Dr. Darian McBain is the Global Director of Sustainable Development at Thai Union, the largest seafood producer in the world. Her previous work includes serving as the Sustainable Procurement Lead for the United Kingdom’s National Health Service, advising the United Nations, working in partnership with the World Wildlife Fund, and heading her own strategy and sustainability consultancy. She holds a PhD on social indicators for global supply chain analysis from the University of Sydney, where she serves as an Adjunct Senior Lecturer of Integrated Sustainability Analysis.
In the autumn of 2016, an initiative came together on a stunningly beautiful island in the Maldives. Surrounded by ocean, the Stockholm Resilience Centre (SRC) finally succeeded in bringing together eight of the largest businesses in the seafood industry to talk about ocean sustainability. The local dolphins and manta rays reminded the participants of the importance of ocean protection. A newly bleached coral reef reminded them of the pressures placed by climate change on the ocean. And there was the vital tuna industry, providing livelihoods to those living in the Maldives as well as nourishment to people living throughout the world. Corporate responsibility, a company’s response to managing and improving the social and environmental impacts of its business beyond minimum regulatory requirements, has been around for long enough to suppose that everything has been covered. But perhaps our largest imperative remains—collaboration for the future of our oceans and engaging business to be the leading steward for change.
According to a report by the United Nations Food and Agriculture Organization, global per capita fish consumption rose in 2016 to above 20 kilograms a year for the first time. And between 1992 and 2002, global consumption of seafood increased by 21 percent. Seafood, particularly nutritious and sustainably sourced seafood, is on many watch lists for food trends for 2018. However, despite the increase in demand, levels of fish catches in the wild have remained stable since the mid-1990s—close to 90 million tons annually.
The challenge is clear: how can industry, governments, NGOs, and other stakeholders come together to meet the protein needs of the global population in a way that it is sustainable and protects our oceans for future generations?
From Sweden to the Maldives
The SRC has achieved a remarkable accomplishment—moving from academic speculation to corporate engagement. Based on the ecological concept of keystone species (those which play a crucial role in maintaining the structure and function of the ecosystem in which they exist), the researchers from the SRC looked at the key corporate entities that have a significant influence on the sustainability of the oceans through their activities, policy influence, and supply chains. Their research covered companies that produce seafood from the ocean (referred to as wild caught or wild capture seafood) as well as those that use ocean inputs for feed for aquaculture. It was one of the first times that the impact of feed was also considered as a key input for seafood, as wild caught fish are still a significant ingredient in producing feed for aquaculture or farmed species such as salmon or shrimp.
A 2015 paper, published by the SRC’s Österblom and his colleagues, set up the concept of keystone actors in the marine environment. They found that 13 seafood-producing companies accounted for around 15 percent of global wild catches, but for some key commercially saleable species they controlled up to 40 percent of wild caught stocks. Rather than leaving it as an excellent theory, the SRC decided to take it further. These corporations were not theoretical—they were real. They set about bringing the CEOs of these organizations together. In 2016 they succeeded.
Seafood Business for Ocean Stewardship
In the Maldives in October 2016, with the meeting space and costs generously donated by the Soneva island group under their corporate responsibility program, eight of the companies met. They represented corporations headquartered in Norway, the Netherlands, the United States, and Asia (Thailand, South Korea, and Japan). The species they traded in varied from salmon to tuna to aquafeed. Bringing them all together, along with the SRC and advisors, was Her Royal Highness the Crown Princess of Sweden. Crown Princess Victoria, a passionate defender of the oceans, is also one of the United Nations Sustainable Development Goal (SDG) ambassadors. SDG 14, Life Below Water, represents the United Nations’ focus on protecting and conserving the oceans for all: for the environment, for people, and for the economy. With this, you had together three pillars for an important collaboration—business, science, and diplomacy.
