LOUISIANA FUR INDUSTRY

From the early 1900’s through the 1980’s, Louisiana led the nation in the production of wild fur pelts.  During the early 1900's the Louisiana fur industry involved over 20,000 trappers and 1,000 fur buyers and dealers.  Muskrat populations exploded during that period with the harvest peaking at over 9 million pelts worth $12 million in 1945.  This production was more than occurred in all the other states combined.  A much larger rodent, the nutria, was placed in captivity in the state in the late 1930s and escaped and/or was released into the near perfect habitat of coastal Louisiana in the late 1930’s. This South American native multiplied quickly and by 1962 surpassed the muskrat in numbers harvested.  Between 1962 and 1982 coastal trappers averaged harvesting over 1.3 million nutria each year, representing over 64% of the total catch and 60% of the total value of the industry.

Louisiana produces 11 different species of furbearers (beaver, bobcat, coyote, gray fox, mink, muskrat, nutria, opossum, raccoon, red fox, river otter).  During the past 10 years, the state has averaged producing nearly 195,362 pelts annually. Table 1 lists these animals, the 10-year average harvest, pelt price and value. The average annual production of nutria during the past 10 years has been, 136,040 and raccoon 37,100.  These two species alone provided nearly 75% of the value of an industry worth approximately $1million annually (10 year average) to Louisiana trappers (Table 1).  The annual fur harvest of all species has historically been valued as high as $25 million to the state's 10,000 trappers.

 LOUISIANA ALLIGATOR INDUSTRY

Louisiana also leads the U. S. in the production of alligator skins.  After rebuilding the population through research, management and law enforcement during the 1960's, the wild harvest from 1972 through 2004 has produced over 668,000 wild skins (903 miles of leather) with an estimated value of $181 million.  This harvest has averaged approximately 33,543 skins annually, worth nearly $9 million including meat during each of the past 5 years (Table 2).  The 2004 wild harvest of 33,924 raw skins was valued at over $8.8 million including alligator meat.  Additionally, Louisiana's alligator farming industry has grown from 30 farmers in 1987 to 61 in 2003 with over 500,000 animals in captivity.  These farms produced over 187,000 skins in 1999, 219,000 in 2000 and 180,000 in 2001, and 237,000 in 2002 (Table 3). In 2003, farmers sold 276,566 skins, which averaged 3.81 feet and were valued at over $29 million. The farm/ranch harvest from 1972 through 2003 produced 2.43 million skins (1,766 miles of leather) with an estimated value of $219.5 million.  

TRAPPING, HUNTING, AND CONSERVATION

In Louisiana, trapping and alligator hunting play a vital role in the conservation of coastal wetlands. Much has been written and stated about the significance of the state's wetland loss especially to fisheries production.  The state’s coastal wetlands also provide habitat for up to 5 million migratory waterfowl. Major freshwater diversions and other government-financed projects will be significant in protecting, maintaining, and/or enhancing coastal wetlands. The Department of Wildlife and Fisheries vigorously supports such projects.   However, another significant factor affecting the future of these wetlands will be the attitude and financial capability of the private landowner to maintain his marshlands.  Most coastal landowners have only four potential sources of revenue from the surface of his marshland.  These are waterfowl, deer and alligator hunting, and trapping leases.  Income from these leases provides an economic incentive to encourage management action to slow wetland loss, and in some cases maintain or enhance wildlife and fisheries productivity. 

Trapping of muskrat and nutria is also essential to avoid what can potentially result in damaged marsh.  These rodents have a very high, reproductive potential and can increase to such densities that they literally eat all available vegetation creating an "eatout" (an area denuded of vegetation).  Some damaged areas over a period of years will re-vegetate.  Other damaged areas, however, under less favorable environmental conditions, may become permanent open water, thus adding to the loss of coastal wetlands and lowering the overall productivity of the marshlands and adjacent estuarine areas.

During the late 1950's and early 1960's nutria increased to such levels that sugarcane and rice fields in south Louisiana, as well as marshlands, were damaged.  The legislature placed the animal on the list of outlaw quadrupeds, allowing the killing of these animals at anytime.  A bounty was considered but funding was never appropriated.  This threat to agriculture and marshlands was not slowed until a German market for the fur began to develop.   From 1962 through the mid-1980s the nutria was not only controlled but was an important renewable resource to coastal trappers and landowners.  Rather than a pest the animal became an important Louisiana product and a renewable natural resource, worth nearly $15 million to the trappers and coastal landowners during the 1976-77 season. 

The cyclic nature of the muskrat can also result in severe marsh damage.  Over population of muskrat can result in vegetative damage, but usually not as severe or as extensive as that caused by nutria.  The key to avoiding marsh and/or agricultural damage caused by these rodents is a stable, reasonable price for the fur.  If trappers receive an acceptable income from the harvest of these species, the populations are much more likely to be held in balance with the habitat.  This was demonstrated by the absence of damage in the coastal areas of the state between 1962-1982 when a strong, stable market was present.  Anything that adversely impacts the market for Louisiana fur or alligator products threatens not only marshlands and agriculture, but also significant supplemental income to a portion of the citizens of the state.  If this market is lost, so is a strong economic incentive to protect and manage coastal marshlands.

THE PROBLEM

Any threat to a stable, strong market for Louisiana's furs and alligator skins, must be addressed by the Department, Wildlife and Fisheries Commission, trappers, alligator hunters and farmers, and coastal landowners.  Two problems continue to impact the Louisiana fur and alligator industry. 

The first problem is a result of a public uninformed about wildlife management.  The public, especially in metropolitan areas, has no concept of wildlife or their habitat requirements.  Therefore, radical groups opposed to trapping, hunting, fishing and all consumptive use of animals can and have been quite effective in swaying public opinion through emotional appeal.  Such a shift in public opinion can have a very negative impact on the demand for wildlife products (fur coats and alligator leather).  Such a movement would not stop with the destruction of these industries but would move rapidly to halt all hunting and fishing, livestock production and use of animals for medical research.

