Shrimp factory threatened with closure: Qeqertalik creates crisis plan

The Municipality of Qeqertalik has created a crisis plan and a statement of the economic consequences if Polar Seafood's shrimp factory has to close.

It is mainly cooked peeled shrimp from the Greenlandic shrimp factories that are exported to the UK.
Published

The Municipality of Qeqertalik has held an extraordinary municipal council meeting with an extremely serious item on the agenda: The shredder factory threatened with closure.

It will cost the municipality a large million in lost revenue and increased expenses if Polar Seafood is forced to close the shrimp factory in Aasiaat, according to a statement that the municipal politicians in the Municipality of Qeqertalik have been presented with at the extraordinary municipal council meeting.

Direct impact

Roughly estimated, a closure will have the following direct economic impact:

But the calculation is far worse, it is pointed out.

- At the same time, the municipality will also be affected by the derived effects, the minutes state, mentioning the following:

Longer-term effect

In addition, a possible factory closure of the magnitude where 116 jobs are at stake could lead to relocation, which "all other things being equal could have a significant negative effect on the municipality's economy in the long term".

With the discouraging key figures in mind, the municipal council has drawn up a crisis plan, which in bullet form looks as follows:

Contact to the Greenland Government (urgent meeting and report)

Setting up a cross-political negotiation group

Impact assessment and contingency plan

Transparency and orientation