Commercial Fishing

Industry Profile Report

Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters

Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.

Call Preparation Call Prep Questions, Industry Terms, and Weblinks.

Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.

Industry Profile Excerpts

Industry Overview

The 2,600 commercial fishing operations in the US harvest fish and shellfish from their natural habitats in fresh water, tidal areas, rivers, and oceans. The approximately 300 target species vary by region and require differing methods, vessels, and equipment for their catch. Imports currently represent about 80% of US consumption of fish and shellfish.

Overfishing

Overfishing occurs when a stock has a harvest rate higher than the rate that produces its maximum sustainable yield.

Hazardous Weather

Fishing is a seasonal occupation and catch is highest during the summer and fall, as winter fishing is particularly hazardous.

Industry size & Structure

The average commercial fishing company employs 2 workers and generates nearly $2 million in annual revenue.

    • There are about 2,600 companies in commercial fishing, with about 182,568 people employed as commercial harvesters, according to NOAA Fisheries.
    • Companies in commercial fishing vary in size, from small vessel and family operations that operate as a fishing community to local and regional markets to large corporate fleets that supply regional, national, and export markets.
    • Total annual revenue or "landings value" for commercial fishers ranges from $9-10 billion.
    • The largest firms are typically integrated, moving from managing their own fishing fleet to processing and distribution. These firms include: Nissui USA (formerly Nippon Suisan Kaisha USA), Tri Marine International, and Trident Seafoods Corporation.
    • Eight regional fishery management councils under NOAA oversee about 45 fishery management plans that control approximately 492 major fish stocks, making up over 90% of annual revenue.
    • Dutch Harbor, Alaska, and New Bedford, Massachusetts, are the top ports in value and volume of commercial landings, according to NOAA Fisheries.
    • The three highest-value commercial species categories are crabs ($584 million), lobsters ($563 million), and scallops ($488 million).
                              Industry Forecast
                              Commercial Fishing Industry Growth
                              Source: Vertical IQ and Inforum

                              Recent Developments

                              Nov 27, 2024 - Decade-Low Employment
                              • Employment by commercial fishers is at a 10-year low, according to data from the US Bureau of Labor Statistics. Moreover, from 2023 to 2033 the number of jobs for fishing and hunting workers is forecast to decline by 1%, per the BLS. Following double-digit growth in 2021 and 2022, sales for the US commercial fishing companies industry are forecast to grow at a 2.76% compounded annual rate from 2024 to 2028, slower than the growth of the overall economy, according to the Interindustry Economic Research Fund.
                              • Participation in commercial fishing is declining, National Fisherman reported in November. “The graying of the fleet is real,” Andrea Tomlinson, of the New England Young Fishermen’s Alliance (NEYFA) told a Workforce Development panel at this year’s Pacific Marine Expo, adding “It’s a nationwide problem.” Barriers to entry facing would-be fishers include financial constraints and a lack of mentorship. The Alaska Longline Fishermen’s Association’s Crew Training Program is focused on mentorship and has placed over 130 young people on boats, helping them learn the ropes in a safe, supportive environment. To help those already involved in commercial fishing advance their careers the NEYFA has launched the Deckhand to Captain (DTC) training program, an intensive nine-month course designed to guide individuals from seasoned deckhands to successful owner-operators. The DTC program is open to commercial fishermen with at least three years experience as a deckhand or sternman.
                              • Alaska’s commercial fishers, struggling amid low prices for their catch, are blaming flooded global markets and Russia in particular. In the US, dollar sales of frozen seafood dropped 4.2% to $739 million and declined 2.6% by volume, while dollar sales of fresh seafood fell 2.2% to $807 million and sales by volume dropped 4.9%, according to Circana Integrated Fresh data analyzed by 210 Analytics. Retail seafood prices have been falling this summer, although prices of fresh and frozen seafood rose slightly in August, resulting in a corresponding dip in sales, according to 210 Analytics Principal Anne-Marie Roerink in a recent US Retail Seafood Performance Review report. Per the August Consumer Price Index (CPI), fish and seafood prices at retail dropped 2.3% in August compared to a year ago, while prices rose by 0.2% month over month.
                              • Along with falls, equipment-related injuries, and drownings, fatal overdoses have become an occupational hazard of commercial fishing, The New York Times reported in June. The grueling nature of work aboard commercial fishing vessels and the high incidence of stress and painful injuries make crew susceptible to opioid use and overdosing. In response, efforts are being made to train crewmembers to identify and treat an overdose and to equip commercial fishing boats with naloxone (aka Narcan), an opioid antagonist that can reverse overdoses and prevent death. The New Bedford, Massachusetts-based nonprofit Fishing Partnership Support Services provides free training on responding to an opioid emergency to fishing communities along the East Coast. A 2022 report by the Massachusetts Department of Public Health found that employees in fishing, forestry, agriculture, and hunting had the highest fatality rates from opioid overdoses of all industries, closely followed by workers in construction trades.
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