Global Update 2008: Tilapia Production, Innovations, and Markets Kevin Fitzsimmons, Ph.D. Sec. Tres. American Tilapia Association Past President – World.

Global Update 2008: Tilapia Production, Innovations, and

Markets

Kevin Fitzsimmons, Ph.D.Sec. Tres. American Tilapia Association

Past President – World Aquaculture Society

Professor, University of Arizona

Orlando, FL

Aquaculture AmericaFeb 2008

OverviewGlobal perspectiveUS and EU markets for tilapia productsProcessing and packaging changesNew productsDemands on farmersFuture trends

Tilapia aquacultureSecond most important farmed fish after the

carpsMost widely grown of any farmed fishAsian countries are major producers and

consumers

Asia

Africa

Americas

Others

World Tilapia Production of 2,381,237 mt in 2006

China

Egypt

Philippines

Mexico

Thailand

Taiwan

Brasil

Indonesia

Colombia

Cuba

EcuadorVietnam

Costa Rica Honduras

Malaysia United States

Others

World Tilapia Production of 2,381,237 mt in 2006

Tilapia the “Green” farmed fish Herbivore / omnivore, low trophic level feeder Algae, bacteria, and detritus (bioflocs) are

important food sources Prepared feeds are mostly grains and ag by-

products Promoted by aid agencies and NGO’s Dr. M. Gupta awarded World Food Prize for

promotion of tilapia aquaculture, June 10, 2005 Disease resistant and tolerant of poor water

quality. Anti-biotics and chemicals are not needed for commercial farming.

Global production of tilapia

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,00019

84

1985

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(es

t.)

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Aquaculture Fishery

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1,200,000

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World Tilapia Production of 2,381,237 mt in 2006

Top Ten Seafoods (U.S.)per capita (lbs)

2000 2001 2002 2003 2004 2005 2006Tuna 3.5 Shrimp 3.4 Shrimp 3.7 Shrimp 4.0 Shrimp 4.2 Shrimp 4.1 Shrimp 4.4Shrimp 3.2 Tuna 2.9 Tuna 3.1 Tuna 3.4 Tuna 3.4 Tuna 3.1 Tuna 2.9Pollock 1.6 Salmon 2.0 Salmon 2.0 Salmon 2.2 Salmon 2.2 Salmon 2.4 Salmon 2.0Salmon 1.5 Pollock 1.2 Pollock 1.1 Pollock 1.7 Pollock 1.7 Pollock 1.5 Pollock 1.6Catfish 1.1 Catfish 1.1 Catfish 1.1 Catfish 1.1 Catfish 1.1 Catfish 1.0 Tilapia 1.0Cod 0.8 Cod 0.6 Cod 0.7 Cod 0.6 Tilapia 0.7 Tilapia 0.8 Catfish 0.97Clams 0.5 Clams 0.5 Crabs 0.6 Crabs 0.6 Cod 0.6 Crabs 0.6 Crabs 0.66Crabs 0.4 Crabs 0.4 Clams 0.5 Tilapia 0.5 Crabs 0.6 Cod 0.6 Cod 0.51Flatfish 0.4 Flatfish 0.4 Tilapia 0.4 Clams 0.5 Clams 0.5 Clams 0.4 Clams 0.44

Scallops 0.3 Tilapia 0.4 Flatfish 0.3 Scallops 0.3 Scallops 0.3Scallops 0.3 Scallops 0.31Tilapia 0.3

US Tilapia consumption (imports and domestic)229,000 mt of live weight (equivalent) - 2004

306,410 mt of live weight (equivalent) – 2005368,295 mt of live weight (equivalent) – 2006

0

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200,000

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Met

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1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006

US Consumption of tilapia from domestic and imported sources

0

50,000

100,000

150,000

200,000

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300,000

350,000

400,00019

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Til

ap

ia (

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DomesticImports

Tilapia product forms imported to the U.S.

