$1.97M Investment to Restore Southern Scallop Fishery and Boost Economy

A major new investment to restore a key area of the southern scallop fishery will help rebuild a valuable regional industry, restore marine habitat and create a pathway to a self-sustaining fishery, Oceans and Fisheries Minister Shane Jones says.

The Government will co-invest $1.97 million through the Primary Sector Growth Fund (PSGF) in the seven-year Challenger scallop fishery restoration programme, alongside significant industry investment led by the Challenger Scallop Enhancement Company (CSEC).

The southern scallop fishery in Tasman and Golden Bays was once New Zealand's largest commercial scallop fishery. This investment is about creating the conditions for its recovery so future generations can benefit from a healthy and productive fishery, Mr Jones says.

The project brings together science, innovation and industry expertise to rebuild the fishery.

The fishery has remained closed following years of habitat degradation, sedimentation, and poor juvenile scallop survival. A feasibility study completed earlier this year confirmed traditional enhancement methods alone would not be enough to restore stocks.

A key component of the project will be the restoration of about 39ha of seabed, including the placement of thousands of cubic metres of mussel shell to improve habitat conditions for scallops and other marine species.

This investment is about far more than scallops. It is about restoring marine habitat for scallops, improving biodiversity, and rebuilding the foundations of a fishery that supports economic, cultural, and community wellbeing, Mr Jones says.

The project has strong backing from industry and iwi. CSEC's shareholders include the eight Top of the South iwi and more than 20 commercial fishing and processing businesses.

The total project value is $5.02m, with industry contributing more than 60 percent of overall funding through cash and in-kind support.

Modelling indicates the restored fishery could generate around $21m in new revenue over 20 years, delivering significant long-term benefits for the regional economy and the seafood sector.