The Development and management of the Tasmanian Spiny Rock Lobster Fishery 1803 -1985

by

A J Harrison

 

4. The Impact of the Great Depression

 

As the new pot  fishery got on its feet and devloped markets its progress was thwarted by two international catastrophes. Lobster is a luxury product and the economic depression of the 1930s had a majorimpact. The Great Depression only ended in Tasmania as World War II beganand that tragedy robbed the industry of men, vessels, fuel and markets.

After the concerted attempts in 1926 to improve the professionalism of fisheries administration and promote development in the industry the collapse of the world economy after 1928 killed the momentum of the movement. A fisheries authority solely dependent for revenue on licence fees could only reflect the impact of the depression on the industry in reduced activities. The industry was badly hurt by the cessation of Hobart-Sydney shipping link as the southern crayfishery was largely dependent on Sydney as a market. In May 1928 the Tasmanian Government sought help from the Prime Minister Stanley Bruce. Bruce admitted that it was the Government’s responsibility to maintain the shipping service but the company was seeking a subsidy of £20,000 to continue. It was already subsidising two services across Bass Strait. But no more fish could be carried on the Launceston - Melbourne route either so the loss was very serious, and remained so until the trade was effectively restored in 1930.

The worsening economic situation began to bite on fishermen and it became increasingly obvious that the financial arrangements under which the Board was established might need to be changed. The interstate trade in fish, already disrupted by the shipping disturbances, was all but extinguished as prices fell to a level that did not even cover the cost of freight. Even crayfish prices fell from 16 shillings to 8 shillings a score between 1928 and 1932.

The collapse of the stock market also affected the membership of the Board. The income of the Ralston Trust fell and forced a reduction in the salary that could be paid to the Professor of Biology. Flynn found the new salary inadequate and resigned to take up a position in Belfast, his departure robbed the Tasmanian fishing industry of its most far sighted policy formulator. When Flynn left the University his position was downgraded from Professor to Lecturer-in-Charge and the University appointed V.V. Hickman to the post. Hickman also took over the position of scientific adviser to the Board.

The fishermen sought relief from the Board but in April 1928 Board recorded that it could not afford to reduce fees as it had to pay half to Treasury: but "perhaps the government could make a reduction in its share". Fishermen were at this time paying full cost recovery plus a resource rent equal to the cost of management! When imposing full cost recovery on fishermen today is considered too burdensome the impact of these charges at a time of much lower real returns can be appreciated. In June 1928 the Board wrote to the Government seeking relief questioning the need to pay the Treasury half the licensing revenue. Ogilvie finally agreed to temporarily reduce the payment to Treasury to a quarter of the total revenue for the purposes of passing on to fishermen on pro-rata reduction in licence fees. The Government transferred some of the pain to the Board by persuading them to give up their £50 per annum salaries.

There was little the Board could do to assist fishermen through the depression and despite an improvement in transport prawns had now taken the place crayfish in much of the Sydney market. Early in 1929 fishermen approached the new Minister, H.S. Baker, for a permanent reduction in the licence fees. When the Government reduced the proportion of Board revenue going to the Treasury this allowed it to reduce licence fees. Craypot fees were reduced by a third in 1930 and again the next year to bring them to 50% of the level set in 1926. However at the beginning of 1934 the Board was still paying 25% of the licence fees to consolidated revenue; about £250 a year. The Minister refused the request to end this contribution so that fees be further reduced.

The Board was much more effective in enforcing fisheries laws that its predecessor. In part this was due to the fearless work of Inspector Tom Challenger but the readiness of the Attorney-General to personally prosecute offenders in the Magistrate Courts also had great impact. On of Albert Ogilvie’s most effective successes was the conviction of the owner and operator of the Alida R for crayfishing without a licence off Flinders Island. The magistrate, and subsequently the Full Court, found that the Tasmanian Sea Fisheries Regulations applied to ‘foreigners’ that is Victorians, at least out to three miles in Bass Strait. The master was fined and the boat forfeited.

Despite the difficulties the Board, and its predecessors had, by 1935, accumulated a considerable understanding of the biology of the crayfish. Gould and Inspector Challenger had painstakingly counted the eggs carried by an average sized female — 850,000. They knew the growth rate and estimated that an individual may live for 15 — 20 years. They assumed that the age of maturity was five years. Challenger had made a special study of moulting and the growth increments. He was particularly keen to ensure that the Board prohibited the taking of soft shelled crayfish.

Fig 1 The dramatic impact of introducing pots is shown in this figure.

The outbreak of World War II ended the Depression in Tasmania but brought new difficulties for the crayfishery. Boats were commandeered, fuel was restricted and many fishermen joined the defence forces. When War broke out 87 vessels were licensed to used pots (148 boats still used rings) and there was little chance for that number to increase under wartime restraints. There was a major program to boost the production of canned fish focussed attention on pelagic fishes. When T. G. D’Alton became Minister for Fisheries he embarked on an ambitious program to develop fisheries but this had little impact on the crayfishery. He formed a close partnership with Harold Thompson and the new Fisheries Division of CSIR. The untouched resources of pelagic fish were to fuel the development. New canneries were built at Dunalley, Flinders Island and Margate to supplement the IXL factory in Hobart. Although crayfish were canned by IXL canned fish was needed to replace lost imports from Europe and to feed Australian troops overseas.

