Fish Farmer 2019 Year Book by Fish Farmer Magazine

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Aquaculture vaccines from MSD Animal Health

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2019 FISH FARMER YEAR BOOK

CONTENTS

DNB

Foreword

PRODUCTION SURVEY

PAGES 60-78 INCLUDING SHELLFISH SECTOR

WELCOME From the Editor SSPO In the pink Overview Age of upheaval Crown Estate Regulation revisited Farming Companies New brands, new business IoA Aquaculture hub SAIC Driving innovation Shellﬁsh Future buoyant Trout Europe view World News Norway World News Canada World News Iceland World News Faroe Islands World News Chile Investment Aqua-Spark Events Looking ahead COMPANY DIRECTORY

FFYB Contents.indd 3

5 8-11 12- 15 24-28 30-44 46-49 50-51 52-55 56-59 98-101 108-111 112-115 116-120 122-123 130-135 151-157 158-159

6-7

102-107

Marine Harvest

News review

30-33 Developing world

124-129 Standards

80-97 May Cover.indd 4

136-141

Vet health

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16-19

Editor: Jenny Hjul Designer: Andrew Balahura Advertising: Dave Edler, Scott Binnie Publisher: Alister Bennett @fishfarmermagazine Tel: +44(0) 131 551 1000 Fax: +44(0) 131 551 7901 email: jhjul@fishupdate.com Head Office: Special Publications, Fettes Park, 496 Ferry Road, Edinburgh, EH5 2DL

Innovation

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2019 FISH FARMER YEAR BOOK 5

WELCOME By JENNY HJUL

to ﬁsh and shellﬁsh farming, and for everyone steeped in its culture, we aimed to provide an insight into how farming businesses are progressing and meeting their challenges.

ELCOME to the ﬁrst Fish Farmer Year Book, which is being sent out with our December magazine but will, we hope, be a guide to keep for the whole of 2019. We decided to launch this new publication - in the format of our old Marine Almanac - about half-way through 2018, a year when Scottish aquaculture, in particular, became the focus of much attention.

JENNY JENNY HJUL HJUL –– EDITOR EDITOR

4-15 4-14 News

With the help of several experts, What’s happenin ar in Scotland, Norway and around the in the UK and aro world, we have put together reviews of the year past and identiﬁed trends 16-21 16-17 16-22 for the future.

Fair hearing French connection Farmers must Uphold the codefight back

Industry pio News Extra pla Parliamenta

We hear from investors, analysts The Steve Bracken SSC’s record resu Stewart Graham ﬁnal session and those at the forefront of change in emerging HE salmon farming sector in Scotland,markets. when told it was to

he focus this month istopictures on Europe, the internati is coincidence that andwhere videos of unhealthy Sno Fish Farmer went press, there was sti ll no officialonal INTsalmon 2018 THE 22-23 18-19 24-27 be thewere subject ofScotti a be parliamentary inquiry, embraced And you will also fiinto nd production industry willsent soon gathering for the EAS (European to news outlets just asjoint the Scotti shthe news from the sh parliamentary inquiry salmon opportunity this would provide to explain how it operated. Salmon mar SSPO statistics, innovations toSociety) watch INDUSTRY WAS Aquaculture Society) and WAS Aquaculture parliament back to work at (World the start of month. These farming, went conducted earlier this year by thethis Rural Economy The had to hide and, if given aof fair out for, and news ofhearing, shows and conference, to benothing staged over days in the southern French images had litt le to do with thefive current state Scotland’s ficould sh and industry Connecti vity (REC) committ ee. MSPs have now held five FOCUS OF address much of the criti cism levelled against it. city ofngs, As well as highlighti ng the latest technological farms -Montpellier. where sea lice are in decline and, inwe fact, atinabe five-next meeti in private, tolevels consider their report and must conferences coming up the Fish Farmer supported this but at times salmon advances in our fast moving sector, Aqua 2018felt willthat alsohas feature year low (htt p://scotti shsalmon.co.uk/monthly-sea-lice-reports). pati ent. However, waiti ng for their recommendati ons been 12view, months. ATTENTION farmers were being drowned out bywhich theanother noisier elements offarming the sessions onpropaganda emerging markets and look atinvolves the role fishusual This latest campaign, allofthe made harder by leaks from within the REC to anti -salmon Here’s to eventful year

As the industry globally continues to evolve, and as the wider world takes an ever greater interest in its operations, we thought the time was right to produce an annual update of this fast developing sector. For those new

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Current trends In good Julie Hesketh-La Meet thehealth new ch

angling lobby, which had called foras the investi gatiRural on. But asngs farming inThe alleviati ngof poverty. Increasingly, industry anti -aquaculture suspects, came Holyrood’s Economy activists. latest these (see our news story onmeeti page 4)the ahead! sessions progressed, and eventually farmers’ voices were heard, are broadening their scope, subjects such asthat the committ social and Connecti vity committ eetackling returned the summer recess we to makes grim reading for the industry asfrom it suggests ee became more misti c.into Weand now believe MSPs, perhaps with acceptability ofopti aquaculture the contributi on it farming. makes toto global consider its draft report the future ofthat salmon members have been willing to listen to those campaigning food security and saving the planet, aindustry move is toanti welcomed. the excepti on ofvaluable one two Greens cahoots with -farming Those who want toor shut down thein asbe expected, shut down this sector, rather thanthat tohave, those who operate Also investi gati ngacti initi aties, veswhich inregard thenow developing world, Harrison campaigners, will, on balance, the industry in a Dr favourable stepped viti involve breaching the within it.up their Charo Karisa ofhopefully WorldFish writes thesnatch farming al inthe light. They will that farmers take their environmental biosecure environments of farm sites to photographs in Of course, such storiessee may beabout inaccurate and, inpotenti any case, Nigeria, catfish and tilapia culti vati on.against responsibiliti seriously and that will only ever invest the hopeboth of fies nding incriminati ng businesses evidence farmers. Onein committ ee’s fiin ndings are not binding. Scotland’s fish farmers In Scotland, the summer of aofwaiti ngminister, game growth that isfibeen sustainable. campaigner lmed himselfhas searching, unsuccessfully, for dead have always fortunate tobeen havesomething the support their while the parliament is in recess and thethose members of Holyrood’s If the committ ee members, especially who have yet to of fi sh at aEwing, Marine site. Another said he saw ‘hundreds’ Fergus toHarvest grow sustainably. Rurala Economy and Connecti vity ee conti nue tosubject weigh up visit farm, like tocommitt learn more about the of infested salmon in go awould pen, but we only have his word against that But itsalmon should not unchallenged that some MSPs on the REC the evidence in their inquiry into salmon farming. We don’t expect their we have plenty of good stories ourgrowth May of theinquiry, professional vets andagendas biologists who in manage theissue. welfare of committ ee, with their own against the of theEven their report until the autumn but hope the MSPs are using the time bett er,farms they could headbasis. to the Highlands later this month, where these on a daily industry, are in breach of Code of Conduct for MSPs. As they to become fully acquainted with the facts about fish farming. they meeton the aquaculture industry en masse Scotland’s If the proud ofreti itsthe high standards, as itsalmon says itlongest is, it are inwill aindustry positi inflthe uence future course ofat farming, This month alsoisto sees rement of Marine Harvest’s biggest fish farming show. must a much more robustWe defence itself, through its and ofmount businesses vital toBracken. Scotland’s economy, we have a right serving employee, Steve had nooftrouble collecti ng will certainly be at Aquaculture UK inindustry, Aviemore and representati vethey body, the SSPO, than itthe has done tothrough date. The toWe know who are, and weand hope its warm tributes from his friends colleagues to mark thelook forward to seeing many of you there too. campaigners, we now see, will stop at nothing, and farmers representati ves, will pressure the parliament to investi gateatbefore milestone and, along with the rest of the industry, the team Fish should prepared to fivery ght back. the RECbe report published. Farmer wish himisall the best for the future.

Fish Farmer is now on Facebook and Twitter

Welcome.indd 5

Con

www.fishfarmer-magazine.com www.fishupdate.com

Meet the team

Editorial Advisory Board: Steve Bracken, Scott Landsburgh, Hervé Steve Bracken, Scott HervéLandsburgh, Migaud, Migaud, PatrickJim Smith and Jim Hervé Patrick Smith, PatrickMigaud, Smith, Treasurer and Treasurer, Wiliam Jim Treasurer and Dowds William Dowds William Dowds Editor: Jenny Hjul Designer: Andrew Balahura

Tel: +44(0) 131 551 1000 Fax: +44(0) 131 551 7901 email: jhjul@ﬁshupdate.com

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Head Oﬃce: Special Publicati ons, 04/12/2018 12:23:26 Fettes Park, 496 Ferry Road,

FERGUS EWING

FOREWORD By FERGUS EWING Cabinet Secretary for the Rural Economy and Connectivity

THINK we would all recognise that 2018 has been a challenging time for the sector, particularly for finfish aquaculture which has seen itself subject to two parliamentary inquiries and, most recently, SEPA’s consultation on its proposals for a Finfish Sector Plan. In recent months, the sector has demonstrated again its resolve to work not just together but with regulators, wild fisheries interests, the environmental sector and others to address and move forward the dialogue on many of the known challenges facing aquaculture today.

There is much to be proud about and this year, in particular, a number of positive initiatives have taken shape. I would personally like to thank the sector for their contribution to deliver Scotland’s 10-Year Farmed Fish Health Framework and also for being pivotal in the re-establishment of an interactions group to look at the relationship between farmed and wild salmonids. They have also taken enormous

Fergus.indd 6

strides towards a positon of openness and transparency, most recently in relation to mortality data. Those actions emphasise the sector’s commitment to a sustainable growth platform. All these initiatives must continue to make progress - I have every faith that they will. Scotland’s aquaculture sector is still comparatively young in comparison to some of the more established industries and, as with any new business, it has had to adapt and learn quickly in order to survive and to grow. Indeed, emerging aspects of aquaculture, such as the farming of seaweed, have yet to really kick off, and with a fair wind could enthuse a whole new generation of Scottish entrepreneurs. Aquaculture is key to our reputation as the land of food and drink – farmed salmon is our number one food export and supports some 12,000 jobs through the supply chain. This year we welcomed record shellﬁsh and salmon production ﬁgures for 2017. We must use this momentum to keep delivering

Left: Fergus Ewing

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2019 FISH FARMER YEAR BOOK

high quality, healthy Scottish farmed seafood and to help the sector realise its ambitions. We need to progress to a position that continues to deliver an appropriate regulatory regime for the sector, creating an environment which enables further sustainable development through investment and innovation. In so doing, we must recognise the significant benefits that fish farming brings, and will continue to bring, to Scotland, providing quality career opportunities both now and in the future. Aquaculture is now integral to Scottish society and many can reference where it has had a positive impact on them, individually and in the communities of which they are a part. The sector is looking to maintain its relationship with the consumer and, with a fair hearing and with the continued offering of a truly premium product, it will emerge bigger and better, ready to achieve its potential in a truly open, inclusive and transparent way. However, this progress is under grave threat from Brexit, as the economic consequences of leaving the European Single Market begin to crystallise. In every scenario that takes us out of the EU, the forecast is for a downturn. A downturn, resulting from the loss of tariff-free trade with the

biggest regional market for exports, from trade and customs barriers slowing down exports, and the loss of labour and skills throughout the process of producing and selling farmed ﬁsh, that I ﬁnd hard to believe will be compensated by any potential opportunities for expansion and growth internationally. These threats are now very real and we must work together to repel and, if need be, mitigate them.

‘WE MUST RECOGNISE THE BENEFITS FISH FARMING BRINGS TO SCOTLAND’

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Looking forward, I confidently predict that 2019 will be a defining point for the sector, both in its level of ambition and in its public profile.

I believe through such forums as the Aquaculture Industry Leadership Group we can address the concerns and challenges that some still have about the sector, and convince them that it is committed to a sustainable future.

Roll on the New Year.

04/12/2018 12:25:40

COMMENT – SCOTTISH SALMON PRODUCERS’ ORGANISATION

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2019 FISH FARMER YEAR BOOK

The future is PINK Greater grounds for optimism as industry drives innovations and improvements By JULIE HESKETH-LAIRD

HELTERING behind the majestic sweep of the Skye Bridge, the new Marine Harvest fish feed plant at Kyleakin is nearing completion. It is a deeply impressive project, not least because of the substantial concrete pier stretching out into the bay which will soon be the dispatch point for shiploads of feed heading everywhere, from Ireland to the Faroes. This is just one example of the confidence the farmed salmon sector has in its future. Marine Harvest is investing tens of millions of pounds in its Kyleakin site. Hundreds of people have been employed in its construction and more than 50 will be working there full time when it opens. Then there’s the energy efficient Barcaldine hatchery in Argyll being developed by Scottish Sea Farms, another example of a leading salmon producer investing in the long-term

SSPO.indd 9

future of what is now the UK’s top food export. New farms won planning approval this year, including one at Lober Rock in Orkney, another on Rum, and increased capacity was announced at Baltasound on Unst, among others. There were also new entrants to the sector, including AquaGen, Orkney Sea Farms (OSF) and Organic Sea Harvest (OSH). Indeed, all across farmed finfish aquaculture in Scotland there is investment, confidence, expansion and great plans for the future. It is not hard to see why. In October, Scottish farmed salmon unveiled record production figures. In 2017, we harvested almost 190,000 tonnes of salmon. Almost three million extra smolts were put to sea during the year, while there was also a notable increase in survival rates. But this expansion has not been success driven purely by numbers. Great strides have been made across

Left: Julie HeskethLaird

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10 COMMENT – SCOTTISH SALMON PRODUCERS’ ORGANISATION

the sector to reduce sea lice numbers through natural means. The project, involving Marine Harvest, Scottish Sea Farms and the Institute of Aquaculture, to breed ballan wrasse sustainably in a hatchery, rather than take them from wild sources, has made great progress. The Scottish Salmon Company also became the first UK salmon producer to be awarded a two-star Best Aquaculture Practice certification. But it would be foolish to suggest that we haven’t had challenges to face this year too. When production surveys for this past year are released in the autumn of 2019, we expect them to show a dip in harvesting numbers. However, production is anticipated – and this is just a forecast at present - to rise again significantly in 2019 to levels consistent with our long-term sustainable growth ambitions. There has also been consolidation in the supply chain. Skretting is planning to close its UK feed plants in 2019, and the Edinburgh Salmon Company processing plant in Dingwall faces closure as we approach the end of the year. And there have been two high-profile parliamentary inquiries at Holyrood this year, which scrutinised the sector intensely. There was also the publication of plans late in the year by the Scottish Environment Protection Agency (SEPA) to introduce, among other measures, new rules on the use of medicines in salmon farming and a planned increase in the number of unannounced inspections. Then there’s Brexit. The draft Withdrawal Agreement and the political heads of agreement published by the UK and the EU in November showed

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“Our economic impact,

particularly in the Highlands and Islands, is already very significant” we face a challenge on our hands to make sure our exports to the continent are not dependent on North Sea white ﬁsh quotas. The Europeans want access to their markets for all seafood from the UK to be part of the negotiations over access to UK waters. This is something the Scottish Fishermen’s Federation opposes, as do we, and we will be active in the New Year to ensure aquaculture remains separate from the issue of quotas and access to waters. We are also working hard to conform to the Marine Mammal Protection Act (MMPA) to secure continued access to our vital US export market. The industry’s determination to tackle environmental issues, meanwhile, will need to continue no matter what results from Holyrood’s Rural Economy and Connectivity (REC) committee’s report on Scottish salmon farming. Our sector has been instrumental in the development and progression of the 10-Year Farmed Fish Health Framework (FFHF) over the past year, with work ongoing across a number of crucial workstreams. The salmon interactions workstream and working group have been launched, with our industry’s pivotal

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2019 FISH FARMER YEAR BOOK 11

support and involvement, to provide expert advice on mitigating pressures on wild salmon. There has also been considerable progress by the Aquaculture Industry Leadership Group (AILG) as it moves forward on the introduction of aquaculture innovation sites. We expect to see even greater survival rates at salmon farms, better harvests and more sales at home and abroad, while improving our sustainability and ﬁsh health credentials across the board in 2019. Our economic impact, particularly in the Highlands and Islands, is already very signiﬁcant and illustrates how genuinely vital our sector is for jobs and livelihoods in rural Scotland. We fully intend to build on this. Capital investment is expected to continue

SSPO.indd 11

apace as the industry seeks to build upon its recent innovations and facility developments. There is much, therefore, to digest and ponder as we end the year. Even as we make huge strides and record great achievements, much work remains to be done to win over doubters and counter industry criticisms successfully. There are perhaps greater grounds for optimism at the end of this year than we have had for quite some time, and even though our sector keeps driving innovations and improvements, we know we have to continue doing more to keep our critics at bay. Julie Hesketh-Laird is chief executive of the Scottish Salmon Producers’ Organisation

Above: Wrasse Opposite: Feeding salmon and salmon dishes

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12 COMMENT – INDUSTRY AT CROSSROADS

In good heart and good hands Year of scrutiny has not stopped farmers getting on with the day job

HEN the Scottish salmon industry discovered it was to be the subject of a parliamentary inquiry – which turned out to be two inquiries – it welcomed the news. The young sector has grown up quickly but despite coming out of nowhere 50 years ago and establishing itself as a billion pound (as of 2018) contributor to the economy, it has continued to attract unfavourable publicity. The intense scrutiny of a public investigation would, industry leaders believed, give them a chance to state their case, defend their professional

Overview.indd 12

integrity, and move on. The industry has been clear about its ambitions to grow to meet increasing global demand, and hoped that if given a fair hearing, it would be able to address the criticism levelled against it, and demonstrate that farmers are only interested in investing in growth that is sustainable. Now that both the Holyrood inquiries – ﬁrst by the Environment, Climate Change and Land Reform (ECCLR) committee and then the Rural Economy and

‘SECTOR REGARDED INQUIRIES AS AN OPPORTUNITY NOT A THREAT’

04/12/2018 10:37:38

er, offshore sites

ry works

2019 FISH FARMER YEAR BOOK 13

salmon tradesConnectivity at between 50 and 60 pence a kilo (REC) committee – are over Norwegian salmon. It isdoofthings very high quality over, where stand? and very desirable.’ Although the latest report, by the LandsburghREC said that at a poll at the Brussels seacommittee, concluded that food show, seven out ofhad 14 judges voted their Scottish farmers to improve enviperformance, its members salmon to be ronmental the best in the world. couldoffithe nd large no evidence ofaccreditaany impact The panel spoke number of of industry, farming on ontop wild stocks. tions within the of salmonid those demandIt should be remembered that ed by the retail sector. But they all had one thing inthe decision to hold the inquiries in the common – maintaining high standards. first place was prompted by a petiThe companies agreed the recent mortality rate tion from Salmon and Trout Conserwas too high, but said it was much lower than that vation (Scotland), the lobbying body of some sections agriculture,anglers’ where the issue thatofrepresents interests. was hardly raised. But mortality levels Fish farms along thewere westbeing coast of brought down. In similarhave vein, been the panel said the Scotland blamed for the industry was working to wild reduce the number decline hard in the catch by some anof fish escapes, stressing there have already been gling groups, whose wish was to see some notablefarms successes. moved away fom wild salmon migratory routes, either further offHadfield, who has a science background, told the ortwo intooccasions land based committee onshore at least that tanks. some Anglers were represented of the claims made against thewell salmon farming during the committee industry were not supported by soundhearings. scientific Theythe were also inwell represented evidence. He said industry Scotland had veryin the mainstream press, which chose, good regulations and it was ‘frustrating to listen to almost unanimously, to run with the comments that we don’t have that because we do’. narrative presented to them by the Cumming said sea licelandowners was a huge problem right wealthy who lead the across Europe,wild but fipointed out that it was by worse in sh sector. Farmers, comthe south of England and in countries like France parison, have been given few such than in the salmon farms of Scotland or Norway. opportunities to explain how they Hadfield thought that while there were issues, the operate. lobby was also fortunate effect of lice onThe wild wild fish had been overstated.

to have, in the REC committee convenor, one of its own to navigate the inquiry. With a stake in an £8.3 million fishery on the Spey, Sir Edward Mountain was always a controversial candidate to spearhead a truly independent probe into salmon aquaculture, and in some eyes a strange appointment as convenor. As the REC inquiry ground on, anti-salmon farm campaigners stepped up their onslaught, and farmers must have often felt during the past year that they were never going to get that fair hearing. However, despite the spotlight on the industry’s challenges (fighting disease, managing the climate, safeguarding the environment, all typical farming problems), salmon farming has emerged unscathed. No one was able to substantiate claims that sea lice from farms are responsible for the drop in wild fish populations, although it had been concerns about the impact of sea lice that were behind the committee’s enthusiasm in proceeding with the inquiry. The salmon sector, which invests millions in addressing its health

Opposite: Scottish salmon farm Left: Marine Harvest Scotland managing director Ben Hadfield giving evidence at the REC inquiry Below: Scottish salmon

We have “farms that

produce 2,500 tonnes that could sustain 5,000 or 6,000 tonnes

Seal culling The threat by the United States to ban seafood imports from countries that supported shooting seals was raised by MSP Gail Ross. This met with the uniﬁOverview.indd ed response13from the panel that their com-

”

Above: Marine Harvest’s Ben Hadﬁeld at the REC committee hearing

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14 COMMENT – INDUSTRY AT CROSSROADS

issues and has a vested interest in protecting the waters where it farms, might well have questioned the need for an inquiry that has revealed little it didn’t already know. But the industry has, on the whole, regarded the scrutiny as an opportunity not a threat. It is likely to embrace an overhaul of what has been a cumbersome regulatory regime, and hope that it ends up with a system better suited to the sophisticated sector it has become. Aquaculture opponents will perhaps applaud the greater degree of transparency that has been teased out by the inquiries, with farmers agreeing in the past year to publish farm by farm sea lice data, and the causes of mortalities. Reluctance to do so in the past was not because this data was unavailable but because companies feared reprisals from activists. But nothing is to be gained from furtiveness, and farmers will beneﬁt further by releasing information in real time, where possible and practical. Salmon bosses have also, at last, realised that a better press depends on better PR, something that Salmon and Trout Conservation Scotland, despite being a club of the privileged few, has nailed brilliantly. It shouldn’t be so hard to portray

positively an industry that keeps rural communities alive, exists to rear ﬁsh for food not kill them for sport, and contributes a sizeable chunk to the Scottish economy. To help get the message across, the SSPO has recruited a well connected political journalist, who at least has the contacts with politicians of all parties, as well as with editors, to seek a fairer balance in the reporting of the industry. And the producers are talking about opening their farms to a wider audience, a move the salmon farmers of British Columbia (who have taken an even bigger battering than their Scottish counterparts) have pioneered. Plans to open a visitor centre near Marine Harvest’s new feed plant on Skye will no doubt help public relations too. In the New Year, the Scottish parliament will debate the ﬁndings of the REC committee, and MSPs must examine its proposals with great care, especially on the location of sites. The future of farms that are thriving should not be jeopardised by those who have never set foot in a salmon farm. And, as one industry veteran pointed out, the views of the communities where farms are based should now take centre stage. The people whose livelihoods depend on the industry

“The views

of the communities where farms are based should now take centre stage”

Overview.indd 14

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2019 FISH FARMER YEAR BOOK 15

were largely overlooked by the REC committee, which by its own admission was focused on wild ďŹ sh. The upheaval of the last year has not distracted farmers from getting on with the day job. This will continue to be their focus in 2019, and the rest of Scotland will hopefully be reassured that one of the countryâ&#x20AC;&#x2122;s most successful industries is in good heart and good hands.

