Alaska Seafood Marketing Institute

1
Alaska Seafood Marketing Institute

• Southeast Conference
• September 20, 2004

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Alaska Legislature Changes ASMI

• After a two-year process involving the seafood
  industry Alaska State Legislature enacted law to
  streamline ASMI and make it more effective
• HIGHLIGHTS
• New board has 7 members
• 2 harvesters, 5 processors (4 large, 1 small)
• Industry referendum on ASMI
• Election to retain assessment, increase
  assessment

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• Processors are required to vote by October 1,
  2004 on the following two questions
• 1) Whether the seafood marketing assessment
  shall be retained at 0.3
• 2)  Whether the seafood marketing assessment
  shall be raised to 0.5

4
Assessment Election Impact

• If increase to 0.5 processor-paid seafood
  marketing assessment is approved
• increased levy (0.5) on all species takes effect
  January 1, 2005
• 1 salmon marketing tax paid by fisherman ends
  Dec. 31, 2004
• If assessment is approved at existing level of
  0.3, and not increased
• two fishermen added to Board
• 1 salmon marketing tax paid by fishermen
  continues (must be reinstated every five years)
• If assessment of 0.3 not approved it ends on
  Dec. 31, 2004

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(No Transcript)
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How the Vote Works

• Weighted vote -- based on value of seafood
  processed
• Requires approval by processors who produce at
  least 51 of seafood products produced in Alaska
  in order to pass
• Two votes required
• Continue ASMI assessment (0.3)
• Increase assessment to 0.5

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New ASMI Board of Directors

• Chair Mark Palmer, Ocean Beauty, large processor
• Vice-Chair Bruce Wallace, Fisherman, Southeast
  Alaska
• Kevin Adams, Fisherman, Bristol Bay
• Joe Bundrant, Trident, large processor
• Barry Collier, Peter Pan, large processor
• Duncan Fields, Kodiak Salmon Packers, small
  processor
• Don Giles, Icicle, large processor

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New Direction

• At the new ASMI we expect there will be some
  re-balancing in our efforts to promote all Alaska
  Seafood. We still consider salmon very important
  to our industry but also recognize that our
  former heavy focus on salmon did not serve the
  overall industry as well as it could.
• Quote from ASMI Boards letter to fellow
  processors

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Board Changes So Far

• Directed the staff to build a multi-year,
  all-species seafood marketing campaign to utilize
  6.5M available from the Governor and the Alaska
  Fisheries Marketing Board.
• Office move from Bellevue to Fishermens
  Terminal.
• Restructured Advisory Committees, new members
  appointed.

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• Restructuring ASMI Advisory Committees
• Established new criteria for committee membership
• New committee assignments on 25 August 2004.
  Will effectively utilize and task committees to
  guide ASMI marketing and quality programs.
• Whitefish Committee to focus on Pollock and Cod
  created new Halibut-Sablefish Committee
• Combined the Salmon Marketing Committee and the
  Canned Salmon Committee to improve efficiency
• Committee membership capped at nine members.
  Board member assigned to each committee to
  facilitate communication

11
Marketing Alaska Seafood

• All Alaska Seafood is represented in ASMI
• training sessions
• promotional materials
• trade show exhibitions
• menu and marketing guides
• Buyers Guides
• nutritional information media kits
• literature and sales aids, chef recipes, and
  consumer recipe releases to newspapers reaching
  millions of people

12
Foodservice Activities

• ASMI works with the largest broadline foodservice
  distributors in the U.S., such as Sysco.
• ASMI educates prominent chefs in usage of Alaska
  seafood, resulting in the product being put on
  the menu by major restaurant and hotel chains.
• ASMI does promotions with restaurant and hotel
  chains throughout the year, boosting sales.

13
Retail Activities

• ASMI has access to corporate offices of the
  countrys top supermarket chains. The Lent 2004
  promotion of Alaska Seafood (prepared wrapped
  with Reynolds foil) ran in 8,000 grocery stores.
• Cook It Frozen initiative takes advantage of
  growth in private label frozen sector, as stores
  start carrying their own lines of frozen,
  boneless, skinless portions that can go from
  freezer to stove or oven.

14
International Program Differentiates Alaska
Seafood

• ASMI incorporates the following elements into
  our messages to differentiate Alaska Seafood
• Purity
• Naturalness (The Wild Factor)
• Health
• Wholesomeness
• Safety
• Superior Taste
• Sustainability

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International Activities

• Overseas Marketing Representatives in Japan,
  China, EU
• In Asia 1,659 stores participated in ASMI
  promotions selling 20.5 million pounds of Alaska
  seafood as a result of ASMI promotions.
• ASMIs Alaska pavilion at the European Seafood
  Exposition last year generated 70 million in
  sales for Alaska seafood producers.

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Technical Program

• Provides technical support to marketing programs
  as well as to Alaska industry on a variety of
  topics
• Food safety, nutrition
• Seafood quality assurance for all links in the
  supply chain
• Environmental issues, e.g. contaminants,
  fisheries management, sustainability
• Labeling, health claims
• National and international food safety regulations

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Summary

• New Board, New Direction
• More Balance, Better Focus
• Need your Support to Move Forward
• Committees Reflect Industry Contribution

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QUESTIONS?

• Ray Riutta, ASMI Executive Director
• Laura Fleming, ASMI Public Relations Director
  800-478-2903, lfleming_at_alaskaseafood.org
• Questions regarding ballot
• Tom Godkin, Division of Elections
• Phone [phone]
• Email Thomas_Godkin_at_gov.state.ak.us