D’Alton, and his chief adviser John Reynolds, brought in a new Fisheries Act in 1941 that transferred responsibility for sea fishing to the Department of Agriculture. The former Board became the Sea Fisheries Advisory Board chaired by the Director of Agriculture.

 

National Controls

1943-1955

In July 1943 Prime Minister Curtin advised the Premiers that "During the war the fishing industry has been severely handicapped because there has been no central authority" .... to ensure "the most effective use of manpower, fuel, equipment and transport." The Commonwealth Government set up the co-ordinating body of Controller of Fisheries within the Department of War Organization of Industry and seconded Thompson.

"Hitherto, State Governments have assumed a major responsibility for the development of the fishing industry and should continue to do so. It is intended, however, the the Commonwealth Fisheries Authority should provide industry with one central reference point .... and work in close collaboration with and through State administrations .... It is suggested therefore that the principal fisheries officer in each State should be appointed as Deputy Controller for the State."

D'Alton urged the Premier to readily accept the proposal and that Roy Scott should be Deputy Controller for Tasmania.

The wartime organization of fisheries provided a short period of total industry control by Government but more importantly in the long term was the springboard it gave to CSIR. Central control was firmly in the hands of CSIR scientists with Thompson as Controller of Fisheries and Geoffrey Kesteven as his deputy. Thompson in the new role of Controller of Fisheries was required to establish production goals and to distribute fuel and manpower and other inputs which were both controlled and scarce. He would advise on prices, marketing, high priority was to be given to promote fishing co-operatives. Alec Frazer, Chief Fisheries Officer in Western Australia, was seconded to Thompson's office to take charge of the co-operative scheme. It demonstrated methods of disseminating information to fishermen and later a fisheries training scheme. The crayfishery would be totally controlled by the Government.

In Tasmania Roy Scott as Deputy Controller and Secretary for Fisheries received several reports from Blackburn assessing the industry, planning increased production and recommending the composition of the State Consultative Committee. In November 1944 the Commonwealth Government extended its wartime controls to the marketing of fish and appointed F.J.Haase of Seafresh Seafoods to be Superintendent of Markets. The control of fish prices gave fishermen a real say in the marketing of their catch for the first time but other wartime controls over fishing operated for only a short time before the war began to draw to a close.

The wartime fisheries managers believed that a fundamental problem thwarting the development of fisheries was the disorganized nature of the industry. The manpower controls of the Department of War Organization provided funds to encourage the establishment of fishermen's groups and cooperatives. The fostering of the co-operative movement was Labor Party policy and not just a war time measure. In November 1944 John Dedman used the Fisheries Newsletter to urge fishermen to organize:

"World War II has accomplished for the Australian fishing industry something that years of previous effort failed to bring about: it has raised the living standard of fishermen..... Yet the industry has not achieved a degree of organization which will make for a continuance of these improved living standards in the post war years.... Fishermen must therefore take the initiative. They must organize and plan now for the future."

Small boat fishermen in Tasmania read the statement with some scepticism as St. Helens fishermen were complaining that unless prices for crayfish, mullet, trevally and garfish were increased they would have to seek other employment. The wholesale price for Tasmanian crayfish were set at 6d./lb live and 1 shilling/lb cooked. By early 1945 the stimulus from Canberra had resulted in organizations of fishermen at Dunalley (base on the old Tasmanian Fisherman's Association), Bellerive and Stanley. Frazer arrived to foster the administration of these groups and his enthusiasm produced sufficient state wide interest to allow Scott to chair a two day conference of fishermen on July 17 and 18. The conference supported a State Consultative Committee and asked John Madden, the first true Minister for Fisheries, to replace "the old Fisheries Advisory Board which had no function" with the Committee. The two day meeting was the first time that the Government could be confident that it was hearing a truly representative industry voice. The meeting established a Tasmanian tradition for such meetings of addresses by Commonwealth and State officials, a brief address by the Minister and an outline of research in progress.

Following the conference the fishermen's delegates formed a new statewide union - The Licensed Fishermen's Association. Membership was open to "bona fide licensed fishermen, scallop and oystermen resident or following their calling in Tasmania or in and about islands adjacent to Tasmania and being engaged either part-time or full-time in that calling." .

The first meeting of the Consultative Committee resolved to support the continuation of price control and control over the importation of nets and fish should be included in a new Act to regulate marketing: the Marketing of Primary Produce Act. In a discussion of the prices to be paid for fish they recommended to the Prices Commissioner that the price of barracouta should remain at 4d/lb. and live crayfish should increase to 6d./lb. Wartime economic controls stayed in force for some years after the war ended and were welcomed by fishermen. In 1948 the price of live crayfish was set at 8d/lb and 1s 2d /lb for cooked.

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