The Cape Dorset sent out a distress call at around 9 a.m. on Saturday after the ship began taking on water.
All 19 crew members made it safely onto a life raft before the ship sank, just south of the Burin Peninsula.
The Ivy Rose, another fishing vessel in the area, responded to the distress call and picked up the crew.
No injuries were reported.
The Canadian Coast Guard had planned to intercept with the George R. Pearkes and transport the crew to shore, but instead escorted the Ivy Rose to Trepassey, on the southeastern tip of the Avalon Peninsula.
The ship docked shortly after 1:30 a.m. Sunday.
Icewater Harvesting, based out of Arnold's Cove, owned the 40-metre fishing vessel.