The second problem facing the Louisiana fur and alligator industries is changing markets and the lack of market expansion.  The decline of the Northern European marketplace during the 1980's and 1990's for all wild fur has had a devastating effect on prices paid to trappers.  For the past four years the fastest growing fur markets in the world have been China and Russia, places where the nutria has been all but unknown to designers, manufacturers and certainly consumers.  Prior to 1988 the nutria had never been advertised even in the United States and no product development had ever occurred.  No fur tanner in North America or the Far East was processing any significant number of nutria with high quality dressing.

Prices paid for alligators had been very good through the 1991 season primarily because of a declining supply of world classic reptile skins.  The market for this renewable resource has been Southern Europe and Japan with a relatively small percentage of the state's alligator skins (finished products) consumed in the United States.  Many potential United States consumers still believe alligators are endangered and know nothing of the quality of the leather.  These potential buyers are hesitant because of information describing alligators as endangered reptiles.  Market enhancement programs are needed since skin supplies are continuing to increase.  Through long-term marketing, the United States can provide an increase in demand and thus support for stronger prices.  Such point-of-sale educational marketing is crucial with the increasing supply of farm skins.  However, traditional European and Pacific Rim markets must also be maintained.

ANIMAL RIGHTS ACTIVITY

Organized opposition to trapping and consumptive use of wildlife dates back to at least the early 1900's.  A new, much evolved movement has taken shape during the past 20 years.  There are several hundred animal rights organizations currently operating worldwide.  Perhaps half of these are based in the United States.  In order to understand this movement it is essential to understand the motives of these people.  They can be categorized into 2 philosophies: animal rights advocates (propose human rights be extended to all animals) and the commercial protest industry (exploit the controversy to reap financial gain).  The techniques used include legislative action or influence, voter referendum, boycott, protest, and harassment.  They influence public opinion through various media, advocating no use of animals, substitutes for fur and terrorist activities.
 
The organizations and/or individuals truly concerned with more humane trapping techniques (animal welfare) offer some ground for compromise.  Trappers and professional wildlife managers and their respective agencies have and must continue to work for improved trapping techniques. The Louisiana Department of Wildlife and Fisheries has and continues to work cooperatively with other state wildlife agencies through the International Association of Fish and Wildlife Agencies in the Development of Best Management Practice for trapping.  This type of action influences public opinion and increases the creditability of wildlife agencies and trappers.   On the other hand "Animal Rights Activists" and "Commercial Protesters" are a very serious threat to the future of professional wildlife management and the consumptive use of wildlife including hunting and fishing, as well as all animal use including agriculture and medical research.  Many sportsmen fail to realize that the objective of animal rights activists is not to merely stop trapping, but stop all use of animals including hunting, fishing, livestock production, and medical research.  The animal rights protest industry is one of the fastest growing extremist cults in North America.  Their overall objective is to establish a new value system where animals are equal to humans.

Many sportsmen and some wildlife professionals tend to underestimate the success and negative impact these seemly radical organizations can and have had in the United States.  Three hundred and fifty anti-trapping bills were introduced at federal, state, and local levels between 1968 and 1982.  During the late 1980's and early 1990's activity increased at the local level and declined nationally.  Since 1973 six states have banned the leghold trap entirely (California, Florida, Rhode Island, New Jersey, Massachusetts, and Washington) and others have placed substantial restriction on their use. In 1994 Arizona lost the use of leghold traps on all public lands, California voters prohibited all leghold traps in 1998 and Washington voters prohibited all legholds in November, 2001. 
 
Today's "animal rights tactics" include a broad array of attacks. A regulation passed in the European Union (EU) in November, 1991, that would require all exporting countries shipping wild fur (of most species) into the EU to either:  1) implement international humane trapping standards or, 2) ban the use of the leghold trap.  This regulation was scheduled to take effect on January 1, 1996, but was delayed.  The United States worked for over seven years to amend this regulation and lessen the potential adverse impacts.  A resolution of this issue was reached in December 1997 that encourages state agencies and trappers to improve traps while maintaining efficiency.  This resolution also allows fur to continue to move into the EU.

Harassment of hunters was common during the late 80s and early 90s, particularly bow hunters in the Northeast United States.  During this time period more anti-hunting bills (especially bow hunting) were introduced in state legislatures than anti-trapping.   During 1998 animal rights groups placed more emphasis on voter referendums.  These groups have been successful using this method because they are willing to spend tremendous amounts of money (with financial support from national groups) to misinform the public, while state-trapping organizations cannot begin to find funds to compete for TV airtime. 

In general anti-trapping and anti-hunting attitudes are linked with urbanization (Kellert 1976, Gentile 1983).  Some researchers (Boggess and Henderson 1981) believe that urban residents do not have the same awareness of life and death processes as their more rural counterparts.  Support for trapping appears to decrease with employment in the service-oriented sector with less dependence on primary resources.  Kellert (1980a) found that a majority of the American public is uncomfortable with the leghold trap, however the failure of earlier referenda to ban trapping in Ohio and Oregon appear to indicate that a large segment of the public has not taken a firm position on the issue.  Public opinion surveys concerning trapping conducted during the 1990’s in Illinois and Missouri have demonstrated that when people know facts about how and why trapping is conducted their attitude changes and most support such harvest.   Obviously education is the key to reaching this segment of the public and developing long term support for trapping furbearers and sustained use of alligators and wildlife in general. 

FUR AND ALLIGATOR ADVISORY COUNCIL AND SPECIAL FUND

During the mid-1980s the Louisiana Trappers and Alligator Hunters Association began talking with the Department of Wildlife and Fisheries about the needs of the fur and alligator industries in Louisiana.  This association working closely with representatives of major coastal landowners approached the legislature with a bill during the 1986 Legislature to begin positive action to address the problems facing these industries.  The Department had limited funds available to spend on public education concerning trapping, alligator hunting, and their roles in wildlife management or market development for Louisiana's fur and alligator products.  However, the Department does have the responsibility of managing these resources.  The Department is also charged with developing such resources to their maximum potential.