The setting was relaxed and, with a no shoes/no news policy, the meetings on the island progressed from the barefoot to the practical. Never let it be said that the environment cannot shape an outcome. Without these executives in casual clothes and away from the usual stresses of the boardroom, surrounded by the beauty of the ocean and the ability to interact with it on a personal rather than a commercial or a theoretical level, the outcomes may not have been the same. The imperatives would not have been as evident. At the end of the meeting, all eight global companies had agreed to sign up to the Seafood Business for Ocean Stewardship (SeaBOS) Initiative. The companies—Maruha Nichiro Corporation, Thai Union, Dongwon Industries, Cargill Aqua Nutrition, Nippon Suisan Kaisha, Marine Harvest ASA, Nutreco, and Cermaq—are important to note for both their willingness to participate and their willingness to show leadership in an industry where leadership for sustainability had perhaps been lacking.
The SeaBOS Initiative has 10 key commitments covering transparency and traceability: reducing Illegal, Unregulated and Unreported (IUU) fishing; engaging in science-based efforts to improve fishery and aquaculture management; applying concerted efforts to eradicate modern slavery from seafood supply chains; reducing the use of antibiotics in aquaculture; reducing ocean plastics; reducing greenhouse gas emissions from operations; supporting the growth of sustainable aquaculture; sharing technologies and collaborating for sustainable fisheries and aquaculture; and finally supporting novel initiatives for innovation for ocean stewardship. The SeaBOS group has since met again in Sweden in 2017, gained two more members, and has presented the initiative at the 2017 UN Ocean Conference in New York. A summary of the initiative to date can be found in the PNAS article on ocean stewardship by Österblom et al in 2017. No one can disagree with ocean stewardship, but are businesses—and not just the seafood businesses involved, but also the retailers and restaurants at one end and the fishers and farms at the other end—ready to collaborate to achieve a common good?
Ocean Decline: A Tragedy of the Commons
The decline in health of the world’s oceans is an example of the tragedy of the commons. The tragedy of the commons was first conceptualized by William Forster Lloyd in economic terms. He described the exploitation by individuals of a shared resource for their own benefit rather than the common good through the example of stock grazing on shared or common land in England (known as the commons). The concept was later popularized in environmental terms by Garrett Hardin in 1968 in Science, in which the commons referred to shared and unregulated resources like the atmosphere, oceans, or fish stocks.
Oceans help regulate the earth’s temperature and humidity and act as a massive carbon sink. They provide food for billions and livelihoods for millions of people around the world. Research from oceans benefits our life with data collected from the depths of the Mariana Trench (deeper than Mount Everest is high) to the sparkling surfaces, and its species give us thoughts on our own humanity (think of whales and dolphins). The oceans provide us with sport, recreation, and contemplation—and yet most are not governed. Exclusive Economic Zones (EEZs), the areas of coast ocean surrounding land, extend 200 nautical miles (or 370.4 kilometers) from the coast, and allow the sovereign state to have rights regarding use of marine resources or exploration as defined under the United Nations Convention on the Law of the Sea. Then there are territorial seas, where the EEZ grants full sovereignty over the waters. However, surface waters, beyond territorial waters extending a mere 12 nautical miles from the coast, are international waters. With respect to seafood traded in international markets, a large proportion comes from international waters. And although there are some governing bodies for international waters and oceans, such as Regional Fisheries Management Organizations, there is relatively light regulation of the oceans when it comes to fishing.
The Food and Agriculture Organization (FAO) periodically publishes a report on the State of the World Fisheries and Aquaculture, providing fascinating insight into the importance of oceans and fisheries to world. In the 2016 report, they estimate that the peak of wild capture fish from the ocean was reached in 2014 (peak seafood), with aquaculture now providing over half of fish for human consumption. In 2014, global human consumption of fish was 161.2 million tons and an additional 23 million tons for non-food uses including 78 percent for fishmeal and fish oil. The statistics have changed little since then, indicating that as the global population grows, humans will be reliant on a mix of wild capture fish and aquaculture to meet the growing protein demands.
