There is a battle to win the self-government’s tender for offshore fishing quotas in West Greenland. Only one or two companies can be considered. Halibut Greenland is among the many applicants.

– 12 companies have applied for the offer of offshore quotas in West Greenland, says Head of Department Katrine Kærgaard at the Department of Fisheries and Hunting for Sermitsiaq.

– 12 companies

The ministry writes in the tender documents that it expects there to be room for one major or two minor new players in the offshore halibut fishery.

– 12 companies have applied for the offer of offshore quotas in West Greenland, says Head of Department Katrine Kærgaard at the Department of Fisheries and Hunting for Sermitsiaq.

– 12 companiesAnnouncement

The ministry writes in the tender documents that it expects there to be room for one major or two minor new players in the offshore halibut fishery.

– It is up to the Government of Greenland whether one or two applicants are allocated quotas for Greenland halibut, cod and halibut, says the head of department.

However, she is not surprised that so many companies have submitted applications to the Department of Fisheries and Hunting. Greenland halibut is the most valuable fish Greenland has.

– These are great values that are being offered, she says.

The former Greenlandic Government decided in December last year that seagoing quotas of 4,600 tonnes of Greenland halibut, 1,960 tonnes of cod and 167 tonnes of halibut would be put out to tender by interested parties. The quotas were put out to tender by the Department of Fisheries and Hunting in early February this year.

Halibut will ensure raw material supply 

Erik Sivertsen, the director of the private limited company Halibut Greenland, confirms to Sermitsiaq that the company is among the applicants. The company hopes to get through the needle’s eye and get the green light for the application from the Greenland Government.

Katrine Kærgaard at the Department of Fisheries and Hunting expects that the Greenland Government will make a decision within the next two weeks, and thus before many in Greenland go on summer vacation, on which company or companies will win the tender.

The majority of Halibut Greenland’s earnings today come from the production of halibut at the company’s factory in Ilulissat. The raw materials are supplied by fishermen, but the company itself has no offshore trawling operations.

– We hope to be part of the group that is allocated a quota. But I don’t want to say how much we have applied for.

– We have sought to secure the supply of raw materials to our factory. The factory can produce much more than it does today, says director Erik Sivertsen.

The factory’s production capacity is 8,000 tons per year.

25 percent of catches must be purchased 

The company or companies that win all or part of the quota tender are obliged to land 25 percent of the catches.

Halibut Greenland is not currently a player in the offshore fishery. A new player or players in the offshore fishery for halibut have one year to purchase a trawler according to the conditions of the self-government. Before purchasing a trawler, the company must charter a vessel.

With the new Greenland Fisheries Act, individual tradable quotas for offshore fishing of Greenland halibut were introduced on January 1st of this year. This means that companies can trade quota shares with each other.

4 lose a third of their halibut quotas 

The consequence of the law is also that the four companies Polar Seafood, Sigguk, Qaleralik and Royal Greenland, which have so far received the attractive offshore halibut quotas in West Greenland, will lose a third of their quotas. And the companies, with the exception of the self-government-owned Royal Greenland, have sharply criticized this.

The political background for reserving part of the halibut and cod quota in a tender was a desire by the Government of Greenland to spread ownership of the quotas and provide access to new, preferably young, players in seagoing fishing.

As mentioned, the Ministry of Fisheries and Hunting put the quotas out to tender at the beginning of February. The application deadline was April 30.

Get quotas for 10 years

The Greenland Greenlandic Government will allocate the quota share for Greenland halibut for 10 years at a time, while the cod quota will be allocated for one year at a time.

To be considered for allocation of the quotas, the applicant must be a purely Greenlandic company, i.e. 100 percent Greenlandic owned.

This means that the Danish company, North Atlantic Seafood, Nordjylland has sold its almost 25 percent ownership stake in Halibut Greenland.

– Both parties wanted this, as the Greenlandic Fisheries Act states that quotas must be owned by residents and companies.

Sold at the last minute 

– We had 10 years to adapt to the new fishing law, but we are already following it. Halibut Greenland is 100 percent Greenlandic owned by Greenlandic people. 98.5 percent are local fishermen, says Director Erik Sivertsen of Halibut Greenland.

The company is owned by 136 fishermen.

North Atlantic Seafood’s sale of the shares in Halibut Greenland took place at the last minute, namely on April 29, the day before the application deadline for the quota offer expired. The sale date appears from the Central Business Register, CVR.

