Our 2019 U.S. Shellfish Industry Outlook

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Over the last ten years, we have seen the oyster market explode. We saw the rise of farmed oysters, the rapid openings of raw bars, and the expansion of the cocktail-size oyster market. The shellfish industry continues to surprise us with innovation and newcomers. But as it grows, it is also drawing more attention from the public sphere. As we look forward into 2019, here are the industry issues and trends we are thinking about and how they may affect the shellfish market.

Supply Trends

Climate Change

At the most recent 2019 Northeast Aquaculture Conference & Exposition, climate change was the hot topic. The ramifications of climate change for the shellfish industry are far-reaching. Ocean acidification and warming waters are affecting shellfish health and development. Shellfish are becoming more susceptible to disease and less resistant to invasive species. More frequent and extreme weather systems also increase the risk of losses. Stormwater runoff carrying excess nitrogen is causing more algal blooms harmful to shellfish.

Figure 2.31: Shells Dissolve in Acidified Ocean Water (Nina Bednarsek, National Oceanic and Atmospheric Administration Pacific Marine Environmental Laboratory )

Figure 2.31: Shells Dissolve in Acidified Ocean Water (Nina Bednarsek, National Oceanic and Atmospheric Administration Pacific Marine Environmental Laboratory )

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2019 IMPLICATIONS

Climate change is the new reality, and it will likely continue this year and into the near future. The consequences of climate change will definitely affect supply. Winter storms, wind, and other weather systems will limit farm access and production. There could be more frequent shellfish area closures due to heavy rain or algal blooms. Vibrio bacteria also thrives in warmer waters, which increases the risk of illnesses and related closures.

The warmer temperatures will likely induce shellfish to spawn sooner and potentially longer.  This will affect their quality during the warmer months. The soft shell clam fishery continues to struggle with climate change, and its decline will limit supply. Connecticut, a large producer of hard shell clams, is seeing a decline in wild set seed. This will likely put future pressure on hard shell supply as well.

Regulations affecting catch and harvest

“They have no idea about the impact on the habitat and the fishery… And they’ve made a regulation that’s going to affect people dramatically in a negative way.”

- Former New Bedford Mayor Scott Lang

Public agencies and regulators are trying to mitigate the effects of climate change. Unfortunately, these regulations can hurt the industry. This past December, the New England Fisheries Management Council closed an area in Nantucket Shoals to protect aquatic habitat. The area, however, was also vital to the surf clam industry. The closure may cause surf clam harvest and production to drop by 50%. Surf clam is a New England staple — it’s the main ingredient in New England clam chowder.

2019 IMPLICATIONS

Market prices on wild shellfish will likely increase with supply constraints. Product costs on surf clams have already gone up since the closure. These costs inevitably get passed along the supply chain to the consumer. Local, state, and federal regulations affect the industry's ability to produce and sell. If new rules apply in 2019, they may pose unforeseen supply challenges.

Oyster farmers are more prepared

Despite all the doom and gloom around climate change and regulations, oyster producers are readier than ever. Growers have had to deal with the effects of climate change and red tape for more than a few years now. Oyster hatcheries now breed seed to adapt to ocean acidification. Industry changes have forced growers to find smarter approaches, and they’re now more prepared for the unexpected.

Preparing oysters for winter on the Standish Shore Oyster Farm

Preparing oysters for winter on the Standish Shore Oyster Farm

2019 IMPLICATIONS

If Mother Nature is kind, farmed supply will be relatively steady throughout the year. It's hard to predict unforeseen forces like new regulations or industry shifts. So if all stays the same, weather aside, we expect oysters to be fairly available moving through 2019.

Market Trends

Credit: Sara Norris

Credit: Sara Norris

Interests in something new

The raw bar market is starting to mature. Restaurants and diners are now looking to branch out of local varieties. Demand for Pacific oysters is growing on the East Coast. Interest in Northeast oysters is growing in Gulf regions. The Midwest is seeing a lift in shellfish growth from both coasts.

