Iwi-owned fishing company Moana New Zealand and Sanford have announced that they have entered into a long-term arrangement involving Sanford's North Island inshore fishery.
Subject to various conditions being met, including approval from the New Zealand Commerce Commission, Moana will acquire Sanford’s Annual Catch Entitlement (ACE) for much of its North Island inshore species quota. Moana will also take over the catching, processing and selling of fish utilising this ACE. Inshore fisheries are those out to 12 nautical miles from the New Zealand coast.
Settlement is expected to occur later in 2023 after the conditions are met. Moana is exceptionally well placed to take on the additional catch and processing volumes with a proven track record of success in inshore operations, perishable goods supply chain management, and upgraded facilities built with growth in mind.
Moana CEO Steve Tarrant said the secret to their success is the people.
“We’re extremely proud of our inshore whānau who have a wealth of knowledge, experience and expertise across the supply chain. This, coupled with strong in-market partnerships, has ensured the ongoing success of Moana New Zealand, in inshore fisheries.
“This additional capacity provides opportunities for Māori beyond just fishing. It brings scale which will enable investment in innovation and science that align with our values of kaitiakitanga and manaakitanga, and that’s exciting.”
Sanford CEO Peter Reidie said Sanford sought the proposed deal with Moana following a comprehensive review seeking to turn around its North Island inshore operations.
“We signalled some time ago that we have been looking at ways to turn around this part of our operations. The long-term agreement with Moana will enable them to fish and process inshore species to scale in the North Island. Sanford’s North Island inshore operations represent a relatively small part of our business, but this proposed deal will reduce these operations' negative impact on Sanford’s bottom line.
“This deal includes two of our North Island-based fishing vessels and a selection of our processing equipment. As a result of the transaction, we also intend to close our own processing plant in Auckland, but we are pleased that Moana is keen to offer work to as many of our affected fishers and processing staff as practicable.”
“It’s critical we retain industry knowledge and expertise, which is why we support people affected by welcoming them to our Moana whānau where possible," said Moana CEO Steve Tarrant.
Sanford said the welfare of its staff had been a central consideration in the drawing up of the agreement with Moana, but the welfare of the fishery was also front and centre.
“Moana shares our values around sustainable fishing. We have worked with them in the past on several environmental projects and advances in fishing technology, so we know their emphasis on kaitiakitanga and fishing for the future. Sanford retains its fishing quota in this agreement and, with it, our interest and involvement in the fishery.”
Sanford’s auction operations and its Sanford & Sons retail business will continue to operate, supported by Moana. The new arrangement will see Sanford continue to sell into export markets such as Australia and the US, and Peter Reidie said, “It gives us opportunities to invest and grow.”
Further information explaining how the Commission assesses a merger application is available here
