* By FishProf
Sometimes in life you need to stop and think… We have all had those moments, a good idea has turned into a nightmare because we did not think through the whole process, we did not share with others who may be impacted by the idea, we did not understand what the consequences were going to be. In today’s society we see this increasingly.
Away from seafood for a moment let us just look at ebicycles, e-scooters, and e-balancing devices (let us use the collective name ‘e-micromo-bility devices’). In my home state arrangements were made in 2018 for these e-micromobility devices to be used without any license and insurance. They were seen as a novelty. No one thought about the mayhem that could be created.
Yet in my state from the e-micromobility devices at least two per year are being killed and the officially statistics highlight that between 2017-18 and 2022-23, there were 2778 emergency department presentations related to injuries from e-micromobility devices. Of these 1680 were attributed to e-scooters, 534 to e-bikes, and 564 to self-balancing devices.
The most common injury type was a fracture, particularly to the wrist, hand, or forearm, and injuries were more frequent in males and adolescents/young adults. Of course, not every injury has been recorded, some people just went home and licked their wounds so the injury numbers would be much higher.
Moreover, in the 18 months prior to January 2023, Victoria experienced 120 fires linked to lithium-ion batteries in e-scooters and e-bikes. This is part of a broader trend of increasing fires related to these batteries across Australia, with other states reporting similar numbers.
The product does not only harm the user. It impacts so many people.
If the FishProf produced a new seafood item and the outcome was people died and were regularly injured/hospitalized (be they the user or a bystander) and that the packaging was regularly catching on fire, then clearly FishProf would finish his life behind bars… and that is not the bars where you might have a nice drink or snack and meet some friends, no prison bars are nowhere as nice (apparently!).
The FishProf just wants to put that seed into your head!
Now to the subject of this article – Environmental Social Governance (ESG) which is coming to everyone’s seafood at a fast rate and will be with you before you can say ‘Every Supplier Groans.’
ESG is a formal approach to measuring and reporting how your business impacts society and the environment. ESG means more than just being sustainable. ESG focuses on governance and transparent reporting on how a business manages itself.
ESG practices are becoming more important to all seafood businesses, and we are being told that ‘people’ want businesses to make sustainable improvements to the environment and society. Well, that is probably true but at what cost, we should be asking. In some countries this has already been mandated through laws/regulations, in others it is being planned and in others it is not on the horizon.
However, essentially this does not really matter as what is happening is that large companies are being engaged and they will need to bring their full supply chain with them in order to comply. Large supermarket chains generally rely on SME operations for products and services so you can see where the costs and work will be landing.
Singapore is a leader in Asia where it has been reported that the regulators advised the new climate reporting requirements form part of the government’s efforts to strengthen companies’ sustainability capabilities, with companies able to provide climate disclosures standing to benefit from improved access to new markets, customers, and financing.
Tan Boon Gin, Chief Executive Officer of SGX Reg Co, is reported as saying “SGX-listed issuers have had a head-start in climate reporting, and many have seen its benefits. Companies are better equipped to meet demand from their lenders, customers, and investors for sustainability- related information. They can also more readily access the growing pool of sustainable capital. These position Singapore well as a green economy.”
New Zealand’s large publicly listed companies (mainly insurers, banks, and investment managers) have been required to produce climate-related disclosures since April 2024. The disclosures ensure a rapid implementation of climate reporting, in line with international frameworks (IFRS S2), as well as the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD).
Reporting entities in NZ will need to disclose GHG emissions, climate governance and their assessment – and management of – climate risk, in their own direct operations as well as their upstream and downstream value chain. To see what this looks like the best reporting in seafood that the FishProf has seen is by Sanford Ltd – https://www.sanford.co.nz/investors/esg-profile/ .
Australia is lagging behind, but the ball is rolling as you can see from the Table 1:
In the United States, ESG regulation is characterized by a fractured landscape with states moving in opposite directions. This ideological battle at the state level sees some states embracing ESG measures, while others enact anti-ESG legislation. Despite these differences, the overarching goal of ESG regulations and compliance is to ensure companies back up sustainability claims with actions.
This is coming on top of the uncertainty in trade due in no small part to President Trump’s trade policies and tariffs games so this will be driven by stakeholders. People/organizations who want to see transparency and accountability from companies regarding their ESG practices, will be pushing for a shift towards sustainability and transparency in corporate practices.
ESG is a wonderful opportunity for seafood associations to guide their members through implementing and reporting on Environmental, Social, and Governance (ESG) practices to ensure sustainable and ethical seafood production and trade. This should include supporting members in understanding key ESG issues, setting goals and targets, and developing strategies to address them. Associations can also facilitate knowledge sharing through collaboration and best practice exchange among members and building training platforms with experts.
The seafood industry is globally recognized as being important in terms of its size, contribution to food security, jobs, and sustainable development. There are clear impacts on the environment and people on which it depends threaten its future.
The new world order with the United Nations Sustainable Development Goals (SDG’s) at the forefront can be used in de-risking the seafood sector with regards to environmental and social issues. The industry has the chance to put pressure on governments to invest in a strong enabling environment that underpins a sustainable seafood sector. Every Supplier could Groan but with proactivity and collaboration the industry can make the emergence of ESG its opportunity to be seen as the driver rather than the passenger then Every Supplier can Grin.
References and sources consulted by the author on the elaboration of this article are available under previous request to our editorial staff.
