CEO Report October 2015 Main Issues that your Board has been - PowerPoint PPT Presentation

CEO Report October 2015

Main Issues that your Board has been dealing with in recent months…………. 1. Salmonid Expansion plans – Senate Inquiry and sediment testing 2. Centrostephanus Harvesting business plan 3. Finalisation of Abalone royalty legislative amendments 4. Diver and Deckhand economics 5. Training sessions for Quality Assurance and Diver Codes of Practice 6. Harmful Algal bloom management 7. Consideration of Re-Seeding proposal – Wild Ab P/L 8. Ongoing Resource Management - Ab FAC & Ab FRAG 9. Probity threshold for TACL Directors

Market Conditions • Higher prices for live black-lip into China although current price the same as the average beach price in 2000 • Lower AUD helping • China rate of economic growth is slowing but still one of the world’s fastest growing economies – domestic consumption figures strong • More entering “middle” class and individual income increasing steadily • Green-lip export (Hong Kong/Singapore) and domestic sales strong • Canned and frozen black-lip sales stagnant – heavy competition from farm product (140,000 tonne global prodn for 2015/2016) • Canned abalone – sulphites – compliant China import

Salmonid Industry Expansion Doubling production by 2030 In-water practices Underlying premise Recent Senate Inquiry FRDC Project – 2015 – 024 Managing Ecosystem Interactions Project Steering Committee

Long Spine Urchin Harvest Plan Collaboration between TACL, Commercial Divers, Urchin Processors, IMAS, DPIPWE TACL funded partial sponsorship of the urchin harvest Recent interest in China Market Dual licence holders Cape Pillar to Fortescue Bay North of St Helens March to May 2016 Target incipient barrens within the weed canopy Pre and Post fishing surveys - IMAS

TACL Governance Governance Statement Induction of Directors Australian Institute of Company Directors Probity Check for TACL Directors Co-Managing a natural resource – TACL Directors play a key role in the sustainable management of a public resource Assurance for Industry, DPIPWE & Minister Fisheries related Convictions involving theft/fraud/conspiracy for personal financial gain TACL developing appropriate guidelines with a clearly defined probity check process

Algal Bio-toxins • When some species of algae are consumed by shellfish they produce PST’s • April 2011/2012/2013 - South Eas t - Gymnodinium Catenatum • November 2012 – East Coast - Alexandrium Tamarense • October 2015 – Alexandrium Tamarense • FRDC project – quantify toxicity of peaks • Developing Bio-toxin Risk Management Plan • Working with DPIPWE, DHHS, DA • Minimise future impact………. bloom events may require specific regulatory measures re food safety Block closures sometimes necessary………. • Ongoing Trade & Market Access issues – testing protocols

Code of Practice Workshops Quality Assurance Code of Practice Abalone Diver Code of Practice

Review of TAC Dive Code of Practice & Training Package • Existing Dive Code reviewed and updated to ensure compliance with new WHS Act and Regs • CoP Worshops for divers & deckies underway • Existing Dive Course assessed for compliance against AS/NZS2299.2 • New Qualification delivered through Australian Qualifications Training Framework • Nationally Recognised Training Package • New Course called “WILD HARVEST DIVER” • Multiple Units of Competency • Core units • Optional units – e.g. Nitrox, underwater coms etc

Quality Assurance Code of Practice and Training Program QA CoP to be completed by: divers, deckhands, skippers, processing factory staff/managers and truck drivers -Course delivered by Seafood Training Tasmania -Training session 3 to 4 hours -40 attendees in two sessions -More sessions from April 2016

Diver & Deckhand Forum 17 th July 2015 49 divers, 18 deckhands 3hr meeting Minimum dive fee: $10/kg Minimum Deckhand fee: $2/kg TACL to work with Government to reduce number of Diving entitlements TACL Board endorses Felmingham Report 2009 recommended minimum dive rate Discussions will continue with Government re options re harvest sector

Abalone Royalty Negotiations – New Deed Holders • Abalone pays 61% of DPIPWE MR revenue • Rock Lobster pays 27% of DPIPWE MR revenue • Salmon pays 4% of DPIPWE MR revenue • New Deed is 2003 version • Old Deed deal finished – commences January 2014 (4 to 12%) • New Deed holders offered flat 7% by Giddings/Green • 1.25% reduction • Liberal Party pre-election promise • Temporary arrangements • Legislative Amendment passed Thursday • Pressure for reduction to 5%