– 12 companies have applied for the offer of offshore quotas in West Greenland, says Head of Department Katrine Kærgaard at the Department of Fisheries and Hunting for Sermitsiaq.

– 12 companies

The ministry writes in the tender documents that it expects there to be room for one major or two minor new players in the offshore halibut fishery.

– 12 companies have applied for the offer of offshore quotas in West Greenland, says Head of Department Katrine Kærgaard at the Department of Fisheries and Hunting for Sermitsiaq.

– 12 companiesAnnouncement

The ministry writes in the tender documents that it expects there to be room for one major or two minor new players in the offshore halibut fishery.

– It is up to the Government of Greenland whether one or two applicants are allocated quotas for Greenland halibut, cod and halibut, says the head of department.

However, she is not surprised that so many companies have submitted applications to the Department of Fisheries and Hunting. Greenland halibut is the most valuable fish Greenland has.

– These are great values that are being offered, she says.

The former Greenlandic Government decided in December last year that seagoing quotas of 4,600 tonnes of Greenland halibut, 1,960 tonnes of cod and 167 tonnes of halibut would be put out to tender by interested parties. The quotas were put out to tender by the Department of Fisheries and Hunting in early February this year.

Halibut will ensure raw material supply 

Erik Sivertsen, the director of the private limited company Halibut Greenland, confirms to Sermitsiaq that the company is among the applicants. The company hopes to get through the needle’s eye and get the green light for the application from the Greenland Government.

Katrine Kærgaard at the Department of Fisheries and Hunting expects that the Greenland Government will make a decision within the next two weeks, and thus before many in Greenland go on summer vacation, on which company or companies will win the tender.

The majority of Halibut Greenland’s earnings today come from the production of halibut at the company’s factory in Ilulissat. The raw materials are supplied by fishermen, but the company itself has no offshore trawling operations.

– We hope to be part of the group that is allocated a quota. But I don’t want to say how much we have applied for.

– We have sought to secure the supply of raw materials to our factory. The factory can produce much more than it does today, says director Erik Sivertsen.

The factory’s production capacity is 8,000 tons per year.

25 percent of catches must be purchased 

The company or companies that win all or part of the quota tender are obliged to land 25 percent of the catches.

Halibut Greenland is not currently a player in the offshore fishery. A new player or players in the offshore fishery for halibut have one year to purchase a trawler according to the conditions of the self-government. Before purchasing a trawler, the company must charter a vessel.

With the new Greenland Fisheries Act, individual tradable quotas for offshore fishing of Greenland halibut were introduced on January 1st of this year. This means that companies can trade quota shares with each other.

4 lose a third of their halibut quotas 

The consequence of the law is also that the four companies Polar Seafood, Sigguk, Qaleralik and Royal Greenland, which have so far received the attractive offshore halibut quotas in West Greenland, will lose a third of their quotas. And the companies, with the exception of the self-government-owned Royal Greenland, have sharply criticized this.

The political background for reserving part of the halibut and cod quota in a tender was a desire by the Government of Greenland to spread ownership of the quotas and provide access to new, preferably young, players in the seagoing fishery.

As mentioned, the Ministry of Fisheries and Hunting put the quotas out to tender at the beginning of February. The application deadline was April 30.

Get quotas for 10 years

The Greenland Greenlandic Government will allocate the quota share for Greenland halibut for 10 years at a time, while the cod quota will be allocated for one year at a time.

To be considered for allocation of the quotas, the applicant must be a purely Greenlandic company, i.e. 100 percent Greenlandic owned.

This means that the Danish company, North Atlantic Seafood, Nordjylland has sold its almost 25 percent ownership stake in Halibut Greenland.

– Both parties wanted this, as the Greenlandic Fisheries Act states that quotas must be owned by residents and companies.

Sold at the last minute 

– We had 10 years to adapt to the new fishing law, but we are already following it. Halibut Greenland is 100 percent Greenlandic owned by Greenlandic people. 98.5 percent are local fishermen, says Director Erik Sivertsen of Halibut Greenland.

The company is owned by 136 fishermen.

North Atlantic Seafood’s sale of the shares in Halibut Greenland took place at the last minute, namely on April 29, the day before the application deadline for the quota offer expired. The sale date appears from the Central Business Register, CVR.