Sea food

Sea Food

M.SundaraRajan

www.primaryinfo.com

Buyer Requirements

• Buyer requirements can be divided into• (1) musts, requirements you must meet in order

to enter the market, such as legal requirements, • (2) common requirements, which are those most

of your competitors have already implemented, in other words, the ones you need to comply with in order to keep up with the market, and

• (3) niche market requirements for specific segments.

Requirements fish marketed

in the EU must meet

• Approved country and establishment • Exporting country must be able to ensure that

the fishery products exported meet the strict EU health requirements

• The national authorities of Exporting country can put forward your establishment for EU approval

• Approved establishments receive a unique identification code, usually referred to as “EU number”.

Catch certificate

• Catch certificate (wild fisheries): To combat illegal fishing, (wild caught) fish imported or transshipped in the EU must be accompanied by a catch certificate

• The exporter needs to communicate the validated catch certificate to the importer.

• Health certificate provides official guarantee • Food safety: Traceability, hygiene and control • Contaminants – restricted and tested • Microbiological contamination – prevent through hygiene

measures • Labelling requirements • Food safety certification as extra guarantee • Corporate responsibility

Frozen Seafood Products

• The two main segments in the EU market are retail and food service.

• While food service is mostly supplied by importing wholesalers and traders, retail is mostly supplied by importing wholesalers and the processing industry.

• Although in most cases your trading partner will currently still be a buying agent or an European importer, the length of supply chains is expected to become shorter in the future as a result of a shortage of supplies, increasing efficiency, quality requirements and sustainability issues.

• Owing to this development, it will become easier for you to do business directly with retailers and the food service sector.

Direct sourcing by retailers and wholesalers

• Large retailers and wholesalers (e.g. the Metro Group in Germany or Sligro in the Netherlands) are increasingly importing directly

• http://www.metrogroup.de/

• http://www.metrogroup.de/

• http://www.carrefour.eu/fr/enseignes• https://www.ahold.com/Media/The-Netherlands.htm

Opportunities for joint ventures

• Importers in southern Europe are more willing to invest in processing and production activities in developing countries

• Examples of European importers that have their own factories outside Europe are Pescanova, Marine Harvest and Seafood Connection.

Retail Segment

The retail segment is defined as all shops selling products directly to consumers for the use of those products at home. The high-end segment mainly consists of exclusive supermarkets and organic supermarket chains. The middle-range segment consists of large supermarkets and hypermarkets, while the low-end segment consists of discounters.

• Hyper/supermarkets• Specialist fishmongers• (Street) markets• There are over 420,000 non-specialist food retail stores

in Europe

Doing business with the premium retailers.

• Large retail chains use strict quality and sustainability standards. They have strict delivery agreements about service, packaging, health and safety requirements. They impose significant penalties if agreements are not met

• BRC Certificate – requiredhttp://www.brcglobalstandards.com/http://www.ifs-certification.com/index.php/en/

Discounters’ promotions

• Several European discounters, such as Aldiand Lidl, are increasingly employing promotional campaigns for products such as pangasius and tilapia ; Discounters place advance bulk orders for special promotions

Please see

• http://www.aldi.com/

• http://www.lidl.de/

Main categories of companies in the food service segment

The high-end segment consists mainly of exclusive hotels and restaurants as well as specialist fast food and takeaway chains. These companies often focus on sustainable or locally-sourced seafood products. The medium-range segment consists of the institutional market, e.g. universities, hospitals, and canteens. Please bear in mind that these are only general differentiations

• Full-service hotels and restaurants

• Fast food and takeaway chains

• Institutional market: universities, hospitals

Supermarkets/hypermarkets:

• Europe has approximately 600 different supermarket chains

• Retailers such as Rewe in Germany operate different brands with different consumer target groups: Billa, BIPA, Merkur, and Penny

• Large European food retailers are Carrefour(hypermarket/supermarket based in France, > €100 billion turnover), Metro AG (Germany, > €100 billion turnover), Tesco (UK, ~€100 billion turnover), Schwarz Group and Aldi GMBH (discount supermarkets, Germany), and Koninklijke Ahold N.V. (supermarket, the Netherlands).

Exporting to Overseas Retailers

• Exporting directly to small overseas retailers is a comparatively new phenomenon, brought about by Internet. Selling directly to small US or European retail outlets even 10 years back was an uphill task because of many hurdles like lack of information on buyers, expensive communication media, scant information on overseas consumer interest, difficulty in accepting small payments etc. Trade Fairs and Buying Agents were two major avenues for small and medium exporters.

Direct transaction between exporters and overseas retailers

• Retailer Buys in Small Quantity• Orders are More Frequent• Margins are Higher• Be Sensitive to Issue of Trust• Prefer Air Freight• Exporting to small overseas retailers does not require

significant investment and shipment can easily be handled through couriers. As a result, small Indian exporters and those new to export field will find this opportunity very lucrative. Margin from single shipment may not be much -but a handful of active retailers can keep a small to medium exporter busy throughout the year.

Find Retailers here

• http://www.theretaildirectory.co.uk/

• http://www.walmart.com/

• http://www.tesco.com/

• http://www.william-reed.com/markets-products/grocery-retail/the-grocer-directory-manufacturers-suppliers

• http://www.primaryinfo.com/retail.htm

Export Promotion

he Marine Products Export Development Authority (MPEDA) is a statutory body under the Ministry of Commerce & Industry, Govt. of India. MPEDA is the nodal agency for promotion of export of marine products from India. MPEDA has presence in all the maritime states and is implementing its developmental schemes for export promotion / aquaculture production through its field offices.

Exportdetails

2012-13 2013-14 Growth %

QuantityTonnes

928215983756 5.98

ValueRs.crore

18856.2630213.26 60.23

Value US $Million

3511.675007.70 42.60

Unit value(US$/Kg)

3.78 5.09 34.55

Exports during 2013-14 compared to 2012-13

Major Exports

• Frozen shrimp continued to be the major export value item accounting for a share of 64.12% of the total US $ earnings.

• Shrimp exports during the period increased by 31.85%, 99.54% and 78.06% in quantity, rupee value and US $ value respectively.

• There was all time high growth in unit value realization of frozen shrimp at 35.05%.

The details of major exports

• Marine products were exported through 26 sea/air/land ports. Exports improved from Vizag, Chennai, Krishnapatnam, Tuticorin and Mangalore compared to the corresponding period during the last year. Pipavav is the major port in terms of quantity (25.27%) and Vizag is the major port in terms of dollar value (22.59%

• MPEDA envisages target of USD 6.0 Billion for the year 2014-15. Increased production of L. Vannamei shrimp, Quality control measures and increase in infrastructure facilities for production of value added items are expected to help in achieving this target.

Useful Links

• The website of the Norwegian Seafood Council provides extensive information about the Norwegian seafood industry

• http://en.seafood.no/• If you want to access the Spanish market consider

participating in the CONXEMAR or SEAFOOD BARCELONA trade shows which offer you the opportunity of showcasing your products and of meeting potential buyers from Spain as well as those from other

• http://www.conxemar.com/v_portal/apartados/apartado.asp• http://www.seafoodexpo.com/• Newsletter : http://www.globefish.org/market-reports.html

THANK YOU

• More references

• http://www.primaryinfo.com/Seafood.htm

• http://www.primaryinfo.com/shrimp.htm

• http://www.primaryinfo.com/pearls-culture.htm

• http://www.primaryinfo.com/projects/mussel.htm

• http://www.primaryinfo.com/projects/coldstorage-fish.htm

• http://www.primaryinfo.com/scope/fishing-trawler.htm

• More data bases on www.primaryinfo.com