Don't tax mushroom _ pickers, says report TAXING THE pine mushroom industry would unfairly burt pick- ers and the region’s economy, ac cording to an economist’s study. Phil Meyer’s report to the pro- vince estimates nearly $4 million was paid oul to mushroom pick- ers in the Nass Valley last fall, _ Meyer recommends licensing both pickers and buyers to make _ the industry safer and to get more information about it, _: But he suggests using licensing to tax the industry appears unwise ~ based on what is known so far. “The vast majority of pickers appear to fall in low income cate- gorics and earn only nominal ' retums from mushroom harvest- ing,” the report states. ‘‘Further, many are apparently not employed year round. Under such circumstances, substantial fee or tax levies would be regressive,’” * “We consider such discussion premature,”? it said. - The buyer/broker level of the industry doesn’t warrant taxation any more than the picking side, the study found. “None of the detailed company information we have examined indicates excess profits being made in the industry,’ Researchers limited their work to the Nass Valley and Cranberry Junction areas. The study estimates 350,000 pounds of pine mushrooms were harvested from the area in 1994, In total, 418,000. pounds of pine mushrooms were. flown oul of the Terrace airport. An estimated $3.98 million was paid out to pickers in the Nass Valley, with an additional $2.5 million spent in B.C. on handling, _ further processing and shipping. ‘The study estimates 54 per cenl of the pickers were Nass Valley residents. Another 17.4 per lived in Terrace or Kitimat, and about 24 per cent of pickers were from elsewhere in B.C. An estimated four per cent’ were from out of province, The report estimates total in- come benefits to Nass residents at §25 million. Total income bene- fits from the Nass harvest to the entire Terrace, Kitimat and Nass region is estimated at“$3.8 ‘mil-« lion. Those estimates don’t include mushrooms collected in the areas closer to Terrace. The report points to safety as a key concern of people in mushroom picking areas. It says Nass Valley residents are gentle and friendly, and that the vast majority of pickers com- ing in from outside also pose no tisk to anyone. But when large amounts of cash are involved, it says, there is a possibility of dishonesty and violence. “Safety was a concem for most of the residents, pickers and buyers we encountered,”' The report recommends pickers be required to register and obtain Total income benefits from the Nass harvest to the entire Terrace, Kitimat and WNass region is estimated at $3.8 million. a Picker I.D. card at a nominal fee (no more than $10). Il suggests fieid buyers be ‘re- quired to obtain and display an annual buying licence for each mushroom region of B.C. in which they intend to operate, Such licenses shouldn't exceeed $25. ; The licensing requirements would make if casier to track the industry and gain more informa- tion. Twenty-five per cent of pickers declined to be interviewed for the study, but even so, researchers gathered 847 responses from pickers and buyers at New Ajiyansh and Nass Camp. Researchers received detailed information from 60 per cent of buyers in the area. The report notes 1994 was a good volume ycar for the pine mushroom harvest. But it concludes that harvest volumes vary so much from year to year that any average annual barvest estimates eventually de- veloped would be largely useless. Helping people learn to learn. If you or someone you know would like to improve reading, writing or math, look under LEARN in the Yellow Pages™ clirectories. eu. LOOK URE LI ARN = Travel Invites you to Sail away with Board the luxurious Regal:P two nights of nightlife, Francisco. Upon a you'll stay al the -€ away! Board the ship of | cruise ta Los Ange will spend 2,3 or 4 nigh enjoying spectacular shows be tel for two of (hree:tnb! legendary Las Vepas where you . ie cana Hoel cxploring casinasand. a home. Fabulously Fun! ; 59 cx icles + For the Uniglobe office nearest you call 1-800-3-UNIGLOBE INDEPENDENTLY OWNED ineans better personal service All packages deport from Vancuver and are filly exowted. Pricesia Cdn, dollars and include aire, hotel cruise it an insick and ate dtransgortation, Not induded: aiporipert taxes and GST. Picking profile gi Each picker sold an average 11.45 pounds and collected an average $130.44 on each picking day. WM oThe average price for all grades during the scason was $11.38 per pound, Prices for #1’s peaked at close to $50 per pound. Mi ©6That average price for all grades increases to $18.53 per pound by the time the mushrooms reach the final point of shipment to Japan. The increase includes field buyer commissions, ship- ping costs to fly the mushrooms to Vancouver, handling and grad- ing costs, and other office costs, including rentals and insurance, @ 41 per cent of pickers pick solo, 35 per cent pick in pairs. @ Prices set in Japan vary ac- cording to Japanese demand and the volumes produced by the largest suppliers — China and South Korea, @ Between two and five major brokers dominate the field buying and brokering business in B.C. @ A dangerous situation exists for pickers, buyers and other citizens in remote areas because transactions are all in cash and there’s no process of identifica- tion for pickers, @ Field buyers are told by their major brokers in Vancouver how much they can offer each day. “Field buyers were reported to eavesdrop on cach other’s cellular telephone conversations during the 1994 harvest season — fur- ther increasing the symmetry of pricing strategies. ”’ Pe ee ee a BCTEL Save 10% on this BC TEL brand cordless phone. 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