Surveys.

A Second meeting was held with the Nfld. Connnittee on June 21st, 1968, to consider (a) the format and content of the enterprise market survey Question­ naire; (b) to select a groundfish marketing enterprise in the province for purpose of the pilot Market Survey; and (c) to draw up a list of all groundfish enter­ prises that should be covered during the Survey. During this meeting, "Fishery Products Ltd." was selected as the company to be interviewed during the test ma.rket Survey (Phase 2). This test Survey is planned to be held on August 23, 1968. A list of the firms to be interviewed in Newfoundland, is attached. Our plan is to begin the detailed Survey of all eroundfish exportin~ firms in the Province in early September. Phase I of the Study dealing with the Survey of narketing at the port or landing level will be carried out bef'ore the end of September from the data that are already available with the Provincial Department of Fisheries and the Frozen Fish Trades Association.

The timing of the U.s. Market Survey will be discussed in the forthcoming meeting of the Fisheries M:lrketing Advisory Committee to be held on September 6th, in Ottawa. It is hoped that the above mentioned three Surveys will be completed before November 1968, so as to enable the first draft of the Study report by December 1968.

Planning Division Atlantic Development Board 15 August, 1968. APPSRD 7

REPORT OH FISH MAJ\9!8

P'ROZD FISH or greatest concern to producers at preaent is \be atook position aid

prices of block11 an th• United statH • rket. At tthe end of Jl1lJ', stocks of all species at blocks amounted to 39.9 Jdllion powda • an increase ol 42 per ceiS

over the preT.Lous 7ee (26.l million). lillil.a the present official price far ood • blooka is mentioned as 21# to 21.H per pound, aoaa purchases are said to have taken pl.ace at 19- to 20, duty paid. Mded to this, holdings or .tiab sticks and

portions, at 20,6 mill.ion poun411, are also 41 per out. above this time in 1967.

Combined conSWDpt1on ot sticks and portions in the eecond quarter or this year in­

creased by 11 per cent owr the correspc:md.1ng par:Lod ot 1967. In the first six

montha of 1968 corurumption ot blocks vas up ll per cent~ ,. On the brighter a1cle at the picture, lltooka ot cod. fillets (6.S million

pounda) were down 20 per cont, flounder (7.1 nd.l.lion pawns) 8 per cent, and

haddock (5.J million powda) 27 per eent. There a a slight. increaB& ot three per cent in ocean perch .fillet holdings at 6.6 lld.llion pounds at. the end of July this

year. Prices for .fillets have remainad .fairl,y tirm.

Vhat is most distressing is the extl'8Jll8 cbange in the pattern of supp]¥ f'rom producing countl"i.ea. Canada's exports ot blocks to the United states during

the period Januarr-June, 1968 (24.l million powlis)-dovn three per cent from

1967, while exports .from other producing countries were up by an aJDaZi.ng 115 per

cent. Total imports were up S9 par oent over t.he first six months oi 1967. Haw~, our share of ~he market dropped 'trom 47.$ per cant in 1967 to 28. 8 per

cent in 1968.

One import~t taotor in the increased supply of bl.ocks to t.he United

States by scaMinavian Jiroducers is the loss of the Nigerian market for stoclcfish.

o••/2 Previously, Nigeria imported 2S,ooo t,o JO,ooo ton1 ot stocktish ammau;y. Pur­

chaHll ot thia comod1t7 haw now been halt.eel because of the present econam:lc

pos1ttian in Nigeria. C~l.7 the Norwegian and, to a lesser eldient., Iceland.ic

tish is 'being troun rat.11411' tban drU&l.

Export. a to the U~ted Statea fl'Oll Rorwq in the first six llOlltha ot thia

;rear vere lle2 million paund8aga1ut l••• than one .Sllion pCJWlie last 1'91ll'•

Iceland supplied 10 Jdlllon pmnda ~OllplNd to 4 llllliaa powds last year. Demart doubled ita two Jllill.1on powails to tau am Poland bad a 8iJldJ.ar inereaae.

