Lobster Boom Is a Fiscal Bust

American lobstermen are caught on the claws of a dilemma. Booming supply should be a good thing, but combined with an annual end-of-summer drop in demand, it means that wholesale lobster prices have dropped below the $4-a-pound level considered the break-even point. Trying to redefine lobster as an everyday snack might help shore up demand, but it could have bad long-term implications, as DailyFinance writes:

“But even though that could shore up demand, the move might mean the fishermen could never raise the price to keep apace with their rising expenses, [Bill Adler, executive director of the Massachusetts Lobstermen’s Association] says. ‘You don’t want it to become everyday bologna,’ he says.”

The DailyFinance write-up also contains one of the most clear and comprehensive rundowns of the seasonal ebbs and flows of the lobster industry you’re likely to see anywhere.

Image source: Flickr member man pikin under Creative Commons

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