April 27, 2022
Media release: Changes taking place at Takitimu Seafoods
Changes taking place at Takitimu Seafoods
Today iwi leaders met with staff of Takitimu Seafoods to start a restructure consultation process regarding potential changes to the business that could impact on their current roles. Staff were provided with a restructure proposal for feedback before any final decisions will be made.
“Despite our best efforts and mahi, we made a significant loss last year, and this year another loss has been forecast. We need to make urgent changes to our business to turn this around” – Ngahiwi Tomoana, Takitimu Seafoods Board, Chairman
As well as generating a positive cashflow, the proposal aims to focus on continuing to provide the freshest fish and seafood to Kahungunu and across Aotearoa through online sales, shops and some wholesale, while outsourcing the fishing and landing of fish to a third-party. It also proposes to step back from exporting, in order to provide the best quality fish and seafood to the local and domestic markets.
As a result, the Napier Factory operations will continue with a significantly smaller staff to process fish, while the Napier shop will continue to supply fresh fish, a variety of seafood and takeaways. However, the Hastings shop will temporarily close until we find a suitable building befitting the Takitimu Seafoods brand in Hastings.
“This smaller business model would mean a significant reduction in the number of staff required within Takitimu Seafoods. It is anticipated that staffing would reduce from 70 full time workers to approximately 25. This means that 45 employees could be made redundant if this proposal proceeds” – Ngahiwi Tomoana.
Over the next week staff will be able to provide feedback to the proposed restructure plan.
“I acknowledge the hard work of all Takitimu Seafoods from management through to the factory and to our front line shop staff, for their determination and hard work. We honour you and your families and will strive to support you through this challenging time”. – Ngahiwi Tomoana.
Brief History
Since its purchase in April 2019, Takitimu Seafoods has been the flagship for Ngāti Kahungunu. The manifestation of the vision held by Ngāti Kahungunu elders 30 years beforehand – the vehicle that connects iwi members and whānau to their fishery assets and rights settled nearly 20 years ago.
While the first year of operation was not without its struggles, all sales outlets (wholesale, export, retail and online) were relatively successful. The first sign of COVID-19 hitting Takitimu Seafoods was January 2020, when the cancellation of the Chinese New Year ceased all export sales of crayfish and seafood to China. A major export channel for Takitimu Seafoods, had all but stopped overnight.
What followed was the collapse of international export markets, followed soon after by the domestic wholesale markets as lockdowns dragged on, and Auckland lockdowns became a regular occurrence. It was a source of great pride for Takitimu Seafoods that it was deemed an essential service, and the pivot to online meant that staff could remain employed, and some revenue could be realised during the lockdowns. During that time, Takitimu Seafoods also landed and processed thousands of kilos of fish as pātaka for whānau who were impacted by the lockdowns.
However, despite the change in focus, Takitimu Seafoods has not been able to recover. Fish stockpiled across the country while beleaguered markets, increased competition and difficult logistics channels failed to deliver what was needed for Takitimu Seafoods to survive in its current form, let alone thrive.
Despite best efforts Takitimu Seafoods reported a significant loss for the 20/21 year. This year Takitimu Seafoods is forecasting a further loss. Significant measures are needed in order to keep the dream of Takitimu Seafoods alive.
Ngāti Kahungunu is the third largest iwi with 38,000 registered members. Geographically the tribe has the second longest coastline in the country from Paritū in the North to Turakirae in the South. Ngāti Kahungunu Iwi Incorporated maintains an independent position to provide research, advice and advocate for the interests, rights, values, beliefs and practices of Ngāti Kahungunu alongside our whānau and hapū. Our mission is to enhance the mana and well-being of Ngāti Kahungunu.