Overview.indd 15

Above: Harvesting salmon Left: Grilled salmon

04/12/2018 10:38:44

16 COMMENT – HEALTH

Best practice Leading vet heralds new period of collaboration over fish health and welfare By RONNIE SOUTAR

HE past year, like every year before and every one to come, has been unique in terms of fish health and welfare. There are general patterns to the years, but each brings new challenges. The first quarter of this one was dominated by snow and associated coldness, the second quarter by hot, sunny days. The first of those factors might help explain why AGD was absent to the point of being undetectable, even by very sensitive PCR tests, in marine farms for the first half of the year. Although lack of rainfall should work in favour of the amoebae rather than the fish, our luck seemed to hold through the summer. Of course, autumn is the time when we have come to expect AGD and come it did – late is definitely not better than never in this case!

Gill health has therefore dominated the latter part of the year, with a range of environmental challenges adding to the burden which AGD causes. Fish with impaired respiratory function struggle to cope with bath treatments, so it has been a great relief to see that the industry’s move towards non-medicinal control of sea lice appears to be gathering momentum. Not that this move comes without its own challenges or, indeed, controversy. The two major planks of the strategy, cleaner fish and physical treatments, certainly have fish health and welfare implications which vets and other fish health professionals are working hard to mitigate. With thermolicers and hydrolicers now in regular use across the industry – indeed in high demand – we are learning quickly how to use these physical treatments to max-

‘EACH YEAR BRINGS NEW CHALLENGES‘

Vet Health.indd 16

Right: Ronnie Soutar

04/12/2018 10:42:19

Photo: Rob Fletcher

2019 FISH FARMER YEAR BOOK 17

Vet Health.indd 17

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18 COMMENT – HEALTH

imise efficacy and minimise stress on the fish. As we approach the year end, I am seeing evidence of seriously good results from physical treatments, which have the huge benefit over medical therapies in that lice are collected and permanently removed from the environment. On the cleaner fish front, the scaling up of farm production, both of wrasse and lumpfish, is looking very promising. However, caring for species which are very different from salmonids and from each other has introduced the fish vets involved to new and interesting diagnostic and treatment challenges. In some cases, these are actually old challenges in new guises, as the bacterial species involved are variations on familiar themes. Thankfully, autogenous vaccines have been a great help in reducing reliance on antibiotics in cleaner fish production and we should be able to look forward to the bacterial diseases of these species being as well controlled by vaccines as those of salmon have been for a considerable time. That success in vaccination cast fish farming in a favourable light in 2018 when industry representatives were further involved in the general discussion over antimicrobial resistance. There has been a justified focus

on the use of antibiotics in livestock production generally, as part of global concern over the growing resistance of the bacterial pathogens of humans and animals to existing antibiotics. While vets might argue that responsibility for the situation lies much more with the medical than veterinary profession, there is absolute realisation that we are all in this together and must all do our part to prevent very real disaster scenarios. In UK aquaculture, we start from the helpful position that there are no known bacterial pathogens of salmonids which are also harmful to humans. Our use of antibiotics is also at least an order of magnitude less than in other high throughput meat production systems. (See page 20) However, there is no room for complacency: antibiotic use was higher in 2017 than 2016 due to the emergence of new bacterial challenges on both fresh- and seawater farms. The ﬁgures are not yet available for 2018 – I am hopeful that we have seen a drop – but this is an area in which the industry’s vets will have to maintain a real focus. Our main concern over resistance to therapeutants has, of course, been in sea lice control. We know that Scottish lice are resistant, to varying degrees, to every medicine in our limited toolbox. For this

“As we enter

2019 it’s never been more true that we’re not just here to write prescriptions!”

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04/12/2018 10:43:03

2019 FISH FARMER YEAR BOOK 19

reason, the role of vets is very much these days involved in prevention and control of lice infestation, and in helping to maximise the safety and efﬁcacy of non-medical therapies. As we enter 2019 it’s never been more true that we’re not just here to write prescriptions! I’m very pleased to report that this seems to be increasingly recognised both at Scottish government level and among those who regulate aquaculture. Senior ﬁsh vets have been involved in the government’s Farmed Fish Health Framework working groups and in meaningful discussions with both Marine Scotland and SEPA

Vet Health.indd 19

on issues of mutual interest. The SSPO has also established a standing committee of industry vets, under the chairmanship of Professor Randolph Richards, to share experience and best practice. I firmly believe, looking forward, that we are entering a new period of collaboration and cooperation to the benefit of fish health and welfare and to the country’s economy and environment.

Above: Success in vaccination Opposite: Minimising stress

Ronnie Soutar is head of veterinary services at Scottish Sea Farms and in 2018 became the ﬁrst ﬁsh vet to chair the Scottish SPCA.

04/12/2018 10:43:22

20 HEALTH - MEDICINES

Positive progress Considerable antibiotic reduction reported for salmon and trout

By COLIN LEY

K salmon and trout producers have made considerable progress in the past year in cutting their use of antibiotics according to a new review published by the Responsible Use of Medicines in Agriculture (RUMA) Alliance. Revealing that UK sales of antibiotics across all food producing animals have fallen by 40 per cent in the last five years, RUMA’s verdict on the last 12 months is that all sectors are committed to reduction and are making good progress. The review also makes the point, however, that the various sectors, including farmed fish, are all in ‘very different places’ of actual achievement. While stating that pig farmers, for example, are on track to meet their targeted 2020 reductions, the review includes the contrasting observation that a lack of representative data on antibiotic use in cattle and sheep continues to be a challenge. It’s similar with salmon and trout, with RUMA commenting that while salmon producers tend to be integrated into defined supply chains, trout producers are mostly small, inde-

pendent operators. ‘This means the challenges they face are extremely diverse,’ states the review, adding that while antibiotic usage data covers 100 per cent of salmon production, data capture for trout accounted for just 70 per cent of production in 2017. Salmon’s data success is linked, in the review, to the Scottish Salmon Producers’ Organisation (SSPO) and the Fish Veterinary Society (FVS) combining in 2017 to establish a structural mechanism to support the collation of antibiotic use information. This included establishing the SSPO Prescribing Vets Group. ‘This forum provides a key mechanism through which information on antibiotic use is collated and discussed,’ states the review, adding that the new group also delivered ‘numerous wider beneﬁts’. ‘Providing a forum that allows prescribing veterinary surgeons to discuss relevant issues, while also engaging with the SSPO and the wider industry, is invaluable and is seen by all as a positive move forward in ﬁsh health and welfare for Scottish salmon farmers.’ Trout producers, meanwhile, are applauded for maintaining antibiotic use at 19mg/kg in 2017, just

NEW FORUM FOR VETS AND SSPO ‘INVALUABLE’

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below the sector’s target for the year, and for their commitment to increase data collection beyond 70 per cent in the near future. The review also notes two key areas of concern for salmon and trout producers, however, namely the unavoidable impact of environmental changes on both species and the need for increased resources to be channelled towards vaccine development.

the 17.2mg/kg figure, however, the review accepts that 2017 was the first year in which comprehensive data collection provided an overall figure, giving useful feedback for the sector. It also notes that differences in antibiotic use between the freshwater and seawater phases can significantly impact the overall use of antibiotics. ‘Treatments during the seawater phase are rare compared with freshwater,’ the review states, ‘but when overall use across the sector is low, a slight increase in the number of treatments during the seawater phase can significantly impact overall use. And, in 2017, a number of challenges during the seawater phase impacted overall use.’ Commenting that salmon are highly sensitive to environmental changes, the review goes on to highlight the

“Environmental

changes influence the development of planktonic organisms, which can further compromise fish health”

Environmental changes Assessing the salmon sector’s use of antibiotics in 2017, reported as 17.2mg/ kg of production against an initial target of 5mg/kg, RUMA comments that while it wasn’t possible to achieve the year’s objective, total usage was still ‘relatively low when assessed against national livestock targets’. Considering the reasons behind

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04/12/2018 10:54:45

22 HEALTH - MEDICINES

strong influence on one way of helping prostock health of water ducers minimise their temperatures and use of antibiotics, the changes in rainfall, review draws attention Targets Task Force: resulting in changes to the vital importance One Year On in salinity, suspended of good vaccine develNovember 2018 solids, dissolved comopment and supply, ponents, and so on. especially for the trout ‘This can greatly sector. affect the health and ‘Increasing the use immune-competence of of vaccines, as well as fish,’ the review states. improving the availa‘Environmental changes bility of cost-effective also influence the deauthorised vaccines is velopment of planktonic crucial,’ according to organisms, such as harmful algae and the review. jellyfish, which can further compro‘However, there are very few mise fish health. vaccines licensed for trout, and the ‘In 2017, environmental factors sector has lost two vaccines in the such as rainfall and temperature led past 10 years. As a result the sector to challenging farming conditions, is working very closely with vaccine which, in some cases, involved baccompanies and research institutions terial infections for which no vaccines to investigate opportunities to develare currently available, hence they op new vaccines. required antibiotic intervention.’ ‘One of the main challenges is the The review also acknowledges that development cost of vaccines in comsuch issues do rather come with the parison to the possible commercial territory, if you choose to farm fish. return from trout. A fast-track system ‘With salmon being farmed in the for the devolvement of vaccines natural, wild lochs around Scotland, needs to be considered.’ farmers have a limited ability to mitEach species covered in RUMA’s igate against environmental changes 44-page review is given its own that can impact fish health and ‘next actions’ challenge for 2018 and welfare,’ the review says, adding that beyond. increased water temperatures and For trout, the next actions’ list urges reduced rainfall during 2018 are likely producers to focus on maintaining to again impact the use of antibiotics. use at 20mg/kg or less, to increase ‘Further ahead, global climate their data collection over 70 per cent change remains a challenge for the and to explore options to increase sector and is likely to impact fish vaccine supply. physiology and development as well Suggested next actions for salmon, as the development and presence of working through the SSPO Prescribing fish pathogens. The Scottish salmon Vets Group, are to investigate options farming sector is acutely aware of the to increase vaccine use for novel possible challenges that might result diseases and to control new health from climate change and is looking to challenges caused by climactic changinvest in research to better underes, and to do so without the need for stand both challenges and solutions.’ antibiotic treatments. www.ruma.org.uk/wp-content/uploads/2018/11/RUMA-TTF-1-year-onVaccine development Full-Report-FINAL.pdf Assessing the role of vaccination as A report summarising the progress against antibiotic use targets identified by the UK livestock industry’s Targets Task Force in October 2017.

Health Extra.indd 22

Above left: The cover of the RUMA report Above: Rainbow trout and salmon

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24 COMMENT - CROWN ESTATE SCOTLAND

Time for regime change Better accountability may be the only way to achieve confidence in industry growth

ARINE aquaculture in Scotland is accustomed to having developments scrutinised, and we’re all familiar with the issues that arise. These flare and fade and then flare again, sometimes in response to events, while at other times more as a result of digging by journalists and those who wish to hold the industry to greater account. The farmed salmon sector is far and away the greatest recipient of attention, and its history is peppered with instances we can all recall. In the past year or so we’ve seen its longer term ambitions set out in a government supported vision for industry development to 2030 that underlines its economic importance to Scotland and the communities of the west coast and islands. Alongside this, an inquiry undertaken by two parliamentary committees into its environmental impacts with, in the case of the first of them, the Environment, Climate Change and

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By ALEX ADRIAN

Land Reform committee, a conclusion that the current relationship between the industry and its environment is unsustainable. It seems we are at something of a watershed. Strategically, we want a bigger industry bringing greater value to Scotland while at the same time, having looked closely at how it operates, we come away not entirely happy with what we’ve seen. To be fair, the salmon farmers acknowledge their issues and these inquiries have been accompanied by some additional reporting commitments from the sector. At the same time, light continues to be shone on less acceptable instances of farming performance. Back and forth. The abiding thought, though, is that the issues remain pretty much unchanged - the industry’s interactions with its environment and the consequences for both. In the past, times such as this have resulted in

‘IT SEEMS WE ARE AT A WATERSHED’

Opposite: Alex Adrian, Crown Estate Scotland

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26 COMMENT - CROWN ESTATE SCOTLAND

some rummaging in the regulatory toolbox for fixes but, given where we are, it’s debatable as to whether continuous patching can or should continue. There’s a need for a more fundamental change if aquaculture, and salmon farming in particular, is to continue to grow and prosper in our shared marine space. One that can better address the interest in, and scrutiny of, how marine fish farming activity is managed, and replace or at least further enable a regime that is focused chiefly on development. This is the dichotomy that has seen an industry of fully consented developments still having its current sustainability performance labelled as unacceptable. It’s becoming evident that contentious management issues require clear accountability for obligations and commitments post consent. This must work in an unambiguous and consistent enough manner to provide confidence, but in doing so accommodate the inherent unpredictability of a working environment that can limit control of planned performance.

“Many of

the issues that attract scrutiny are being tackled”

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Opposite:Alex Adrian, who has worked in the industry since the late 1980s Above: Oysters Below: Salmon fillets

There is a need, therefore, to shed light as much on measures employed as outcomes achieved. Assurance in such circumstances should include that for the sincerity of the effort as well as the result. This can only be captured within a consenting framework that achieves greater collaboration between industry and regulator for that accountability than at present. Many of the issues that attract public scrutiny and concern are being tackled by the industry through use of certiﬁcation to accredited performance standards and Codes of Practice. The underlying techniques and practices these incorporate to meet and ensure ongoing compliance are effective, and they are used widely by businesses to address important commercial commitments and obligations. The problem would seem to be that decisions on participation and compliance are still essentially those of the business. Accountability for performance management of farms governed by these is, therefore, subject to corporate rather than regulatory rigour, and it is increasingly the case that this does not deliver the transparency and consistency that stakeholders deem necessary. It may be that a solution lies in adopting those same techniques that industry chooses to manage its own critical interests. Matters such as product quality assurance, equipment standards and environmental commitments are subject to the plan-do-check-act

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disciplines that underpin ongoing compliance through adaptive management. They work effectively to ensure standards of performance are maintained, and failures identified and addressed, particularly where change and uncertainty – be that in the environment or market – prevails. This success results from the monitoring and recording of both measures employed alongside results achieved. Review and analysis therefore can enable necessary adaptation. But, even where used for environmental management issues, through certification to accredited standards for example, whether a company adopts them and just how well it performs is a corporate decision, with accountability for decisions ultimately still being restricted to the business. If such tools are seen by the industry to efficiently manage and control critical risks for the business, there is no reason why they would not work where these are also critical to the public interest – chiefly, for those posed by the interactions of that aquaculture business with its shared marine environment. Regulatory measures could be introduced that incorporate their use to include accountability for management decisions to stakeholder and public as well. Such a system will demand more from industry in terms of clear, detailed and, importantly, realistic

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proposals for managing identified interactions within acceptable thresholds. Confirming issues and agreeing measures, including remedial actions where commitments are not met, must be specific and clearly relevant to the proposed development and its circumstances. Proposals must be both appropriate and achievable. Generic approaches should be a last resort. This means a much greater focus on management plans, derived through EIA (environmental impact assessment) and reviewable. The key difference will be that industry itself demonstrably monitors

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28 COMMENT - CROWN ESTATE SCOTLAND

its post consent performance, both compliance and remedy, against management plan commitments through the disciplines it is already familiar with in accredited standards. Verification by periodic independent audit, with published reports, will serve to confirm continued operation and any necessary revised terms. There is already precedent for the use of independent verification as part of consent in the marine environment - in the installation and build-out of some marine renewable developments. And, similarly, management plans have historically been the preferred method of exercising control of activities in the marine environment. Aquaculture’s interactions are far more a function of its activities than the associated development, and regulatory focus must therefore reflect this and set the framework within which statutory rigour for plan determination, execution and

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Above: Salmon sector -recipient of attention

reporting is conferred. The latter can provide the transparency that ensures acknowledgement of performance at or beyond required thresholds and remedy of non-compliance, so consequently greater confidence in the relationship between industry and its stakeholders. If a consenting regime sets out the terms of the contract between the developer and the public interest, one that provides for more direct accountability between these two parties is more likely to improve familiarity and confirm acceptable performance. For issues where uncertainties still prevail in an often unpredictable environment, adopting such a regime may be the only way any longer term confidence in development prospects will be achieved.

Alex Adrian is aquaculture operations manager at the Crown Estate Scotland.

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30 COMPANY PROFILE – MOWI

Building a future on our history World’s largest salmon farmer targets millennials with new brand

owi, formerly Marine Harvest, has seen vital investments come to fruition in 2018, so it was most fitting that its latest and biggest news – a new product brand and company name – was announced in late autumn in Scotland’s capital city of Edinburgh. Key investments in several key parts of the value chain, that include feed nutrition and feed monitoring, recirculating aquaculture systems, purpose built vessels, and new high energy marine farms, will continue to strengthen the firm’s commitment to Scotland. But perhaps the company’s focus on millennials – consumer marketing and workforce development – will best benefit its long-term performance. Speaking at Capital Markets Day in Edinburgh, Ola Brattvoll, COO of Marketing and Sales, said: ‘Consumers are not met with proactive communication in the [seafood] category, and as an industry we are much more reactive than proactive when it comes to communication.

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By IAN ROBERTS

‘In that, we see that consumers are not given the information and are not being fulﬁlled when it comes to the needs they have about eating salmon.’ With the announcement of the ﬁrst global salmon brand – MOWI – communication of salmon is about to change. A primary target for the MOWI marketing team will be millennials.

CONSUMER INSIGHTS SHOW: 36% want to reduce meat consumption 32% want to increase ﬁsh consumption 60% are willing to pay more for a high-quality convenient product

91% are sensitive to animal welfare 91% want more transparency on food products More than any other demographic, millennials (born 1980-1995) are researching and buying online, seeking convenient and healthy foods, and expect their food to be grown or raised by a responsible farmer. Mowi will deliver what consumers want. ‘This is an opportunity for the

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2019 FISH FARMER YEAR BOOK 31

whole seafood category,’ said Brattvoll. ‘This opportunity is for consumers to engage in our product, to learn about its benefits and receive direct answers to their concerns. ‘We believe our marketing strategy meets consumer needs in a different way than is being met today.’ The proactive communication blitz will be supported by a €35 million budget. International health authorities will be pleased, given the global effort to ensure we all eat a dish of oily fish twice weekly. The company will launch the MOWI brand into select European markets first, followed by America and Asia. The branded product line – soon to be announced – will provide customers with added value in taste, convenience, nutrition and traceability.

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“Attracting, training and

retaining young professionals in the Highlands and Islands remains a top priority for the company” Investing in youth The Scottish government announced that 2018 was the Year of Young People. Good timing, as Mowi continues to build on its Investors in Young People accreditation and the Highland Business Award for the Regional Development of the Young Workforce.

Above: Kurk Jones, farm manager at Portnalong on Skye

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32 COMPANY PROFILE – MOWI

The investment in attracting, training and retaining young professionals in the Highlands and Islands remains a top priority for the company. A unique fast track graduate

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Above: Graduate Kendal Hunter was recently promoted to farm manager Opposite: Ola Brattvoll, COO of Marketing and Sales at Mowi, in Edinburgh

training programme launched last year, that covers every aspect of the salmon farming business, from fish health to finance, has proven a success. Mowi recently appointed graduates Kendal Hunter, 23, and Benjamin Weis, 27, as farm managers near Kyle of Lochalsh and on Lewis. Since starting the fast track graduate programme at Mowi in mid-2017, Kendal and Benjamin have completed training modules, which took them to farms across the Highlands and Islands to experience farming from egg to harvest, following the fish from hatchery to sea farm. ‘It is a fantastic opportunity to learn all aspects of the business at as many sites as possible,’ said Kendal. ‘Every day is different, from completing the daily routines out on site, to learning how pens and

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2019 FISH FARMER YEAR BOOK 33

mooring grids are made, to attending weekly health meetings.’

DOWN ON THE FARM: Staff under the age of 30? 251 Average age? 37 A second round of recruitment for the next graduates began in the autumn of 2018, with the ﬁrst hire now starting the 75-week intensive programme. While continued education before or during employment is strongly encouraged, a life-long career with Mowi can start with just a foot in the door, as Portree’s Kurk Jones found out. With advice from his mum near his 17th birthday, Kurk applied for work as a farm technician. In seven short

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years, he has taken advantage of in-house training which, when combined with the right interpersonal skills, has taken him to a position as manager at Portnalong salmon farm on the Isle of Skye. Kurk encourages others to follow his lead: ‘Go for it. If you’re wondering about a career in salmon aquaculture, just give it a try at the entry level. If you enjoy it, you can have so many career paths ahead of you. ‘I’m grateful for the opportunity this job has given me – as a career and a lifestyle. At the age of 19 I was able to buy a house on Skye where my girlfriend and I now live.’