2019 IMPLICATIONS

Demand for local seafood will remain strong, but this increasing interest for different and new will help farms reach markets outside their local regions. Smaller producers will have more opportunities to find their niche market. More restaurants are also adding oysters to their menus, so businesses will need to stay creative to entice their customers with their shellfish offerings.

Interests from abroad

Despite growing domestic demand, the international appetite for American shellfish is even greater. Asia and Europe are heavy seafood consumers. Domestic producers can command a higher price in these export markets. As of late, politics have definitely affected seafood exports going to China. The West Coast shellfish industry is feeling its effects. On the European front, the FDA is working with the EU to lift an import ban on American oysters.

2019 IMPLICATIONS

The global political climate has been difficult to predict. If trade tariffs stay, shellfish exports, especially to China, will continue to struggle. As a result, Pacific shellfish availability could improve in the domestic market. If the FDA and the EU are able to lift the American oyster ban, this will be great news for producers. Peak shellfish consumption in the EU occurs during the winter when consumption is slow in the US.

More aquaculture, more public visibility

The growth of the shellfish industry has definitely not gone unnoticed. The oyster farm boom has drawn attention in many local communities concerned with their water access and waterfront sight lines. These NIMBY (“Not In My Backyard”) issues are miring the industry in lengthy and/or costly legal battles. These issues are leading to delays in permitting and sometimes, forcing farms to close up shop.

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More consumers enjoying shellfish also means increased risk of shellfish-related foodborne illnesses. These illnesses receive more media attention, which can become greater public concern. Media outlets sometimes paint the industry as careless despite the industry’s preventative efforts.

2019 IMPLICATIONS

The good news, however, is that many in the public, especially younger generations, have good faith in the industry. They understand that farmed shellfish and aquaculture are sustainable choices. Misinformation remains, but consumers are getting smarter by engaging with producers and suppliers. They are educating themselves and asking questions about their food sources.

This good faith has helped the industry weather difficult situations. There have been times past when the public has come to the industry’s defense. Our industry will continue to invest in public education and marketing with hope to continue this momentum of public support.

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Overall, we expect 2019 to be a pretty steady year. But then again, that can all change in a second based on the whims of Mother Nature. It’s part of our jobs to deal with the unexpected, so we’ll figure it out as an industry. We have seen lots of change over the years, so this year may be no different. Keeps us on our toes. In to 2019 we go.

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Linguine with Uni and Meyer Lemon

The temperatures of the waters in Maine have gotten colder lending way to some of the most delicious shellfish of the season. Urchins are available, but not many know how to clean it or cook it other than sushi preparations. Here is one of my favorite ways to eat those tender little orange chunks of sweet sea butter – with some lemon and some really good pasta! We use cultured butter in this recipe because it has a sweet and sour taste (not unlike yogurt) to give a well balanced juxtaposition to the richness of the uni.

Linguine with Uni and Meyer Lemon

Ingredients

Serves 2 (main course) or 4 (appetizer)

  • Uni from 3 large green urchin (ours came from Maine)

  • ½ lb fresh Linguine (dried is also acceptable if fresh is not available)

  • 1 stick unsalted cultured butter

  • 1 Meyer Lemon, sliced into rounds, seeds removed

  • 1 large shallot, minced

  • 2 T parsley, chopped finely

  • Salt and fresh ground black pepper to taste

Directions

  1. Boil lightly salted water for pasta

  2. In a cast iron skillet, brown 1 t. of butter with a pinch of salt and half of the minced shallots. Once the butter is browned, add in the lemon slices in one layer. Cook the slices on medium high heat until the lemons have browned and caramelized – a little black is just fine. Remove the slices from the pan and allow to cool. Chop finely and set aside.

  3. In a small saucepot, simmer just enough water to cover the bottom of the pan by ¼ inch. Slowly whisk in the butter, one chunk at a time. The mixture should have one color and consistency, making sure that it does not break (if it breaks, the pasta will be greasy and unappealing). Once all of the butter is incorporated, move to a warm surface, like that back of the stove top.

