Pearling deal comes of age

Mr Pickett presented a framed photograph of the Elizabeth Bay hatchery to the NLC's branch operations manager, Edna Barolits, on 1 July

Northern Australia's warm and pristine waters have made the region a magnet for pearl production over the past 100 years.

Aboriginal people have made their own contribution to the industry's success over the past century through their often hazardous work as divers and labourers.

Now Indigenous communities are hoping to take their involvement in the industry a step further by obtaining their own pearl quotas from the NT Government.

The NLC has already had a hand in negotiating several agreements with pearling enterprises operating on country either owned or under claim by Aboriginal people. The Arafura Pearls hatchery at Elizabeth Bay in north-east Arnhem Land is a good example of this trend.

Arafura and its joint venture partner, Toomebridge Pty Ltd, signed a 20-year agreement with traditional owners in the region in 1997 allowing the company to build three land bases to service the hatchery.

Negotiations over the agreement, which were brokered by the NLC, also included the grant of a licence to use the seabed in the event of a current land claim over the sea bed proving successful, and the option to purchase an equity stake in the venture.

Five years on, the hatchery is still two years away from full production but already the operation is living up to expectations, with the hatchery likely to return half a million adult shells this year.

Troy Pickett, the general manager of Arafura's pearling operations, said this year would see the company make its first significant harvest and the signs were looking good. While pearls are the main income earner, mother of pearl from the oyster shells and oyster meat also provide a revenue stream.

It's cost us just north of $10 million to get the hatchery to where it is now - realistically this hatchery on its own could fill all the quota for all the Northern Territory pearl farms currently in operation.

Troy Pickett, General Manager Arafura Pearls

At present Arafura Pearls is limited to seeding 40,000 oysters a year although its joint venture with Toombridge provides a total annual quota of 80,000. However, both companies are looking to raise their quotas and are examining a proposal involving associated quotas for traditional owners in the region.

Mr Pickett said a bigger pearl harvest would allow his company both to take on more Indigenous workers and to reduce its costs.

We're competing with pearl producers in foreign locations which have operating costs of 15 cents a shell where it costs us $6-$7 to operate a shell. We believe we have the long-term advantage in terms of quality and security of supply but anything to help us improve our competitive position would be welcome.

Troy Pickett

Mr Pickett said the Elizabeth Bay operation already employed several Aboriginal and Torres Strait Island people, including two from Nhulunbuy, out of a total workforce of 15-25 (depending on the season). Most were working as deckhands on the shell-collecting boats but the company intended to take on an Indigenous trainee for the hatchery within the next 12 months.