That allowable catch, dictated by the International Pacific Halibut Commission, compares with 61 million pounds in 2004 and 59 million pounds in 2005.

The halibut catch limits in the Washington and Oregon area, and the British Columbia, Canada, area total 14.6 million pounds, essentially unchanged from 2005. The halibut season opened March 5 and closes Nov. 15.

Juneau economist Chris McDowell, writing in the Alaska Seafood Marketing Association's latest Seafood Market Bulletin, notes that 2006 marks the first significant reduction in Alaska halibut supply in six years. From 2001 through 2004, the IPHC set the Alaska catch limit at 61 million pounds. In 2005, that quota was dropped by a modest 3 percent, but the 2006 limit of 55 million pounds represents a decline of 10 percent from the 61 million pound point.

Ex-vessel prices for Alaska halibut are at or near record-high levels. Most Alaska halibut paid more than $3 per pound to fishermen in 2005, with prices for a small volume of fish reaching as high as $4 per pound at the close of the season.

Peak prices of March and November represent a relatively small volume of halibut, slightly less than 9 percent of Alaska landings in 2005. May through September are the peak landing months, when about 70 percent of halibut is delivered. Prices during those months tend to reflect the broader market, including the frozen market, McDowell said.

Logically, reduced supply would increase prices in an atmosphere of strong demand. Demand for halibut appears quite strong, indicated by five years of stable supply and a rising price trend throughout the period. However, there are anecdotal reports that consumers are at or near their price tolerance for halibut and that further price increases may send some consumers looking for alternate products, McDowell said.

Those reports will be put to the test when substantial landings volume begins to cross the docks in April and May. If consumers are indeed at their price tolerance, the modest reduction in quota may not translate to further increases in prices to harvesters during mid-season, when most halibut is landed, he said.