Act 455 (R.S.56:266) established all of the essential elements to begin addressing the problems facing the fur and alligator industries.  Between 1917 and 1986 Louisiana trappers paid only $2.00 for a trapping license.  In 1972 when Louisiana reestablished an annual alligator harvest, the price of the alligator hunter license was set at $25.00.  Act 455 raised the price of a fur trapper license from $2.00 to $25.00 for every resident fur trapper 15 years of age or older and created a $5.00 license for trappers under the age of 15.  The Act authorized and directed the state treasurer to transfer, to a special fund annually, $20.00 from each $25.00 trapping and alligator-hunting license sold.  The Act also created this special fund designated as the "Louisiana Fur and Alligator Public Education and Marketing Fund".  This Act spelled out 6 specific goals to be addressed through expenditures from this dedicated fund.  The Louisiana Fur and Alligator Advisory Council (FAAC) was created by the Legislature and is housed within that Department.  This Advisory Council is responsible for reviewing and approving recommended procedures and programs to be funded from these dedicated revenues to insure that all expenditures are for the specific goals of the Act. The Department of Wildlife and Fisheries is responsible for maintaining all the financial records of the FAAC.

The Secretary of the Department of Wildlife and Fisheries is authorized and empowered to carry out all contracts in order to achieve Council goals.  This Act was amended in 1991 and states that the Council shall be composed of 11 members appointed by the Secretary and shall represent a cross section of trappers, alligator hunters, alligator farmers and coastal landowners.  One member of the Council shall represent trappers and alligator hunters from North Louisiana, one member shall represent trappers and alligator hunters from Southwest Louisiana, one member shall represent trappers and alligator hunters from Southeast Louisiana, one member shall represent trappers and alligator hunters statewide, and three members shall each represent coastal landowners.  All seven of these positions are nominated by the Louisiana Trappers and Alligator Hunters Association.  The member appointed by the House and the one by the Senate make up the 8th and 9th members of the Council and the 10th and 11th members are nominated by the Louisiana Alligator Farmers and Ranchers Association.  The Secretary or his designee shall be the ex-officio member of the Council and shall be present at all official meetings.

The specific goals of the Council are:

1) To educate the public regarding the need for trapping as a sound wildlife management tool and regarding the logic of managing furbearing species and alligators as renewable resources.

2) To identify the current consumers of Louisiana furs and alligator hides.

3) To identify present and potential Louisiana fur and alligator marketing problems, obstacles, and related significant issues.

4) To strengthen existing markets and develop new markets and marketing strategies for raw and finished Louisiana fur and alligator products.

5) To develop and implement an international advertising campaign to promote the utilization of raw and finished Louisiana fur and alligator products.

6) To examine, evaluate and make recommendations concerning any aspect of the fur and alligator industry including habitat management, harvest, and marketing that will enhance the future of the industry and perpetuate the conservation of these species.

7) To make specific recommendations to the Secretary regarding the expenditures of monies from the Alligator resource Fund including any annual surplus only as provided for in R.S. 56:279.

Listed below are the members of the Fur and Alligator Advisory Council and their terms:

1)  North Louisiana Representative - James Gallaspy
            Term:  4-30-02 - 4-29-06

2)  Southwest Louisiana Representative - Charles Pettefer
            Term:  4-30-02 - 4-29-06

3)  Southeast Louisiana Representative – Daniel Davis
            Term:  4-30-02 - 4-29-06

4)  Statewide Representative – Samuel Smith
            Term:  3-23-04 – 3-23-08

5)  Coastal Landowner Representative – Allan Ensminger
            Term: 3-6-02 - 3-05-06

6)  Coastal Landowner  Representative - Randy Moertle
            Term:  2-24-02 - 2-23-06

7)  Coastal Landowner  Representative – Frank Ellender
            Term:  2-24-02 - 2-23-06

8)  House of Representatives Designee - Darrell Dupont
Term:  4-30-02 - 4-29-06

9)  Senate Designee - Don Aycock
            Term:  4-30-02 - 4-29-06

10)  La. Alligator Farmers and Ranchers Association
        Representative – Kevin Sagrera
             Term: 04-13-04 – 04-13-08

11)  La. Alligator Farmers and Ranchers Association
     Representative – Gerald Savoie
          Term: 03-23-04 – 03-23-08

FUR MARKET UPDATE

Results of the 2004-2005 Trapping Season
           Records available from the License Section indicate a total of 1,622 trapping licenses were sold during the 2004-2005 trapping season (Table 4); of these, 1,596 were adult residential licenses, 6 were adult non-residential trapping licenses and 20 where child residential licenses.  These figures show a slight increase in trapping licenses sold last season when compared to the previous season (1,432). More trapping licenses were sold during each of the past three years than since the 1998-1999 season.  Part of this increase may have been a result of the Coastwide Nutria Control Program (CNCP) and significantly higher prices paid for river otter. Attached is a copy of trapping license sales from the season 1950-51 - through the 2004-2005 season.

            Attached is a copy of the 2004-2005 Comparative Take (Table 5).  A total of 321,124 animals harvested (all species) was down 35,305 from the previous season’s total of 356,429.  The total value of the 2004-2005 fur harvest to the state’s trappers was estimated at $1,778,635.14.  This was down $297,172 from the previous season.

Nutria Harvest
            The nutria harvest (297,535) decreased by 35,061 from the previous season’s total of 332,596.  The average nutria pelt price paid to trappers during this past season was $1.50, a decrease of $.42 from the previous year ($1.92).  However, an additional $4 was paid for all nutria taken during the CNCP. 

