ALASKA STATE LEGISLATURE  HOUSE SPECIAL COMMITTEE ON FISHERIES  March 3, 2022 10:09 a.m. MEMBERS PRESENT Representative Geran Tarr, Chair Representative Louise Stutes, Vice Chair Representative Jonathan Kreiss-Tomkins Representative Andi Story Representative Kevin McCabe MEMBERS ABSENT  Representative Dan Ortiz Representative Sarah Vance COMMITTEE CALENDAR  PRESENTATION: SEAFOOD MARKET UPDATE - ALASKA SEAFOOD MARKETING INSTITUTE - HEARD PREVIOUS COMMITTEE ACTION  No previous action to record WITNESS REGISTER JEREMY WOODROW, Executive Director Alaska Seafood Marketing Institute Juneau, Alaska POSITION STATEMENT: Gave a PowerPoint presentation, titled "Raising the Value: Alaska Seafood Marketing Update." ACTION NARRATIVE 10:09:56 AM CHAIR GERAN TARR called the House Special Committee on Fisheries meeting to order at 10:09 a.m. Representatives Tarr, Story, and Kreiss-Tomkins (via teleconference) were present at the call to order. Representatives McCabe and Stutes arrived as the meeting was in progress. ^PRESENTATION: Seafood Market Update - Alaska Seafood Marketing Institute PRESENTATION: Seafood Market Update - Alaska Seafood Marketing  Institute    10:10:32 AM CHAIR TARR announced that the only order of business would be a presentation on the Alaska Seafood Marketing Institute (ASMI). 10:11:04 AM JEREMY WOODROW, Executive Director, Alaska Seafood Marketing Institute, gave a PowerPoint presentation, titled "Raising the Value: Alaska Seafood Marketing Update" [hard copy included in the committee packet]. He stated that ASMI was a public-private partnership directed by a governor-appointed board of directors composed of five processors and two commercial harvesters. He stated that ASMI's goal is to maximize the economic value of the Alaska seafood resource by building the brand, developing markets, and working with the industry. He continued that ASMI is funded through two primary sources: the Seafood Marketing Assessment - a statutory designated program receipt - and various federal funds. He noted that federal funding was limited and therefore competitive with other coastal states and commodity groups. The fiscal year 2022 (FY 22) spending plan totals $19 million, which is divided into 5 programs: International Marketing, Seafood Technical, Global Food Aid, Domestic Marketing, and Communications. The International Marketing Program oversaw 9 program areas in 42 different countries. He stated that ASMI operates with a 20-member staff in Alaska and in-market expert contractors in each region. He remarked that the U.S. is the single largest market. He discussed the Economic Value of Alaska's Seafood Industry Report by the McKinley Research Group, which found that Alaska's seafood industry employed over 62,000 workers and created $15 billion in economic output nationwide, contributing $5.7 billion to the Alaska economy in 2019. In 2019 alone, Alaska fishermen harvested 5.66 billion pounds of seafood at a harvest value of $2 billion, half of which was produced at a wholesale value of $4.67 billion. He characterized 2020 as "rough" across the board, with export value dropping from $3.1 billion in 2019 to $2.6 billion in 2020. He stated that 2021 showed partial recovery; however, key challenges from the COVID-19 pandemic lingered, such as supply chain logistics and rate increases. He suggested that the forecast for 2022 was optimistic. 10:41:18 AM MR. WOODROW continued the presentation by addressing the global consumer response to the pandemic. Ex-vessel harvest declined by 27 percent in 2020 because of COVID-19; however, with restaurants closing, retail and direct to consumer sales increased. Other pandemic trends included health, sustainability, convenience, and home cooking. In response to these trends, ASMI created a global strategy to connect with home cooks by increasing its e-commerce presence, capitalizing on health and wellness and emerging trends, and maintaining transparency. In addition to retail and digital partnerships, ASMI worked with trusted social influencers to increase its online presence. He cited the new trends as comfort, global, holidays, and more. He highlighted some of the challenges that Alaska seafood faces, including global market diversification, global competition, and existing COVID-19 difficulties. 11:07:33 AM ADJOURNMENT  There being no further business before the committee, the House Special Committee on Fisheries meeting was adjourned at 11:07 a.m.