Millions of people rely on fishing and aquaculture for their livelihoods as well. It is estimated that over 56.6 million people globally are engaged in the primary production of fish (either wild caught or aquaculture), and many of those are artisanal or small-scale fishers operating in coastal and inland waters. The workers are based primarily in Asia (84 percent), Africa (10 percent), and Latin America and the Caribbean (4 percent). Fish provides more than 3.1 billion people globally with almost 20 percent of their average per capita animal protein intake, so the oceans, from a production perspective, are clearly an important asset to manage wisely and sustainably. These statistics are based on a global population of 7.3 billion people. As we move towards a global population above 9 billion people in 2050, the imperative for available and sustainable protein will become even greater, and thus the importance of collaboration for sustainable ocean outcomes.
The Imperative for Collaboration
Unlike some of the land-based protein industries, the seafood industry had not previously had many sustainability initiatives taking a landscape (or in this case seascape) based approach. Two of the most well-loved and consumed fish brought together two of the most significant industry initiatives—the Global Salmon Initiative (GSI) focusing on farmed salmon and the International Seafood Sustainability Foundation (ISSF) focusing on tuna stock sustainability. These initiatives are collaborations between business and NGOs (and science, in the case of ISSF) to support the development of these industries to be future ready. The FAO Code of Conduct for Responsible Fisheries provides guidance applicable across fisheries for their sustainable management, and has informed certification schemes such as the Marine Stewardship Council (MSC). The MSC, along with other seafood certification and ecolabel schemes such as the Aquaculture Stewardship Council (ASC) and the Global Aquaculture Alliance’s Best Aquaculture Practice (BAP), form a basis for a market-based approach to approximating seafood sustainability. More recently, the Global Seafood Sustainability Initiative (GSSI) has brought a rigor to seafood certification through benchmarking the different schemes available around the world.
A different approach to ocean management for fisheries is shown by the Parties to the Nauru Agreement (PNA) fisheries. The PNA member states are the Federated States of Micronesia, Kiribati, Marshall Islands, Nauru, Palau, Papua New Guinea, Solomon Islands, and Tuvalu, meaning that the PNA provides conservation measures for over 25 percent of the world’s tuna supply. Through collaboration, they have implemented many conservation measures throughout the oceans covered by the countries, placing an emphasis on the processing of tuna within the PNA region to support livelihoods. Interestingly, many of these countries are also likely to be highly impacted by climate change.
Case Study: Thai Union
Changing Seafood for Good
Corporations are taking responsibility for ocean health, from seafood manufacturers to shipping companies to plastic manufacturers. An example that I am particularly close to is Thai Union. As the largest seafood producer in the world, Thai Union was honored to participate in the SeaBOS initiative. Thai Union owns brands around the world such as Chicken of the Sea, John West, Petit Navire, and King Oscar. It co-manufactures seafood products from tuna to sardines to shrimp for many other companies under their own labels, and is a significant producer of pet food. Thai Union neither owns the boats that fish nor the retailers that sell, but its responsibility for sustainable business practices is clear. Recognizing the need to face its critics, for issues ranging from catch methods and fish stock sustainability to human rights, in 2016 Thai Union launched its sustainability strategy: SeaChange®. Acknowledging that seafood sustainability is complex, SeaChange® has four pillars—Safe and Legal Labor, Responsible Sourcing, Responsible Operations, and People & Communities. Through aligning their sustainability strategy with three key UN Sustainable Development Goals—Zero Hunger, Decent Work and Economic Growth, and Life Below Water—a robust and now well-recognized program was born.
With a corporate mission to be leading agents of change in the seafood industry and a strong sense of commitment to corporate responsibility from the top, the SeaChange® strategy has begun to make genuine change on the ground (and water). With initiatives ranging from eliminating recruitment fees for migrant workers in Thailand, to digital traceability and worker voice at sea on vessels, to fishery improvement projects to promote sustainable tuna fish stock management, others are starting to notice. After years of campaigning against Thai Union and its brands, in July 2017 Greenpeace and Thai Union signed an agreement for sustainable, socially responsible seafood. The agreement was unusual in that it was global, and recognized Thai Union’s efforts to date and potential to bring about change in the seafood industry. The agreement builds upon SeaChange®, including efforts to support best practice fisheries, improve other fisheries, reduce illegal and unethical practices in global supply chains, and bring more responsibly-caught tuna to key markets.