Aa the quantit7 produced is relatively amall, I suppose it is little

consolation to mention that there ia no problem in Hl.ling aal.mon, ahrimp, crab, and. lobs\er at rem•a.rat.1Yfl pricea. Ill fact,. t~ are not producing enough ot these · species to meet urket dmande

SALT COD

In recent years high prices fOI' interi.Or qUality sal.t cod haw greatJ.7

increased our. dif'ticulty in marketing this product. n ·is true that 1Ji normal

production years there ia no C&l"l'J'-ONl"• Honver,. mrkets 1n Brazil, 'Greece,

~ Ital.7, and Spain are practi1ii117 cloll9d to us and we ha.... to rel;y an Caribbean

markets and Partugal to take almost our entire procluat.ion. You are only too well

avare or what happens when there is a world over-wppl,y or 011r reguliar urkets go sour because.of davaluation ot ourrenc7 or tor other reaaona.

The present. •rkat picture d~ . not look too bright. As contracts are

gene:rall1' made for new 88&SOl18 catch troa late August on, it is not 79t known what

prices will be establisbecl this year. in world trade 1D this commodit7. However,

it is al.moat cer;t,ain that tbq vill be below those ot last 7ear.

••• /3

' . To tha end ot la.'1:1, prod1act1m ot aalt oo4 1n 119dow'lmd vaa 10 p-.r Olnt- below the .- date last 7fJ8'I and the rat1o ot light salted '° hea'V)' aalted was considerab]J' higher. In 1crva7, stocks ot all Alt tisb at the end ot JUlT this year·vare approx1mt•11 ~,ooo tODs above "11.11 1'67, of which cod nade _up 6oO tons (total 19681 JS,46o tons, cod S,61.o tone). In Iceland, stocks ot wet-malted at the end ·or .June unwated to u,ooo tcma compared to 4,200 tan.. With Ngard to the poli.tian in indi'Yidwal. Mrkets, I will Rielltion onl7 thoae at 110st conoam to Canada. Jamaica

7r0111 earl.7 this 'TUZ'1 vh9n onl1 the lCllfer gftdea were available tl"Olll

Canada, soma adjutmnt ill grades and prices vere JUde ~ oonpeneate tar lossu Which would ot.herwiae ban reaul.ted .tram devaluation in Nowmbei' and the refusal or the authoriti• to raise t.he oontrolled prS.cu. With the availability ot tM higher grades frall new oatcbes, prices vill have to be lower than before devaluation.

Same quotations are present~dl~ received troa l"ranoe at c.1.t. Cdn.$13 • .$0 per SO pawld cart0n. It is not thought that large quantit.iea would be available from this source. Trinidad Present prices quoted b7 C&nadian exporters are down from $3.10 per 100 pounds for extra amall heav salted to $1.00 tar ..U oho:Lce. French heavy salted dried, equivalent to our choice sal.l, 1a quoted at U.S.$24 compared to u.s.$28 a year ago. other Caribbean Jt!rketa

I will not go into cl9tail on other Caribbean maxkets. News travels fast and I have no 'doubt that prices obta:l.Md in these Ml'lceta Will be governed by those set tor Jamaiea.

• ••/4 -4·

Prices hava not changed Iii.nae 1967. &owver, this is umerstandable •• t.ha new purchasing season begins in September. '!be price tor nationally•produaecl

cod in ~a:lD. has dropped coneiderabl1' and thia v1111 dcmbtlassl,y, set the trend and Spanish producer• an pressing t.heir governmnt to make imports JllOl"e ditticult •.

No recmt intol"llllt.ion bas been reoeiTed tram this aarket. Portug!l

At preaent stocks in Portugal amount to .301000 to 3.S,000 tons. 'lbne hava been no imports tor 2i JllODths and it. ia unlikely that any inlport Ucencaa v1ll be

~ issued in the next six to ten mntha. Soma otters baVlt been receiwd at prices

substantially below laat 7ear. Poriqpt• ftasel owners have adjusted their gl"BCling

regulations in such a way that it constitutes a reduction in priae.

