A Call for Collaboration: Fishermen’s Giants Face Off on Aasiaat Factory’s Future
In a crucial response to the uncertain fate of the shrimp factory in Aasiaat, Peter Borg, the Naalakkersuisut for Fisheries, has urged Polar Seafood and Royal Greenland to engage in constructive dialogue. However, Bent Salling, director and co-owner of Polar Seafood, notes that despite ongoing discussions, a solution remains elusive.
The inability of these two major players in Greenland’s fishing industry to reach an agreement has not gone unnoticed. Christian Keldsen, Greenland’s Business Director, offers insight into the complexities at play.
“One company operates strictly within market dynamics, while the other grapples with broader sectoral policy concerns that extend beyond its original mission. Both are skilled in their respective areas, yet their differing operational frameworks make collaboration challenging,” Keldsen explains.
The Case for Consolidation
Keldsen suggests a possible path forward: “If Polar Seafood Greenland intends to operate under entirely commercial terms, consolidating operations and relocating shrimp production to Nuuk might be the most viable option. Unfortunately, this would likely mean shutting down the factory in Aasiaat. Given that the decline in shrimp volumes appears to be linked solely to reduced quotas, creating a more consolidated operation may be the necessary solution to safeguard the industry and the jobs at risk.”
Recent data reveals a staggering 35 percent drop in total shrimp quotas, plummeting from 115,000 tons in 2022 to just 75,000 tons this year, amidst four operating factories in Greenland. Borg anticipates increased competition among these facilities for shrimp fishermen as early as 2026.
Keldsen underscores another pressing issue: “If the allocation of shrimp quotas is politically motivated—such that Polar Seafood receives 6,000 tonnes of the required 10,000 tonnes to maintain operations—the situation transcends biological concerns, entering the realm of political decision-making. In this context, it’s crucial to evaluate how this impacts the 116 employees and the many related jobs dependent on the Aasiaat factory. The disappearance of such a significant operation could have profound ramifications for the community.”
Anticipating Political Solutions
“It’s essential to consider that these discussions may have already taken place during the fisheries law deliberations. As constituents of a democracy, we have the right to demand that all possible scenarios are thoroughly examined and the potential impacts on jobs and livelihoods are clearly outlined. One would hope that a political plan exists, ready to address this known scenario that has been in the making for the past two years,” Keldsen asserts.
While acknowledging the challenging landscape that Borg has inherited, Keldsen expresses confidence in the Fisheries Minister’s ability to navigate these turbulent waters. “We believe in Peter Borg’s capacity to tackle the pressing issues facing the shrimp factory in Aasiaat,” he affirms.
As both companies continue to grapple with these formidable challenges, the eyes of the local community remain fixed on the efforts to preserve not just the factory, but the livelihoods tied to it.