  4. In a skillet, warm ½ of the liquid butter, the rest of the shallots, lemons, salt, pepper, and ¾ of the uni. Mix well, chopping up the uni lobes into smaller chunks. Toss in the pasta to coat well. Add the remaining uni to the remaining liquid butter. Plate the pasta in two bowls, topping with the held liquid butter and garnish with more black pepper and chopped parsley.

A Simple Guide to Sea Urchins

Growing up, I remember sea urchins being ubiquitous in the aquarium touch pools. I didn't think of these spiny, little sea creatures any other way until I was a young adult and had uni for the first time. Since then, sea urchin and food have been synonymous. In the past, I rarely found sea urchin outside a sushi restaurant, but lately, I’m seeing sea urchin more and more in unexpected places. In 2016, Nestle named it one of the top ten food trends due to their unique flavor. Chefs are finding more creative uses for sea urchin as they push the envelope, and it seems this little “sea hedgehog” is an ingredient that's here to stay.

About the Sea Urchin

Sea urchins are echinoderms most closely related to sea cucumbers and sea stars. Their spherical shells, or tests, are made up of plates and movable spines that protect them from predators. There are about 950 species of sea urchins that inhabit a wide range of depth zones in all climates across the world’s oceans. About 18 of them are edible. They primarily feed on algae and kelp, but are also omnivorous scavengers that will feed on animal matter.

Source: Shape of Life. A time-lapse video shows how urchins actively graze on kelp.

Sea Urchin as Food

When it comes to consumption, sea urchins are harvested for their gonads, also known as uni. These bright yellow to orange lobes are “stockpiles” of sugars, amino acids, and salts: a trifecta of sweet, salty, and umami. It’s been dubbed as the foie gras of the sea given its buttery texture and delicate ocean flavors. Like oysters, sea urchins also vary in flavor depending on its species and diet. Urchin lovers, for example, prize Hokkaido uni because of its flavor, developed from the urchin's diet of Hokkadio macro algae kombu.

The green, red, and purple species have the highest demand globally because their lobes tend to be larger and visually more appetizing. 99% of sea urchin are wild and harvested by diving or drags.

There are about 950 species of sea urchins… About 18 of them are edible.

99% of sea urchin are wild and harvested by diving or drags.

Source: Food Republic. L to R: Maine, Santa Barbara, and Hokkaido sea urchin.

Source: Food Republic. L to R: Maine, Santa Barbara, and Hokkaido sea urchin.

The Global and Domestic Market for Sea Urchin and Uni

The greatest consumption of sea urchin occurs in Japan, France, and Korea. Japanese consumption, however, wins by a landslide: the country consumes 80-90% of the current global supply. Sea urchin is a traditional staple in Japanese cuisine. Japan was the largest global harvester of sea urchins until the 1980s, but high demand and a decrease in domestic supply forced it to look abroad. From the 1980s to 1994, the US, particularly Maine, was the largest exporter of green sea urchin. Today, it’s Chile, which exports Chilean red urchin and accounts for 50% of global landings. Overall global supply has decreased over the last twenty years due to storms, decreasing kelp beds, invasive species, and over fishing. In 1995, global landings totaled 120,000 tonnes. In 2017, it decreased to 75,000.

In North America, the main sources of sea urchin come from the Canadian Maritime; Maine; and the Pacific coast from British Columbia to California. Green sea urchins are harvested from the Atlantic, while red and purple urchins are harvested from the Pacific. These days, domestic supply stays domestic to meet growing demand and ethnic markets. Domestic supply is also supplemented by imported product, mostly from Chile, during summer months.

How to Prepare Sea Urchin

Sea urchin is usually served raw as sushi, commonly seen in Japanese cuisine, but it has a variety of applications. Mediterranean cuisines have used urchin in sauces, pastas, and on breads for centuries. Modern day chefs are even transforming the ingredient into foams and mousses.

Preparing sea urchin is super easy with super tasty results. Bekah demonstrates how in this quick tutorial.

And as a bonus, here’s a recipe to try from our Pangea test kitchen —
Linguine with Uni and Meyer Lemon

Outlook on Oysters 2017

Outlook on Oysters 2017

This year was a roller coaster of events. We had a mild winter which alleviated some stress from ice outs of years past yet we were more susceptible to algal blooms, recalls and closures from the summer’s drought. We saw more oyster bars popping up all over the country as the Nation’s appetite for bivalves is becoming more insatiable. Here is the start of what may be in store for 2017. 