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Whole Frozen

Fillet Frozen

Fillet Fresh

23,101 mt fresh fillets, 74,381 mt frozen fillets, 60,772 mt whole frozen (2006)

Fillet Fresh

Fillet Frozen

Whole Frozen

$0

$20,000,000

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1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

$ U

S

Value of Tilapia product forms imported to the U.S.2002

Whole FrozenFillet Frozen

$0

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$ U

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Value of Tilapia product forms imported to the U.S.

Whole Frozen

Fillet Frozen

Fillet Fresh

$241,205,610 (2003) $297,413,000 (2004) $392,978,298 (2005) $482,742,515 (2006)

Tilapia (May 25, 2005 Madrid Daily)

Europe is following US trend of adopting tilapia as replacement for traditional fishes

Tilapia (June 2007, Tesco, UK)

$18 US per kg whole fish!!!!

Begin quality control on the farm

Reduce or eliminate use of drugs and chemicals Consider alternatives to methyltestosterone Use high quality feeds, proper ratio of protein,

carbohydrates and fat (minimize fatty deposits) No contaminates in feed Maintain water quality, avoid polluted water Control algae blooms and off-flavor

Depuration stage

Check fish for off-flavor at the farm Move to depuration system, good quality

water, no feed, clear fish of off-flavor Depuration system can be on-farm or at

processing plant Check for off-flavor at processing plant Check for off-flavor at end of processing

Transport to processing plantBest to transport

live

May want to add salt to reduce stress and maintain quality

High quality fresh and frozen fillets

Hand trimming of fillets

Buyers are requesting better trim of margins of fillets for more consistent appearance

Many fillets are treated with carbon monoxide(CO, also called liquid smoke)

CO infuses into fillet and reacts with myoglobin

Fillet maintains fresh appearance for longer period

Carbon monoxide - CO Especially common at

Chinese processors Initially CO infusion in

bags, then moved to cabinets, now retort vessels

Carbon monoxide - CO Rapidly improving the

technique, and providing safety to workers

Must be labeled as an additive in US and EU

Carbon monoxide

Latest variations are to introduce CO during transport to the processing plant and putting whole fish into CO pressure vessel on receiving dock

Demands on farmers and processors

Demand for even more food safety, high quality, “organic” or “green” tilapia products.

- Reduce or eliminate use of methyl-testosterone hormone.

- No anti-biotics or other chemicals

- Reduce environmental impacts

- More integrated, re-use water for farming crops

- Re-use processing waste products

More value-added tilapia products More demand for all forms, especially frozen meals Rapidly increasing demand from Europe

Improved quality control:Required for US, EU, and Japan markets

Samples checked for bacterial and chemical contamination

Follow HACCP procedures, ISO, and EU guidelines

Many plants are using ozone dips to reduce surface bacteria

Gaining NGO certifications

NaturLandWorld Wildlife FundAquaculture Certification Council

Each reviewing sustainability of aquaculture practices and providing a certification and marketing logo

Improvements in packaging

IQF Fillets in re-sealable

packages

Tilapia Orange Juice

Current Global Market Trends Increase in demand for all forms of

tilapiaDemand increase will be greatest for

frozen filletsDemand increase will be significant for

fresh filletsHigh profit margin for prepared meals

assembled and packaged in developing countries

Global Tilapia Market TrendsPrices have been constant, only fresh fillets have increased

slightly, will not see increases with inflation

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Fresh filletFrozen filletWholeLive

$/kg

Upcoming supply shortage for frozen fillets

Note from China (CAPPMA) 100,000 metric tons of tilapia lost in first

week of February 2008 due to the severe winter storms hitting Guangdong and Fujian provinces

Global Aquaculture Tilapia Sales

For year 2000 =US $ 1,744,045000 (FAO FishStat 2007)

2005 sales = $ 2,457,312,000(FAO FishStat 2007)

2010 sales >$ 5,000,000,000

Future global tilapia aquaculture

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Conclusions Need to meet stricter food safety, quality,

and environmental criteria More demands for food safety, quality

assurance, improved packaging, and environmental safeguards (with little if any increase in price)

ISO, HACCP and NGO certifications

Eighth International Symposium on Tilapia in Aquaculture

12-14 October, 2008Cairo International Conference Center