Ian Roberts is communications and business development director for Mowi in Scotland

04/12/2018 11:05:42

34 COMPANY PROFILE - THE SCOTTISH SALMON COMPANY

Pride, passion and provenance Heritage breed product has become flagship export ‘Our values of pride, passion and provenance underpin everything we do at The Scottish Salmon Company. Operating responsibly alongside the breathtaking locations, unique natural environment and local communities, which combine to give our premium Scottish salmon its much sought after provenance, is at the heart of strategy for responsible growth.’ Craig Anderson, chief executive, The Scottish Salmon Company

COTLAND is famous for its rolling hills and historic sites, its warm hospitality and sense of humour. But it is also renowned for its quality produce and thriving food and drink sector. Scottish provenance has achieved such status that it is considered the best of the best, with a reputation revered the world over for taste and quality.

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Scottish salmon is an international success story, hot on the heels of Scotch whisky. It is Scotland’s and the UK’s biggest food export and a major contributor to the Scottish economy, with exports surpassing £600 million in 2017, a 35 per cent increase year on year. Salmon producers contribute £390 million in expenditure to the local supply chain in Scotland. Directly supporting more than 2,400 jobs almost 13 per cent of the food and drink workforce in Scotland - its signiﬁcance is clear, and The Scottish Salmon Company plays a pivotal part in this. As the leading producer of premium salmon with operations only in Scotland, provenance makes us who we are. Headquartered in Edinburgh, we have more than 60 sites along the

Left: Gousam Opposite (top): Native Hebridean Salmon (below): Kate Forbes MSP starting the 2018 Isle of Skye Half Marathon

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2019 FISH FARMER YEAR BOOK 35

west coast of Scotland and the Hebrides, employing 550 people in remote and rural communities. Fresh from remote rugged islands, including Lewis and Arran, and coastal peninsulas such as Applecross, our salmon is exported across the globe with over half of our production volume sold in 26 countries, from North America to the Far East. Our commitment to provenance underpins everything we do and we are building on this success through an ambitious long-term strategy for responsible business growth. Imagine a chain of islands off Scotland’s west coast. Standing strong against the Atlantic’s elements with stunning natural beaches of pure white sand and turquoise water, it’s here in the Hebrides that SSC has been focusing its passion and commitment to traceability and provenance. In 2016, following years of hard work, development and research, we introduced our Native Hebridean Salmon to the international market. Truly unique, as a result of its genetic lineage from the fresh loch

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systems of North Uist, this strain is descended from ﬁsh which have lived in the Hebrides for thousands of years. We have created a unique broodstock programme, resulting in a heritage breed product which is reared exclusively in its ancestral home that has become our ﬂagship export. The appeal of fresh, quality,

04/12/2018 11:11:34

36 COMPANY PROFILE - THE SCOTTISH SALMON COMPANY

premium salmon from the pristine waters of the Hebrides is obvious, but we are now championing the concept of ‘micro-provenance’, where the unique heritage of this strain of salmon is celebrated. It not only drives sales, but allows us to create and retain value in these often fragile rural economies. Provenance isn’t just about our products but also our places and people. The communities in which we operate and where our staff live and work are fundamental to our business. We have a commitment to sourcing locally wherever possible and in 2017 spent more than £100 million with 550 Scottish companies, while our Community Charter brings our values of pride, passion and provenance to life. It details how we work closely with the people, suppliers and the communities where we live and work – responsibilities that we take seriously.

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Above: SSC Community Fund Rhunahaorine Primary School 1 Opposite (top): PYFC (below): Lochcarron Heavies

We are a proud supporter of a number of community events, playing our part in keeping local traditions alive. These include the Cowal Highland Gathering, which attracts 3,000 competitors to Dunoon in Argyll, and the Lochcarron Highland Games. Health and wellbeing is a core focus for us and we recently signed a new agreement to extend our support for the Isle of Skye Half Marathon until 2020. We also support the Western Isles Island Games Association, an organisation which helps local elite athletes reach their full potential by competing in the International Island Games. With our support, local athletes have travelled as far aﬁeld as Bermuda. Working with younger members of our communities is also key, educating them on healthy eating through school visits and also getting them involved in our site families through competitions and initiatives.

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2019 FISH FARMER YEAR BOOK 37

We have supported the National Theatre of Scotland’s Theatre in Schools Scotland programme for several years, one of the aims of which is to bring high quality theatre to schools and school children in remote and rural areas, areas where many of our staff live and work. As a further commitment to our neighbours, we launched our Community Fund in 2017, giving staff the opportunity to nominate local initiatives and good causes that they believe promote health and wellbeing in the community. Since its establishment, donations have gone towards everything from buying waterproof trousers for volunteers in the Western Isles to purchasing athletic equipment for children in Argyll and Bute. From pensioners’ groups to young people’s clubs, we have been able to support causes which mean the most to their colleagues. Our Scottish provenance is clear from our name, our brands and our

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quality salmon, but it is also woven into the fabric of our business. Our strategy for responsible and sustainable development was founded on the principle of creating and retaining value in Scotland for the economy, local communities and our people, ensuring the beneﬁts of provenance come full circle.

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Growing our contribution to Scotland’s communities • Creating 464 direct jobs • Paying annual salary costs of £17.2m • Investing in 51 Modern Apprentices • Spending over £100m with Scottish suppliers annually • Supporting up to 2,320 indirect jobs • Exporting to 24 countries • Granting £976,230 – and rising – to local groups and projects

Re-investing over 50% of profits in the last 10 years to advance fish welfare and strengthen our environmental credentials.*

*Based on 2008 – 2017 figures

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04/12/2018 09:42:39

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04/12/2018 09:43:13

40 COMPANY PROFILE - KAMES FISH FARMS

He KAMES, he saw, he conquered Forty five years and counting for fish farming pioneer

HEN Stuart Cannon of Kames Fish Farms won the inaugural People’s Choice Award at the Scottish Marine Aquaculture Awards, held in Aviemore in May 2018, it was an opportunity for reﬂection and looking back. Cannon came into aquaculture more than 45 years ago and in 1972 founded Kames in Kilmelford, Argyll. His victory at the awards recognised the outstanding contribution to the aquaculture industry made by Cannon, and this was applauded not only

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by the Aviemore audience of over 600 on the night, but by the more than 1,000 people from across the industry who voted. ‘It’s an honour to be the ﬁrst winner of People’s Choice, especially as it is a vote from my peers in such a terriﬁc industry,’ said Cannon at the time. ‘I am thrilled to win this award.’ But Stuart Cannon and Kames Fish Farms are not about to rest on their laurels. Trout farming has been his and the company’s passion and they have the drive and vision to grow into a successful and sustained future. Kames has been concentrating on

Above: Perfect conditions Above left: Tiffany of Melfort Opposite: Stuart Cannon and his grandson Christopher

04/12/2018 11:14:22

WE NEED YOUR HELP!

2019 FISH FARMER YEAR BOOK 41

uart Cannon, our founder and leader at Kames, is up the inaugural People’s Choice ward at the Scottish Marine Aquaculture Awards. The award is an opportunity to te for the most inspiring and outstanding individuals in the Aquaculture industry think he deserves it and would be a fantast ically worthy winner!

“Our ethos for

growing the trout is to handle the fishTHEasLASlittle as RS A REMINDER OF T 45 YEA possible”

ing is very easy, it takes no time, you just click on this link: VOTE FOR STUART, then te your name, email address, check the box by Stuart’s name and click ‘vote’ at the tom of the page – super simple!

ou can spare one minute, to take the time to vote, we’d really appreciate your port – THANK YOU!

In case you need a reminder of what Stuart

has achieved for aquaculture over the last 45 years, here is a highlight reel:

versity of knowledge, through the love of

farming and experimenting with new species. In dition to the main production of rainbow trout and salmon, Kames has commercially farmed ussels, sea bass, sea bream, halibut and barramu ndi, in six of the world’s seven continents. stalwart member of UK Aquaculture, over the years sitting on many boards - SAOS, Scottish mon Producers, BTA, SAMS, SEPA, FEAP, and many local community and environmental groups. veloped the “Kames Fish Cage” back in 1972, a revolutionary robust wooden -steel-plastic cage, s rafts and pontoons, which were sold worldwi de cementing the UK’s place as innovato rs. uge believer in education and training the future generations of fish farmers, with 100s of dents passing through Kames, many of whom have gone on to be hugely successful fish mers, marine scientists, aquaculture journalis ts and captains of the aquaculture industry . t to use and develop fresh water cage culture from 1975. neered all female stock, then helped to develop the triploid strain, to use them commercially is still learning and understanding what triggers maturation in sea trout production. uge ambassador and spokesperson for Scottish Trout. Founding member, and long-time rman, of Scot Trout and Salmon. A believer in premium quality, and fish husbandry, at the ense of profit. neered the transfer of rainbow trout to full salt water, with use of salt in the diet pre-tran sfer, an ongoing process, where he is pushing to develop and understand the salt water strain.

increasing the production of its sea grown trout. Just two years ago, the firm was producing 700 tonnes of trout and this year will produce more than 2,000 tonnes. This growth will continue for the next few years as it has capacity with its current sites to produce up to 5,000 tonnes. ‘We are also still looking at developing new sites to meet the demand for our product,’ said KFF director, Allan MacIsaac. ‘Our newest site in Loch Pooltiel on Skye has produced its first crop of fish. The site has performed very well, we have had very low lice numbers and, as a result, we haven’t had to use any treatments for the entire cycle. The fish are looking great and being sold to our customers now. ‘We are also working with the Skye Fisheries Trust to monitor the sea lice levels in the native population of salmon. Samples were taken from the Hamra river to establish a baseline before any fish were put in our site. We will continue to work with the Skye Fisheries Trust to monitor the native salmon population,’ said MacIsaac. On producing healthy fish, he says: ‘Our ethos for growing the trout is to handle the fish as little as possible. This reduces stress and the chances of infection and disease. ‘We also grow our fish slower and at lower densities than most other

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fish farms. This give a leaner and firmer end product and lends itself to smoking and sushi. It’s this focus on quality throughout the cycle that is driving the demand for our fish.’ As the company grows, it has been able to employ more staff and support more local businesses who supply equipment. ‘We have also been investing in equipment to allow us to work in a more efficient way,’ said MacIsaac. ‘This year we took delivery of a landing craft, the Tiffany of Melfort. This £1.1 million investment makes many of the tasks on the sites quicker and easier. ‘We are also working closely with the Scottish Aquaculture Innovation Centre (SAIC). Current projects are concentrating on the transfer to sea, a critical time in the lifecycle. ‘If we can identify the perfect conditions to transfer the fish to sea, we can reduce the stress of this event and increase growth. ‘Previous projects include looking into the chemical markers in the fish blood to help identify how long it takes the fish to recover from treatments.’ And Kames has been working with the community at Glendale on Skye, ‘to give something back’. This includes installing yacht moorings and a new pontoon. Cannon sums up what Kames is all about: ‘We transfer our trout to the crystal clear waters of the Scottish west coast, feed them a healthy, sustainable diet, and just leave them to grow.’

04/12/2018 11:14:43

42 DEVELOPMENT – AQUACULTURE INDUSTRY LEADERSHIP GROUP

In our sites Scotland needs its own trial farms for innovative change

HERE is impatience in Scotland’s salmon industry to expand and develop more efﬁcient means of farming, but the pace of innovation seen in Norway, incentivised by the government, has not been matched here. That could soon change if the Scottish industry takes it into its own hands to pioneer trial farms, or aquaculture innovation sites, to test everything from new equipment, to alternative feed ingredients, to novel husbandry techniques. Exploring the concept of innovation sites was one of the key recommendations of the Vision 2030 report, published two years ago by the

AILG.indd 42

industry with the aim of doubling the economic value of salmon farming to Scotland. Since then, the Aquaculture Industry Leadership Group (AILG), established to fulfil the goals of Vision 2030, has made progress on a number of its chief recommendations, including proposals being considered on the introduction of innovation sites. In November 2017, the group set up a sub-group, facilitated by the Scottish Aquaculture Innovation Centre (SAIC) and involving all Scotland’s finfish producers, as well as representatives from academia and the supply chain. It proposed that there should be a simple application process to establish the sites, along with local community engagement. AILG co-chairman Stewart Graham was optimistic that the proposals being developed would be to the benefit of all industry stakeholders. While the industry continues to innovate in general across its operations, there are still no official ‘innovation sites’ a year later. To move the initiative forward, the industry recognises it will need more flexible regulation, with a more streamlined system capable of delivering faster change. ‘Innovation within the industry is

Left: Salmon farm Opposite: Stewart Graham

04/12/2018 11:16:56

2019 FISH FARMER YEAR BOOK 43

demonstrated on many levels, and it is possible to innovate within current regulations, but it could be made easier,’ said Graham. ‘Regulators have the ability to use their discretion, but very rarely are they flexible in their approach, and this slows or halts innovative change.’ An AILG workshop was held in November, chaired by Graham, to draw up proposals for how innovation sites could look and work. It was agreed that the guiding principle in developing an industry innovation strategy should be ‘delivering sustainable growth through improved fish welfare and minimising environmental impact’. The proposals will be presented to the AILG and to government body Marine Scotland and regulators at a meeting early in the New Year. In the Vision 2030 report, it was recommended that innovation sites could be used for controlled trials and the development of equipment, technologies or disease control measures and regulation. The latest proposals consider setting up several such sites across Scotland, run by producer companies and focused on specific aspects of innovation. They could test nets, pens, sensors, new technology, feeds, medicines, and showcase Scotland’s innovation potential. Different testing would not be done on the same site, and not all new technology would be suited to all sites, so multiple locations are likely to be needed.

One main theme from the workshop was the development of higher energy sites, and it was suggested that the industry could learn from the offshore renewable energy sector, and how it dealt with the planning process. Moving larger cages offshore, to sites with higher water ﬂow, is thought to be the future, and was one of the recommendations of the REC committee. The technology and equipment now exists to allow these farms to proliferate, and there are many advantages, including lower stocking densities, a shorter time at sea with larger smolts, a lower risk of sea lice attack and algal blooms, and less interaction with wild ﬁsh as the farms are far removed from rivers.

“Regulators

are very rarely flexible in their approach”

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44 DEVELOPMENT – AQUACULTURE INDUSTRY LEADERSHIP GROUP

But until biomass caps are increased, expansion into offshore sites is constrained. Although SEPA (the Scottish Environment Protection Agency)has now lifted the 2,500 tonne limit, no larger farms have been given permission. Scotland is getting left behind, with market share falling, and other countries are producing a lot more fish on a lot fewer farms, said Graham. Innovation isn’t always about bigger tonnage from bigger sites, though; it can also be about more efficient use of existing sites, and better welfare of the fish. ‘We expect there might be a class of innovation site which is large and new, but we’d also expect that small sites could be innovation sites,’ said Graham. It was noted that Scotland, unlike every other salmon farming nation in the world, does not have an open access marine cage trials facility. This, said Graham, was a major gap in the innovation infrastructure and in innovation capability. ‘High quality, evidence based field trials with scientific data are needed in order to evolve regulation based on science.’ The industry, along with govern-

AILG.indd 44

ment and regulatory bodies, must decide on the business model for innovation sites - who funds them and who operates them. The AILG looked at Norway’s development licences during its discussions, but Graham said this is ‘going to be very much a Scottish system’ as we are not able to replicate Norway’s green licences under the current Scottish regulatory system. ‘As an industry, we will have to re-visit whether we want to press for a marine licensing regime, which we would need before we could move to something resembling the Norwegian system of green licences.’ Left: Scottish salmon

CLASS LEADING SKILLS THE AILG made significant progress in 2018 on skills development, with a report published in May highlighting career opportunities in the sector. The study included consultations with stakeholders and employers and the supply chain, and an online survey of employers. It detailed key areas of specialism for future employees that go beyond the boat handling, fish husbandry, fish feeding and biology skills normally associated with aquaculture. As the sector and its supply chain grows, so too will demand for skills in engineering, digital and IT, as well as leadership and organisational management, the survey found. Following a skills workshop, held in Aviemore in October, Skills Development Scotland has been tasked with producing a draft action plan for how the industry prepares for the skills it needs to grow. This plan is expected by the beginning of the year. ‘I believe we in the aquaculture industry can, with full participation of the industry in partnership with the public sector, make this initiative class leading, and indeed we can be an exemplar for other sectors to work together with all stakeholders to future plan for skills needs,’ said Stewart Graham.

04/12/2018 11:17:37

Untitled-1 45

04/12/2018 09:45:10

46 RESEARCH – INSTITUTE OF AQUACULTURE

Hub at heart of industry New £17m Stirling development will support Scottish sector By JAMES DICK

HE University of Stirling announced in 2018 that it would receive £17 million for the development of a new Institute of Aquaculture and Global Aquatic Food Security facility. This will form part of an Aquaculture Innovation Hub, which will operate four aquatic research facilities, including a new building on campus, the redeveloped Buckieburn freshwater facility, and Machrihanish, near Campbeltown. Unique in the UK, the hub will provide the full range of marine environmental conditions and create R&D opportunities to support Scottish aquaculture skills and products. The institute applies skills, knowledge and expertise in developing novel solutions in areas such as: Global Health (Animal and Human), Changing Global Environments (Mitigating and Adapting), and Resilience to Change (Social, Economic and Environmental). Cutting across these themes, it recognises ﬁve key areas along the aquaculture value chain that it considers critical to support sustainability and the next generation of aquaculture production systems. These areas include breeding and genetics, nutrition, welfare and behaviour,

IoA -1.indd 46

Opposite: Centre of excellence

health and aquaculture systems. The institute attracts research funding from a wide range of sponsors, including the aquaculture industry itself, the Scottish Funding Council, UK research councils, UK government departments, the European Union, national and international research organisations, foundations and trusts. In recent years, funding has been steadily increasing and this progression in income captures the strength and sustainability of the institute in its ability to obtain funds for strategic research in aquaculture. Research councils form a signiﬁcant part of the funding proﬁle, as highlighted by the IoA’s leading role in the BBSRC-NERC funded aquaculture network (ARCH) and participation in a new NERC-funded DTP (doctoral training partnership). The EU remains a major funder, highlighting the competitiveness and industrial credibility of the institute on the international scene. For example, the Environmental Management Team coordinate the H2020 TAPAS project, worth €7 million, and have been awarded recognition by the fourth Atlantic Stakeholder Platform for ‘Improving accessibility and connectivity’. Closer to home, the institute has

04/12/2018 11:23:07

2019 FISH FARMER YEAR BOOK 47

received additional funding from the Scottish Aquaculture Innovation Centre (SAIC) and industrial partners of £6.5 million, aiming to understand the sustainable management of the breeding physiology, genetics, nutrition and health of wrasse and lumpfish, now used as cleaner fish to combat sea lice in salmon aquaculture. The institute’s research expertise around breeding and stock improvement focuses on the development of stock management strategies to control physiology in farmed aquatic animals and accelerate the domestication of new aquaculture species. The IoA also utilises genetics, genomics and bioinformatics to develop markers for a range of commercially important traits, understand sex determination of fish, and assist the development of selective improvement programmes. There is long-standing expertise in lipid biochemistry and the development of analytical methods in the aquatic nutrition area. And the institute’s laboratories have state-of-the-art facilities,

IoA -1.indd 47

and technical expertise for detailed nutritional analyses. In addition to research, the institute provides commercial services through Nutrition Analytical Services, and applies modern molecular genetic and genomic techniques to understand nutritional physiology in farmed ﬁsh, particularly in relation to fatty acid metabolism. The IoA’s aquatic animal health research specialises in parasitology, immunology and vaccinology; and emerging infectious diseases, and aims to improve understanding, prevention and control of aquatic infectious diseases, a major barrier to sustainable aquaculture development worldwide. Research in Stirling investigates all aspects of disease from environmental triggers, reservoirs of infection, taxonomic diversity and evolution, modes and routes of disease transmission, pathogenicity studies, pathogen-host interaction and aquatic food security. The institute specialises in aquatic animal welfare and its

“It will provide

the full range of marine environmental conditions and create R&D opportunities”

04/12/2018 11:23:27

48 RESEARCH – INSTITUTE OF AQUACULTURE

research expertise spans the space between the individual animal and the whole population. The Stirling team examines how internal processes and external conditions interact to affect the health and welfare of aquatic animals, and applies methods sourced from different disciplines, including epidemiology, ﬁsh behaviour and immunology, often feeding in to operational welfare indicators. Furthermore, the IoA develops novel biomarkers through state of the art omics-based research for the early detection of disease and physiological stress. And it addresses the key areas of long term resilience and sustainability of the global aquaculture sector, resulting in improved aquatic food security. The approach is multidisciplinary with a wide range of expertise in environmental management, social economics and engineering. Research encompasses environmental sustainability and carrying capacity modelling, spatial analysis, international

IoA -1.indd 48

development, securing and improving ﬁshers’ livelihoods, value chains and life cycle assessment. Much of this operates under the guidelines of an ecosystem approach to aquaculture. Importantly, the institute provides a range of training and teaching courses relevant to aquaculture. It has a strong and successful history in the provision of an MSc Sustainable Aquaculture with more than 1,000 alumni around the world. And it also delivers continuing professional development training and courses in key areas relevant to aquaculture business and regulatory services. Teaching at the IoA is rooted in cross-disciplinary, internationally recognised expertise. And the latest CPD course in Fish Health and Welfare provides an introduction to ﬁsh biology, health and disease, welfare and the relevant legislation.