Coastwide Nutria Control Program
            This Program is funded by the Coastal Wetlands Planning, Protection, and Restoration Act.  The objective is to increase the harvest of nutria in order to reduce damage to vegetation.  A total of 297,535 nutria tails, worth $1,190,140 in incentive payments, were collected from 310 participants.  Seventy-nine participants (25 %) turned in less than 200 tails, 74 participants (24 %) turned in between 200 and 499 tails, 46 participants (15 %) turned in between 500 and 799 tails and 111 participants (36 %) turned in 800 or more tails.  There were 23 parishes represented in the program with harvests ranging from 10 to 81,135 nutria per parish.  Approximately 80 %
of the harvest came from the southeast portion of Louisiana. The method of take for each nutria was identified as: 114,668 nutria (38 %), trapped 159,810 nutria (54 %) taken with a rifle, and 23,057 nutria (8 %) taken with a shotgun.  February was the most active month for harvesting nutria (99,583 tails) while November (5,276 tails) was the least active month (see CNCP 2005 Report, CWPPRA Project LA-03b).

 

Vegetative Damage Caused By Nutria

            As a monitoring requirement of the coast wide nutria control program, a coast wide aerial survey was conducted in the spring of 2005 covering the coastal parishes of Louisiana. The total number of sites visited in 2005 was 105, of which 19 were new sites while 86 were previously classified as damaged in the 2004 survey.  Neither the one damage site that had converted to open water in 2004 nor the sites that recovered in 2004 were visited during the 2005 survey.  Of the 19 new sites, 14 were identified as muskrat damage and 5 were identified as nutria damage.  Of the 86 sites previously identified as having damage, 47 were identified as still having visible nutria herbivory impacts, 29 were classified as recovered nutria damage, 2 had been converted to open water, 8 were identified as muskrat damage, and 5 sites were identified as being recovered muskrat damage. These sites are extrapolated to determine damage coast wide.
 
It is estimated that 53,475 acres coast wide were impacted by nutria feeding.  This number is a reduction from the 63,397 estimated coast wide acreage impacted by nutria in 2004.  Of the 49 sites currently showing impact, Terrebonne Parish contained the largest number of damaged sites, 18 sites (37 %), encompassing an estimated damaged area of 17,029 acres (31 %).  This is also a decrease from the 27 sites and 28,796 acres in 2004, indicating that a number of sites have recovered in Terrebonne Parish.  During the 2005 survey, Lafourche Parish accounted for only 2 sites (4 %) and 476 estimated acres (2%) of damaged marsh compared to 5 sites (7 %) and 2,288 (3 %) estimated acres in 2004.  Seven sites (14 %) and 5,186 estimated acres (10%) were located in Jefferson Parish.   Plaquemines Parish accounted for 7 sites (14 %) estimated to be 6,938 acres (13 %); St. Bernard Parish had 4 sites (8%) estimated at 7,057 acres (6%) impacted.  St. Charles Parish, for the third straight year, had a large increase in the estimated amount of damage, presently amounting to 17,587 acres (33 %) on 6 damage sites (12%).  This acreage increased from 9,615 acres on 9 damage sites in 2004.  Although the number of sites in St. Charles Parish decreased, the total estimation of acres increased, and is partially due to the fact that 2 sites grew in acreage and merged into one site.  St Charles Parish had the highest number of damaged acres of the parishes surveyed.  Nutria vegetation damage was observed within Iberia Parish for the first time during 2005 survey.  It had 1 site of 593 acres.  The final two damage sites were located within Vermillion Parish encompassing 1,459 acres. In 2005, Terrebonne, Jefferson, St. Charles and Plaquemines are the parishes most affected by nutria herbivory.   (The estimated acreage is derived by multiplying the observed acres by 3.75 to account for area not visible from the transect lines.)

When compared to 2004 (63,397 acres estimated coast wide), the present damage is a 15.6 % decrease in the number of damaged acres. The recovered sites in 2005 had a combined area of 15,634 estimated acres.  Another significant finding in 2005 is that only 1 site (566 acres) had severe vegetative damage and 2 sites (503 acres) were converted to open water.  Over the past three years, 6 sites (841 acres) have been converted to open water.  This acreage estimation is only 20 % of that which was converted to open water in 2002, the year before the CNCP began.  Finally, 24 % (12 sites) of the damage is still rated as moderate damage.  Of those 12 sites, 2 sites (1,894 acres) had no nutria sign visible, 7 sites (5,250 acres) had nutria sign visible, and 3 sites (15,000 acres) had abundant feeding signs.  Whereas the 2 sites with no nutria sign visible should improve in damage rating, the sites with the more sever relative abundance rating should have a concentrated effort to remove nutria from the area to prevent further deterioration of the marsh.  Eight of the 12 moderately damaged sites (9,135 of 22,144 acres) are predicted to have partial recovery by the end of the 2005 growing season, but 3 sites (13,009 acres) are predicted to increase in damage.  (See CNCP 2004 Report, CWPPRA Project LA-03b.)

ALLIGATOR MARKET UPDATE

Over the last 10 years (1995-2004) the average price of wild alligator skins has fluctuated from a high of $41.00 per foot in 1995 to a low of $13.00 per foot in 2003, with a general trend of decreasing prices.  The average price in 2003 is the lowest price on record since 1983. 

In 2004, wild skin prices rebounded substantially with the average prices estimated at $22.50 per foot.  World market demand for these large alligator skins has increased over the last 12 months and prices in 2005 are expected to increase as well.

Farmed skin prices, on the other hand, have generally increased over the last 10 years. The watchstrap and small leather goods industry has dominated demand for farm raised alligator skins in recent years, fueling both an increased demand and price for skins.  These market conditions have resulted in a continued increase in demand for wild alligator eggs and a record collection of 396,069 wild alligator eggs in 2004.  

The market for alligators is a volatile one with factors such as, international supply including caiman and crocodile, world economic conditions, and fashion trends all exerting influence on prices. 