Read More

Recipe: Pork and Clams

Recipe: Pork and Clams

The summer outdoor raw bars are closed, and it is time to take out the stew pot. Think that a bag of clams is only good for a chowder or a fritter? Think again! This dish takes delicately cured pork belly and tops it with marinated Wellfleet clams to make a dish worthy of a chilly fall night.

Read More

Recipe: Hollander and de Koning Mussel Gazpacho Recipe

Serves 4

For the gazpacho:

1# ripe Roma tomatoes (or other sweet tomato), rough chopped
1 English cucumber, peeled, rough chopped
1 red bell pepper, rough chopped and seeded
1 small red onion, rough chopped
1 red jalapeno, sliced and seeded
½ c sherry vinegar
½ colive oil
1T mustard powder
water
Agave to taste
Salt and pepper to taste

For the mussels:

1# Hollander and Dekoning mussels
2 cloves garlic, sliced
2 shallots, sliced
5 sprigs tarragon or thyme
2c white wine

In a blender, puree all of the chopped vegetables in 3 batches, each batch with a sprinkle of mustard powder, a splash of vinegar, salt, and pepper. Once the mixture is spinning well, drizzle in olive oil to emulsify. After each batch, strain through a fine sieve. After the last batch, season to taste with salt, pepper, and if it is too acidic or bitter, balance with a drop or two of agave. Refrigerate overnight to let the flavors meld.

In a large pot, sweat shallots and garlic in olive oil over medium heat. Once they are translucent, add the mussels and herbs, stirring to coat with the oil. Add the wine and partially cover until mussels open. Transfer the mussels to a separate dish in order to cool. Once cooled, pick the meat from the shells and reserve in a separate container. Drizzle with a touch of olive oil.

Serving tips: 
Toss the cooled mussel meats with raw tomatoes, zucchini, cucumbers, or other later summer vegetables to create a light and savory main course. Pour the gazpacho table side for a truly indulgent event. 

-Bekah

Imidacloprid: a solution or an anathema?

A pesticide is any substance or mixture of substances used to destroy, suppress or alter the life cycle of any pest. A pesticide can be a naturally derived or synthetically produced substance.

In this modern age, the thought of food pesticides turns many consumers off. Pesticides have been used since Sumerian agriculture 4500 years ago, but its effects on people have only been documented for the last fifty to sixty years. The research and findings have generated enough awareness and disgust to propel the organic movement, a return to what's natural, though many consumers are unaware that organic farms still use pesticides. The difference is, the pesticides are certified organic.

When it comes to oyster aquaculture, consumers mostly regard the farming practice to be positive and sustainable because farmed oysters live and grow in their natural habitat and do a lot of good for the environment. Recently, however, news of a pesticide permit for Willapa Bay and Grays Harbor in Washington, the nation’s largest shellfish producing bay, has sparked outrage as the public learns of pesticide use in shellfish aquaculture for the first time.

The backlash caused the state to withdraw the pesticide permit approved last April, disappointing many Washington shellfish growers who were depending on it. So what’s going on? Why are Washington shellfish farms using pesticides?

A little background

Since at least the 1940s, the Pacific has been plagued with two native species of inedible burrowing shrimp. The shrimp feed by digging in the sediment, and in doing so, soften the sand and disrupt the structural integrity of the sediment causing shellfish to sink and suffocate. Eelgrass habitats that support other marine organisms are also affected because the sediment is too soft for roots. Once the shrimp take over, many of the tidal beds become useless as the shrimp get as dense as 400 shrimp per square meter.

Photo from Damian Mulinix | The Daily Astorian

Photo from Damian Mulinix | The Daily Astorian

The state recognized the damage caused by the shrimp and began testing various control methods. Carbaryl or Sevin, an insecticide, was approved in 1963 and was used until it was phased out in 2013 after carcinogenic effects were discovered. As water temperatures have warmed, the shrimp population has increased and without a way to control them, many commercial shellfishermen are watching the shrimp destroy their once productive beds that now look like moon craters.