Above: Professional development

James Dick is technical manager at the Institute of Aquaculture

04/12/2018 11:24:22

RESEARCH - ARCH-UK 49

ARCH bridges the gap Research body links industry with scientists to meet challenges By JOANNA GOSLING

HE communication of science continues to be one of the greatest challenges to progression within the aquaculture industry. To address this, the Aquaculture Research Collaborative Hub for the UK (ARCH-UK) aims to bridge the gap between academics, industry members and policy makers across the UK, facilitating the development of solutions to fundamental science questions to support the sustainable growth of the aquaculture sector. Since its inception in March 2017, ARCH-UK has built a community of more than 460 UK and international aquaculture stakeholders, also bringing in expertise from engineers, human health experts and the agriculture industry. Through a variety of events, ARCHUK promotes mobility and collaboration, skills development, knowledge exchange and sharing of best practices, and identifies research priorities for further funding to UK Research and Innovation (UKRI). ARCH-UK is very much for the community with a bottom-up approach, organising events and workshops via eight working groups (WG), which span all aspects of aquaculture research: WG1: Finfish Nutrition WG2: Finfish Health & Welfare WG3: Shellfish Health & Disease WG4: Human Health & Food Safety WG5: Stock Improvement WG6: Markets, Economics, Social Science & Technology Development WG7: Environmental Interactions,

IoA - ARCH.indd 49

Climate change & Capacity WG8: Career Development & Training ARCH-UK updates the aquaculture community with the major outputs of UK aquaculture research projects through its Annual Science Events, the next one of which will be in Stirling from June 26-27. The group has also collaborated with MASTS (Marine Alliance for Science and Technology Scotland) to provide researchers with help in securing grants. Keep an eye on the ARCH-UK media pages (@Aquaculture_hub) for further opportunities for mentorship, training, presenting to multi-stakeholder audiences, attending workshops, travel grants and aquaculture site visits. Upcoming 2019 ARCH-UK workshops include Microplastics, Aquaculture and Fisheries – a Risk Assessment, in London on March 25, led by Professor Andrew Rowley of Swansea University, and an international workshop co-organised by ARCH-UK and the Innovate UK SALMOTRIP project on ﬁnﬁsh sterility research in Stirling from March 26-27, led by Professor Herve Migaud. ARCH-UK is funded by the BBSRC and NERC Aquaculture Initiative, and coordinated by the University of Stirling (Prof Migaud) and Swansea University (Prof Rowley), with the University of Aberdeen (Prof Sam Martin) and the University of Exeter (Prof Charles Tyler), and with support from ARCH-UK hub managers (Dr Joanna Gosling based in Stirling and James Taylor based in Swansea). www.aquaculturehub-uk.com

Above (from top): Joanna Gosling; Andrew Rowley; Herve Migaud; Sam Martin; Charles Tyler

04/12/2018 11:25:19

50 SAIC

Another year of

new ideas

Driving sustainable growth in Scotland’s economy Below: Ballan wrasse Bottom: Hydrolicer Opposite: Summer interns, South Shian

QUACULTURE’S increasing importance to Scotland’s economy can’t be underestimated. Only last month, new ﬁgures from the Scottish government said the value of salmon produced in Scotland exceeded £1 billion in 2017 – a new milestone. The industry is growing but, as in any sector, this inevitably comes with questions around sustainability. Innovation, knowledge sharing and the closing of the industry’s skills gap will play an integral role in the continued success – and sustainable growth – of Scottish aquaculture. The Scottish Aquaculture Innovation Centre (SAIC) is driving, sharing and nurturing innovation to help make

this success a reality. Here are some highlights from SAIC’s collaborative work during 2018: 1. Driving innovation – earlier this year, Scotland’s two largest producers of salmon, Marine Harvest and Scottish Sea Farms, made a breakthrough in a project supported by SAIC, along with the University of Stirling’s Institute of Aquaculture and BioMar. In what is thought to be a world first, the project team was able to complete the lifecycle of wrasse – a cleaner fish that is set to play an important part in non-medicinal sea lice control – by rearing their first broodstock. The companies aim to become self-sufficient in the fish within the next three years, cutting their reliance on medicines and cleaner fish taken from the wild. It could be a significant moment for the global aquaculture industry. 2. Sharing innovation – on a recent trip to Cooke Aquaculture in Shetland, SAIC’s knowledge exchange officer, Dr Sam Houston, learned about the sea lice management measures undertaken at one of the company’s sites. In addition to traditional treat-

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2019 FISH FARMER YEAR BOOK 51

ments (such as those delivered in-feed and using tarpaulin bath treatments, as well as non-medicinal treatments such as the use of cleaner fish and permeable lice skirts), Cooke Aquaculture uses hydrolicer technology. This method delouses salmon through the use of low-pressure water jets that create turbulence in treatment chambers, thereby dislodging the lice. The company has had very positive results using this technology and is open to hiring the hydrolicer equipment, along with the vessel it is housed on, to neighbouring companies so that they may also benefit. Sam wrote about the technology in Fish Farmer (November 2018). This knowledge sharing will be continued in a SAIC-run industry workshop on non-medicinal management of fish parasites in Inverness in the New Year. 3. Nurturing innovation – University of Stirling marine biology undergraduate Kyle Crossan was a summer intern with SAIC and was subsequently offered the role of research assistant in the organisation. During his internship, he created a video that showcases the many faces of an aquaculture career. Inspired by the opening sequence of the iconic Scottish film Trainspotting, the #ChooseAquaculture video has been so well received that it is now at the centre of SAIC’s social media campaign to raise awareness of the job opportunities in the sector. This is part of SAIC’s ongoing mission to encourage young people into the industry, and to help develop the skills of those already on this career path, so that they closely match the needs of their future employers.

SAIC.indd 51

SAIC’s head of Skills and Talent, Dr Mary Fraser, is responsible for the management and continued development of SAIC’s internship, graduate, and master’s initiatives, while also building the centre’s PhD programme. SAIC has already sponsored MSc students on 13 of Scotland’s 16 industry relevant degree programmes, and ﬁve PhD places. As a connecting hub between industry, academia and public sector stakeholders, SAIC is in a unique position to bring people together from across the industry and beyond, to develop the right kind of skills and ensure there is a regular ﬂow of talented individuals coming into aquaculture. If you want to discover more about how SAIC is driving, sharing and nurturing innovation,visit scottishaquaculture.com, see #ChooseAquaculture on Twitter, or contact the SAIC team on 01786 278322 or info@scottishaquaculture.com

“The value

of salmon produced in Scotland exceeded £1 billion in 2017 – a new milestone”

04/12/2018 11:31:18

52 COMMENT – SHELLFISH

Into the GREAT

UNKNOWN?

Buoyant Scottish shellfish sector less at risk than others from Brexit By DR NICK LAKE

T IS a dramatic title but, in reality, the ‘great unknown’ is highly unlikely to apply to our sector. Like any business viewing the year ahead, there will be positives and negatives but, overall, Scottish cultivated shellﬁsh production seems likely to remain buoyant. Brexit will be upon us and some form of deal may well be done. However, the bulk of the current Scottish outputs of Paciﬁc and native oysters, together with mussels and scallops, are sold either locally in the high value chain or enter fresh/processed into

Below: Pacific oyster Right: Mussels Opposite (top): Dr Nick Lake (below): Scallops

the UK multiple retail sector. This does not mean that market conditions may not be challenging due to social and ﬁnancial uncertainty, but the risks faced by other industries of dependency on live product export to Europe are minimal at present. Obviously, a changed administrative and ﬁnancial infrastructure within Europe may bring a degree of stress to the premium food market. However, our sector is fortunate in that expansion of outputs has, to date, been matched by domestic uptake of a range of innovative products. Environmental safeguards It has been clearly stated that

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2019 FISH FARMER YEAR BOOK 53

Scotland will continue to implement the spirit of previously adopted EU environmental legislation - which is to be welcomed, where this does not unnecessarily constrain shellfish cultivation developments. The true importance of shellfish, whether cultivated or in the form of wild stocks, has increasingly been recognised as a part of the solution to a changing marine environment. There has been a long-standing desire to replenish areas with the native oyster – a biodiversity action plan species - which was once widespread in Scotland and the rest of the UK. Such efforts are to be encouraged and will allow both commercial shellfish cultivators to on-grow seed for relaying, and also the key hatcheries to maintain volumes of production at commercial levels. Part of the equation for the future use of the marine environment will be to balance both human food and energy production to maximise benefits to society. Synergies between these two uses are likely to see cultivated Scottish shellfish as part of the wider food security debate.

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Climate change Whether the cultivation of shellfish can impact the rate of climate change is currently the subject of worldwide research. The shortterm carbon cycle places shellfish as a low net contributor to carbon dioxide emissions. However, in terms of the longerterm potential to lock away carbon in shells - the various cultivated species are considered useful. Where there is likely to be an immediate net benefit of cultivated shellfish is with respect to the potential impacts of climate change. Adverse weather events through

04/12/2018 11:40:48

54 COMMENT – SHELLFISH

“The

storms and higher tidal levels can cause coastal erosion which in certain areas even in Scotland is already becoming apparent. Shellﬁsh reefs can be effective in attenuating wave energy and minimising sediment ﬂuidity. Equally, those who have witnessed the calming effect of surface longline arrays - such as in mussel farms - on the height of surface waves in the lee of a site can appreciate how such larger cultivation facilities could help to protect certain vulnerable coastal locations.

success and development of Scottish shellfish cultivation activities seems assured”

Nurture and nutrition What is fundamentally most

Shellfish.indd 54

important in relation to the whole climate change debate is what impact mankind is having through life style choices. One key area is with respect to a low carbon footprint of both energy use and food supply. While we have seen the growth of such products as green lipped mussels from New Zealand or warm water prawns from the tropics, the food miles equation is not very encouraging. Scottish cultivated shellﬁsh on the other hand are renowned the world over for their quality and sustainability, and through various initiatives will be found increasingly on British consumers’ tables during 2019. In addition to quality, sustainability, nutritional beneﬁt and straightforward taste and desirability are assured from such offerings. Add to this an environmentally green footprint in comparison to

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2019 FISH FARMER YEAR BOOK 55

all other terrestrial protein sources, and the future is bright for oysters, mussels and scallops from Scottish farms. Challenges Working with the environment and not despite of it has always been a controlling influence for the shellfish sector; both our food and seed supplies are naturally derived! Being able to access a pristine marine environment has always been a considerable advantage for Scottish shellfish businesses. The Scottish government has provided a regulatory framework which seeks to maintain this position, which is constantly monitored in joint work with our industry. With increasing pressures on the use of the marine environment, the coming year will see renewed efforts to ensure the maximum areas are made available for shellfish cultivation. New approaches to spatial planning are beginning to arise, principally through the implementation of the National Marine Plan and regional Marine Planning Partnerships (MPPs). It is important that the environmental, social and economic significance of shellfish production is recognised within such planning regimes as, ultimately, all of the Scottish coastline will be encompassed by MPP development plans. This new era presents the opportunity for recognition of both the nutritional significance, in terms of food security, and the environmental importance of sustaining cultivated and wild populations of shellfish. In addition, ‘Scotland the Brand’

Shellfish.indd 55

is a key theme in promoting the diverse array of high quality food products originating from our shorelines. The image of a remote and pristine Highlands and Islands coastline can be used to identify with consumers both at home and abroad. Nothing is more acutely in tune to such a panorama than the high quality shellfish produced in the region. Our challenge in 2019 will be to both further develop the outputs from our sector and also to enlighten even more consumers to the great tasting Scottish shellfish products - which are quite literally produced at home. While some elements of working within the marine environment will always emerge as the ‘great unknown’, the success and development of Scottish shellfish cultivation activities seems assured!

Opposite: Green lipped mussels Below: Warm water prawns

Dr Nick Lake is CEO of the Association of Scottish Shellﬁsh Growers

04/12/2018 11:41:31

56 COMMENT â&#x20AC;&#x201C; TROUT

Reasons

to be cheerful

Opportunities and challenges for European trout production

Trout.indd 56

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2019 FISH FARMER YEAR BOOK 57

N the broad European arena, ﬁsh farming production over the past decade (2007 -2016) has expanded from 1,772,000 tonnes to 2,298,000 tonnes. However, while non-EU volumes have increased from 1,105,000 tonnes to 1,649,000 tonnes over the same period (up 33 per cent), production in EU countries has decreased from 668,000 tonnes to 649,000 tonnes (down three per cent). Hence, the comments from the European Commission in its Strategic Guidelines document (2013) that ‘EU aquaculture production is stagnating’ is a position that hasn’t changed much in the years since then. Overall, European trout production has not escaped from this syndrome, with portion trout production barely changing from 233,000 tonnes in 2008 to 234,000 tonnes in 2016 (peaking at 260,000 tonnes in 2010). But large trout has shown more positive trends - after a decline from 139,000 tonnes in 2008 to 105,000 tonnes in 2010, production has robustly expanded to some 150,000 tonnes by 2016.

Trout.indd 57

Above: Brown trout Opposite: Rainbow trout

Nevertheless, the current situation (2018) in both production volumes and market parameters appears more positive for the trout sector. Portion trout output has stabilised after declines in traditional producing countries (France, Italy, Denmark, UK), while growth in new producers has levelled off (in particular, Turkey, where production has plateaued at around 100,000 tonnes after peaking at 123,000 tonnes in 2013). A continuing robust expansion in total European output to around 250,000 tonnes is reported for 2018, accompanied by a price increase to almost €3/kg. Large trout production appears to be remaining at around 150,000 tonnes, although prices have strengthened, with reported values of €4.00– 5.50/kg. Therefore, it appears that the position of trout is more positive than in previous years, with improved demand (particularly for large trout internationally) while, in general, prices have increased for both forms of the species. Yet constraints on the undeniable growth potential remain, speciﬁcally implementation of environmental legislation, access to water, feed

04/12/2018 11:46:51

58 COMMENT – TROUT

controls and discharge regulations. Looking forward, there are a number of challenges to growth that have emerged from FEAP (Federation of European Aquaculture Producers) discussions in recent months. Firstly, the market: farmed salmon has brought huge changes in seafood products – fillets, meal-ready portions in MAP (modified atmosphere packaging) and impacted massively on traditional markets in favour of supermarkets. However, there is a visible return to local products of good quality, with the influence of factors such as food miles, organic, sustainable, and so on. A key question for small scale producers is growth at all costs or stability in markets you know? Another massive challenge is climate change, with high summer temperatures and drought conditions reported across Europe. These conditions can lead to significant welfare concerns.

“Aquaculture

is an acknowledged contributor to food security and improved nutrition”

Trout.indd 58

For the public, welfare issues are focused on aspects like slaughter processes and transportation conditions. Meanwhile, as farmers, our concerns are also focused on access to medicines and disinfectants, along with vaccine development for disease control. Other major challenges relate to feed ingredients (allowed or prohibited, for example) and access to space/licensing conditions, with the latter including the restrictive (and variable) implementation of EU Directives (Natura 2000, Birds, Habitats, Water Framework), with a strong influence from public opinion and the ‘precautionary principle’. The final major challenge we all face is that of communication with legislators, bureaucrats and regulators – but especially our final customers! And this communication with the market is an essential component of all businesses today (and in the future) - transparency and information openness is critical in building a relationship with 21st century consumers. Reasons to be cheerful, part one: the political position of aquaculture in Europe has improved in recent

04/12/2018 11:47:21

2019 FISH FARMER YEAR BOOK 59

years, with Strategic Guidelines from the Commission identifying the extended stagnation of production in the EU compared with robust growth elsewhere, and thus requiring restorative action. Meanwhile, aquaculture has been recognised as a pillar of the blue growth strategy, with growth contributing to other strategic targets such as Food 2030 and the EU Bioeconomy. Aquaculture is an acknowledged contributor to food security and improved nutrition, issues of significance to the EU. The need for a level playing field for European operators has been recognised, but there are also requirements to enhance competitiveness, simplify administration and coordinate spatial planning. Strategic Guidelines were part of the establishment of the Aquaculture Advisory Council (2013), with targets of supporting the structuring of production and marketing (including certification and labelling), contributing to market intelligence, facilitating self-regulatory initiatives and improving communications with consumers. Further positive commentary has come from the European Parliament, Committee of the Regions, Fisheries Committee, Food from the Oceans report, Parliament Own Initiative report, and so on. Other positive aspects include the reputation of farmed trout as a safe and nutritious food which is both accessible and affordable (farmed in 14 nations across Europe) and associated with responsible production methods and supported by transparent traceability and accountability. But these positive messages need to be further promoted to consumers.

Trout.indd 59

Opposite: Rainbow trout farming. Below: Trout farm

Despite Brexit, with its unknown impact on the aquaculture industry, FEAP will continue to represent trout farming members from the UK, providing a forum for professionals across Europe, communicating the concerns of the sector to the European Commission. From its inception in 1968 as a federation of trout farmers – with four national associations, representing 28,000 tonnes of production - FEAP has grown to 23 association members from 22 European countries with total production of some 2.3 million tonnes. The 50th anniversary celebrations this year for FEAP, held at the end of November, had a lot to commemorate, but one thing is certain, the heritage and the contribution of trout farming to European aquaculture will be central. Based on a presentation by Courtney Hough, secretary general of the FEAP, at the recent British Trout Association AGM, with thanks to Doug McLeod

04/12/2018 11:47:52

60 PRODUCTION SURVEY 2017

Scottish Fish farm and Shellfish Farm Surveys 2017

COTTISH salmon farmers produced the highest ever volume of ﬁsh in 2017, with total production of 189,707 tonnes, an increase of 26,890 tonnes, or 16.5 per cent on 2016 ﬁgures.

The level of survival on farms also improved, up to 79.1 per cent compared to 73.3 per cent in the previous year, according to the annual Scottish Fish Farm Production Survey, published in October. Marine salmon production was undertaken by 12 businesses farming 226 active sites, a decrease of three businesses and 27 active sites compared with 2016. Freshwater salmon production was undertaken by 24 businesses at 79 sites. The number of businesses operating decreased by two and the number of active sites decreased by eight compared with 2016. The total number of smolts produced in 2017 increased by 3,258,000 (six per cent) to 46.2 million, according to the production survey, published annually. Projections for 2018 suggest that a

Production Survey - Intro.indd 60

similar number of smolts will be produced as was seen in 2017, followed by an increase in 2019.

Opposite: Salmon farm Scotland

The number of ova laid down to hatch increased by 2.2 per cent to 65.7 million with the majority of these (90 per cent) being derived from foreign sources. In 2017, 339,000 ova were exported. Just under three per cent of the smolts stocked to Scottish salmon farms were sourced from outwith Scotland, less than one per cent of which came from sources outwith Great Britain. This was a very slight decrease compared with the proportion observed in 2016. Production figures for 2018 are forecast to drop significantly, however, with an industry estimate of 150,774 projected tonnage based on stocks currently being on-grown. The decline is attributed to gill health issues in the autumn of 2017. Ahead of the anticipated dip in production in 2018, the sector is putting investment in place to help smooth fluctuations in production.

LICE LEVELS DURING 2018 WERE AT A FIVE-YEAR LOW

04/12/2018 11:51:44

2019 FISH FARMER YEAR BOOK 61

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04/12/2018 11:52:03

62 PRODUCTION SURVEY 2017

There is an increased move towards the use of recirculated aquaculture systems to ensure the growth of more robust smolts, along with the installation of continuous environmental monitoring and other camera technology to closely monitor ﬁsh behaviour once at sea. Farm-by-farm reporting of sea lice levels, introduced in 2018, has shown that, on the whole, lice levels during the year are at a ﬁve-year low. Highlands and Islands Enterprise (HIE) recently reported that employment in the industry and the wider supply chain topped 10,000 full time equivalent jobs. The production of rainbow trout decreased by six per cent in 2017 to 7,637 tonnes and was directed at the table (92 per cent) and restocking (eight per cent) markets. The total numbers of staff employed by the sector increased by 11 to 132. There was an overall decrease in

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Above: Rainbow trout Below: Lumpfish and wrasse

the productivity of the industry to 57.9 tonnes per person. In 2017, the number of eyed ova laid down to hatch (7 million) decreased by 2.9 million and was mainly triploid stock (66 per cent). The Scottish rainbow trout industry continues to be highly dependent on imported ova. Additionally, imports of part grown rainbow trout from Northern Ireland continued in 2017. There was an increase in the production of brown/sea trout from 41 tonnes in 2016 to 61 tonnes in 2017. In 2017, lumpsucker and various species of wrasse were cultured for use as a biological control for parasites in the marine Atlantic salmon industry, with 925,000 lumpsuckers and 58,000 wrasse produced and 1.3 million and 2.9 million ova being laid down to hatch respectively.

To read the full production survey, visit /www.gov.scot/publications/ scottish-ﬁsh-farm-production-survey-2017

04/12/2018 11:52:25

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DELIVERING THE DIFFERENCE Â®

Untitled-1 63

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No. of ova

91,655

78,208

57,489

56,904

33,450

11,605

13,689

12,631

In 2017, 12.6 million ova were stripped, a decrease of 8% from the number of ova PRODUCTION 64 produced in SURVEY 2016.2017 Table 18: Source, number (000s) and previous year’s estimate of ova laid down to hatch during 2006-2018

Year

In-house broodstock

Outsourced GB broodstock

GB wild broodstock

Foreign ova

Total

Previous year's estimate

2006

19,063

17,768

27,157

64,051

58,385

2007

18,837

14,366

42,022

75,303

68,032

2008

19,831

14,261

171

26,409

60,672

75,302

2009

17,148

20,158

30,200

67,571

64,693

2010

13,744

26,220

29,657

69,621

61,011

2011

15,664

14,630

34,322

64,616

54,526

2012

18,556

9,981

34,700

63,237

55,723

2013

16,996

8,263

41,315

66,573

49,249

2014

14,418

2,725

53,684

70,837

48,149

2015

6,479

223

61,463

68,175

65,284

2016

5,884

58,458

64,346

59,604

2017

6,228

360

59,158

65,746

60,673

2018

67,374

ATLANTIC SALMON FRESHWATER Ova

hatched for wild stock enhancement by the aquaculture industry in cooperation with wild ﬁsheries managers.

Above: Source, number (000s) and previous year’s estimate of ova laid down to hatch during 2006-2018

/ / 2 . AT L A N T IC S ALM O N ( SALMO SALAR ) – O VA A N DSmolts S M O LTS roduction survey information was 16

collected from all 24 companies

Below: Number Production survey information was collected from all 24 companies actively inv actively involved in the freshwater companies and sites. This figu in the freshwater production of Atlantic salmon,offarming 79 active production of Atlantic salmon, farming sites ininproduction represents the entire freshwater industry operating Scotland.

79 active sites. This ﬁgure represents the entire freshwater industry operatCompany and Site Data ing in Scotland.

