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//Situation Report          27







           The INFOFISH  Global Covid-19 Situation Report continues with an opinion piece on the predicted impact of the pandemic
           on the  Latin American tuna industry, written by one of our regular contributors , Mr Dario Chemerinski


          LATIN AMERICA: THE                                   By late March 2020,  the Covid-19 virus had arrived in full
                                                               strength across Latin America. In economic terms, the region
          RESHAPING OF THE TUNA                                was already growing very slowly, at less than 1% a year on
                                                               average;  thus  the  impact  of  the  virus  will  be  profound,
          LANDSCAPE AFTER COVID-19                             affecting  many  areas  such  as  commodity  exports,  which
                                                               will be met with lower prices. It will also affect the tourism
                                                               industry,  reduce  remittances  by  foreign  workers,  cause
                                                               shutdowns of service businesses and cut down exports due to
                                                               the contraction of their biggest export market, China.  The UN
                                                               estimates that the number of poor in Latin America, out of a
                                                               total of 650m, will soon rise from 185m to 220m. Adding say,
                                                               another 35 million poor people to the already impoverished
                                                               region will put huge pressure on many populist governments
                                                               that were elected claiming the usual  mantra of “we care for
                                                               the poor”.
                                                               In political and social terms, Latin America has been suffering
                                                               major discontent and despair, and has seen many protests
                                                               especially  in  Chile,  Ecuador  and  Venezuela.  Moreover,  the
                                                               election of two very different populist governments in Brazil
          Masked Mexican workers on a US boat, carrying tuna to a dock for sale,   and  Mexico,  right  and  left-oriented  respectively,  together
          March 2020
                                                               with the return of the Peronists in Argentina, have shaken the
          By the time this paper is published, more than 2.5 million   foundations of the strong middle classes in those countries,
          people  globally  would  have  been  infected  by  the  Covid-19   which  are  the  three  biggest  economies  in  Latin  America.
          virus,  causing  about  250  000  deaths  around  the  globe.   Despite having chosen these leaders democratically, there is
          Spreading at an astonishing speed in less than  four months,   a fear now that there are fewer opportunities for progress
          this  deadly  virus  has  traveled  from  a  live  animal  and  food   and no clear horizons ahead. It is obvious that Covid-19 will
          market  in  Wuhan,  China,  to  almost  every  country  in    five   significantly alter  the paths of  global economies    including
          continents.                                          Latin  America,  unless  governments  act  with  responsibility,

          Without  a  vaccine  or  cure  in  the  near  future,  the   common sense and transparency to avoid a major disaster.
          consequences for some countries will be much more severe   This  brings  us  to  the  subject  of  this  paper:  Will  the  virus
          than  for  the  richer  ones.  This  is  not  only  because  of  their   reshape  the  tuna  landscape  in  Latin  America?  And  if  so,
          poorer healthcare systems but also because social distancing   how?
          and urban “lockdowns”, especially in highly crowded slums,   In order to find the answers to this, we will first look at “The
          are very difficult to enforce.  Lower income countries in parts   day after”. In other words, assuming one day the virus will
          of  Latin America,  Africa, and Asia will be the hardest-hit by   eventually disappear, or a vaccine is developed, we must list
          this pandemic.
                                                               all potential changes that may affect the region, especially
          Latin America: the big picture                       those related to food  production and consumption. After we
                                                               have identified all this, we will be in a position to narrow our
          The hope  is  that  with  the  hot  climate,  the    mainly  young   search and analysis down to our favourite fish: tuna.
          demographics  and  the  (still  high)  rural  percentage  of  the
          population, Latin America may avoid a major disaster on the   What will happen “the “day after”?
          horrific scale as the ones we have seen in Europe and parts
          of the US. Nevertheless, according to some estimates (e.g.   Perhaps one of the few certainties we have in these turbulent
          the IDB bank) in 2020 , Latin America will most likely suffer a   times is that one day this crisis will be over. To understand
          contraction of not less than 5% of its combined GDP, and the   the implications of how Covid-19 will affect us, we can divide
          damage  will  continue  throughout  2021  and  possibly  2022,   them  into  two  groups:  global  ones,  and  those  specific  for
          unless strict sanitary measures are implemented.     Latin America, as follows:



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