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South Carolina shrimpers sue 25 restaurants for ‘shrimp fraud,' saying deception is threatening their industry
South Carolina shrimpers sue 25 restaurants for ‘shrimp fraud,' saying deception is threatening their industry

Yahoo

time22-07-2025

  • Business
  • Yahoo

South Carolina shrimpers sue 25 restaurants for ‘shrimp fraud,' saying deception is threatening their industry

On June 13, the South Carolina Shrimpers Association filed a federal lawsuit in the District of South Carolina against 25 Charleston-area restaurants. The shrimpers accused the eateries of violating the Lanham Act and the South Carolina Unfair Trade Practices Act by marketing imported, frozen shrimp as 'wild‑caught' and 'local,' according to ABC News 4. Don't miss Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 6 of the easiest ways you can catch up (and fast) Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Shrimp fraud misleads customers The amended complaint alleged that this 'shrimp fraud' misleads consumers and damages the reputation and goodwill of legitimate Lowcountry shrimpers. 'We believe that when we invite our family, our friends, and our cherished guests to our beautiful Lowcountry, they deserve nothing less than the real, authentic thing — and in this case, that means our delectable and incomparable, wild-caught South Carolina shrimp,' said South Carolina Shrimpers Association vice president Bryan Jones. According to an investigation by SeaD Consulting, the genetic analysis of shrimp from 44 local eateries revealed that 90% of restaurants deceived customers. The suit found 25 establishments to be 'outright fraudulent' for deceiving diners by selling imported shrimp which they claimed were locally caught. Similar SeaD studies along the Gulf Coast revealed 'shrimp fraud rates' as high as 96% in Tampa Bay and St. Petersburg, Florida. Only two out of 44 tested restaurants served truly local shrimp. The Shrimpers Association claims these deceptions threaten the integrity of South Carolina's seafood branding and undermine consumer trust. After all, many customers are expecting authentic and local food as advertised. Read more: Americans are 'revenge saving' to survive — but millions only get a measly 1% on their savings. Economic and tourism impact The authenticity of seafood is not a niche concern in South Carolina. In 2022, visitors spent $27.9 billion across the state, generated $2.6 billion in tax revenue and supported over 257,000 jobs. The Lowcountry's coastal dining scene is a significant attraction among tourists. According to Columbia SC Tourism, food and beverages accounted for 29% of each tourist's budget, which amounts to $487 million. If customers are misled by establishments, rebuilding consumer trust may require stricter labelling laws. Louisiana has implemented an updated seafood labeling law due to misleading food labels in restaurants. Responses and next steps Several restaurants have publicly denied wrongdoing and misleading customers. Mount Pleasant Seafood says it has 'receipts to back up' its local purchases and switches to frozen local South Carolina shrimp when fresh is unavailable. Crave Hospitality Group stressed its commitment to sourcing and transparency. Page's Okra Grill protested being 'floored' by inclusion and noted it 'does not claim on any of our menus that our shrimp is all local or East Coast.' 'Our aim has always been to protect South Carolina's shrimping industry and to uphold the principle that consumers deserve honesty in advertising. We hope to hear from any defendant who is prepared to work with us to ensure transparency and fairness moving forward,' said associate representative attorney Gedney Howe IV to WRDW. As the case heads to court, both sides will present evidence on sourcing records, menu marketing and consumer perception. Beyond financial damages, the litigation underscores a broader call to preserving the Lowcountry's culinary legacy, a billion-dollar tourism engine that demands 'local' shrimp must come from South Carolina waters. What to read next Robert Kiyosaki warns of 'massive unemployment' in the US due to the 'biggest change' in history — and says this 1 group of 'smart' Americans will get hit extra hard. Are you one of them? How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you'll need a substantial stash of savings in retirement Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. This article provides information only and should not be construed as advice. It is provided without warranty of any kind. Solve the daily Crossword

Local shrimpers see tariffs as opportunity, want targeted approach
Local shrimpers see tariffs as opportunity, want targeted approach

Yahoo

time13-04-2025

  • Business
  • Yahoo

Local shrimpers see tariffs as opportunity, want targeted approach

CHARLESTON, S.C. (WCBD) — As President Donald Trump's shifting tariff policies rattle the stock market and worry consumers, one local industry sees them as an opportunity. 'The first news of the tariffs, we were all excited,' said Bryan Jones, a first-generation shrimper who lives in McClellanville. 'We certainly empathize with anybody that views this as a negative downturn…but [with] this suffering that our industry has had for the last 20 years, our view is that it will provide a lifeline.' The domestic shrimping industry has suffered in recent decades as foreign countries like India, Indonesia, Ecuador, and Vietnam dump billions of pounds of shrimp into the market, thereby artificially deflating the price. 'It's squeezing us out of the market where we once had 80% of the market share 20 years ago, we're now down to 6%,' said Jones, who also serves as vice president of the South Carolina Shrimpers Association. 'That's really stifling to, you know, the people that are trying to make a living and feed their families here in these rural coastal communities.' Republicans fear Trump's trade war could lead to political wipeout But news of the sweeping tariffs offered hope of leveling the playing field. 'What we're looking for is just the ability to compete fairly in the marketplace,' said Jones. 'If the price of imported shrimp goes up, our prices can, in theory, stay the same, as long as we don't have to tie up.' Closer prices would give consumers and restaurants more choice, he added. 'Even if the price of domestic shrimp doesn't move a lot, the restaurant buyer or the head chef has that opportunity to make that conscious decision,' Jones said. 'Or the consumer: if there's a closer price spread, does it make sense to buy something that's delicious, local, wild-caught and sustainable or do I vote with my pocketbook?' According to the Southern Shrimp Alliance, the price of imported shrimp has dropped by more than $1.5 billion, forcing the U.S. to lose nearly 50% of its market value. The alliance contends that U.S. shrimpers have been disadvantaged by unfair trade policies, which include government and global financial institution subsidies for aquaculture ponds and fewer environmental regulations. These policies have allowed foreign countries to flood the market with cheap, often lower-quality shrimp, Jones said. According to a 2015 Consumer Reports bulletin, the U.S. Food and Drug Administration tests only about 1% of foreign shrimp shipments for potential contaminants. About one-third of shipments are rejected for containing banned antibiotics. But, Jones noted that the shipments are not usually immediately confiscated or destroyed, meaning boats could take them to a new port of entry where they could pass through uninspected. 'We have a lot of rules and regulations in place, but when only 1% is inspected, there's a lot of loopholes and ways for shrimp to come across the docks and end up in the food system,' he said. And though tariffs could achieve more financial parity in the industry, American shrimpers will likely have to balance that with rising costs for operational expenses, like replacing the gear onboard trawlers. 'We understand the prices of some these materials may go up, but that would be completely offset if we were able to sell more of our product,' Jones argued. Tariffs on the largest suppliers of imported shrimp were initially set between 10% and 46%, according to figures from the White House. With a 90-day pause now in place, shrimpers are encouraging a more targeted approach. He suggested that mechanisms such as anti-dumping orders and countervailing duties that directly target predatory actors in the industry would also help. 'It's not lost on us that this is not a permanent solution,' Jones said. 'We don't view tariffs as the end all be all, but it could be a strategic tool.' Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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