Left: Salmon ova

Table 12: Number of companies and sites in production during 2008-2017

he number of ova laid down to hatch was 65.7 million, an increase of 1.4 million (2.2 per cent) on the 2016 figure. The majority of the ova (90.0 per cent) were derived from foreign sources, this being an increase of 0.7 million (1.2 per cent) on the 2016 figure. Supplies derived from GB broodstock increased by 0.7 million, a 11.9 per cent increase on the 2016 figure. No ova from GB wild broodstock were laid down in 2017; however, in previous years the ova derived from wild stocks were generally held and

Production Survey.indd 64

during 2008-2017

In 2017, there was an increase in the Year

No. of companies

No. of sites

2008

130

2009

105

2010

104

2011

2012

100

2013

102

2014

2015

2016

2017

In 2017 the number of companies authorised by the Scottish Government for freshwater production of Atlantic salmon decreased by two to 24. A total of 79 s were actively engaged in commercial production, a decrease of eight from the 20 04/12/2018 12:05:59 figure.

In 2017 the number of companies authorised by the Scottish Government for freshwater production of Atlantic salmon decreased by two to 24. A total of 79 sites were actively engaged in commercial production, a decrease of eight from the 2016 figure. 2019 FISH FARMER YEAR BOOK 65

Production and Staffing Table 13: Number (000s) of smolts produced, staff employed and smolt productivity during 2007-2017 Year

2007

Number (000s) of smolts produced

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

38,125 36,450 36,868 36,872 43,626 44,324 40,457 45,004 44,571 42,894 46,152 Fulltime

Staffing Parttime Total

217

209

216

233

225

235

237

244

239

252

250

279

263

270

289

293

328

285

309

294

291

136.5

127.6

148.9

135.1

142.0

145.6

151.6

145.9

158.6

Productivity, Smolts by Age Group 000s of smolts 136.6

138.6

Tableper 14: Number of smolts (000s) produced by type during 2005-2017 person

Yearproduction in S½ S1by 8% compared S1½ to 2016. The S2number of staff Total Smolt 2017 increased employed decreased by22,197 three and productivity a figure 2005 in 2017 12,639 1,489 increased1by 8.7% to 36,326 of2006 158.6 smolts produced in 2013 are 16,953 per person. 23,172Data for staffing 698 and productivity 4 40,827 shown, however, there are uncertainties with these data due to consolidation within the 2007 15,431 22,694 0 0 38,125 industry. 2008 12,431 24,019 0 0 36,450 2009

13,837

23,031

36,868

2010

14,116

22,756 14

36,872

2011

17,233

26,393

43,626

2012

18,795

25,239

290

44,324

2013

19,024

21,279

154

40,457

2014

22,367

22,473

164

45,004

2015

23,850

20,711

44,571

2016

25,072

17,822

42,894

2017

28,072

18,080

46,152

In 2017, the North West and the West

number of S½ smolts (12.0 per cent)

In 2017, an cent) increase in the number of S½ smolts (12.0%) and S1 smolts (1.4%) were the main areas where ova were and S1 there smolts was (1.4 per produced. produced. There was no production of S1½ and S2 smolts in 2017. laid down to hatch. The North West There was no production of S1½ and and the West were the main smolt

S2 smolts in 2017.

Production Systems

Top: Number

Table 15: Number and capacity of production systems during 2013-2017 (000s) of smolts System Year

No. of sites with system

produced, staff employed and Total capacity, 000s cubic metres smolt productivity 2007-2017 2013 2014 2015 during 2016 2017

2013

2014

2015

2016

2017

Cages

372

351

355 of smolts 400 (000s) 357

Tanks and Raceways

47 during 462005-2017 55

102

436

416

Total

Above: Number

produced by type

402

Left: Salmon smolt

446

412

The principal types of facility used for the production of smolts in freshwater are cages 04/12/2018 In 2017, the number of farms using cages decreased by two and12:07:05

Production Survey.indd or tanks and 65 raceways.

four in the number of sites producing between 101,000 and one million smolts. The number of sites producing in excess of one million smolts per year increased by three.

Production of Ova and Smolt by Production Area

PRODUCTION SURVEY 2017 66 Table 21: Staffing in 2017, ova laid down to hatch in 2016-2017, smolt production in 2016-2017 and estimated production in 2018-2019 by region

Region

Number of staff employed in 2017

Ova laid down to hatch (000s)

Smolt production (000s)

Estimated smolt production (000s)

F/T

P/T

2016

2017

2016

2017

2018

2019

133

31,637

34,643

23,787

26,316

25,999

30,736

159

150

145

130

Shetland

7,834

7,602

3,428

3,055

3,450

3,750

West

17,363

16,362

10,386

10,675

11,578

11,518

Western Isles

6,460

6,980

3,785

4,769

4,445

4,270

East and South

1,052

1,358

1,192

540

250

64,346

65,746

42,894

46,152

46,142

50,944

North West Orkney

All Scotland

producing The greatest number Above: In 2017, areas. the North West and the West wereNumber the main areas where ova were laid down of were employed the North of smolts tostaff hatch. The North in West and the West were(000s) the main smolt producing areas. The West region. produced by type greatest number of staff were employed in the North West region. during 2005-2017

Production Survey.indd 66

04/12/2018 12:07:25

2019 FISH FARMER YEAR BOOK 67 ! ! !

SMOLT PRODUCTION IN

2017 INCREASED BY 8% COMPARED TO 2016

! !

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!! ! ! !

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! !! ! !!

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! !!

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The distribution of active Atlantic salmon smolt sites in 2017 FIGURE 2: THE DISTRIBUTION OF ACTIVE ATLANTIC SALMON SMOLT SITES IN 2017

Production Survey.indd 67

04/12/2018 12:08:56

2017

323

339

206

In 2017, 339,000 ova were exported. Parr and smolt exports increased by 33,000 fish on the 2016 figure. 68 PRODUCTION SURVEY 2017

Vaccines Table 23: Number of sites using vaccines and number (millions) of fish vaccinated during 2009-2017 Year

2009

2010

2011

2012

2013

2014

2015

2016

2017

No. of sites

No. of fish (millions) vaccinated

39.6

42.6

49.2

48.1

47.5

44.7

48.0

42.6

58.4

Number of Vaccines Vaccines were used to provide protection againstEscapes furunculosis, infectiousAbove: pancreatic sites using vaccines accines were used to provide here was one incident involvnecrosis (IPN), ERM, vibriosis and salmonid alphavirus (SAV). The majority of fish were and number protection against furunculosis, ing the loss of 163 fish from a vaccinated against furunculosis and IPN, with smaller numbers of fish being vaccinated (millions) of fish infectious pancreatic necrosis site rearing freshwater Atlantic against ERM, vibriosis and SAV. A total of 58.4 million fish were vaccinated across 46 vaccinated during (IPN), ERM, vibriosis and salmonid salmon. 2009-2017 sites. alphavirus (SAV). The majority of fish were vaccinated against furunculosis Below: Annual ATLANTIC SALMON and IPN, with smaller numbers of fish production of Escapes – PRODUCTION being vaccinated ERM, vibriosis (tonnes) In 2017, there against was one incident involving the loss of 163 fish from a sitesalmon rearing and SAV. A total of 58.4 million fish during 1997-2017 roduction survey information freshwater Atlantic salmon. were vaccinated across 46 sites. was collected from all 12 compa- and projected proProduction duction in 2018 nies actively involved in Atlantic salmon production, farming 226 ac-actively involved Production survey information was collected from all 12 companies tive226 sites. This fisites. gure represents in Atlantic salmon production, farming active This figurethe represents the entire entire industry operating in Scotland. industry operating in Scotland. The total production of Atlantic salmon during 2017 was 189,707 and projected Table 24: Annual production of salmon (tonnes) during 1997-2017 tonnes, an increase of 26,890 tonnes production in 2018 21per cent) on the 2016 total and (16.5

/ / 3 . ATLANTI C SALMON – PROD U CT IO N

Year

Tonnes

Percentage difference

Year

Tonnes

Percentage difference

1997

99,197

2008

128,606

-1

1998

110,897

2009

144,247

1999

126,686

2010

154,164

6.9

2000

128,959

2011

158,018

2.5

2001

138,519

2012

162,223

2.7

2002

144,589

2013

163,234

0.6

2003

169,736

2014

179,022

9.7

2004

158,099

-7

2015

171,722

-4.1

2005

129,588

-18

2016

162,817

-5.2

2006

131,847

2017

189,707

16.5

2007

129,930

-1.4

2018

150,774*

*industry estimate of projected tonnage based on stocks currently being on-grown.

The total production of Atlantic salmon during 2017 was 189,707 tonnes, an increase of 26,890 tonnes (16.5%) on the 2016 total and the highest ever level of production Production Survey.indd 68 04/12/2018 recorded in Scotland.

12:09:33

2019 FISH FARMER YEAR BOOK 69

Staffing Table 31: Number of staff employed in the production of salmon during 2007-2017 Year Staff

2007

2008

2009

2010

2011

2012

F/T

798

849

874

944

923

944

P/T

118

100

120

115

916

949

963

Total staff

2013

2014

2015

2016

2017

1,081 1,191 1,256 1,379 1,362 99

134

107

1,064 1,013 1,059 1,180 1,325 1,363 1,486 1,431

Productivity (tonnes/person) 141.8 135.5 149.8 144.9 156.0 153.2 138.3 135.1 126.0 109.6 132.6

132.6 tonnes produced per person. the highest ever level of production In 2017, in the total number of staff employed in salmon production was 1,431, a recorded Scotland. In 2017, the number of sites with decrease of 55 compared with 2016. The staffing figures collected refer specifically no production decreased by 24 while In 2017, the total number of staff to the production Atlantic was salmonthe andnumber do notproducing include figures 1 to 500for staff involved with employed in salmon of production processing or marketing activities. Productivity increased 109.6 to 132.6 tonnes tonnes decreased by 14. from The number 1,431, a decrease of 55 compared of sites producing over 500 tonnes with 2016. per The person. staffing figures produced increased by 11, continuing the trend collected refer specifically to the production of Atlantic salmon and do not towards production in larger sites. Production Methods include for staffby involved Scale offigures Production Site with Some 82.3 per cent of production Table 32: Production methods, capacity, tonnage and average stocking densities (kg/m3) derived from sites producing processing or marketing activities. Table 33: Number of sites shown in relationwas to their production grouping and during 2015-2017 percentage share of production 2007-2017 over 1,000 tonnes. Productivity increased from 109.6 to Production grouping Method (tonnes)

2007

51101Number of sites 1-50

2015

2008 tanks 118 Seawater 2009 104

47 12

2010 cages 109 2505 Seawater 2011

106

Total capacity

201501>1,000 (000s1,000 cubic metres) 500

Total

100

200

2016

2017

15 4

22 6.2

29 7.4

57 5.7 257 58 254

6 248

10 222

2015

2016

Sites*

2017

247

Production (tonnes)

Tonnes

2015

129,930

128,606 179

2016

2017

144,247

33 22 249 171,543 154,164 162,796 189,681 20,338 20,067 6419,108 66

254

3 ) For cage ratio of (kg) capacity (m67 2012 sites:115 3 production 5 9 to cage 25 33

257

158,018

8.4 162,223

2013

112

257

163,234

2014

117

260

179,022

2009

0.2

0.6

1.0

7.7

13.0

77.5

2010

0.1

0.3

0.9

7.3

10.8

80.6

8.1

9.9

In 2017, the majority of fish were produced in seawater cages. There were 26 tonnes 2015 115 2 1 9 26 26 75 254 171,722 of production from 3seawater tank high installation and 2016 117 3 9 sites 22in 2017. 26 This 73reflects 253 the 162,817 running incurred in 0operating seawater tank systems. Most seawater tank capacity 2017 costs93 2 8 13 33 77 226 189,707 Above: Number 0 0.2 for0.4 2.3 8.3 of other 19.0 69.8 - fin fish or salmon has 2007 been re-deployed the production species of- marine of staff employed 2008 0 0.1 0.5 1.6 5.8 15.9 76 broodstock. in the production of salmon during 2007-2017 Sea 2011 cage capacity decreased by0.8 959,000 m³ 13.4 during78.9 2017 and the number of sea cage 0 0.2 0.3 6.4 sites2012 in production decreased by 26. Production efficiency in sea cages, measured as the Below: Number 0 <0.1 0.2 0.9 5.0 15.0 78.8 of sites shownIn in ratio2013 of fish weight in kilograms produced per cubic78.0 metre, -increased to 9.9 kg/m3. 0 0.1 0.1 1.1 4.0 16.7 relation to their pro<0.1 0.8 (expressed 5.0 12.0 82.0 - cage- capacity cage2014 sites, the0ratio0.1of production in kilograms) to (expressed duction grouping 2015 metres) 0 was <0.18.4,<0.1 0.99.9 in 5.02015, 11.6 in cubic 8.1 and 201682.4 and 2017 respectively. and percentage 2016 0 <0.1 0.1 0.8 4.6 11.7 82.8 share of production 2017 0 <0.1 0 0.6 3.2 13.9 82.3 2007-2017 *Includes farms stocked but having no production. In 2017, the number of sites with no production decreased by 24 whilst the number producing 1 to 500 tonnes decreased by 14. The number of sites producing over 500 tonnes increased by 11, continuing the trend towards production in larger sites and Production Survey.indd 69 82.3% of production being derived from sites producing over 1000 tonnes.

04/12/2018 12:09:56

70 PRODUCTION SURVEY 2017

! ! !! ! ! ! ! ! ! ! !! ! !! ! ! ! ! ! ! !! ! ! ! !!! ! !! ! ! ! !! ! !! ! ! ! ! ! ! ! ! ! ! ! !

The distribution of active Atlantic salmon production sites in 2017

! ! ! ! ! ! ! ! !! !! ! ! ! ! ! ! !!

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! ! !! ! ! ! !! ! ! !!! !! !! ! ! ! ! !! !! ! !! !

!! ! !

!! !

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!! !!! ! !!

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!! ! ! ! !

!! ! ! !! ! ! !! ! ! !

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FIGURE 3: THE DISTRIBUTION OF ACTIVE ATLANTIC SALMON PRODUCTION SITES IN 2017

Production Survey.indd 70

04/12/2018 12:10:30

in 2017 was eight, a decrease of two from 2016. Four companies remained active and authorised, although not producing salmon for harvest in 2017. This continued the trend of Atlantic salmon production becoming concentrated within fewer companies. These 12 companies had 226 registered active 2019 FISH FARMER YEAR BOOK 71 sites, although not all these sites produced fish for harvest in 2017.

Fallowing Table 37: Number of seawater cage sites employing a fallow period during 2008-2017

Year

Fallow Period (weeks)

Total

4-8

9-26

27-51

2008

257

2009

253

2010

247

2011

252

2012

255

2013

253

2014

257

2015

250

2016

248

2017

222

Above: Number of the end of production can break the Fallowingcage sites recorded Of the 222 seawater as being active in 2017, 40 sitesseawater were fallow for cage sites cycle of disease or parasitic infections f the 222 seawater cage sites the entire year whilst 142 sites were fallow for a variable period. There employing were 40 asites fallow recorded as being active in period that did not40fallow in 2017. cycle in seawater varies in during length Escapes 2017, sites were fallowThe for normal production 2008-2017 between 12 months and two years and a fallow period at the end of production can here were five incidents involving the entire year while 142 sites were breakfor the cycle ofperiod. disease or parasitic infections. the loss of 30,009 fish from fallow a variable There were seawater Atlantic salmon sites 40 sites that did not fallow in 2017. in 2017. There were six additional inThe normal production cycle in seawater varies in length between 12 months cidents reported where the companies confi33 rmed there was no loss of fish. and two years and a fallow period at

Production Survey.indd 71

04/12/2018 12:10:48

Production survey information was collected from all 23 companies actively involved in rainbow trout production, farming 44 active sites. This figure represents the entire industry operating in Scotland. 72 PRODUCTION SURVEY 2017

Production Table 1a: Annual production (tonnes) of rainbow trout during 2003-2017 and projected production in 2018 Year

Tonnes

Year

Tonnes

2003

7,085

2011

4,619

2004

6,352

2012

5,670

2005

6,989

2013

5,611

2006

7,492

2014

5,882

2007

7,414

2015

8,588

2008

7,670

2016

8,096

2009

6,766

2017

7,637

2010 Production by Site

5,139

2018

6,361*

Above: Annual production (tonnes) of rainbow trout during 2003-2017 and projected production in 2018 Left: Numbers of sites grouped by tonnage produced during 2007-2017

* Industry estimate based on stocks currently being on-grown. Table 2: Numbers of sites grouped by tonnage produced during 2007-2017

Production decreased in 2017 by 459 tonnes, a decrease of 6%,Total to 7,637 tonnes. Number of sites per production tonnage Year

<1-25

26-100

101-200

>200

number of sites

2008

2009

Table 1b: Production (tonnes) for the table trade during 2007-2017 according to weight 2007 14 15 3 16 48 category 7<450

2010

Year

13450-900

>900 g7

Total 36 33 Tonnes

2011

1-2 lbs 6

>2 lbs8

2012

2013

2008 2014

6 2,375

2015 2009

4 2,232

2016

2017

2007

2010 2011

<1 lb 2,499

2,125

1,421

1,663

2,407 8

6,569 30

1,950

2,487 9

6,812 31

1,143

2,62011

30 5,995

727

1,606

4,458

1,433

3,858

1,004

Production was reported from 28 of the 44 active sites. The number of producers in the RAINBOW1,195 TROUT 2012 1,655 2,209 5,059 size bracket 101-200 tonnes increased while those in the <1-25 tonnes, 26-100 tonnes roduction survey information was and >200 tonnes size brackets decreased. These figures do not include those sites 2013 1,908 825 2,268 5,001 collected from all 23 companies specialising in the production of ova or young fish for on-growing.

2014 involved 2,334 2,704 5,328 actively in rainbow trout 290 production, farming 44 active sites. 2015 2,299 258 5,476 8,033 Production by Method This ﬁgure represents the entire indus2016 2,393trout sites by234 4,810main methods 7,437 Table 3: Grouping of rainbow production tonnages, of try operating in Scotland. production in 2017 and comparison with production in 2016

2017 was reported 2,000 544 Production from 28 of the 44 activeProduction sites. The number of in 2017 grouping (tonnes) Production producers in the size bracket 101-200 method <10 10-25 26-50 51-100 >100 tonnes increased while those in the 1-25 tonnes and size FW cages 1 over0200 tonnes 0 0 5 brackets decreased. These ﬁ gures do FW ponds and 0 sites 1 specialising 3 4 5 not include those in raceways FW production tanks and the of ova or young ﬁ sh for 2 0 0 1 0 hatcheries on-growing.

4,453

6,997

Total tonnage and (%) by method 2016

2017

2,836 (35.0%) 1,420 (17.6%)

2,592 (34.0%) 1,484 (19.4%)

81 (1.0%)

Number of sites 2016

2017

79 (1.0%)

3,759 (46.4%)

3,482 (45.6%)

SW cages

SW tanks

Total 3 Production Survey.indd 72

8,096

7,637

04/12/2018 12:11:28

2019 FISH FARMER YEAR BOOK 73

PRODUCTION DECREASED IN 2017 BY 459 TONNES, A DECREASE OF 6%, TO 7,637 TONNES

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! ! ! !! !

! !

! ! !! !

! !

! ! ! ! !

! !

!! ! !

The distribution of active rainbow trout sites in 2017

FIGURE 1: THE DISTRIBUTION OF ACTIVE RAINBOW TROUT SITES IN 2017

Production Survey.indd 73

04/12/2018 12:11:47

74 PRODUCTION SURVEY 2017

Type of Ova Laid Down Table 7: Number (000s) and proportions (%) of eyed ova types laid down to hatch during 2006-2017

Year

All female diploid no. (%)

Triploid no. (%)

Mixed sex diploid no. (%)

Total ova

2006

22,378 (84)

2,804 (10)

1,626 (6)

26,808

2007

23,630 (83)

2,531 (9)

2,140 (8)

28,301

2008

22,978 (88)

2,526 (9)

725 (3)

26,229

2009

15,469 (87)

2,341 (13)

35 (<1)

17,845

2010

13,352 (89)

1,052 (7)

675 (4)

15,079

2011

12,673 (84)

2,254 (15)

215 (1)

15,142

2012

10,967 (85)

2,005 (15)

7 (<1)

12,979

2013

7,857 (80)

1,955 (20)

77 (<1)

9,889

2014

8,321 (75)

2,710 (25)

9 (<1)

11,040

2015

10,245 (85)

1,800 (15)

76 (<1)

12,121

2016

7,986 (80)

1,943 (20)

5 (<1)

9,934

2,366 (34) SPECIES 4,670 (66) // 4 .O T HER

5 (<1)

7,041

2017

Above: Number The Scottish aquaculture industry has continued to farm speciesbeing of fishfor during majority ofother production the anEscapes (000s) and 2017. The production of browninvolving trout (Salmo trutta) showed an market. increase,In with the majority gling restocking 2017, there here was one incident Source of Down proportions (%)Ova Laid of production forfithe restockingwas market. In 2017of there was (Hippoglosproduction of production halibut the lossbeing of 216 sh angling from a rainTable Number and sources of eyed ova down to hatch in but 2006-2017 of eyed8: ova types (000s) halibut (Hippoglossus butlaid the figure cannot be published without sus hippoglossus) the figurerevealing cannot bow trout site hippoglossus) in 2017. laid down to hatch the production from an individual company. No charrwithout (Salvelinus alpinus) the or cod be Arctic published revealing (Gadus morhua) in were produced during 2017. Lumpsucker (Cyclopterus lumpus) and during 2006-2017 Ova produced production from an individual company. Imported several species of wrasse (Labridae) were also producedova in 2017. The production of Great Britain (GB) Below: Number No Arctic charr (Salvelinus alpinus) or OTHER SPECIES lumpsucker and wrasse are targeted at the marine Atlantic salmon industry where they Total of Year companies Own and cod Southern (Gadus morhua) were produced Other Northern heas Scottish aquaculture industry are used a biological control for parasites. Total Total sites producing during 2017. Lumpsucker (Cyclopterus stock stock hemisphere has continued to farm hemisphere other other species lumpus) and several species of wrasse species of fi sh during 2017. The Company, Site and Production Data 2,169 2,710 22,588 1,510 24,098 26,808 in 2006 2017, annual541 Table (Labridae) alsoinproduced in 40: Number of companies and sites producing otherwere species 2017, annual production of brown trout (Salmo production of other 2007 936 production 230 26,650 485 27,135 28,301 2017. The production ofproduction lumpsucker of other species (tonnes) during 2014-2017 and estimated in 2018 trutta) showed an1,166 increase, with the species (tonnes) 2008 582 487 1,069 25,160 0 25,160 26,229 during 2014-2017 2014 2015 2017 2018 2009 220 823No. of 17,022 0 2016 17,022 17,845 and estimated 603 No. of Species Production Production Production Production Production companies sites production in 2018 tonnage tonnage 15,079 tonnage* 2010 415 50 465 14,614 tonnage 0tonnage 14,614

T T

2011

215

2012

2013

2014

2015

2016

2017

Arctic 189 charr Brown230 trout/ Sea trout Cod

537

655

Halibut

888

244 11 0 1

Lumpsucker

Wrasse spp.

