In New York, the seafood industry faces new challenges, particularly for businesses heavily reliant on imported oysters. Bryan Szeliga, who owns Fishtown Seafood, which runs three retail and wholesale outlets in Philadelphia and Haddonfield, NJ, is feeling the strain. Oysters make up the largest segment of his business, with 60% to 70% sourced from Canada. However, the unstable situation regarding the US administration’s imposition of a 25% tariff on Canadian imports is causing uncertainty. The tariff, enacted on Tuesday and later suspended on certain items for a month by Thursday, complicates his business planning. Should these tariffs be fully reinstated, Szeliga expects to raise prices and reduce the variety of oysters on offer.
Szeliga, who shifted to Fishtown Seafood four years ago after varied roles in the food sector, supplies both retail customers and restaurants. He works directly with U.S. fish farms but relies on dealers for Canadian oysters. These dealers consolidate products from numerous seafood producers for distribution nationwide, easing procurement challenges. “Canadian oysters have a distinct size, flavor, and brand recognition that our customers have come to prefer,” he noted.
Due to the fluctuating tariff situation, Szeliga was informed by suppliers on Tuesday that a price hike was imminent. Forced to make a single purchase while the tariff was in place, he acquired “sweet petite” oysters from Prince Edward Island to fulfill a wholesale client’s needs, absorbing the 25% cost increase himself rather than transferring it to the customer. While suppliers may reduce their prices during the tariff suspension, this is only a temporary reprieve.
Using this one-month window, Szeliga aims to re-strategize his inventory and collaborate with his wholesale clients to adapt their menus to lessen tariff impacts. This could involve substituting premium oysters with less costly domestic or Canadian options. “Now that we have some clarity, we can start planning menus to avoid future chaos,” he commented, considering which products will suit clients once tariffs might return.
The wider oyster industry shares these apprehensions as it remains a growing sector within the seafood market. In 2023, the U.S. imported $25.5 billion worth of seafood, with Canada, the leading supplier, contributing more than $3.6 billion to this total. In 2024, Canadian seafood imports rose by 10% to $3.96 billion. Oysters are a minor part of this trade, overshadowed by shrimp, salmon, and tuna, but their demand has been increasing, earning a spot on the National Fisheries Institute Top 10 List in 2022.
Szeliga acknowledges the rise in oyster popularity, noting their increasing presence on menus beyond traditional oyster bars. He fears that this growth might now “fade and fizzle” due to potential market disruptions. “I think it could take the momentum out of what is a burgeoning market,” he stated.
To adapt, Szeliga intends to offer fewer oyster varieties, reducing from 12 to 10 types, to maintain a diverse price range, even if the priciest options are eliminated. Relying solely on U.S. oysters is not feasible, as local production is already strained. Canadian oysters are difficult to replace due to their substantial contribution to the U.S. market. “Domestic oyster production is at its limit; it takes years to cultivate oysters to market-ready size,” he explained, adding that Canadian producers might retract their supply to the U.S. amid tariff unpredictability.
Consequently, customers should anticipate lesser variety and higher costs, with price reductions unlikely to return to previous levels. As Szeliga put it, “Some items that were once great values might not see a decrease in price anymore,” indicating a lasting impact on pricing due to forced supplier price reevaluations.
