Harvesting Cooperatives and Antitrust Law - Recent Developments and Implications, Joe Sullivan


Harvesting Cooperatives and Antitrust Law - Recent Developments and Implications By Joe Sullivan ABSTRACT Harvesting arrangements among fishermen have typically been a component of broader marketing association relationships. To qualify for U.S. antitrust law exemptions permitting joint price setting activity, fishermen's marketing associations have been required to exclude "vertically integrated" producers. However, under circumstances where a discrete fishery quota is fully utilized, the participating producers can demonstrate that a joint harvesting arrangement will increase product recovery, and where joint activity is limited to allocating harvesting rights among association members, U.S. antitrust authorities have stated non-objection to formation of "harvesting cooperatives" that include fully vertically integrated producers. This development, coupled with political difficulties associated with achieving more traditional, governmental rationalization systems in the fisheries of the Pacific Northwest and off Alaska, has lead to the formation of harvesting cooperatives in the catcher/processor sectors of the Pacific whiting fishery off California, Oregon and Washington and the Alaska Bering Sea pollock fishery. In addition, this development contributed to the authorization and formation of Bering Sea pollock fishery catcher vessel cooperatives under the American Fisheries Act. The presentation will discuss the antitrust law, fishery management and market developments and implications associated with forming and operating these new forms of harvesting cooperatives. View Fishery Management and Producer Associations Session View Full Paper (PDF file)

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Harvesting Cooperatives and Antitrust Law - Recent Developments and Implications

ABSTRACT