The United States has restricted imports of Philippine Blue Swimming Crab due to insufficient documentation on marine mammal protection, prompting a major seafood exporter to cut over 200 jobs and sparking urgent calls for government action to save a $50 million industry.
Hundreds of Workers Affected in Lapu-Lapu City
Phil-Union Frozen Foods Inc. (Puffi) laid off 245 agency-based workers on May 16, 2026, at its facility in Mactan Export Processing Zone 1, Lapu-Lapu City. The company said the reduction was directly caused by the loss of US market access, not by any quality or safety issues. Of those displaced, 65 have sought help from the Lapu-Lapu City Public Employment Office.
Puffi President Kunho Choi emphasized that the job cuts do not reflect operational failure. "The resulting workforce reductions should not be interpreted as a consequence of operational failure, product quality concerns, or non-compliance by individual seafood processors," Choi said in a statement on May 30. He added that the measures became necessary after the US National Marine Fisheries Service (NMFS) restricted Philippine Blue Swimming Crab imports.
Why the US Restricted Imports
The restriction, effective May 12, 2026, stems from an NMFS determination under the Marine Mammal Protection Act. The agency found that Philippine fisheries failed to demonstrate measures comparable to US standards for protecting marine mammals. Specifically, the Philippines lacked sufficient documentation on marine mammal bycatch monitoring, mandatory reporting of deaths and injuries, and evidence of effective bycatch mitigation.
Puffi stressed the restriction is unrelated to product quality or safety. "The restriction on Philippine Blue Swimming Crab exports is an industry-wide issue with significant economic, social, and employment consequences," Choi said.
A Massive Blow to a $50 Million Industry
The Philippine Association of Crab Processors Inc. (Pacpi) warned that the ban threatens an industry that shipped over 2,400 metric tons of crabmeat worth more than $50 million to the US in 2025. The US accounts for about 90% of Philippine crab exports. Pacpi said the ban has already led to canceled orders, loss of customers, and reduced operations. "What was once a thriving fishery is now at risk of closure and create a generational impact," Pacpi said.
The impact extends beyond processors to thousands of fishermen, crab pickers, factory workers, logistics providers, and suppliers. Despite the setback, Puffi remains operational and continues to export other seafood products, including octopus, shrimp, fish, and crab to non-US markets.
Urgent Calls for Government Intervention
Industry stakeholders urged the Bureau of Fisheries and Aquatic Resources, Department of Agriculture, and Department of Environment and Natural Resources to address the regulatory deficiencies. They called for stronger marine mammal bycatch monitoring, improved fisheries management, and coordination with industry and environmental groups to regain US market access.
Puffi said immediate action is needed to safeguard livelihoods. "We respectfully request the understanding, cooperation, and support of all stakeholders as we work together toward restoring the competitiveness, sustainability, and long-term viability of the Philippine Blue Swimming Crab industry," Choi said.