 

FISCAL REPORT

This report shows the beginning balance in the "Louisiana Fur and Alligator Public Education and Marketing Fund". It also lists below an account of expenses from July 1, 2004, through June 30, 2005.

REVENUE

Balance in Public Education and Marketing Fund beginning July 1, 2004-2005 fiscal year	$ 411,674
Budgeted for 2004-2005 fiscal year Louisiana Fur and Alligator Public Education and Marketing Fund	$ 100,000
Rockefeller Trust Fund Interest (Act 707, 1988)	$ 150,000
Alligator Resource Fund	$ 400,000
Total Budgeted	$ 650,000

EXPENDITURES (2004-2005)

FUR PROMOTION CONTRACTS
Fur Market Development – Michael Consiglio, Marketing International	$   49,750
Sportsman Show- Mrs. Louisiana	$        500
Montreal Fur Show- Mrs. Louisiana	$     2,000
TOTAL FUR PROMOTION CONTRACTS	$   52,250
FUR PROMOTION
Travel Related to Fur Promotion and Education.	$    19,121
Fur Market Samples	$     5,012
TOTAL FUR PROMOTION	$   24,133
EDUCATION
Contracts/Salaries
Alligator Retail Education- Christine Brewton, DBA Little Star TG Sal, L.L.C.	$   70,600
LDWF Staff Salaries	$     4,051
Salary- Tanya Sturman, Program Manager, Fur and Alligator Advisory Council, LDWF	$   21,113
Employee Benefits	$     6,680
TOTAL EDUCATION CONTRACTS/SALARIES	$   102,444
Services and Supplies
Fur and Wildlife Festival	$     1,000
China Fur Show	$   10,000
LSU Ag- Marsh Maneuvers	$     6,000
Automobile	$   13,233
Computers	$     1,446
Sportsman Show	$     1,279
Office Supplies	$     3,692
Educational Supplies	$        493
Subscriptions/ Publications	$        215
Phone	$     3,033
I-net	$        479
Postage	$        823
Food for Council Meetings	$        899
Misc.	$      1,261
TOTAL SERVICES AND SUPPLIES	$   43,853
TOTAL FUR AND EDUCATION EXPENSES	$ 222,240
ALLIGATOR PROMOTION
Alligator Resource Funds (ARF)
CONTRACTS/SALARIES
IACTS - J. Don Ashley, Ashley Associates, Inc.	$   35,000
Technical Representation Alligator- J. Don Ashley, Ashley Associates, Inc.	$   47,500
Economic Analysis	$   35,000
Washington D.C. – Glenn Roger Delaney	$   49,000
Salary- Tanya Sturman, Program Manager, Fur and Alligator Advisory Council, LDWF	$   20,952
Employee Benefits	$     6,390
Crocodilian Reports - Traffic	$   10,000
TOTAL ARF CONTRACTS/SALARIES	$ 203,842
Services and Supplies
Postage	$     3,794
Educational Samples and Supplies	$     4,464
Automobile	$   13,225
Phone and I-net Services	$        618
Travel	$     4,072
Office Supplies	$     5,216
Educational Materials (production of CDs)	$        639
Misc. Expenses	$          23
TOTAL SERVICES AND SUPPLIES	$   32,051
TOTAL ALLIGATOR EXPENSES	$ 235,893
TOTAL EXPENDITURES- LA FUR AND ALLIGATOR  PUBLIC EDUCATION AND MARKETING	$ 222,240
TOTAL EXPENDITURES- ALLIGATOR RESOURCE FUND	$ 235,893
BALANCE TO BE CARRIED OVER IN LA FUR AND ALLIGATOR  PUBLIC EDUCATION AND MARKETING FOR 2004-05	$ 416,568

ALLIGATOR TASK FORCE

In order to better meet the needs of the alligator industry, in December 2004 the Department sponsored a facilitated discussion for all segments of the industry (farmers, hunters, and landowners).  The two day meeting at Rockefeller Refuge was designed to give the industry participants an opportunity to prioritize the current issues facing the state’s alligator program.  The issues identified included:

• Quality Control
• Alligator Disease
• Water Quality Discharge
• Husbandry Research
• Cooperative Extension
• Habitat Loss
• Education and Marketing
• Industry Unification

The Fur and Alligator Advisory Council, LDWF, was charged with several action items and has been working on these since December.

• Update the website with contract information and annual contract report summaries.
• Develop an email list and a mailing list to send meeting dates, agendas, meeting minutes, FAAC expenditures, and bi-annual newsletters to the industry.
• Work out an agreement on increasing farmer representation on the Council and find a Representative to change the legislation.

Following the facilitated discussion meeting, the website was restructured completely. Scheduled Council meetings and agendas are posted to the Council website, www.alligatorfur.com. A synopsis of all current contracts is posted to the website. The Council developed a newsletter entitled Le Garto Newsletter in May, which was first mailed in July 2005 and is now posted on the website.

The Council agreed with the Alligator Farmers Association to add two farmers to the FAAC. The Chair of the Council worked with local legislators to change the legislation controlling the membership of the Council. HB331 was filed in April and signed into Act No. 219 in June 2005.

FUNDED PROJECTS

Listed below is a brief description of each project funded by the Council.

I. FUR MARKET DEVELOPMENT

Consiglio

FAAC contracted with Michael Consiglio, Montreal, to provide direction and oversight for all activities to develop new fur markets. The contractor was to accomplish this by:

1-creating new nutria and raccoon processed products (new products would use pelts sheared, dyed, plucked and grooved.
2-creating new manufactured garments in various segments of the fashion industry,
3-marketing these garments to manufacturers internationally and provide contact for La. fur dealers to sell to these new manufacturers as orders are created,
4-maintaining contact with newly found raw and dressed fur dealers and manufacturers in and outside the U.S.,
5-concentrating on the development of products utilizing eastern nutria that cannot be use in the plucked form,
6-continuing to encourage the use of the nutria label "Genuine Louisiana Bayou Nutria",
7-providing name, address, telephone and fax numbers of all potential buyers to all licensed fur dealers.

