Trident Seafoods has announced a delay in plans to begin construction of a new processing plant in Unalaska, Alaska next year. This will set back breaking ground for the facility until 2025. With a projected three-year build plan, the new timeline means the plant will not be operational before 2028.
This decision was made due to an unprecedented confluence of high inventory levels, low consumer demand and aggressive price competition in global markets, according to the Seattle, Washington-headquartered company. These forces have driven prices down rapidly and across species — all while high global inflation and rising interest rates are driving up operating costs.
“I’ve been in the industry a long time and I’ve never seen markets like this,” said Trident CEO Joe Bundrant. “The rate and pace at which markets are collapsing across our key species is staggering. Not only are global inventories and operating costs high, but demand is low, and some are selling at or below cost just to generate cash.”
Founded in 1973 by Joe’s father Chuck Bundrant, the frozen seafood company built its reputation on a commitment and service to independent harvesters.
“We have a long history of managing through good times and bad to return value to all our stakeholders while generating the cash needed to invest in the future. Our fishermen need a fair return on their investment to sustain a healthy harvesting sector. We depend on them as much as they depend on us,” said the chief executive officer.
“Our current plant in Akutan has served everyone well since the 1980s,” added Jeff Welbourn, Trident’s senior vice president of Alaska operations, “Wear and tear over the years and a remote and harsh environment make maintaining the plant for the long run no longer feasible. We’ve designed a next-generation processing plant to deliver the operating efficiencies and value our fishermen and markets deserve from Alaska’s world-class fisheries.”
The new factory will be in Captain’s Bay, Unalaska, and will feature state-of-the-art equipment and processing practices designed to drive the company closer to its zero-waste ambition and deliver greater value from every fish.
“We are working closely with the village of Akutan to soften the impact of our eventual move to Unalaska,” said Stefanie Moreland, executive vice president of public affairs,. “Delaying the project start date does not change our long-term plan.”
Trident points to a strong record of globally leading fishery management practices in the Alaska region as the fundamental reason why the company remains committed to continued investment in Alaska for decades to come. However, in the current global market Alaska’s competitive advantages are being overwhelmed.
“We have moved quickly to adapt to deteriorating market conditions, including fast-tracking initiatives that trim costs and drive more demand for wild Alaska seafood, but we also need swift action from the federal government to provide US seafood producers fair and open or reciprocal access to markets around the world,” added Moreland. “Current US trade policy and domestic programs for seafood are failing domestic producers at this critical time. We cannot continue investing in the improvements necessary to modernize our sector when foreign supply chains with low regulatory standards and no meaningful oversight have equal or better positioning with respect to the tariff and non-tariff market barriers we face in global markets.”
About Trident Seafoods
Trident is the largest vertically integrated seafood harvesting and processing enterprise in North America. The privately held, 100% American-owned company has operations in six countries and serves customers in over 50 nations. It employs approximately 9,000 people worldwide each year and partners with over 5,400 independent fishermen and crew members. Fish processed by include virtually every commercial species of salmon, whitefish and crab harvested in the North Pacific and Alaska. The global supply chain also includes cultured and wild species from a network of sources worldwide.
