August 20, 2009
Louisiana suspects foreign manipulation of shrimp market
Louisiana Governor Bobby Jindal asked the federal government Wednesday (Aug 19) to investigate whether foreign countries are unfairly manipulating the shrimp industry's marketplace.
In a letter to US Commerce Secretary Gary Locke and Shara L. Aranoff, head of the US International Trade Commission, Jindal said he wants to make certain that foreign countries are not harming his state's shrimp industry.
Jindal's request came a day after hundreds of shrimpers protested at the state Capitol. Shrimpers complained that their product can sell for up to US$4 per pound at market, but they only get paid up to 75 cents with no profit left.
Domestic shrimp fishery in Louisiana and neighbouring states are under threats from cheap, foreign shrimp imports, together with drastic reductions in dockside shrimp prices, Jindal wrote.
US Rep. Charlie Melancon, D-Napoleonville, who addressed the shrimpers Tuesday (Aug 18), said he wants a congressional hearing next month to look into allegations of price-fixing in the shrimp market.
Jindal's letter also notes that the Louisiana commercial shrimp fishery had an economic impact of about US$1.3 billion, supported 14,384 jobs and generated US$91.1 million and US$83.4 million in state and federal revenues, respectively.