“This marks huge progress for our oceans and marine life, and for the rights of people working in the seafood industry,” said Greenpeace International Executive Director Bunny McDiarmid. “If Thai Union implements these reforms, it will pressure other industry players to show the same level of ambition and drive much needed change. Now is the time for other companies to step up, and show similar leadership.”
As highlighted by Greenpeace, ocean sustainability must be about more than the fish; it must be about the people too.
Throwing a Lifeline
The seafood industry has been identified as one of those industries where human rights violations have been able to emerge out of sight of consumer or regulator eyes. Not only have Greenpeace and other NGOs advocated on the issue of human rights at sea, but media exposés by The Guardian, the New York Times, the Associated Press and others have also drawn attention to the issues. Forced labor, human trafficking, extreme working conditions, underage labor, and document retention have all been identified as contributing to the mix of illegal and unsafe labor at sea, as well as the lack of strong regulation or enforcement of codes. Again, corporate responsibility seems to be the way towards a solution. Several Codes of Conduct for Vessels have been developed, including those developed by the UK Responsible Fishing Scheme, the Organization of Producers for Spain (OPAGAC), companies such as Thai Union, and the Seafood Task Force. The Codes take some of the lessons learned from social compliance in production and processing on land, and apply to them to the challenges of working at sea. The International Labor Organization (ILO) C188 Work in Fishing Convention entered into force on November 16, 2017, bringing with it standards to help ensure decent work for the 38 million people estimated to be working in often hazardous conditions in wild capture fisheries.
However, these issues are not contained to the seafood industry, and regulations around the world are impacting the management of human rights at sea and in the seafood industry. As mentioned previously in the Thai Union case study, there is a groundswell of support to eliminate the recruitment fees that exist in industries around the world, as well to help people migrate safely and legally. The Bali Process, set up in 2002 to address people smuggling, human trafficking, and related transnational crime, has more than 48 members and brings together governments and international agencies to address these issues, primarily in the most affected countries throughout Asia and also including the United States and Australia. In 2017, businesses were asked to join in this process for the first time. Companies such as Walmart, Adidas, Thai Union, Fortescue Metals, and JD.com joined forces to discuss how to stop modern slavery and how businesses and government could work together. This focus will most definitely impact the seafood industry, given that 80 percent of the world’s seafood workers are from Asia. Other regulations, such as the US Trade Facilitation and Enforcement Act of 2016 and the UK Modern Slavery Act of 2015, are also starting to impact how businesses operate and their transparency on management of human rights within their own operations and supply chains.
The oceans are a precious resource and need to be managed wisely. Sustainable management of fisheries is an integral part of managing oceans. Fishing is a practice almost as old as mankind itself, and at a commercial scale began when there were literally plenty of fish in the sea. But times are changing. Fish stocks around the world are under threat. Anthropogenic pressures, such as climate change and pollutants, have for many years been known. New and emerging issues, such as ocean plastics and the even more troublesome issue of microplastics, are starting to impact ocean health. To save the seas, ocean corporate responsibility needs three C’s: Commitment (to action for common good), Clarity (in desired outcomes), and Collaboration (with science, with regulators, and with civil society). Ocean sustainability is no longer a fringe issue of environmental campaigns. Scientists have been publishing research on the decline of ocean health for years. The Economist will run its 5th World Ocean Summit in 2018, bringing with it discussions on how the capital and private sector can invest in ocean sustainability. By contrast, the United Nations ran its first Ocean Summit in New York in 2017. The private sector has recognized the risks and opportunities perhaps far ahead of governments. SeaBOS is now well underway in directly influencing the strategic direction and operational activities of participating companies, and represents a novel and exciting opportunity for change. With business working together with science, governance, and regulation, we perhaps have some hope for a sustainable ocean future.