Aquaculture

AquaculturePhil Thomas

Initial Points to Note Aquaculture is very different

from fisheries and is much closer to agriculture.

It is aquatic ‘livestock production’; in tank facilities, rivers, lochs and in the sea.

Aquaculture is not a single sector.

Production species vary – within finfish and shellfish categories.

Freshwater and sea-farm production; for salmon both.

Production systems vary between and within species.

Europe – Mussels, oysters, other shellfish: carp, eels, bass, bream, Arctic char, brown trout, sea trout, rainbow trout, cod, halibut, turbot, Atlantic salmon.

Scotland – main production is Atlantic salmon, rainbow trout and mussels.

Shellfish

Shellfish £M

Mussels 8.3

Native Oysters 0.14

Queen 0.003

Pacific oyster 1.25

Scallop 0.09

Total 9.8 (8.3 in 2010)

90% sales to UK 10% export sales35% fresh product65% added value

product

Data 2011

Value at First Sale Information on Mussels Use

Significant scope for expansion – increase by 100% by 2020 is National Marine Plan Target. Some expansion will be integrated multi-trophic aquaculture, involving salmon + mussels + seaweed. Two pilotstudies are already in progress.

Production: Shellfish

Mussels

Comparative Data 2008

Trout Trout farming is UK activity rather than ‘Scottish’

Scotland produces about 5o% UK output, ca £14M per annum.

15% (30% UK) live sales for stocking

Of food sales - 95% into the UK market

85-90% fresh/chilled10-15% value added

productPerceived

opportunities in large trout – like salmon

Trout

Comparative data 2008

Technology Development

Plastic Pens

After Hanlon

(After, Chopin, 2010)

Atlantic Salmon

0

50

100

150

200

250

1980 1985 1990 1995 2000 2005 2010 2015 2020

Salmo

n x 10

00 ton

nes

Planned

Current Salmon production 157,000 tonnes. Value £540M at farm gate.National Marine Plan target is 220k tonnes by 2020

Food-chain Tradition Model

PrimaryProducer

Primary Processor

Value-addedProcessor

Distributor or wholesaler

Retailer or Food Service

Imports/Exports

Imports/Exports

Imports/ Exports

Imports/Exports

Salmon-chain Model

1. In the salmon-chain there has been increased vertical integration both from the primary producers down the chain and for added value processors up the chain. 2. Similar integrative effects have been created in some cases through strategic alliances between sectors.3. Salmon sells in a global market. Because Scottish salmon is the leading premium product, balance of home use, exports and imports is potentially dynamic and price and supply sensitive.

Salmon83% fresh/chilled12% frozen 5% smoked Over 60 value-added

products and formats on the market

SWOT Analysis on Scottish AquacultureStrengths Most developed aquaculture

in UK Best water quality in UK Traditional quality branding Leading EU-salmon Leading UK-trout Supplier of high-quality

shellfishOpportunities Strong demands and growth

in demand for products (salmon and shellfish particularly)

Potential for substantial increases in production

Good market access and market penetration (salmon in particular)

Weaknesses Failure to achieve ‘better

regulation’ in planning , licensing and regulation.

Some sectors require further development (shellfish)

Essential investment is variable between sectors

Threats Pr0active objectors to

aquaculture Failure to maintain investor

confidence and so failure to develop

Failure to be competitive with imports (varies by sector)

Prolonged national economic stagnation

Scottish Aquaculture StrategyOur shared vision is that Scotland will have a sustainable, diverse, competitive and economically viable aquaculture industry of which its people can be justifiably proud. It will deliver high quality healthy food to consumers at home and abroad and social and economic benefits to communities, particularly in rural and remote areas.

‘Scottish Aquaculture Strategy: A Fresh Start’Strategic themes and Working Groups:Healthier fish and shellfish (Reported)Improved systems for licensing aquaculture

developments (ISLAD)(ongoing)Improved containment (ongoing)Better marketing and improved image (actions;

but in abeyance)Improved access to finance (in abeyance)Shellfish Forum (some ongoing)

Planning Reform for AquacultureJoint Initiative – Supported by Cabinet Secretary for Finance, Employment and Sustainable Growth and Minister for Environment

Members:5 Local Authorities Marine ScotlandMarine Scotland ScienceSNHSEPASSPOASFB

DPRFA2 sets out what each party will continue to do and how they will work together to refine theplanning system for aquaculture. The benefits from continuing to improve efficiency in the planning system will -----

Issues for Aquaculture Further development of salmon Production –

more farms Further development and refocusing of trout Development, including structural development,

for shellfish.Ongoing ActivitiesDemand for salmon is high but prices have

reduced substantially. Not sufficient Scottish production to open up major new markets. Industry heavily engaged in ongoing technical developments and communication strategies.

Trout – portion size trout static and margins low. New initiatives in large trout.

Mussels – industry continues to grow steadily, but new sites problematic. IMTA under test, also cross-sector initiatives.

Challenges to Aquaculture DevelopmentDifficult planning development environment.

Finfish sites always challenging, because of anti-farming campaigners.

Vast proportion of farm sites still stuck in the 2007 process of transference into planning system . (Audit & Review).

‘’SEPA now routinely objects to proposed shellfish sites’’

Current Marine Scotland Aquaculture and Fisheries Bill proposals are regarded as disproportionate and barriers to progress.

Marine Scotland is widely considered to be failing to address its economic/business development remit. It is regarded as having no aquaculture ‘champions’ and is widely held in low regard. SDI regarded as very helpful.

20

Public Interest in Aquaculture Cragg Ross Dawson: Overview

The general impression of Scottish aquaculture seems positive:

consumers are generally satisfied with the product

ignorance of and reservations about it are not off-putting

retailers have sufficient confidence in it to use it as a major source

NGOs query specific issues but not the general necessity

Key questions are:

whether to do more to promote and inform people about aquaculture

if so, what to say about it

The End