349 547

404 614 664 894 384 567

14,738 0

†

12,735 48

9,275 †

0 3 6 4

10,376 66

11,227

0.1

9,550 6,474

* Industry estimates based on stocks currently being on-grown.

0 0 0 0 0

14,738 0

15,142 0

12,735 61

12,979 27

0 67 10 4

9,275 0

9,889 0

10,376

11,040

11,227

12,121

9,550

9,934

6,474

7,041

†

26 4

‡

37 5

† Production occurred but this cannot be shown without revealing the figure for an individual company. Estimate provided but cannot shown without figure for an individual company. In 2017, the total ‡number of eyed ova be laid down torevealing hatchthedecreased by almost 2.9 million (29%) on the 2016 figure. The proportion of ova from GB broodstock increased to 8.1% of the total and the rainbow Staffing trout industry remained reliant on imported ova. Data on the importation of ova into41:Scotland are also available from other the health and are Table Number of staff employed in farming species certificates during 2008-2017 shown in Table 9a. Any discrepancy between the figures in Tables 8 and 9a is due to data Production Survey.indd 74 04/12/2018 12:12:18

2019 FISH FARMER YEAR BOOK 75

Fully stocked stack of halibut

and wrasse are targeted at the marine Halibut Atlantic feeding salmon industry where they are used as a biological control for parasites.

Cleaner ﬁsh

produced has only been collected since 2015. As data for future years is collected it will show trends in cleaner ﬁsh production.

Escapes

n recent years lumpsucker and here were two incidents involving wrasse spp. have been produced the loss of 776 cleaner ﬁsh (283 for use as a biological control for lumpsucker and 493 wrasse) Production of Cleaner fish parasites in the marine Atlantic salmon from sites rearing seawater salmon Table 42: Number (000s) of cleaner fish produced during 2015-2017 industry. Data on the number of ﬁsh during 2017.

Left: Halibut farming Below: Number (000s) of cleaner fish produced during 2015-2017 Bottom: Lumpfish and wrasse

Number of fish produced (000s) Species

2015

2016

2017

Lumpsucker

235

262

925

Wrasse spp.

118

In recent years lumpsucker and wrasse spp. have been produced for use as a biological control for parasites in the marine Atlantic salmon industry. Data on the number of fish produced has only been collected since 2015. As data for future years is collected it will show trends in cleaner fish production.

Ova Laid Down to Hatch Table 43: Source of ova from other species laid down to hatch during 2017 Source of ova laid down to hatch (000s) Species Production Survey.indd 75

Own broodstock

Other GB broodstock

Foreign ova 04/12/2018 12:12:37

periwinkle (Littorina littorea) however due to the small number of these species being produced it is not possible to summarise these without revealing commercially sensitive information. PRODUCTION SURVEY 2017 76 TABLE 1 SCOTTISH SHELLFISH PRODUCTION BY REGION, 2017. Region

Businesses

Mussel

Pacific oyster

Native oyster

Queen

(tonnes)

(000s)

Tonnes

Tonnes Table

Highland Orkney

ongrowing

000s

on-

Table

000s

000s Table

growing

(000s) 000s

000s

on-

Scallop

on-

Table

000s

growing

on-

Table

growing

558

1,799

3,600

Shetland

6,647

3,314

Strathclyde

631

1,123

3,086

249

200

481

272

300

Western Isles All Scotland

14 132

Weight (Tonnes)

396

149

8,232

4,437

5,034

3,849

200

481

273

300

8,232

4,437

403

Pacifi c oyster production FARMS increasedOPERATED by SHELLFISH NB: THIS REPORT LISTS REGIONS WITH ACTIVE SHELLFISH BY 42 per cent from 2016. The Strathclyde AUTHORISED AQUACULTURE PRODUCTION BUSINESSES. n 2017, some 8,232 tonnes of region produced 61 per cent of Scotmussels were produced for the land’s farmed Pacific oysters. table market,TO an WEIGHT increase of six per CONVERSION USED THE FOLLOWING ASSUMPTIONS (BASED ON INDUSTRY Queen scallop production increased cent and the highest level of mussel FIGURES): INDIVIDUAL OYSTERS AVERAGED 80g; INDIVIDUAL SCALLOPS AVERAGED by 76 per cent since 2016 and the production recorded in Scotland. 120g; INDIVIDUAL QUEENS AVERAGED 40g. of farmed scallops increased production The greatest contribution in regional by 34 per cent; both these sectors conmussel production was from Shetland, tinue to target small niche markets. TABLE = SALES DIRECTLY FOR HUMAN CONSUMPTION; accounting for 6,647 tonnes or 81 per ON-GROWING SALES TO OTHER BUSINESSES ON-GROWING. ProductionFOR of native oysters decent of Scotland’s= total. creased by 0.5 per cent from 2016. Table production by species is illustrated in Figure 1 (see page 4), while trends There was a 69 per cent increase in Native oyster production accounts ¹the A production proposed name tofor Magallana gigas remains controversial (Bayne et al. 2007, in for the table market and on-growing in Scotland are presented in Journal of Shellfish production of change mussels on-growfor a small percentage of total oyster Table 2. Research. 36, 545-547) ing in 2017. This was largely due to inproduction; however, demand for this creased exports of part grown mussels species continues to be high. TABLE 2 to Northern Ireland and the Republic TRENDS IN PRODUCTION DATA FOR THE TABLE AND ON-GROWING 2008-2017. Historical data for all shellfish species of Ireland.

For the table Pacific oyster (000s) Native oyster (000s) Queen (000s) Scallop (000s)

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

%change 16-17

3,093 2,900 3,008 3,136 2,706 1,891 3,392 2,693 3,534 5,034

250

490

350

317

260

687

138

184

242

200

201

200

155

273

Mussel (tonnes)

5,869 6,302 7,199 6,996 6,277 6,757 7,683 7,270 7,732 8,232

For on-growing

2008 2009 2010 2011 2012 2013 2014 2015

Pacific oyster (000s) Native oyster (000s) Queen (000s) Scallop (000s) Mussel (tonnes)

-0.5

2016 2017

45 1,633 1,400 3,190 6,216 6,792 5,864 4,584 3,849

300

677 1,015

749

323

481

0 1,490

500

900

300

16 1,470

136

104

391

175

282

309 1,281 1,263 1,841 2,619 4,437

Mussel production, for the table, increased by 6% in 2017 (see figure 1) to 8,232 tonnes. This is the highest level of mussel production recorded in Scotland. The greatest contribution in regional mussel production was from Shetland, Production Survey - Shellfish.indd 76

Above: Scottish shellfish production by region, 2017 Below: Trends in production data for the table and on-growing 20082017

04/12/2018 12:15:09

2019 FISH FARMER YEAR BOOK 77

10,000 8,000

Tonnes

6,000 4,000 2,000 0 6,000

Mussel (tonnes) '08

'09

'10

'11

'12

'13

'14

'15

'16

'17

'14

'15

'16

'17

Pacific oyster (000s)

5,000

Queen (000s) Native oyster (000s)

Number (000s)

4,000

Scallop (000s)

3,000 2,000 1,000 0 '08

'09

'10

'11

'12

'13

FIGURE 1 Above: Table 2016. Out of these 18 businesses, show that production levels vary year TABLE PRODUCTION BY SPECIES 2008-2017. production by 11 produced more than 200 tonnes. on year due to a number of different species 2008-2017 These 11 businesses produced 79 per factors, such as poor spat fall, algal cent of the total mussel production in toxins, poor growth, adverse weather Scotland. and ﬂuctuations market prices. Prices of farmedinshellfish fluctuated throughout the year. Their value at first

sale was estimated the figures obtained from There the wereshellfish five businesses that The survey showed from that, of thefollowing 132 produced and moregeographical than 200,000 Pacific businesses authorised at the endwith of demand, level of production farming industry. These vary oysters.per Theshell; production from these 2017, recorded duringprice that of Pacific oyster was £0.40 area of73 origin. Thesales average native businesses accounted for year. These 132 authorised businesses oyster, £0.60 per shell; scallop, £1.84 per shell; queen scallop, £0.12 per shell77 per cent of the Scottish Pacific oyster total. farmed 332 active sites, of which 176 and mussel £1,226 per tonne. The value of the table trade is estimated from the (53 per cent) placed shellfish on the The industry employed 146 full-time production figures shown in Table 1 (see page 2). market. In 2017, the total value at first sale Mussel: £10.1 million for all species was calculated at apNative oyster: million proximately £12.4£0.12 million, an increase of six per cent from the £11.7 million Queen: £0.03 million estimated in 2016.

and 182 part-time and casual workers during 2017. The number of full-time Pacific oyster: £2.01 million by 11 and the number staff decreased Scallop: £0.09 millionand casual employees of part-time increased by 24 compared with 2016. The number of people employed by

shellﬁsh at farming industry in ScotThere were 18 businesses In 2017, the total value atproducing first sale for all species was the calculated land increased by four per cent from more than 100 tonnes mussels, approximately £12.4of million, an increase of 6% from the £11.7 million the 2016 total of 315. an increase of three businesses since estimated in 2016.

Production Survey - Shellfish.indd 77

04/12/2018 12:15:26

78 PRODUCTION SURVEY 2017

Regional of active shellfish sites in 2017 FIGUREdistribution 2 (number producing given in brackets) and number REGIONAL DISTRIBUTION OF ACTIVE SHELLFISH SITES IN 2017 (NUMBER PRODUCING of producing businesses by region/species GIVEN IN BRACKETS) AND NUMBER OF PRODUCING BUSINESSES BY REGION/SPECIES.

Shetland Shetland 133 (98) 133 (98)

Active shellfish site

Several Order Order Several

! ! ! !! ! ! !! ! ! ! ! !! ! ! ! !! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! !! ! !! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! !

Producing businesses by region/species

Orkney Orkney 2 (0) 2 (0)

Western Isles Western Isles 49 (17) 49 (17)

! ! !! !

! ! ! !! ! ! ! ! ! ! ! !

! ! ! ! !

! !! !

!! ! !!!

SHETLAND

Highland Highland 7979 (29) (29)

WESTERN ISLES

! ! !!

! ! #

! !# # !!

! ! !

! !

! ! !! !

!! #

! ! !! ! ! ! ! !!

HIGHLAND ! !

!!! !!! !! !!!! !!!!! !

! ! ! ! !! !!! !!

!!! ! ! !!

! !! ! ! !! ! ! ! ! !!! ! ! ! !!! ! ! ! ! ! ! ! ! ! ! ! ! ! !! # !

! !

Strathclyde

Strathclyde 69 (32) 69 (32)

STRATHCLYDE

! #

! !

Pacific oyster Native oyster Scallop

Queen Mussel

There were six Several Orders in place for scallop fisheries in 2017 (see Fig. 2). Four of these Orders are in the Highland region and two in Strathclyde. Production Survey - Shellfish.indd 78

04/12/2018 12:15:46

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AKVA Group.indd 79

04/12/2018 15:39:59

80 NEWS REVIEW

2018 News

REVIEW A look at some of the key aquaculture stories from the past 12 months

HE year began with the SSPO welcoming the forthcoming parliamentary inquiries into salmon farming. Then SSPO chief executive Scott Landsburgh said the inquiries ‘give us a platform to highlight the extraordinary levels of funding we are putting in to improve our environmental credentials, and the many advances in scientiﬁc innovation to address environmental and ﬁsh health issues that we are making’. SARF (the Scottish Aquaculture Research Forum) launched a study into streamlining the consenting process… with a goal to ‘provide peer reviewed evidence to help advise regulators, managers, industry and stakeholders, in relation to discussions about the development of a future Aquaculture Act’. Marine Harvest bought Northern Harvest on Canada’s east coast – with 45 farming licences in Newfoundland and New Brunswick. It paid €209 million and applied for an additional

Right: Mark Ryan. Opposite: Dr Adam Hughes Below: Puget Sound

13 licences. Northern Harvest was expected to harvest 19,000 tonnes of salmon in 2018. Nigeria’s aquaculture groups merged to form the Amalgamated Association of Fish Farmers and Aquaculture of Nigeria in a move to fast track development of the sector, which produces 100,000 tonnes a year, mainly catfish and tilapia. Australian salmon farmer Tassal announced it was spending $275 million over the next four years to develop offshore sites for 70 per cent of its production, taking fish out of Macquarrie Harbour. It also said it planned to create ‘ocean paddocks’ featuring enclosures that allow fish to be hand raised.

‘THE INQUIRIES GIVE US A PLATFORM TO HIGHLIGHT OUR LEVELS OF FUNDING’

News review.indd 80

04/12/2018 12:18:55

2019 FISH FARMER YEAR BOOK 81

The company also planned to produce Tasmania’s largest smolts in land based nurseries. A survey by Marine Scotland found that Scottish seafood processors were more dependent on European workers than those elsewhere in the UK. Around 58 per cent of seafood staff in Scotland were from Europe, compared to 42 per cent among food producers for the UK as a whole. Some businesses cited the EU exit as a ‘significant threat’ to their operational viability, said the report. Marine Harvest Scotland won the go ahead to build new wrasse hatchery in Machrihanish, expected to eventually produce 800,000 wrasse a year. The company also won planning approval to build a new farm on Rum. But in the same month it announced 34 job cuts in its Fort William processing division and on west coast farms. Cooke Aquaculture, the largest US producer of farmed salmon, was fined $332,000 following the escape of an estimated 160,000 fish into Puget Sound, Washington State, in 2017. The first Holyrood inquiry into salmon farming, conducted by the Environment, Climate Change and Land Reform (ECCLR) committee, got underway, taking evidence from, among others, SAMS (Scottish Association for Marine Science). Dr Adam Hughes of SAMS told MSPs that welfare standards in salmon farming in Scotland were very high and there was no reason to believe these would slip if the industry expanded.

News review.indd 81

FEBRUARY

EW HMRC figures revealed that Scottish farmed salmon exports soared to £600 million in 2017, 35 per cent up on the previous year’s figure. The SSPO confirmed it would publish farm by farm sea lice data and mortality data on its website. Giving evidence at the Environment, Climate Change and Land Reform (ECCLR) committee inquiry into salmon farming, SSPO general manager David Sandison said the sector had no problem in being ‘completely open and transparent about that data’. Julie Hesketh-Laird (left), formerly acting head of the Scotch Whisky Association, took up her post as the new chief executive of the Scottish Salmon Producers’ Organisation. Jeremy Dunn (right), executive director of British Columbia’s Salmon Farmers’ Association, announced his move to Marine Harvest Canada as public affairs director, replacing Ian Roberts, who announced his transfer to the company’s Scotland operations. Jim Gallagher, managing director of Scottish Sea Farms, revealed that his company spent £100 million with 709 local suppliers in 2017. The investment included increased use of cleaner fish to reduce sea lice and the use of medicines; net cleaners; camera supervised feeding systems; new boats and barges; and more robust pens. A second company unveiled plans to build a huge indoor land based salmon farm in the US east coast state of Maine. Whole Oceans said it planned to capture 10 per cent of the US Atlantic salmon market with its $250 million Bucksport plant. The move followed the entry of the Norwegian Nordic Aquafarms into Belfast, Maine, with its project to construct a $500 million land based salmon farm. The development, expected to start in 2019, will

04/12/2018 12:19:22

82 NEWS REVIEW Left: Jim Gallagher, managing director of Scottish Sea Farms Below: Michael Gove visited Stirling’s Institute of Aquaculture

have a 33,000 tonne annual production capacity. Australian salmon farmer Tassal joined the Global Salmon Initiative (GSI), an international collective established in 2013 to improve industry sustainability, and representing 55 per cent of global salmon production. Tassal boss Mark Ryan said: ‘We see a great opportunity in being part of a group like the GSI and working collaboratively towards a more sustainable future in the sector.’ Beijing based jd.com announced it was looking at a scheme to use drones to transport seafood from Canadian production plants on the country’s east coast to the airport. The global feed additives company Nutriad was acquired by Chinese feed additives giant May Cover.indd 4

08/05/2017 12:30:05

HE ECCLR committee published its report, concluding that environmental concerns arising from salmon farming must be addressed and that the status quo was not an option. Although the committee heard from the angling and environmental lobby, it was criticised for not having any salmon farmers give evidence. The US state of Washington banned Atlantic salmon farming, with a bill phasing out all sea pens by 2025. The move will mean the end of US

News review.indd 82

Adisseo, allowing the combined businesses ‘to offer even more value to customers’. Fish farming consultant and Fish Farmer columnist Martin Jaffa published his book, ‘Loch Maree’s Missing Sea Trout’, about the interactions between salmon farming and wild ﬁsh populations. Jaffa described the book as a response to claims by Salmon & Trout Conservation (S&TC) Scotland that the arrival of a salmon farm in Loch Ewe caused the collapse of sea trout stocks in adjacent Loch Maree. Environment Secretary Michael Gove visited Stirling’s Institute of Aquaculture to see how cutting edge research is positioning the UK at the forefront of the global aquaculture industry. The minister said: ‘Aquaculture is exceptionally important to the UK economy and to the world in terms of food security.’

operations for Canadian company Cooke Aquaculture, and followed a campaign against the salmon producer after a mass escape at one of its farms in 2017. Heavy snow in Scotland’s Central Belt – and the ﬁrst ever ‘red’ weather alert to be issued for Scotland -

SCOTT MADE A ‘HUGE CONTRIBUTION TO THE SUCCESS OF THE SECTOR’

04/12/2018 12:28:25

2019 FISH FARMER YEAR BOOK 83

forced the postponement of the Lantra Learner of the Year Awards, due to be held in Dunblane on March 1. The awards later took place on March 28, with Scottish Sea Farms’ Alan Tangny named Aquaculture Learner of the Year. Niri, the Norwegian land based RAS company, put its Machrihanish unit up for sale, following the loss of all its ﬁsh the previous year. It had stocked 26,000 smolts in 2016 in a hangar at the former Nato air base near Campbeltown, on the Kintyre peninsula, but water contamination brought the project to an abrupt end. The Holyrood Rural Economy and Connectivity (REC) committee’s inquiry into the current state of the salmon industry in Scotland launched on March 7, with Institute of Aquaculture professors Herve Migaud and James Bron the ﬁrst to give evidence. Also appearing before the committee in March were angling lob-

News review.indd 83

byists Salmon and Trout Conservation Scotland, which prompted the inquiry, Fisheries Management Scotland, the Lochaber District Salmon Fishery Board, and Scottish Environment Link. Scott Landsburgh retired after nearly 10 years as chief executive of the SSPO. Scottish Rural Economy minister Fergus Ewing paid tribute to his ‘huge contribution to the development and success of Scotland’s aquaculture sector’. Gael Force Group announced it was investing more than £1 million in an expansion and innovation programme in 2018, following record growth in 2017. The Inverness based firm revealed that it increased turnover by 45 per cent in 2017, and added 50 new staff to bring its total workforce up to 200, driven mostly by orders from Scottish salmon producers. Norwegian salmon company Nordlaks announced it was building the first wellboat to be powered by liquid natural gas (LNG) propulsion and a battery pack. It said the development would provide significant environmental and climate benefits. The Norwegian Directorate of Fisheries gave 47 fish farming companies permits to increase production using its ‘traffic light’ scheme. The value of the applications for new licences, based on 449 permits, was worth 947 million kroners (£87 million) and was expected to lead to a growth in ‘green’ biomass of 7,897 tonnes. Marine Harvest said it was planning to open hundreds of fast food salmon restaurants throughout China and Taiwan over the next seven years, hoping to generate up to £1.5 billion (16 billion kroners) by 2025. Alison Hutchins was appointed farming director of Dawnfresh, believed to be the first woman to hold such a position in the Scottish aquaculture industry. She replaced Stewart Hawthorn, who left the company to focus on other business interests. Hutchins, a

Left: Scott Landsburgh Top:: Alan Tangny receives his award from Dougie Vipond Top right: Alison Hutchins Inset: Herve Migaud at the inquiry

04/12/2018 12:28:44

84 NEWS REVIEW a former manager at Marine Harvest, has been at Dawnfresh, the UK’s largest trout farmer, for ﬁve years, and was previously farming operations development manager. Andrew Mallison director general of IFFO, the Marine Ingredients Organisation, was appointed executive director of the Global Aquaculture Alliance (GAA), replacing Wally Stevens, who was in the role since 2007. Scotland’s ﬁrst caviar farm was given the go-ahead by Argyll and Bute council. Fynest Caviar plans to build a closed containment aquaculture facility by Loch Fyne, and have Scottish-produced caviar, which can

cost as much as £1,000 per 500g, on the market by Christmas 2020. Pearse Lyons, the president and founder of global biotech, feed and animal nutrition company Alltech, died, aged 73. His son, Mark Lyons, chairman and president of Alltech, said: ‘He planted seeds that will produce a bountiful harvest for the world in the years to come.’ International shrimp producers set up the Sustainable Shrimp Partnership (SSP). Pioneered in Ecuador, this aims to farm to the highest social and environmental standards, through greater collaboration and transparency.