The contractor provided monthly and a final written report on all of his activities.
The contractor worked to form a better union between trapper, dealer, processor, manufacturer, through to the consumer. The contractor contacted all of the dealers and made a list available fur inventory. The contractor introduced international buyers to Louisiana dealers and set up sales for them. The contractor facilitated payment and shipping arrangements. The contractor attended five fur fairs, three auctions and met with buyers in seven countries.

The contractor continued to work with North American furriers but on a smaller scale, because the Chinese market is much more important for Louisiana dealers. The contractor worked with Rene Bolduc of Canada, who provides nutria and beaver coats for Louisiana’s fur queens. The contractor continued to develop a skin sample program with GLC Fur Dressers in Champlain, New York. The contractor arranged for beaver and raccoon sales to Alaska Furs in New York.

The contractor concentrated more on the Chinese market during 2004-2005. The contractor considered the Beijing China Fur and Fashion Fair as very successful for Louisiana furs. J.S. Suh, a large Chinese furrier, bought and sold nutria and muskrat skins from Louisiana this year. Mr. Derek Yin, Chinese fur dealer, also worked the Beijing China Fur and Fashion Fair and continued to sell Louisiana furs to Chinese customers. Haixing from China and Michel Roberts from Canada are both buying skins in Louisiana and have made arrangements to attend the upcoming Beijing Fur Show.

The contractor concluded in his final report by saying that we have positioned ourselves well to sell much more fur in the upcoming season. Mainland China is now buying directly from Louisiana rather than going through Hong Kong dealers.

Mrs. Louisiana

The Council contracted with Mrs. Louisiana to attend the Louisiana Sportsman Show and the Montreal Fur Festival. Michelle Mudd, reigning Mrs. Louisiana Queen, promoted conservation and management of the Louisiana fur and alligator resources during these two events and many others that she attended throughout the year. She did some school and library presentations, talking to students and teachers about natural resources. She attended the Council’s education booth at the Louisiana State Fair. She participated in the Council’s booth at the Louisiana Fur and Wildlife Festival. She promoted the managed use of fur at the Louisiana Association of Fairs and Festivals, at the Queen of Queens Pageant, and at the New Orleans Boat Show.

Michelle Mudd submitted two written reports to the Council. She noted that there are no fur tanneries in Louisiana and no retail stores carrying Louisiana fur products. She discussed reviving the Louisiana Bayou Furs label with manufacturers in Montreal, and she sees a real potential to move these products into Louisiana stores. She remarked on the vast number of people who expressed interest in her fur coat throughout the year and felt that many of these people would be potential customers for a Louisiana market.

II. ALLIGATOR MARKET DEVELOPMENT AND EDUCATION
International Alligator Crocodilian Trade Study- IACTS
During 2004-2005 FAAC continued the International Alligator and Crocodile Trade Study (IACTS) contract with Ashley Associates. IACTS is one of the most important projects the Council supports since it monitors total world trade in crocodilians in cooperation with World Conservation Monitoring Centre (WCMC) in Cambridge England.  WCMC's involvement provides an independent review of trade issues.  The goal of the report is to insure the world trade in crocodilian is legal, sustainable, and verifiable.  IACTS has significant international credibility and has become an integral part of the monitoring programs needed to insure sustainable use in conservation benefits.  IACTS draws attention through the IUCN Crocodilian Specialist Group (CSG) and CITES to issues such as infractions, enforcement, caiman trade, live export of crocodilians, and the dynamics of international meat sales.
The contractor is charged with the responsibility to format, review and analyze the CITES Annual Report data compiled by WCMC for each crocodilian species.
 
The report entitled "World Trade in Crocodilian Skins, 2001-2003” was delivered in June 2005. This was the 12th such report prepared by the WCMC and was intended to update earlier reports by analysis of information for the years through 2000. It also identified problem areas and recommended, where possible, workable solutions. This report presented information on trade levels in both classic skins (alligators and true crocodiles) and caimans.

The alligator again reached a level of 341,734 skins in 2003 (343,110 in 2001) and accounts for 61% of the total worldwide trade in classic skins.  Combined with the 27% market share of the Nile crocodile, the two species make up 88% of total worldwide trade in classics.  More interaction with the Southern African trade would be advisable, particularly on issues of enforcement, live trade, personal effects and economic incentives for sustainable use conservation benefits.

The live trade of Siamese crocodiles to China continues to be a concern.  At least 185,000 live Siamese crocodiles have been imported into China since 1997 with a peak of 45,977 in 2002.  CSG has initiated a Live Trade Task Force and a more constructive dialogue with China and a Regional strategy to address the problems should be implemented.

Since Mexico officially petitioned the USFWS in 2005 to downlist the Morelets crocodile, much more information on the population status, effectiveness of controls and farm management guidelines is needed.  Current exports from Mexico remain small (3,643 skins in 2001 & 1,037 skins in 2003) but a shared border with the US and necessity for all crocodilian trade to be legal, sustainable and verifiable requires this issue remain a priority in 2005-2006.

The caiman trade continues to report declining exports (Colombia—552,219 skins in 2003).  While this is substantially lower than the peak of 824,303 skins in 2000, there remains persistent question about the origin of some of these skins and ineffective enforcement of the tagging system.  Similar concerns continue with the Yacare caiman trade from Bolivia and Paraguay.  It is important to better address the caiman trade issues before the credibility of personal effects or other CITES initiatives are questioned.

