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B-157927 1 (1973-05-25)

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                      RESTRICTED   N Not to be released           7
                      Accounting Office except on the ba  o  ltc '  profal
                      by the Office of Legmiative Liaison,  rvdORWif fl3i V ept
                         WAsWHINGTO DC 204

                           RELEASED
B- 15 7927
                                              2MAY 25 1973

The Honorable John P. Dingell
Chairman, Subcommittee on Fisheries
  and Wildlife Conservation
Committee on Merchant Marine and Fisheries
House of Representatives

Dear Mr.- Chairman-                              4

     As yourequested on August 21, 1972, we reviewed the Fish
Protein Concentrate Program as administered by the National  C6O00
Marine Fisheries Service, National Oceanic and Atmospheric
Administration, Department of Commerce

     We reviewed legislation, procedures, and practices re-
lated to the administration of the program   We interviewed
officials of the Agricultural Research Service and the Eco-
nomic Research Service, Department of Agriculture; Agency for
International Development, Department of State; Food and Drug
Administration, Department of Health, Education, and Welfare,
a major university, and several independent firms and an as-
sociation having a specific interest in fish protein concen-
trate

     We did our work principally at the National Oceanic and
Atmospheric Administration headquarters office in Rockville,
Maryland, and the fish protein concentrate experimental and
demonstration plant at Aberdeen, Washington.

     The experimental and demonstration plant served a useful
purpose in developing a process for the production of fish
protein concentrate but did not demonstrate the economic fea-
sibility to produce it commercially. The domestic market po-
tential for the type of fish protein concentrate produced by
the Service is limited at this time and the U.S. fishing in-
dustry will not be enhanced by a commercial fish protein con-
centrate industry. We believe that only limited benefits
could be realized by the Government if it were to continue
operating an experimental plant. It appears that when a strong
domestic and foreign need for fish protein concentrate   as be-
come evident, industry may become interested and begin to pro-
duce it. We also believe that if an extension of the program
is authorized, the plant should be located at a site close to
the source of fish and to a fishmeal plant.

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