Above: Andrew Mallison

APRIL

project aimed at trying to halt the decline in wild salmon stocks was launched on the River Garry in the Scottish Highlands. The Missing Salmon Project aimed to track scores of ﬁsh in an attempt to uncover what has caused populations to drop by 70 per cent in the past 25 years. The two-year scheme, launched by the Atlantic Salmon Trust (AST), is studying salmon in the Moray Firth on Scotland’s east coast. The US government threatened to impose a threefold increase in tariffs on shrimp imports from India. Demand for Indian frozen shrimp on international markets has grown sharply, with the US alone importing 1.88 million tonnes of Indian seafood last year, a growth of 22 per cent. A group of MSPs from the Rural Economy and Connectivity (REC) committee visited a Marine Harvest farm as part of their investigation into the salmon industry. The ﬁve politicians, led by committee convenor Edward Mountain, also met anglers during the

News review.indd 84

Top: Edward Mountain Above: Nathan PyneCarter

west coast tour. Dundee based Ace Aquatec received a prestigious Queen’s Award for Enterprise in the innovation category. The company’s managing director, Nathan Pyne-Carter, said the award was specifically for growth and innovation in seal deterrent systems, recognising significant investment in research and development, and benefits to the aquaculture industry from those developments. Highland Council approved two organic salmon farms off Skye, despite objections from campaigners. Organic Sea Harvest (OSH) aims to produce salmon in as organic and natural an environment as possible in 24 circular cages of 120m each. ‘Salmon farming offers unique employment opportunities – arriving in areas not otherwise supporting employment growth,’ council planning head Mark Harvey told MSPs, during an evidence session of the Rural Economy and Connectivity committee.

04/12/2018 12:30:31

2019 FISH FARMER YEAR BOOK 85

Scottish Sea Farms and BioMar launched an £800,000 project to target gill health in farmed salmon. Part funded by the Scottish Aquaculture Innovation Centre (SAIC), the initiative will develop innovative diagnostic tools to precisely monitor gill condition, along with devising new feeds to promote optimum health. Scottish First Minister Nicola Sturgeon hailed the ‘astonishing’ growth in Scottish food and drink exports to China, during her visit to Beijing in April. Scottish farmed salmon exports to the country were valued at £44 million in 2017, according to HMRC. Aqua Bounty Technologies, the company behind the world’s ﬁrst genetically modiﬁed salmon, won approval from the US Food and Drug Administration (FDA)

to rear its ﬁsh in the American state of Indiana, subject to labelling guidelines by the FDA. The Institute of Aquaculture held its careers day and students were told by Marine Harvest managing director Ben Hadﬁeld to get work experience on a farm if they wanted jobs in industry. Scotland’s Rural Economy minister Fergus Ewing was at the Seafood Expo in Brussels, where he told guests at a reception at the Scottish pavilion that he was ‘absolutely determined that the success of yesterday is going to be redoubled tomorrow’. The Scottish Salmon Company launched its Label Rouge Tartan Salmon in Brussels, aimed at the European market. An analyst for Norway’s DNB bank said the salmon market was surprisingly robust despite the

Above:Fergus Ewing

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News review.indd 85 22.03.2017

- April Issue

04/12/2018 12:30:55

86 NEWS REVIEW

volatility of prices. Alexander Aukner told delegates at a DNB/ Fish Pool seminar in Brussels that there was great potential in new markets, with new regions accounting for 29 per cent of consumption in 2017.

Left: IoA students Athina Papadopoulou and Sam Houston

thanked for his commitment to ﬁsh welfare at a special presentation in Fort William. Malcolm Johnstone, aquaculture manager with RSPCA Assured, and colleague John Avizienius said they wanted to recognise the immense work and help Bracken had given them in the 16 years in which the scheme had been running. Protestors occupying a Marine Harvest site at Swanson Island, British Columbia, were ordered to leave by the BC Supreme Court on May 18. Marine Harvest said it asked for the court injunction after employees had ALMON farmers gave evidence endured many months of ‘aggressive to the REC committee inquiry, protest activities’, and attempts by the saying there was a strong case for company to engage with the protest accelerating the relocation of older, organisers were rebuffed. sheltered farms to larger, more exposed Fergus Ewing unveiled a ‘momentous’ coastal locations. 10-year Farmed Fish Health FrameThe REC concluded taking oral work, aimed at enabling growth and evidence, with Fergus Ewing, Rural minimising impacts on the environEconomy minister, telling MSPs he was ment. The framework group, chaired determined to see the country’s salmon by Marine Harvest managing director farming industry meet its growth targets, and stressing salmon farming’s importance to the Scottish economy. MSP John Mason (Glasgow Shettleston, SNP) said the committee had got ‘very opposite views’ from the farmed and wild salmon sectors. The Institute of Aquaculture was awarded £17 million to build new facilities at its Stirling base, as part of a £90.2 million city region deal. Marine Harvest Scotland’s business support manager Steve Bracken was March Cover.indd 1

08/03/2018 11:07:22

News review.indd 86

Above left: Grieg Seafood’s Grant Cumming, who appeared before the REC committee Left: Steve Bracken with the RSPCA’s Malcolm Johnstone Opposite: Aquaculture UK award winner Sarah Last (right) of Scottish Sea Farms

04/12/2018 12:32:56

2019 FISH FARMER YEAR BOOK 87

closed the ballan wrasse cycle by producing the first ever farmed generation of wrasse. A new book, ‘Cleaner Fish Biology and Aquaculture Applications’, edited by Jim Treasurer, was published by 5M Books. ‘The book is expected to become a cornerstone aquaculture text for cleaner fish hatchery managers, farmed salmon producers, researchers, regulators, students and enthusiasts alike,’ wrote Dr Ralph Bickerdike, head of Fish Health at Scottish Sea Farms, in his review for Fish Farmer. Ben Hadfield and Marine Scotland’s head of science Colin Moffat, will include seven work streams dealing with seal lice and health issues, plus a separate wild and farmed fish interactions group. The Aquaculture UK show in Aviemore, opened by Fergus Ewing, attracted 200 exhibitors and more than 2,400 delegates, who enjoyed two days of May sunshine and Mediterranean temperatures. At the Scottish Marine Aquaculture Awards, held during the Aviemore show, Marine Harvest won the Best Aquaculture Company award, Stewart Graham of Gael Force Group won the Outstanding Contribution to Industry award, and Stuart Cannon of Kames won the People’s Choice award. A wrasse breeding programme at Marine Harvest’s Machrihanish hatchery achieved a major milestone, with the first spawning of farmed fish. In a project with Marine Harvest, Scottish Sea Farms and the Institute of Aquaculture, the team

News review.indd 87

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04/12/2018 12:33:17

88 NEWS REVIEW

JUNE

ERGUS Ewing officially opened Marine Harvest’s £26.5 million recirculation hatchery in Inchmore, Glenmoriston. ‘It’s a great day for the west Highlands,’ said the minister, adding that the hatchery, which will produce 800 tonnes of fish a year, would contribute to the further sustainability of the sector. Ronnie Soutar was elected as chair of the Scottish SPCA, the first fish vet in the post. Soutar, head of veterinary services at Scottish Sea Farms, has twice been president of the Fish Veterinary Society and has a key advisory role in the Farmed Fish Health Framework. The Atlantic Salmon Trust appointed Mark Bilsby as its new chief executive, replacing Sarah Bayley Slater. Bilsby has spent more than 20 years as a fisheries manager, including as director of the Dee District Salmon Fisheries Board. IFFO, the Marine Ingredients Organisation, announced that Norwegian Petter Martin Johannessen, a

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Above: Fergus Ewing Below: John Goodlad Opposite (top): Ban Ki-moon. (below): Ronnie Soutar

former Cargill and Ewos executive, would replace Andrew Mallison as director general. The Scottish Salmon Company won the Food Service Product of the Year for its Native Hebridean Salmon at the Scotland Food and Drink Excellence Awards 2018. The company was also highly commended in the Export Business of the Year category at the ceremony, held in the Edinburgh International Conference Centre on June 7. John Goodlad, Prince Charles’ advisor on fisheries and a former Shetland fishermen’s leader, was named as the chair of the new wild and farmed salmon interactions group, set up by Fergus Ewing in May. Goodlad previously chaired high level talks between salmon farmers and the angling lobby under the auspices of Prince Charles’ International Sustainability Unit. The first direct flight between Edinburgh and Beijing, operated by Hainan Airways, took off with 161 boxes of fresh Marine Harvest salmon on board. Norwegian fish farmers spent tens of billions of kroners in an auction of new salmon licences in Bergen. Licences capable of producing 15,000 tonnes were up for sale, with the larger companies snapping up most of the extra volume. Marine Harvest spent NOK 247 million for 2,960 tonnes, while SalMar paid NOK 214 million for licences worth 1,315 tonnes of production. As decreed by the Oslo government, 160 coastal communities will receive NOK 2 billion (almost £200 million) as a benefit from the growth plans. Fish farming production in

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Iceland increased by 38 per cent in the past 12 months, rising to 27,776 tonnes, according to ﬁgures released by the Icelandic Food Administration. The main species were salmon and trout. Dutch boatyard Neptune announced it was building a salmon delousing barge equipped with a hydrolicer for Cermaq Canada. The 31m barge was scheduled for delivery in Q1 2019. New regulations were announced in British Columbia requiring First Nations consent over salmon farming tenures. The effective veto was granted by BC agriculture minister Lana Popham, who has been a vocal opponent of salmon farming in the province. Salmon farmer AquaChile bought Salmones Magallanes and Pesquera Eden for an estimated $255 million, with licences for 26 farms. The move will enable AquaChile to produce its premium Verlasso brand in the Magallanes region of Chile. Norway’s decision to ban the import of Scottish salmon eggs from its salmon farms would destroy breeding companies’ plans to develop their export markets, said Landcatch managing director Neil Manchester. He criticised the Scottish government for not challenging the ban, saying it threatened the closure of Scotland’s last independent salmon breeding company. The former UN secretary-general Ban Ki-moon told delegates at the AquaVision conference in Stavanger that aquaculture beneﬁts the planet, ‘laudably responding to changing global trends’ such as climate change, the state of our oceans, population growth and urbanisation.

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Africa’s eastern equatorial belt could produce one million tonnes of tilapia, predicted Joseph Rehmann, founder of Victory Farms on Lake Victoria in Kenya. Speaking at the AquaVision conference, he said the government was ‘extremely supportive’ and he didn’t see any reason why what his farm (Africa’s ‘fastest growing’) had done in less than two years couldn’t be done in multiple regions. A microalgae feed start-up launched by an Edinburgh University student was awarded £100,000 in the Scottish EDGE competition. Douglas Martin had previously secured £500,000 for his approach to harvesting omega-3 oils from microalgae grown on water from whisky distilleries.

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HE Scottish Aquaculture Innovation Centre (SAIC) called for industry support to set up a women in aquaculture group. A survey by SAIC found that nearly three quarters of respondents (73 per cent) said they would join such a group, aimed at encouraging more women into the sector. Marine Harvest confirmed plans to build a visitor’s centre, close to its new feeding plant at Kyleakin on Skye, dedicated to educating people about Scottish salmon farming. The proposals were welcomed by councillor John Finlayson, who said they would ‘benefit the local economy’. AKVA Group Scotland announced the death from cancer of long serving sales manager Derek Smith, at the age of 52, saying it was ‘a huge loss’ to the company. ‘He will always be remembered for his humour, kindness, knowledge and passion for all things fishy,’ said AKVA. Marine Harvest’s smoked salmon plant in Brittany, France, was destroyed by fire, but the 146 employees on site at the time were all evacuated safely. The Sustainable Shrimp Partnership (SSP) held its first Feed Working Group meeting in Machala, Ecuador, sponsored by the US Soybean Export Council. It was agreed the group, including leading feed companies BioMar, Skretting and Agripac, would work with the ASC (Aquaculture Stewardship Council)

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on the draft Feed Standard. A Chilean salmon farm reported the escape of 680,000 ﬁsh following a major storm. The loss at the Marine Harvest farm, in Punta Redonda, could cost the company a reported $7 million. China lifted its long standing ban on imports from three county regions in northern Norway, imposed over fears of infectious salmon anaemia and other diseases. The move means the ﬁnal trade barrier for the sale of Norwegian salmon on the Chinese market was removed, and share prices of companies with farms in the northern area rose accordingly. US President Donald Trump escalated the trade war between Washington and Beijing, slapping tariffs totalling $34 billion on Chinese goods. China hit back with 25 per cent tariffs on US exports, including seafood. Marine Harvest Canada was granted an injunction blocking activists from occupying its buildings on Swanson Island and from boarding its farms. The company argued successfully in the Supreme Court that protesters were creating an unsafe work environment for its employees.

Above left: The SAIC team at Aquaculture UK in Aviemore Below: Marine Harvest feed plant

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HUGE EFFORT NOW NEEDS TO BE PUT INTO LOOKING AT OUR IMAGE - STEVE BRACKEN The Scottish government was urged to buy the Pinneys factory in Annan, after owners Young’s Seafood announced its closure with the loss of 400 jobs. Two Conservative politicians representing the constituency, Scottish Secretary David Mundell MP and his

son, MSP Oliver Mundell, also said Young’s should release the site at a ‘knockdown price’. Vietnam said it made more than $4.7 billion in seafood exports during the first seven months of the year. The Vietnam Association of Seafood Exporters and Producers said this represented an 8.1 per cent increase on the same period last year. Jonathan Wilkinson was named new federal fisheries minister in premier Justin Trudeau’s cabinet reshuffle, a move welcomed by the Canadian Aquaculture Industry Alliance (CAIA). Chief executive Timothy Kennedy said: ‘With a supportive policy and regulatory environment, our industry is ready to expand dramatically.’

AUGUST

ARINE Harvest Scotland’s longest serving employee, Steve Bracken, retired after 41 years with the company. Widely regarded as the leading ambassador for salmon farming in Scotland, Bracken said the industry was ‘certainly a lot more than a job’ and he was proud of Scotland’s achievements. But, he said, ‘huge effort now needs to be put into looking at our image’. Norwegian ﬁsheries minister Per Sandberg resigned in the wake of a controversial holiday in Iran. Sandberg, a member of Norway’s centre right Progress Party, broke security protocol when he travelled with his girlfriend, a former Miss Iran, to the country without informing the prime minister’s ofﬁce and taking his work phone with him. He was replaced by Harald Tom Nesvik. Irish aquaculture leader Richie Flynn, who died, aged 49, was

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Top: Steve Bracken Above: Per Sandberg

hailed by the industry for his ‘fearless work in promoting fish farming’, and for being ‘utterly dedicated’ to the Irish Farmers’ Association, where he had worked since 1991. The Scottish Salmon Company was targeted by an activist who broke into one of its farm sites to take underwater photographs inside a sea pen. CEO Craig Anderson, who announced record revenues of £98.3 million for the first half of 2018, said he was concerned about the breach of health and safety, and biosecurity. Other Scottish farms also reported similar incidents by activists, believed to be looking for signs of sick fish. The SSC was later given a clean bill of health by Scottish SPCA inspectors. Scottish Sea Farms announced the creation of six new skilled jobs in Orkney after it won planning permission for a new £3 million farm in Scapa Flow. The site,

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off Lober Rock, has consent for 1,274 tonnes and is due to go live in 2019. Trout farmer Dawnfresh was expected to win approval to increase the number of fish pens on Loch Etive, despite objections from the Friends of Loch Etive. Argyll and Bute Council’s planning department granted permission for 12 x 80m pens to replace the existing 10 x 80m pens. Offshore Shellfish announced the appointment of former retail boss Huw Thomas as general manager of its fast growing Devon mussel farm. The family firm, run by John and Nicki Holmyard and their children, was impressed by Thomas’s track record at Morrisons supermarket. The British Columbia Salmon Farmers’ Association appointed former politician John Paul Fraser as its new head, replacing Jeremy Dunn, who is now responsible for community relations and public affairs at Marine Harvest Canada. Campbell Morrison, a familiar face at MSD Animal Health, announced his move to Europharma, the fish health company, as key account manager. Another milestone was reached in the production of cleaner fish in Scotland, with two leading farmers completing the lifecycle of raising wrasse in a controlled environment. In a collaboration at Machrihanish between Marine Harvest, Scottish Sea Farms and the Institute of Aquaculture, eggs

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from the ﬁrst ever farmed generation of wrasse, produced in May, hatched, and the team successfully weaned the wrasse larvae and fry from live food to a dry diet. Feed boss Einar Wathne announced his departure from Cargill after 32 years in the sector. Wathne, who headed Ewos until its takeover by Cargill in 2015, said he wanted to pursue other interests and spend more time with his family. Construction started on BioMar’s AU$56 million Tasmanian feed mill. Once operational (in 2019) the plant will produce up to 11,000 tonnes of aqua feed annually, and create 55 full-time jobs. BioMar is already well established in Tasmania as the leading supplier of Atlantic salmon feed, having entered the Australian market in 2003, exporting feed from its Grangemouth factory in Scotland. Agrosouper, one of Chile’s top food producers, announced plans to buy salmon farmer AquaChile for $850 million, in the latest sign of greater consolidation in the industry. China decreed that rainbow trout could be labelled and sold as salmon, following reports earlier in the year revealing that a third of ﬁsh that had been sold as salmon in China was in fact rainbow trout from Qinghai province. Authorities decided that instead of banning the practice, the best solution would be to legitimise it. The Fish Farmer team headed to Montpellier at the end of August for Aqua 2018, the joint EAS/ WAS conference and trade show, which attracted more than 3,000 participants from 109 countries. Over four days in the Mediterranean city, which was almost as balmy as Aviemore in May, there were 800 presentations, 317 posters, 10 industry sessions and 175 exhibitors.

Left: Wrasse Below: Ritchie Flynn Bottom: Scenes from Montpellier

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Estate Award for Excellence in a Marine Business at the Highlands and Islands Business Excellence Awards, held in Inverness. Howietoun, Scotland’s first fish farm site, was put up for sale. The fishery was established by Sir James Maitland, COTLAND’S Rural Economy and described as the father Connectivity (REC) committee of scientific aquaculture, returned from the summer parliain the late 19th century, and mentary recess to consider its draft later bought by the Institute of report into the future of salmon farmAquaculture to train students. ing. The committee, headed by convenSpanish company Norcantabric said or Edward Mountain, began meeting in it had plans to set up a land based private on Wednesday mornings. salmon farm, using RAS (recirculating The SSPO strengthened its lobbying aquaculture system) technology by the team with the appointment of political Israeli group AquaMaof. Norcantabric journalist Hamish Macdonell as head CEO Juan Emilio Cano, in London to of public affairs and communications, meet potential investors, said there a newly created role. Also joining the was a tradition of rearing Atlantic team was Anne Anderson of SEPA salmon in a freshwater hatchery for (the Scottish Environment Protection restocking the rivers of Cantabria in the Agency), as director of sustainability, north, where the climate is cooler. another new post. The Aquaculture Stewardship Council Inverness based Gael Force Group (ASC) launched its new standard for revealed it was setting up in Newfound- sea bass and sea bream, developed in land, Canada, as part of its strategy to response to demand from the sector, enter overseas aquaculture markets. which has grown in recent years, parThe company, which quadrupled its ticularly in Turkey and Greece. profits in 2017, announced the move as Aquaculture was highlighted as a managing director Stewart Graham was priority for government action by the due to address Newfoundland’s Cold Canadian federal government report. Harvest conference in St John’s. The Agri-food Report- from Canada’s Ferguson Transport won the Crown Economic Strategy Tables – found stifled growth and lost opportunity as a result of complex regulations. The sector has the potential to double production from 200,565 tonnes in 2016 to 381,900 tonnes in 2028. AKVA group is to supply Canadian salmon farmer Grieg NL with at least eight feed barges, as well as feed systems, as the producer expands with its new Placentia Bay project. The $250 million development is expected

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GAEL FORCE GROUP REVEALED IT WAS SETTING UP IN CANADA

Above: Hamish Macdonell Left: Ferguson team scoops excellent award

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94 NEWS REVIEW to create 250 jobs. The barges will be built locally through AKVA group North America. Scottish Sea Farms marked the tenth anniversary of its salmon farming operations in Orkney with a reception in Kirkwall, attended by Scotland’s Rural Economy minister Fergus Ewing. He told guests that ‘rural communities on the edge of Scotland would suffer without the salmon farming industry’. The Scottish salmon farming sector will see a new player soon if Orcadian Barry Johnston gets the green light to establish sites off the Orkney Islands. The young entrepreneur has plans to

farm at two locations off the north coast of Orkney’s east mainland, of 2,500 tonnes capacity each.

Above: Jim Gallagher, Fergus Ewing, Richard Darbyshire and Leif Inge Nordhammer

OCTOBER

HE annual Scottish Fish Farming Production Survey showed that Scotland produced a record volume of 189,707 tonnes in 2017, an increase of 26,890 tonnes, or 16.5 per cent, on 2016. And farmed salmon was worth more than £1 billion to the economy for the first time, an increase of 37 per cent on 2016. The Scottish Salmon Company commissioned a 30-tonne workboat for its Loch Striven, Argyll, sites from Ardmaleish Boatbuilding Company on the Isle of Bute, an order that will see the family run firm taking on four new modern apprentices. The first meeting of the farmed and wild salmon interactions group, set up by Fergus Ewing in May, got off to a good start,

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Above: Scottish salmon Below: The Corpach Boatbuilding team Opposite (clockwise from top right): The shellfish awards; Hainan Airlines; Jamie Smith; AquaBounty salmon

said its chairman, John Goodlad. ‘There was a real feeling from everybody there that we wanted to make progress and wanted to make progress quickly,’ said Goodlad. Gael Force Group acquired a 75 per cent stake in Corpach Boatbuilding Company in a move which could see the introduction of steel feed barge building on the west coast. Gael Force said the deal was an opportunity for Scottish salmon farmers to beneﬁt from a competitive, home-built substitute to imported steel feed barges. Marine Harvest Scotland said about 60 per cent of the workforce for its new feed plant on Skye had been recruited locally. Some 37 out of a total 53 positions had been ﬁlled by October and another six staff were due to join the team at Kyleakin before the end of the year. Marine Harvest Group announced the retirement of executive Marit Solberg, who worked for the company for more than three decades, latterly as COO Farming Canada, Scotland,

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2019 FISH FARMER YEAR BOOK 95 Ireland and the Faroes. The company will now have one COO for all regions, promoting Per-Roar Gjerde to the post. The Chinese operated Hainan Airlines announced it will start direct flights from Oslo to Beijing in 2019, which will help Norway increase its salmon exports to China’s growing middle class consumer market. Tasmanian salmon farmer Huon is to create a 24,000-tonne capacity fish farm in Western Australia rearing yellowtail kingfish. When operational, the venture will be one of the biggest seafood enterprises in the state and is expected to create up to 3,000 direct and indirect jobs. Aqua Bounty, the Canadian farmer of transgenic salmon, reported a net loss for the first nine months of 2018 of $7.96 million, up from $6.60 million in the same period of the previous year. The company, headquartered in Prince Edward Island, blamed the downfall to costs at its land based salmon farm in Indiana in the US, farming traditional salmon while the US FDA (Food and Drug Administration) decides how AquaAdvantage Salmon, already approved, should be labelled. The shellfish awards, handed out at the Association of Scottish Shellfish Growers’ annual conference in Oban, went to Barra Oysters for the best gigas oysters, Caledonian Oysters for the best native oyster and Inverlussa Mussels for the best mussels. Dundee based Ace Aquatec was named Design and Innovation Business of the Year in the annual

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business awards run by The Courier newspaper. The company was also a ﬁnalist in the Science and Technology Business of the Year Category, and managing director Nathan Pyne-Carter was a ﬁnalist in the Entrepreneur of the Year category. The SSPO’s technical executive Jamie Smith took over as the new head of the Improved Containment Working Group, replacing Marine Harvest’s Steve Bracken. Smith continues the work of the group in seeing the implementation of the Scottish Technical Standard, launched in 2015. Buckie based Lossie Seafoods, part of Associated Seafoods Ltd (ASL), received £3.2 million funding from the Royal Bank of Scotland to further expand its international markets. The company, which specialises in the sale of Scottish smoked salmon, created 50 new jobs in the past year and has ambitious growth plans.

