Photo: Parte de Pesca/FIS

'Reality Rules, and Today the Industry Just Doesn’t Work'

ARGENTINA
Tuesday, April 15, 2025, 00:10 (GMT + 9)

Mauro Zamboni, Vice President of Argenova, reflects on the critical state of Argentina’s shrimp freezing sector and calls for dialogue to prevent collapse

Mauro Zamboni, Executive Vice President of Argenova — the Argentine subsidiary of Grupo Nueva Pescanova — spoke with Parte de Pesca about the delicate situation facing Argentina’s shrimp freezing sector. One month into the opening of national waters outside the key closed zone, the entire fleet remains docked due to soaring costs that have rendered the business unprofitable.

“Reality rules, and today the industry just doesn’t work,” Zamboni stated.

The executive emphasized that the activity, in its current form, is neither viable nor sustainable, and unless a consensus is reached, the crisis in Argentina’s frozen shrimp industry will only deepen.

“Unless this is clarified or directed toward a solution, it will continue down the same path. If we don't make this a viable and sustainable activity, the shrimp freezing industry in Argentina will remain in crisis,” he said.

A Unified Sector, Despite Uncertainty

Zamboni described this moment as a turning point for reshaping the shrimp business model. Despite differences in size and ownership among sector companies, he highlighted the shared position: no one is fishing because no one wants to operate at a loss.

“If this were profitable, there would be boats out fishing. But there aren’t — because no one is obligated to operate at a loss,” he asserted.

He also recognized the dual responsibility of business leaders: to preserve jobs while also maintaining profitability.

“We’re in a tense waiting period until we can sit down face-to-face and see if we can reach an agreement,” he added.

The Core Issue: Labor Costs

The main challenge, according to Zamboni, lies in high labor costs, which significantly affect the economic feasibility of each vessel.

“Although there are other issues, labor represents 60% of a vessel’s total production costs. That’s the reality,” he said.

While recent tax adjustments — such as changes to the DUE values by the Federal Fisheries Council — are welcome, Zamboni stressed they are not enough:

“The authorities are showing a willingness to help, but tax relief alone won’t solve the problem. The heart of the issue lies in labor costs.”

“We Are in Survival Mode”

Zamboni acknowledged that, while the shrimp sector includes a wide variety of players — from small vessel owners to large national and international groups — everyone is aligned in their concern over sustaining jobs and activity.

“We are in survival mode,” he admitted.

He also called for efforts to reposition Argentine shrimp (Pleoticus muelleri) on the global stage, stressing its quality as a wild protein with clear advantages over competitors like vannamei shrimp.

“That’s another pending task for our sector. But first, we need to make the industry viable again,” he said.

“No Work Without Activity”

Responding to union positions that deny the crisis and oppose any change to collective bargaining agreements, Zamboni was diplomatic but firm:

“Workers have every right to want to earn more — that’s not in question. But it must happen within a viable framework. Without activity, there’s no work. Without work, there’s no income. Ensuring a prosperous and sustainable industry is the only way to preserve jobs.”

Dialogue, Not Division

Lastly, Zamboni urged all stakeholders to put aside conflict and come together:

“One valid self-criticism is that in times of abundance, we signed all kinds of agreements — and today, we’re paying the price. But this is not the time for finger-pointing; it’s time for solutions.”

“We businesspeople are not the enemies of workers. We’re all in the same boat, and it’s our shared duty to bring this industry to a safe harbor. That requires dialogue — not unnecessary conflict — and mutual respect,” he concluded.

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