FISH !BAL AND OIL

There bas been SOM impro'V918Jlt in the Jal'ket and spot sales Of herrin& . meal have beenmaclli at a11 high as $2.J.S par pl'O'tein unit r.o.b., However, the bulk

of t.he 1968 production vaa aold on the fUtures market at arourtd $1.9S per protein

unit. As 7ou are aware, world prices tor fish •al are generally governed by prices

aet for Peruvian meal. '\4l1le thEl1"'8 bas 1ieen a recri slight decline in the price

ot t.he Peruvian product, the present supply position in that country is encouraging.

In fact. :tr tho fishery does not atut on time or if' tiahing is not good in September,

there 1.s sonie speculation that the aapp]J' position 1n Peru J118Y be tight by m:Ld•October.

'lbe threat or a strike in procea~ plants when the fishery starts adds to this speculation. l'here is, tJieretore, a relative healt.b,y cutlook £er t.he marketing

or fish maa1. . However, one never seems t:o be able to Vin inc •the tiah business•

•• •/r; -s-

'lhe price for fish oil bu dropped considerably ancl prooesaors an

presently unable to give it awq at a quoted price ot S-3/4 cants per pound landed

Toronto conpared to ~ to 9H received laa\ year.

Mr. M.S. Strong, Chief, Fisheries Division, Agriculture and Fisher.t.•• Branch, Department ot Trade am c~, ottava. · APPENDIX 8

Meeting on the - DEVEIOPMENT OF THE N.E.WFOUNDLAND FISHER.IES August 21 and,, 22, 1968 - Ottawa, Ontario

Outline & Progress Report - Topographical & Statistical EDP Inventory System on Nfld. Outports - V.P. Rossiter, Consultant.

I am pleased to report that the planning, development and co-ordinating aspects of the research inventory study of Newfoundland Outlying Communities are now commencing to emerge with some tangible findings.

An attempt was made to illustrate some of these results as indicated by the graphical representations on the walls or our conference room. Needless to say the mny facilities of the Industrial Development Services and the in­ ventory task research officers, were mainly responsible for creating this presentation.

It will be recalled that one of the main objectives of the inventory was oriented towards positive identification and the degree of isolation of the Newfoundland Outlying Co:rmmmities. In other wards, what is the total number of unincorporatedcommunities throughout the Island and I.abrader, that could be theoretically considered with reference to the Newfoundland Centralization Programme.

We now know that there are a total of 1293 unincorporatedconmunities - ~ comprising of 48,615 householders and a total population of . 245,oJJ people according to 1966 visitation records of enumerated areas. This figure of 245,633 people represents 49.8% of the grand total of Newfoundland and Iabrador population of 493,396 in 1966.

The age group structures of the individual and unincorporated communi­ ties for the total Island is also completed. To extract this data from the un­ compiled records of DBS required a research task force of four people for. a period ot 4i months to extract from the massive pile of DBS visitation records. Some examples of the age group structures for different areas are indicated on the wall charts.

The degree of isolation for all the conmunities is in varying degrees of completion. The Isolation Index encompasses - Communications, Medical, Education, Commercial Centres and T.V. and Radio facilities. The Isolation Index for the pilot area Census Division #8 will be completed within 2 to 3 weeks.

Thirty-five detailed topographical maps, having a scale of l" to 1 mile for the pilot inventory area is also e ompleted and a good start has been nade on those for the FRED areas on the West Coast. All told there will be some 400 detailed maps. It is planned that these detailed maps, together with vital capsule data for each comnunity covering their isolation factor and existing communications and other facilities, will be placed on 35 mm .film for instant viewing and program planning purposes.

The pilot invento17 area phas~ was scheduled for earlier completion and quite possibly could have materialized before now. However, I must say that Bob Hart of the Industrial Development Service, and as Secretary of the Interdepart­ mental Committee, apparently interpreted my initial terms of reference as one of total absorption covering all aspects of the Fisheries Household Resettlement Programme. Instead of dealing with one aspect, he allocated some 24 aspects. With all due modesty, I believe he conveniently tranferred a large measure of worlc, as the program is indeed very complicated.