NSW Farmers is calling for fee waivers for Hunter and Mid Coast oyster growers who have lost up to 70 per cent of their sales as a result of the COVID-19 crisis.
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The closure of clubs and restaurants has wiped out the vast majority of the industry's customers.
However oyster growers still face ongoing fees, charges and levies administered by the Department of Primary Industries, the NSW Food Authority, and NSW Crown Lands.
"Payments like leases and licences, aquaculture permits, seafood licences, and research levies should be waived until the industry is able to recover from the impacts of coronavirus and bushfires," NSW Farmers oyster committee chair Caroline Henry said.
"Both South Australia and Tasmania have had this type of fee relief in place for over a month. NSW growers are still paying their fees whilst also coming to terms with some of the longer term impacts of the summer bushfires"
"We are hearing more reports of stock mortalities caused by increased ash and debris in estuaries. Heavy rain has exacerbated this problem in northern NSW and we're expecting to see it down south as well."
Mark Salm from XL Oysters at Lemon Tree Passage said he supported the push for government assistance.
"We are still selling some oysters into the Sydney markets but it's definitely a lot tighter, it's incredibly slow."
Mr Salm said an assistance package provided to the industry following the 2015 superstorm had allowed growers to hang on long enough to recover.
"It's desperate times for a lot of the guys around here; any assistance would be appreciated" he said.
As a result of the closure of wholesalers and restaurants, growers across the state have been investing extra time on lease maintenance, and also investigating the potential of freezing or bottling their product.
Ms Henry said, like other commodities, the oyster industry would benefit from more flexible or tailored government assistance schemes to ride out the double impact of bushfires and coronavirus.
"Unfortunately, a lot of the NSW and Commonwealth governments' assistance schemes are unusable for oyster farmers, and the fee relief that we really need just isn't happening," she said.
"Losses due to stock mortalities can't be recouped through the NSW bushfire relief grants. And we need business support beyond employment incentives.
"What we really need is assistance to restock, flexibility with loan payments and relief from fees. This will help us press pause until the hospitality and tourism industries can reopen."
Port Stephens' aquaculture industry, which is primarily made up of oyster growers, is worth more than $42 million annually.
About 100 people are employed across 45 oyster farming businesses in Port Stephens and Myall Lakes.
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