The permit approved last April was for the use of imidacloprid, the most widely used insecticide in the world, even found in flea collars for pets. The dosage approved was 1/16th the dosage of carbaryl per acre, a highly diluted amount. Recent research, however, suggests imidacloprid may be responsible for the collapse of honey bees, and several countries have already restricted the use of such neurotoxins.

Photo From Steve Ringman | The Seattle Times

Photo From Steve Ringman | The Seattle Times

So should imidacloprid be permitted?

Arguments FOR imidacloprid

  • Imidacloprid is far safer than carbaryl and would be used in a smaller and highly diluted dosage applied by hand.
  • It would never be sprayed on oysters, only on the sediment before oysters are even seeded there months later.
  • It would prevent a worse case scenario of a 70-80% reduction of shellfish production – the bay currently yields about $35 million in product and is the economic backbone of Pacific County, employing many of its residents.
  • The insecticide does not kill the shrimp, but paralyzes it.
  • Burrowing shrimp is an invasive species destroying other parts of the ecosystem like eelgrass habitats and the estuaries.
  • Imidacloprid would only be sprayed in non-eelgrass areas with dense shrimp populations.
  • Many generational growers will lose their farms and not even be able to sell them because the flats are unproductive.
  • Imidacloprid is highly water soluble and has very low toxicity to fish even on an acute basis.
  • Bees do not frequent shellfish beds.

Arguments AGAINST imidacloprid

  • The burrowing shrimp are native species to Washington. The cultured gigas oyster originally from Japan is the invasive one.
  • There would be uncertain consequences to the aquatic ecosystem.
  • Because imidacloprid is highly water soluble, it shouldn’t be applied directly to water.
  • Although the imidacloprid paralyzes the shrimp, the shrimp eventually suffocate and die.
  • Imidacloprid is highly toxic to aquatic invertebrates, moderately toxic to small birds, and may affect other subsurface organisms.
  • If there is no light, imidacloprid will break down slowly in water in which the half-life of imidacloprid is about 1 year.
  • NOAA and U.S. Fish and Wildlife Service oppose the use of imidacloprid on ocean environments.
  • Pesticides can drift into neighboring farms of growers who refuse to use pesticides.
  • The use of pesticides make oysters seem less “natural” or “quasi-wild.”
  • We are changing the land and sea to better our human production needs.
  • If aerial application is allowed, there might be potential spray drift from the helicopter.
  • Potential confusion in public access areas treated by imidacloprid.

We summarized the main arguments from both sides above. Shellfish growers in Willapa Bay are just as torn as some growers are for and others are not.
 

What do you think?
Share your thoughts with us in the comments below.
 


Sources

Fact sheet for Willapa Grays Harbor Oyster Growers Association National Pollutant Discharge Elimination System (NPDES) Permit No. WA0039781; October 24, 2014

Willapa Desert: Key oyster bed abandoned as inedible shrimp take over; The Daily Astorian: http://www.dailyastorian.com/Local_News/20160805/willapa-desert-key-oyster-bed-abandoned-as-inedible-shrimp-take-over

Get out of the way and let oyster growers survive; The Chinook Observer: http://www.chinookobserver.com/co/editorials/20160809/get-out-of-the-way-and-let-oyster-growers-survive

Washington State Turns to Neurotoxins to Save Its Oysters; Bloomberg: http://www.bloomberg.com/news/features/2015-04-24/washington-state-turns-to-neurotoxins-to-save-its-oysters

Willapa Bay Oyster Farmers Ask State Again for Permission To Use Neurotoxin; KPLU: http://www.kplu.org/post/willapa-bay-oyster-farmers-ask-state-again-permission-use-neurotoxin

Can oyster farms make Puget Sound a little more wild?; Crosscut.com: http://crosscut.com/2016/06/can-oyster-farms-make-puget-sound-a-little-more-wild/

U.S. consumers across the country devour record amount of organic in 2014; Organic Trade Association: http://ota.com/news/press-releases/18061