Technical Representation CITES
     The Fur and Alligator Advisory Council contracted with Ashley Associates to represent the Louisiana alligator industry at the Convention on International Trade in Endangered Species (CITES). CITES was initiated in 1979 and the department or FAAC has had representation every two years at the conference of the parties for over 25 years.  There are now over 165 countries signatory to this treaty.  CITES is in fact the United Nations of Wildlife and is an important forum and factor in the dynamics of international trade in many species. The contractor attended the 2004 CITES Conference in Bangkok, Thailand and helped reaffirm the precedent setting personal effects exemption through CITES. There are many meetings during the two years between conferences and the contractor also attended a June 2005 conference of the CITES Standing Committee in Switzerland as a member of the working group on personal effects.  The issue of personal effects was raised as a clear exemption for legal crocodilian products that should be allowed to move between countries without a CITES import or export permit.  Personal effects apply to personally owned products, such as a purse, a belt or a briefcase. This was and remains a major impediment to increasing the conservation value of sustainable trade.  The effort of personal effects required 7 years to work through the CITES maze and was adopted during the 2002 CITES conference, was reaffirmed in 2004 and subject to a CITES Working Group in 2005, charged with responsibility to develop listing standards for species by the 2007 CITES conference.  The draft language to be developed in a working group will be difficult to achieve, while dealing with China and the European Union.  The continuity of the Council contractor in CITES participation and his credibility established working through CSG, World Wildlife Fund (WWF), WCMC, and TRAFFIC, the wildlife trade monitoring network, provides Louisiana a seat at the table. Other issues to be considered at CITES involved the resolution to streamline trade fair permits, revision of source codes for exports and consideration of down listing the American crocodile.  The contractor attended a CSG regional meeting in May 2005 in Argentina, which provided for a review and discussion of caiman issues as well as a trade session workshop on enforcement and economic incentives.  During the last fiscal year the Technical Representative devoted time to monitoring and provided input on the following issues:

• Implementation of the CITES personal effects exemptions
• Caiman issues in South America
• Live exports of crocodilians to non-range countries for captive breeding
• The need for better CITES infraction reports and more effective enforcement of permits, quotas and universal tagging
• CITES trade fair permits
• CITES review of economic incentives

The contractor’s goal during the last fiscal year was to keep these issues on the table for international discussion.  All of these issues are included on the agenda for the June 2006 CSG meeting in Montelimar, France.  As chair of the CSG Industry Committee, the contractor insures issues that affect the legal, sustainable and verifiable trade in all crocodilians are timely addressed.
                       
                                                                       
Cites Regulatory/ Economic Project
Ashley Associates coordinated with key crocodilian experts to finalize the completed draft of Phase Two of the project coordinated by TRAFFIC. This economic study looked at crocodilian sustainable use benefits, both conservation and commercial. FAAC contracted with TRAFFIC in 2004-2005 to submit the final report after consulting with others over controversial commercial issues. Ashley coordinated with WCMC and TRAFFIC to compile and analyze the economic data. TRAFFIC collected and reviewed data from customs and producer cooperatives on volumes of skins produced, volumes of skins traded, their destinations and their relevant values. TRAFFIC also conducted in-person interviews with key stakeholders involving raw skin production in order to gain an industry viewpoint on historical trends and their drivers. They also conducted in-person interviews with principle tanneries and industry associations in France, Italy and Japan in order to comprehend the significance of relevant historical trends in affecting and effecting change in both the downstream leather markets and upstream production systems.

The contractor stated that, while the emphasis on captive breeding issues is a priority, an equally important element is the proposed interviews with tanneries and industry associations in Europe and the Pacific Rim.  The historical trends (and changes) that are affecting both leather markets and production systems are fundamental to evaluating future impacts on sustainable use and conservation value.  An eight member CSG Industry Committee with the contractor serving as chair, will undertake to evaluate issues that affect the crocodilian trade and recommend priorities to better support sustainable use and conservation.  The Industry Committee met in April 2005 in Italy and will provide a report in June 2006 during the CSG meeting in France. The Economic Analysis project will prove to be equally as important as IACTS in reviewing and analyzing trade data trends. 

Alligator Retailers Education Program

FAAC contracted with Little Star T.G. Sal, L.L.C. to provide retail education to stores in major cities. This education took place in the fall and winter of 2004 and the spring and summer of 2005 in the form of in-store seminars to sales staff, hide buyers, and VPs of retail stores carrying exotics. Pre and post materials were also provided. The purpose of the meetings was to educate staff about sustainable use, non-endangered status and alligator leather quality. Training took place in Bal Harbour, Houston, New York, San Francisco, Palm Beach, San Jose, London, England, Paris, France, Hong Kong and Shanghai, China, Tokyo, Japan, and Leon, Mexico. Christine also worked the Sportsmen show in New Orleans, Louisiana and the Fur and Wildlife Festival in Cameron, Louisiana.

The contractor encouraged the media to write about sustainable use. The contractor contributed to a NY Times story and provided interview for other publications. The contractor also contributed to publications about alligators for Canadian schoolbooks. The contractor assisted in writing and editing Sak’s exotics training manual. All Sak’s handbag employees will learn about Louisiana’s alligator management program and how it guarantees a legal exotic product.

In summary, the contractor wrote the following: Every year, the reverberating web of those who know the actual story about alligator increases. We have a strong reputation in the marketplace. We simply need to continue to get the message out, have others repeat it for us (including our words in their training manuals) and keep an awareness of what our competition is up to, as knowledge is power.

Hide and Leather Quality Study

FAAC contracted with Pelts and Skins to perform an alligator hide and leather quality study. The study started with a base of 7,000 skins. 804 skins were chosen as the sample group. Skins were chosen from every Grade Group and all damage types were represented, including multiples. The rarest damage types were elongated navel, multiple, parasite damage and Pix. These 804 skins were graded in the raw and then graded again after crusting. The grader at the crusting stage was not aware of the grade each skin had received in the raw. The data compiled after the grading at crust will be re-evaluated with special attention paid to the farm-released tags. Probabilities of other events of interest could be determined using Logistic Regression.

