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P.E.I. government calls on Ottawa for cash support as oyster diseases impact industry

This article was written by Thinh Nguyen and originally published by CBC News on Oct 17, 2025 6:00 PM ADT. We are sharing the full text here for reference. All rights remain with the original publisher. 

Close to $1 million in federal funding announced Friday won’t go directly to fishers

Prince Edward Island’s government is asking Ottawa for help supporting the province’s oyster industry, which has been hit hard by disease.

People working in the Island’s oyster industry have been sounding the alarm about the situation brought on by the diseases MSX and dermo — which are both deadly for oysters but harmless for human consumption.

Kim Gill, the province’s acting director of aquaculture, told MLAs at a legislative standing committee this week that the province had set up a $3-million aquaculture contingency fund to help the industry respond and recover from such threats, but it isn’t enough.

“Our funding is up at the end of March 2026… so we are now having a lot of discussions with federal partners and other government groups,” Gill said.

“It was earmarked and it was, [from] what we knew at the time, was probably going to be a good amount. But going forward, I think it needs to be more than that $3 million.”

In an interview with CBC News after the meeting, Gill said long-term support will be key.

“MSX and dermo are not going away,” she said. “We would be asking for more than a year’s funding, up to five years, really, is what would be ideal for us.”

Federal funding announced

Friday, the federal government announced nearly $1 million in non-repayable funding for three projects to strengthen P.E.I.’s shellfish industry.

A man wearing a suit speaks at a podium

Charlottetown MP Sean Casey announced nearly $1 million in federal funding for three projects to strengthen P.E.I.’s shellfish industry. (Jane Robertson/CBC)

That includes $613,964 to help UPEI establish a rapid-response testing system for the Atlantic shellfish industry, and another $61,200 to develop a strategy toward creating a research cluster for Atlantic shellfish health.

The Lennox Island Development Corporation will also receive $315,640 to support training, capacity building and equipment upgrades at the Bideford shellfish hatchery.

“This investment will be very important for reducing the diagnostic procedure, the diagnostic testing time,” said Beibei Jia, an assistant professor at the UPEI-based Atlantic Veterinary College.

She said the disease challenges facing the industry are complex, with stock losses, biosecurity concerns and the need to prevent further spread, and that a holistic approach is essential. The new funding, she added, will help advance that work.

Jia said the college expects to have access to new equipment supported by the funding early next year.

A woman wearing a dark shirt and glasses smiles at the camera

Beibei Jia, an assistant professor at the AVC, says a holistic approach is essential for tackling the disease challenges facing the oyster industry, and that the funding announced by the federal government on Friday will help advance that work. (Jane Robertson/CBC)

On Thursday, Gill noted that in addition to equipment and facility needs, there is an opportunity to add another pathologist at UPEI to support oyster research.

She said the university currently has experts working in this area, including one position the province funds under an Atlantic agreement. But workloads are heavy, said Gill, and there’s room for more support.

“We would like to see them in place for more than just this year…. We see some long-term research that has to take place on MSX and dermo.”

Fishers ‘disappointed’ by announcement

Bob MacLeod, president of the P.E.I. Shellfish Association, told CBC News he is “pretty disappointed” that Friday’s announcement didn’t include any direct help for oyster fishers.

“I know you got to have research and development, but you also got to have the fishermen,” he said. “The fishermen that built the fisheries… should be getting a little support.”

A man wearing a blue golf shirt stands in front of a red brick building

Bob MacLeod, president of the P.E.I. Shellfish Association, says he was ‘pretty disappointed’ that Friday’s federal funding announcement included no direct help for oyster fishers, adding that ‘it’s getting to be a pretty desperate situation for a lot of people.’ (Rob LeClair/CBC)

One support MacLeod said they’re looking for is a way to make it easier for fishers to qualify for employment insurance over the winter.

“It’s getting to be kind of a pretty desperate situation for a lot of people…. The federal government is not sitting down with us to see where we’re at,” he said.

“It’s just like we don’t exist to them. And this was just another knife in our coffin, I guess.”

Sean Casey said he and the province’s other three MPs are trying to secure more help for Islanders.

“This has a potential devastating and immediate impact and conversations are ongoing,” he said. “Today’s announcement was about research. It’s my hope that we’re going to be able to have something more to deal with the human crisis we’re in because of this.”

Industry impacts and supports

During the committee meeting, Gill shared data showing that MSX has so far affected 46 oyster leases across the Island that are connected to 37 individual growers. Six processors have also reported mortalities. Reports from the industry show mortality rates ranging anywhere from 10 to 90 per cent.

On top of that, this summer’s dry season may have made things worse. Gill said experts in the U.S. have noted drought years can have a negative impact on oysters.

“When there’s no rain and high temperatures… MSX loves the environment when that’s the case,” she said.

Drove view of a single fishing boat in blue-green water, with a person fishing oysters

A drone camera captured this image of a wild oyster fisherman using tongs to grasp oysters on the sea bottom. (Aaron Adetuyi/CBC)

The oyster industry generated more than $54 million for P.E.I.’s economy in 2024.

The industry currently has between 200 and 250 active fishers and about 300 oyster growers. However, Gill noted the province has seen a steady decline in the number of fishers in recent years.

Gill said the province has measures in place to help those struggling in the industry. These include a $500,000 adaptation and mitigation program that allows industry members to purchase things like nursery and hatchery equipment.

She said some in the industry are also in discussions with Finance P.E.I. about loan deferrals, which are being handled on a case-by-case basis. Additionally, there are support programs through the Employment Assistance Program, existing industry collaboration projects, and workforce and advanced learning programs focused on retraining.

Work on new aquaculture legislation

Gill told MLAs there have also been discussions about developing new aquaculture legislation, something P.E.I. currently lacks.

She said such an act would regulate the activity of culturing fish, both on land and in water.

“In other jurisdictions, they have legislation in place with regulations that accompany them, for leasing, licensing,  for aquatic animal health, for science and development, and even forming agreements with other departments,” she said.

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