Woolworths is under pressure from activist shareholders to stop sourcing farmed salmon from Macquarie Harbour, Tasmania, the only known habitat of the endangered Maugean skate.
The Maugean skate, a rare species of ray, faces severe threats due to salmon farming in Macquarie Harbour, which produces nearly 9,500 tonnes of salmon annually. A federal environment report estimates that only 40 to 120 adult skates remain, with salmon farming identified as a key contributor to habitat degradation. Activist investors have proposed resolutions for Woolworths’ annual general meeting (AGM) in Sydney, urging the company to cease sourcing salmon from this region by next April and to report on the impact of its farmed seafood on endangered species.
While Woolworths has recommended voting against these resolutions, stating that their seafood is third-party certified as sustainable, they will still allow shareholders to raise questions on this topic at the AGM. Woolworths pointed to other environmental factors, including climate change and dams, affecting the skate’s habitat and noted ongoing efforts like breeding programs and projects to improve water quality.
A leading proxy advisor, ISS, has advised shareholders to support more transparency in salmon sourcing practices, aligning with Woolworths’ sustainability goals. However, ISS and Woolworths caution that changing the constitution and ending salmon sourcing from Macquarie Harbour may negatively impact supply chains and financial performance.
Recently, Environment Minister Tanya Plibersek postponed a decision on upgrading the skate’s endangered status, citing the need to assess new research. This delay has frustrated environmental groups, who argue that salmon farming could drive the Maugean skate to extinction. Meanwhile, Coles shareholders will vote on similar resolutions in their AGM on November 12.
For the latest retailer news and information, check out the IndiHub website or to speak to us about how we can help your business contact us.
