"The Government doesn't allow hunters to accidentally kill kakapo, and we shouldn't be allowing fishing methods that kill sea lions," spokeswoman Eugenie Sage said.
Conservation groups including the New Zealand Sea Lion Trust and Forest and Bird have also questioned the efficacy of Sleds, something Otago University zoologist Dr Bruce Robertson said had not been academically resolved despite official estimates of 85 per cent of captured sea lions escaping.
Dr Robertson claimed Sleds might even be allowing captured dead sea lions to drop out of the nets, suggesting official mortality rates could be under-estimates.
But George Clement, chief executive of industry body Deepwater Group, said millions of dollars had been spent on fitting cameras which showed there weren't any unaccounted deaths.
"We have worked on this thoroughly and it's now very clear by all impartial observers that the cause of the decline is not fishing."
The use of Sleds had led to a significant drop in sea lion bycatch deaths, he said.
Mr Clement said while two deaths was two too many, he suspected a bacterial disease, Klebsiella pneumoniae, could be to blame for the population decline.
While some scientists had expressed doubt over disease as a major cause, it would be considered as a potential factor in a comprehensive assessment at key breeding sites this summer.