State awards $3M to Long Island oyster farmers amid winter damage to crop, equipment

Relief is on the way for more than a dozen Long Island oyster farms after an icy, brutal winter damaged equipment and wiped out many growers' inventories.

Fourteen oyster farms will receive $3 million in state funding to upgrade infrastructure and boost production, Gov. Kathy Hochul announced on Saturday. The infrastructure grants can help fund new docks, equipment and other tools to support aquaculture farms, state officials said.

The funding is part of a second round of awards through the Long Island Aquaculture Program. Farmers said the timing couldn't be better after a deep freeze caused an estimated $2.4 million in losses across the region. State officials awarded an initial $1.2 million to 17 businesses to expand and upgrade equipment last October, Newsday reported at the time.

On Friday morning, Matt Ketcham of Peconic Gold Oysters was still hauling up decimated cages from his plot in Cutchogue Harbor. 

"I had a section of my farm that we call 'iceberg alley' now," Ketcham said in an interview. "I'm still pulling up crushed stuff, broken stuff, stuff that was dragged through the mud. I need a lot of new cages."

Ketcham said he plans to use part of his grant to invest in an ice machine and, over time, save money on a crucial element of his business.

Aquaculture, he said, "is a type of farming that requires a ton of capital investment and a ton of reinvestment even just to grow your sales a little bit."

He added, "Something like this helps us a lot."

Other awardees include West Robins Oyster Co., Hampton Oyster Co., Davy Jones Landing, Oysterponds Shellfish, Lucky 13 Oysters, East Hampton Oyster Co., Scrimshaw Enterprises, Hart Lobster Co., Thatch Island, North Fork Big Oyster, Jeffrey M. Kraus, Dune Fishery and Little Ram Oyster Co., according to a news release from the governor's office.

The awards range from $111,702 to $250,000, according to the governor's office.

"Long Island's historic seafood industry is second to none, helping to strengthen local food supply chains, bolster our state's economy, and upholding a legacy of excellence and dedication to industry," Hochul said in a statement. She noted that the program is intended to support aquaculture farmers so "they can continue to thrive for years to come."

Little Ram Oyster Company in Southold was awarded $229,379, which it plans to invest in on-land processing facilities that include cold-storage and wash-down areas, according to owners Elizabeth Peeples and Stefanie Bassett.

Peeples said it would help the company increase production and expand distribution.

Bassett called the grant "transformational" in an email Saturday. "For our family-run oyster farm to receive this level of support from New York State is incredibly meaningful," Bassett wrote. "This project gives us the ability to build the long-term infrastructure needed to strengthen our operations and support the future growth of shellfish farming on Long Island."

Across the country, aquaculture generated more than $14.5 million in sales in 2022, according to figures from the U.S. Department of Agriculture.

Bill Zalakar, executive director of the Long Island Farm Bureau, said aquaculture is among the fastest-growing types of farming in the region.

"However, along with all the challenges that continue to affect our growers, the extreme weather this past winter took a serious toll on our aquaculture farmers," Zalakar said in a statement. "These efforts will help our farmers get back on their feet and continue building a stronger, more sustainable aquaculture industry on Long Island."

An industry group, Long Island Oyster Growers Association, estimated the industry lost a third of its crop based on data it collected over the winter.

Last month, Hochul requested a disaster declaration for Suffolk County that would make farmers eligible for loans to replace gear, vessels and farm infrastructure. State officials surveyed the damage at several oyster farms in April. The group included Richard Ball, commissioner of the Department of Agriculture and Markets, and Amanda Lefton, commissioner of the Department of Environmental Conservation.

The state grant program is administered by the Farm and Food Growth Fund. Its president, Todd Erling, said helping aquaculture businesses grow will enable them to reach new customers. The grant funding and Hochul's request for disaster relief funding means "this historically important segment of the state's agribusiness sector will be getting the support that it deserves to protect and grow its fragile, but tenacious economy," he said in a statement.