Burwick Duval

FAAC contracted with Burwick Duva to defend the State’s use of Alligator Resource Funds to educate the public about the biological and ecological values of the Louisiana Alligator Program through general P/R and generic marketing. He has filed a Petition for Writ of Certiorari. The Louisiana alligator case is very similar to the generic pork marketing case, which the Supreme Court has agreed to hear.

III. EDUCATIONAL PROJECTS

 Washington D.C.
FAAC contracted with Glenn Roger Delaney to provide services related to a number of issues important to the state's fur and alligator industries and management programs.  The contractor was successful in securing a directive in the FY05 USDA Appropriations legislation for Animal and Plant Health Inspection Services, (APHIS) to establish a formal Cooperative Agreement with the department to support research on diseases affecting the LA alligator industry.  With the further assistance of the LA delegation and Senate appropriations committee, the department secured a commitment from APHIS to provide $87,500.00 for disease research under the Agreement from the USDA/APHIS FY05 budget.  Several members of the LA House Delegation and the two LA Senators submitted requests to their respective Appropriations committees to provide continued funding for this research in FY06.

The contractor previously conducted extensive research into laws and regulations pertinent to authority of the Federal Trade Commission (FTC) to investigate and take punitive action against the mislabeling and false advertising of leather products as genuine alligator.  Based on extensive communications with FTC, the contractor prepared a formal request from the department to the FTC to pursue this authority.  The FAAC voted at its May 2005 meeting to proceed with the FTC request pending notification of the affected US industry and documentation of more detailed information on the economic impacts of this illegal trade on the LA alligator industry and state economy.

The contractor maintained extensive communications with the LA Congressional delegation and other Congressional officials regarding key FAAC issues including CITES, nutria control efforts, the importance of fur and alligator management to wetlands conservation in LA, and the importance of the LA fur and alligator industries to the state. The contractor monitored all federal regulations and legislation that may have had an impact on these industries and the state’s ability to manage its wildlife resources, and responded directly to a number of specific requests for assistance. 

In response to the retirements of LA Congressmen “Billy” Tauzin and Chris John and LA Senator John Breaux who were key long-term FAAC and department supporters, the contractor initiated an immediate education and outreach effort covering a broad range of FAAC and department issues and interests with the incoming offices of Senator David Vitter and Congressmen Bobby Jindal, Charlie Melancon and Charles Boustany.  The contractor presented and received approval at the May 2005 FAAC meeting a proposal to develop and pursue a more comprehensive and long-term outreach and education program for the LA Congressional delegation that is underway.

Fur and Wildlife Festival

FAAC contracted with the Fur and Wildlife Festival in Cameron Parish to support the traditional values associated with the trapping industry. During the festival in January 2005 trap setting and skinning contests were held for both adults and youth. FAAC also provided two fur coats and two alligator clutches to the parish queen and to the fur and wildlife festival queen. In exchange for coats the queens were required to attend promotional and educational activities conducted by the Council and to talk about Louisiana’s fur resources at other engagements throughout the year. The Council hosted a reception for visiting queens and educated them about Louisiana’s fur resources and management program.

Public Education           

Tanya Sturman works as the program manager for the FAAC. Her duties include managing public education. She worked educational booths at fairs, sportsman shows, and trade shows; conducted teacher workshops and school programs; attended educational conferences; and developed and distributed educational literature. Additionally, she did a complete overhaul of the Council website www.alligatorfur.com, adding information requested by the alligator farming community and reformatting the site to make it useful to the industry as well as to the general public. All Council educational materials are available for free download from the website. She attended the Montreal Fur Show and the Hong Kong Fur Show. She attended a Leather Show in Leon, Mexico. She spoke to about 2,000 students in school programs and over 100 teachers in their own schools. She also worked three weeks at the state fair and met with 4-H leaders at the show. She attended the Sportsman Show in New Orleans, where she had the opportunity to speak directly with hundreds of children. Tanya coordinated with Melissa Whittington to provide educational materials for the Cypress Nature Study Center. The Council loaned the Study Center an educational alligator display. The Study Center hosted over seven thousand students and more than five thousand walk-in visitors during the fiscal year.

IV. TRAVEL

Travel by FAAC members in 2003-2004 was primarily related to promotion and educational displays within the state. A representative attended the Leather show in Guadalajara and fur shows in Beijing, Frankfurt and Milan. Council members attended trapping functions in Ohio, Mississippi and Texas.

V. SUMMARY

The FAAC continued to work during 2004-2005 towards its two major goals. The first goal of educating the public concerning the role of wildlife utilization in conservation cannot be separated from the second goal of market enhancement for fur and alligator skins and products. FAAC has come to the increased realization that without education of the public to counter misleading animals’ rights propaganda, enhancement of markets cannot be accomplished in the long-term. The educational module paired with the educational CDs continued to be a great success.  Requests for sample skins and programs have been tremendous.  Staff and volunteers presented at numerous schools and libraries this fiscal year. The website carried the educational story to a much broader audience of teachers and students.  The success of our education program will likely determine the future of markets.

This fiscal year FAAC continued to concentrate efforts on the U.S. alligator market.  The Retailer Education Program was well received by retailers with requests for more educational programs for their sales staff.  This program allows information to be distributed about the sustainable use of alligators, the “marsh to market story”, and the difference between alligator and caiman leather. 
  
FAAC also concentrated on solving problems associated with alligators, crocodilians in general, through CITES and USFWS programs and regulations.  Progress continues to be steady. 

FAAC has struggled to find new strong and stable markets for Louisiana fur.  The international fur market continues to be very dynamic and many internal and external factors affecting buying trends and markets are still present.  Mainland China still holds the brightest future for new and expanded markets and bought more Louisiana products this year.  China is catching up with its knowledge base, and dealers are eager to learn about Louisiana furs.  The FAAC attended fur shows in mainland China and Hong Kong this fiscal year. FAAC has followed a marketing plan of working in several countries that are gateways to China.