A proposal to resolve the controversial Last In, First Out (LIFO) shrimp fishing policy has lit a new fire under some harvesters and communities in Labrador.

People living south of Cartwright say part of the proposal would destroy their livlihood and undermine a processing plant in Charlottetown, Labrador.

At issue is a recommendation by an advisory panel to the federal minister of fisheries and oceans to cut the shrimp quota in Area 5, just north of the zone where LIFO activity is centered, by 3,400 tonnes over three years.

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