Correspondence
Email sent to the contact address for Vassiliou Trofinko S.A.
The email said: "I’m writing to you in light of our latest investigation, which concerns abuses in the Chinese squid fishing industry, and a link we’ve discovered between companies engaged in abuses and your supply chain.
We understand that Vassiliou Trofinko S.A. packages Lidl’s own brand of squid under its Eridanous range. Our investigation has found that your supplier, Zhoushan Xifeng Aquatic Co. Ltd., is in turn supplied by at least three companies whose vessels have a history of fishing offenses, including lengthy transmission gaps, illegal fishing and shark finning. For example, one of these vessels had a 42-day transmission gap while operating in the northwestern Pacific Ocean, while another of the vessels fished illegally in Peru’s exclusive economic zone. The three companies are: Zhoushan ShunHan Ocean Fishing Co. Ltd, Zhoushan HanYi Oceanic Fisheries Co. Ltd. and Zhejiang ZhouPu Ocean Fisheries Co. Ltd.
The ‘Corporate Social And Environmental Responsibility’ page of your website says that: “For Vassiliou Trofinko S.A., Corporate Social Responsibility is part of a long-term strategy, which is a commitment of our company to people, society and the environment. All our actions promote sustainability and the improvement of quality of life at all levels.”
Given those commitments and the information here, does Vassiliou Trofinko SA have any comment to make on the record? Please reply by end of day March 14, 2023."
Senior management at Vassiliou Trofinko (Maria Gyftopoulou, Purchasing Director, and Xenofon Spyridon Lourantos, General Manager) replied: "We aknowledge with thanks, your below mail of Friday 10/03/2023.
We have studied carefully all its contentents and kindly note:
A. Suppliers of VTF are checked examined and valued with strict criteria as per: a. EU rules and regulations b. HACCP plan c. Various official Certifications : IFS – MSC – ASC – ECOVADIS etc. B. They (Suppliers) are obliged to sign the BSCI Code of Conduct – as attached C. Moreover, please find attached: a. Declaration Form of the below mentioned supplier b. Approved Fishing Certificates from the relevant Authorities and finaly c. The Global Quality and Certification Policies our Company is adhering to
Conscequently, we have replied to your below queries and above and attached documents are our “comments on record”."
The email included an attachment with the Xifeng statement dated March 10, 2023: "We Zhoushan Xifeng Aquatic Co. Ltd. herewith declare that our company is not involved in any fishing offenses, including lengthy transmission gaps, illegal fishing and shark finning. Vassiliou Trofinko has always instructed us to buy raw materials only from legal sources and from vessels that are duly registered and approved by EU. Vassiliou Trofinko has clearly declared that all raw materials should come from vessels following sustainable practices. Vassiliou Trofinko SA has clearly stated that all human rights should be respect at all stages of fishing, production and final packaging of products. Vassiliou Trofinko SA has clearly stated that child labour is condemned. All the raw materials purchased by our company are approved by the government and issued by the legal fishing certificate.”
Vassiliou Trofinko's email also included attachments with the company's Global Quality and Certification Policies in the original Greek, fishing certificates, and the BSCI Code of Conduct.
The Outlaw Ocean Project replied: "Thank you very much for your response to our email, we really appreciate your engagement on this issue and your transparency with us on your supplier agreements.
Industry analysts and experts have, however, told us that traceability from China is highly unreliable, despite various certification programs depended on by buyers and importers. This is largely due to gaps in record-keeping as product passes from point of catch to point of export, with documentation often filled in retrospectively to meet buyer requirements without effective oversight to verify compliance.
We have visual evidence of bags of squid from these companies in the Xifeng plant, and we have extensive evidence of those companies' ties to IUU activity. For example, we have video and images of bags from Zhoushan Han Yi arriving in September 2021. The Han Yi 3, 7, 21, 22 each have a history of lengthy transmission gaps, while crew from the Han Yi 21 said shark finning and walrus hunting was carried out while they were on board. Zhejiang Zhou Pu Ocean Fisheries, meanwhile, also owns multiple squid vessels with regular transmission gaps, and its vessel Pu Yuan 825 was fined for illegal fishing inside Peruvian waters in 2020. Another of its vessels, the Zhou Pu 818, fished without authorization in the SPRFMO in 2021.
We have also recently identified packaging from another company, Zhoushan Run Da Ocean Fishing, a company which owns at least six jiggers that have had multiple long transmission gaps in squid fisheries in the South Pacific and South Atlantic since 2019. In light of these details, do you feel that the certifications and supplier agreements you have in place provide adequate assurances that Vassiliou Trofinko's supply chain is free from IUU?"
Vassiliou Trofinko S.A.'s management (Maria Gyftopoulou, Purchasing Director, and Xenofon Spyridon Lourantos, General Manager) replied: "Thank you for your kind reply 14/03/23 to our mail also 14/03/23 and following your initial mail 10/03/23. As already mentioned in our previous communication, kindly note: Our company, which operates the past 50+ years, adheres to all the rules and regulations of the EU, Without any compromise and Without any deviation or “discount” With regular controls and legal documentation and certification, that we have already supplied to you, it ensures the same applies to all its worldwide suppliers. All the above, are applied and followed 100%, on every shipment and controlled by the Greek and EU Authorities, as per current existing legislation."
The Outlaw Ocean Project replied: "Thank you again for your patience and engaging with us on this matter. We note that, in your responses, you have not explicitly denied or challenged the fact that your Chinese supplier is processing squid from the aforementioned fishing companies. Do you accept that it is the case that Zhoushan Xifeng processes squid from fishing companies with ties to IUU issues? Will you be seeking an alternative supplier as a result?"
Xenofon Spyridon Lourantos, General Manager of Vassiliou Trofinko, replied: "Thank you for your new mail, in reply to ours. As per our below 2 mails and respective attachments, we have entirely covered, all your queries. Fortunately, we do not work with “feelings” and “estimates”, but only with documented facts, which we have explained to you and sent also relevant documentation. We have nothing else to add."