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ARINE Harvest revealed it was changing its name after more than 50 years. The world’s largest salmon farming company planned to relaunch with a new global brand called Mowi from the start of 2019. CEO Alf-Helge Aarskog made the surprise announcement in Edinburgh, adding that the first Mowi premium brand salmon should be on the market early in the New Year. Feed company Skretting is to close down its UK operations due to market overcapacity. The Stavanger, Norway, headquartered firm has started a process of consulting with employees with the view to cease production in the UK at the end of April 2019. Scottish fish farms will be able to expand, with larger farms in ‘sustainable locations’, but will be subject to tighter environmental controls, under proposals for a revised regulatory regime published by SEPA. The Scottish Environment Protection Agency’s 16-month investigation into salmon farms concluded that medicines, particularly emamectin benzoate used in the control of sea lice, significantly impacted

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local marine environments. Scotland was declared the winner of a competition to host the next international sea lice conference, to be held in 2020, following a vote by delegates at this year’s gathering in Punta Arenas, Chile. Scotland won 37 per cent of the votes, narrowly beating Cairns, Australia, which polled 36 per cent. The Faroe Islands’ bid came in third, with 27 per cent of votes. The formation of the African Chapter of the World Aquaculture Society (WAS) was completed, with Dr Sherif Sadek from Egypt appointed as chairman of the interim board. The new chapter will operate throughout the continent and promote the growth of the industry. Plans to establish land based salmon farms across the world were launched by Pure Salmon, an enterprise set up by ﬁnance company 8F Asset Management, using RAS (recirculating aquaculture systems) technology pioneered by Israeli specialist AquaMaof. Pure Salmon said its goal was to produce 260,000 tonnes of salmon a year. A sea lice vaccine has been developed by Chilean researchers, who say it has shown promising results in laboratory tests, reducing the volume of the parasites by 97 per cent. The recombinant vaccine against Chilean sea lice (Caligus rogercresseyi) was made using gene sequencing technology at the Research Centre for Aquaculture INCAR, at the University of Con-

Left: Alf-Helge Aarskog Below: Terry A’Hearn Below left: Blessing Mapfumo,WAS African Chapter secretariat Opposite: Sea lice

THE FIRST MOWI PREMIUM BRAND SALMON SHOULD BE ON THE MARKET IN THE NEW YEAR

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2019 FISH FARMER YEAR BOOK 97 cepcio, with the results presented at the Sea Lice 2018 conference in Punta Arenas. Two Icelandic ﬁsh farming companies stopped from expanding operations in the Westfjords region in October were granted temporary licences by Iceland’s Department of Fisheries. The companies, Fjarðarlax (owned by Arnarlax) and Arctic Sea Farm, had planned to produce up to 17,500 tonnes of salmon. Marine Harvest ordered a new Hydrolicer that will be the biggest operating in Scottish waters, with six lines and capacity for 140-160 tonnes an hour.

Norwegian Hydrolicer Production said it had worked with Marine Harvest to further develop the delousing system and pumping technology.

DECEMBER

HE ASC Supervisory Board and Technical Advisory Group met to consider the revisions in the Salmon and Freshwater Trout reviews. These, when finalised, should facilitate the aspirations of some Scottish farmers who until now could not consider ASC certification because they relied on smolts produced in freshwater net pens. The Canadian Aquaculture Industry Alliance (CAIA) launched its own National Youth Council, partly to encourage more young people into the industry and partly to showcase the growing presence of the younger generation in the fish farming sector. CAIA executive director Timothy Kennedy said: We have brought together a group of 14 young people from across the country – seven women and seven men – to represent the growing presence of youth in this science, sustainability and future oriented sector. Representing six provinces, they are excited and eager to share their knowledge and passion for seafood farming. We look forward to their ideas and energy.’ South African black soldier fly farmer AgriProtein acquired Belgian insect feed producer Millibeter, and will build a full-scale factory in Belgium. AgriProtein chief executive Jason Drew said the move would accelerate his company’s EU expansion.

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Meanwhile, another insect feed ingredients firm, the French InnovaFeed, secured a reported €40 million in extra funding from international investors. It plans to invest more than €200 million in five production sites by 2020. And trout fed InnovaFeed’s insect protein went on sale in the French supermarket Auchan this month. New figures revealed that exports of farmed salmon from the Faroe Islands declined during the first eight months of 2018. Salmon sales – the islands’ most valuable seafood commodity - were down by 17 per cent or £51 million to a total of around £295 million over the period. The decline is far greater in value than in quantity, which indicates that fish farming companies have been affected by a drop in prices earlier in the year. A distinct ‘species’ of brown trout was discovered by researchers in Scotland, suggesting biodiversity in Scottish lochs is much greater than originally thought. The Rivers and Lochs Institute at Inverness College UHI found four different ‘species’ of brown trout in Loch Laidon, Perthshire. The study, led by Professor Eric Verspoor, found four genetically, ecologically and visually distinctive ‘species’ that have evolved in the loch over the last 10,000 years.

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98 NORWAY

Winning combination Focus on growth drives new technology

ORWAY’S focus on innovation, its vast industry experience and strong governance have proved a winning combination for aquaculture again in the past year. Exports of farmed salmon were expected to break new records in 2018, with a volume increase of seven per cent by October to 862,000 tonnes, and a value rise of five per cent to NOK 55.8 billion. October itself was described by the Norwegian Seafood Council as a ‘historic’ month for salmon, with 104,000 tonnes with a value of NOK 6.5 billion, a volume increase of eight per cent and a value increase of 15 per cent compared to October 2017. According to Kontali, the fish consultancy, Norway’s production for 2018 was expected to be up five per cent on the previous year, but grow slightly faster, to six per cent in 2019. The country remains by far the biggest salmon producer in the

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world, with between 1.2-1.3 million tonnes a year, although the rate of growth slowed after 2011. The Norwegian government has stated its goal of ﬁve million tonnes of sustainable aquaculture production by 2050 – an almost four-fold increase - and there are several strategies in place to help meet this ambitious target. The introduction of development licences for novel farming concepts saw an innovation drive by most of the main farming companies, watched eagerly by countries with smaller salmon industries, including Scotland. Applications closed at the end of 2017, after about 50 companies made pitches with often radical designs. Under the scheme, aimed at facilitating technology that can help solve the industry’s problems, the Fisheries Directorate grants licences free of charge, which can, after certain criteria are met, be converted to ordinary licences for NOK 10 million. One licence equals 780 tonnes maximum allowable biomass.

BIG ADVANCES ARE BEING MADE GATHERING REAL TIME DATA

Opposite: Norwegian salmon farm; Geir Lasse Taranger

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The Fisheries Directorate received more than 104 applications, which include more than 898 licences, although only a fraction of these have won approval so far. The latest application to win approval was the ‘Smart Fish Farm’, which was given eight development licences in November, half of the permits requested. The company behind the project is Mariculture, 51 per cent owned by SalMar, which built the giant Ocean Farm 1. Measuring 110m in diameter and 69m in height, Ocean Farm 1 is now rearing salmon in Frohavet, off the coast of Trondelag. The Smart Farm will apparently be twice as big. The trafﬁc light system is another government initiative to try to provide a more predictable future. Norway’s coast is divided into 13 zones, with advanced water current and sea lice distribution modelling. The government can then decide which zones can sustain further

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growth or not. Sites with very low sea lice counts are deemed ‘green’ and are allowed six per cent growth every second year; areas that are ‘yellow’ cannot grow; and ‘red’ zones, where sea lice levels exceed the limits, must cut production by six per cent. ‘What we see from this system and previous government systems is driving a big search of innovation in terms of new technologies and new production schedules in order to get out of the situation where it’s not sustainable,’ said Geir Lasse Taranger, research director at the Institute of Marine Research, in a presentation at Aqua 2018 in Mont-

“There is a need for better

monitoring on the coast if we want to double production” 04/12/2018 12:49:17

100 NORWAY

pellier in August. ‘It’s not only sea lice and disease transfer, there are a lot of other impacts if the industry is going to grow. Although we have a quite extensive research and monitoring system, there is a big need for better monitoring on the coast and understanding of the coastal ecosystem if we want to double aquaculture production.’ Big advances are being made in the gathering of real time data from ﬁsh farms, and this was an important tool in improving the collaboration between farmers to solve issues collectively. Taranger said there were several solutions to make salmon farming more sustainable, including producing sterile ﬁsh; developing larger smolts of up to 1kg in land based RAS units; and innovations such as closed cages in seawater, partly submerged cages, and ocean farms

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such as SalMar’s. He predicted three different scenarios for Norwegian salmon farming by 2040. If problems get worse, growth could stall by 2029 and production could be no higher than 1.5 million tonnes. If the main challenges are solved by 2029 and there is slow growth of 1.5 per cent a year, 2.2 million tonnes by 2040 is achievable. But, in the most optimistic scenario, if all the challenges can be solved and there is growth of between three to six per cent a year, by 2040 there could be 2.4-4.1 million tonnes of salmon. These different outcomes depended on whether farming stays on the coast or develops offshore, with the latter allowing for much greater growth, said Taranger. Investor conﬁdence in the industry is high, with Norwegian bank DNB

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saying its loans to fisheries and aquaculture are now in the billions of dollars (see next page). Another positive is the industry’s success in almost eradicating the use of antibiotics, and all salmon from Norway are completely free from residuals from antibiotics or other medicines. According to the Norwegian Seafood Council, since the late eighties, there has been a 99 per cent reduction in the usage of antibiotics in Norwegian ocean farmed salmon due to effective vaccines in the early stage of the salmon’s life cycle. Less than one per cent of all Norwegian salmon is now treated with antibiotics, and strict regulation means treated fish cannot be slaughtered and sold until the fish is clear of all residues of the medication. The measures have been acknowledged by the World Health Organisation, which has recognised Norway’s effort to reduce its use of antibiotics in fish farming. Egil Sundheim, US director of the Norwegian Seafood Council, said: ‘Antibiotic resistance poses a big threat to global health. People can

feel conﬁdent that the Norwegian salmon they eat is completely free from antibiotics. ‘The use of antibiotics in Norwegian salmon production has been replaced with effective vaccines, meaning healthier and safer ﬁsh.’

Opposite: Norwegian salmon; Salmon farm; Egil Sundheim

COD BACK ON THE TABLE NORWAY has been slow to diversify into other species, but there is now a greater focus on alternatives to salmon. Cod farming, for instance, which has had a chequered history, is giving cause for renewed hope, according to Atle Mortensen, head of the National Breeding Programme for Cod at Nofima. Technological breakthroughs, first in the 1980s and then from 2000, lead to great expectations, and the sector saw 60 per cent growth annually between 2002 and 2008. At its peak, Norway produced 20,000 tonnes and in 2008 there were 20 hatcheries and 533 licences for cage farming, but by 2014 commercial cod farming ended in the country. The collapse was caused by poor quality of juveniles and high mortalities, and there were problems with escapes, deformities and then, in 2008, came the economic crisis. At the same time, cod quotas went up and prices dropped, making the farmed variety unviable. However, the national breeding programme, launched in 2002, quietly continued, supported by the government, and there have been improvements in juvenile production, higher survival rates, lower frequency of deformities, and an increase of growth rate in the cages of 30 per cent, said Mortensen. The fish have gradually been domesticated and are ‘behaving now almost like salmon’, with less of a tendency to escape. Prices are higher too, and quotas for wild cod are likely to go down. Several cod farms have been established in the past two years. The prospects today, said Mortensen, are encouraging.

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102 INVESTMENT – DNB

Finding new

frontiers Time is right to invest in RAS says Norwegian banker

HERE are few major developments in global salmon farming that do not bear the hallmark, to some degree, of Norway’s DNB bank. If a new player, or a new country, begins to get traction in the sector, the chances are they have won the backing of the Oslo based bank, the world’s leading ﬁnancier in the industry, with an international

presence unlike any other Norwegian bank. With exposure in the past year of around $6 billion, encompassing aquaculture, ﬁsheries and the entire value chain, there are big risks and big returns, particularly in ﬁsh farming, which represents the majority of the exposure. But Anne Hvistendahl, Global Head of Seafood, said the size of the bank’s involvement, about $1 billion

Right: Anne Hvistendahl Opposite: Dag Sletmo

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more than in 2017, is not a goal in itself and the focus is on finding solutions for clients. ‘We do a lot of export credit financing, to make use of other institutions as well, so to arrange the financing and to solve the clients’ needs, that is much more important than growing the balance sheet,’ she said. Those clients are mostly Norwegian and, as Hvistendahl and her colleague, senior analyst Dag Sletmo, say, they are benefiting from high salmon prices and a robust market, with growing demand and still much untapped potential in places like China. Many of the big Norwegian companies have applied for development licences under the government’s incentive scheme but few have been approved and only one, SalMar’s Ocean Farm 1, has started growing fish. Hvistendahl said this enterprise seems to be a success, but the application process is slow and most of the projects are still on the drawing board. ‘It’s early days but sooner or later we will see how many are successful, and do things in a new, more environmentally friendly way - and cheaper,’ she said. The bank hasn’t done any standalone financing for any of these projects, but Hvistendahl pointed out that salmon producers are doing well enough to bankroll the innovations themselves, or they can be financed as part of their general corporate financing. ‘Some of these companies, the cash flow is so huge they can cash out one of these investments every quarter!’ she said. Where DNB is directly involved is in perhaps the most sophisticated land based salmon farming business, Norwegian owned Atlantic Sapphire,

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which introduced the ﬁrst eggs to its giant hatchery in Miami in November 2018. Hvistendahl has talked about ‘new frontiers’ before, whether they be geographical locations or farming methods, and she now discusses the Miami RAS enterprise in these terms. ‘The market is so strong, even at high prices, and the demand for salmon is high, so you look at how to increase the supply. You look at new geography - in Iceland, Region 12 (in the far south of Chile), the north east of Canada – and land based farming, for instance in Miami, Atlantic Sapphire. ‘This company has a smaller plant in Denmark and has been doing the same thing for seven years there. Of course, failures and mistakes have been made, but that is part of the learning curve for this young industry. ‘They have had seven successful cycles in Denmark so in a way it is proven technology. It is exciting.’ She said the Atlantic Sapphire farm is pre-

“All these

tariffs, trade barriers and biological things are part of the everyday story of this industry” 04/12/2018 12:55:03

104 INVESTMENT – DNB

dominantly financed by shareholder based projects’. equity but DNB believes ‘they tick ‘We made a survey one and a Brussels – Seafood Expo Global 2018 some of the boxes’ and has financed half years ago that summed up all a reported $60 million, together with the planned land based farming in the Danish Export Credit Agency general and they totalled 220,000 (EKF). THE owner of the award winning Scottish tonnes. Now we think this figure is salmon company James Smokehouse ‘To us, it isStimportant thatsaidwe have around 350,000 tonnes. But very few speculation that he was planning to buy Pinseen what they have been doing in are built and very few have financing neys was correct. Brendan Maher said he andcould his factory Denmark, then we take the from banks.’ manager, Leo Sprott, had spent 10 hours at the risk, and I think that’s what banks There is not enough land produced factory in Annan, which Young’s Seafood has normally will say.’ put up for sale. salmon currently on the market to ‘We spent 10 hours there lookingAtlantic at it and SapThe pioneers behind impact supply meaningfully (‘if this getting a feel for the building, and to see if we phire are ‘industrial people’ who have is a ‘black swan’ it’s a small one’) can change the way they operate and make it more efficient,’ Maher told Fish Farmer demonstrated their husbandry skills. but she acknowledges the progress during the Seafood Expo show, where St James ‘The more sceptical members of made in the technology, with state Smokehouse was exhibiting as part of the my went to Denmark to taste Scottiteam sh pavillion. of the art RAS hatcheries and smolt He said sense to take onlike Pinthis fishit made andperfect it didn’t taste production. neys because they both do smoked salmon and mud! That’s a problem for Contrary to‘All these bighesmolt facilities have were both based inoften Annan, with many of their previous reports, said he wouldn’t be able to retain all staff interchangeable over the But years.this tasted land based salmon. 450 staff atbeen the site,built, but hoped employNOK a maximum of 100. at toleast 10 billion Maher, who set up his business in 2003, said ‘No company on planet earth could retain 450 there and remain fantastic.’ been invested in these kinds of prof- Above: Brendan Maher his goal then was to be as good as Pinneys, ‘the itable,’ he has said. Hvistendahl there is a ‘huge Rolls Royce of smokedsaid salmon, the benchmark’. The result that the recirSt James facilities. Smokehouse currently employsis100 staff in Scotland and a ‘Fast forward we’re doingSapphire better than and further in the US, where Maher has sethas up another smokehouse in interest’ inand Atlantic in 50 culation technology improved.’ them,’ he said, suggesting Pinneys had made a Miami, spending £7-8 million on the project. He described it as a ‘cool’ land farming generally ‘we This refiannement mistakebased in only having one customer, Marks & – smokehouse, more like Apple storeof thanRAS a fish technology facility. Spencer, which its contractfrom recently. get a lot ofended inquiries com- He said hehas wanted people pastuence and then go and ask for an also hadto drive an infl onin another Above: Atlantic Maher said the company also lost its focus of iPhone 10 because they thought it was an Apple store. panies all around the world who of Hvistendahl’s favourite new fronbeing the Rolls Royce of smoked salmon when ‘I’ve built an Apple store! It’s not your usual stinky fish factory. It’s min-Sapphire salmon want ustoto takeintoaother look at their land it decided diversify products. tiers - lots Iceland. Opposite: Salmon imalist, serene with of glass… and a terrace of orange trees.’

‘It makes sense to buy Pinneys’ says St James Smokehouse boss

THE LEADING GLOBAL THE LEADING GLOBAL SEAFOOD BANK SEAFOOD BANK

DNB plays a significant role in business areas where Norway has deep historical roots. Despite its small size, Norway is one of the world˙s major players in Ocean based industries. DNB˙s first-hand knowledge means that we can offer exceptional expertise and unique insights into these markets. www.fishfarmer-magazine.com

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Best places ‘Not much ﬁsh is being harvested yet but things look promising. That is one of the few countries where you are able to farm salmon. ‘It looks a bit like Finnmark, in the northern part of Norway, with the same water temperatures. It used to be that we didn’t farm much or it was risky to farm salmon in Finnmark, but now it is one of the best places. ‘When people have become better at doing things here you can transfer that knowledge and do it in Iceland. ‘They have been trying to farm salmon there for a number of years but without success. This time I think they’ll succeed.’ And one of the reasons is the advance in the production of bigger smolts in RAS units. ‘We now are able to handle the risks of farming in cold temperatures; in Iceland, they’re able to grow big smolts and post smolts because they can make use of thermal energy to heat the water. Normally, to grow these post smolts in salty water you need a lot of energy but this energy in Iceland is cheap.’ Just as exciting though is Chile, which Hvistendahl describes as ‘a melting pot’ this year. ‘We are one of the most important players in Chile. In 2018 we listed a Chilean company on our stock exchange. And other Chilean companies think about listing in Oslo too. ‘We also raised a bond for a Chilean company of US$300 million, making use of the Norwegian capital market. So we are really active in Chile. We bank with most of the large companies there.’ She notes the recent consolidation

in the Chilean industry, with food producer Agrosuper’s announced takeover of AquaChile, the country’s largest salmon company, in August. The group has merged four Chilean producers into one conglomerate. ‘Then there’s the Chinese entity that wants to buy a Chilean company. And you see that the capital markets, both for equity and bonds in Norway, are opening up. So a lot of things are happening in Chile. ‘There have been so many sad years in Chile, tired owners, tired bankers. Now the regulations seem to be more effective and you don’t get too much growth, then afterwards too much disease again. It’s a bit more of a controlled environment and that makes the industry more interesting.’ DNB Markets was also instrumental when New Brunswick, Canada, farmer Northern Harvest was sold to Marine Harvest this year. And Hvistendahl and her team have not been slow investigating the newest possible entrants in the industry. She and Sletmo have met with Argentinian ministers to discuss the feasibility of farming salmon in the country. ‘But in Argentina they don’t have the fjords,’ she said. ‘They have some sheltered waters but you have to go far down to the Strait of Magellan. ‘If in the future someone is successful with real offshore farming, of course it could be possible. But not for 2019, that’s for sure.’ Both she and Sletmo predict that the big, new trend in 2019 is likely to be increased activity on the

‘THIS TIME I THINK ICELAND WILL SUCCEED’

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marketing side, with the new Marine Harvest branding and the interest from Alibaba and Gfresh in China. Sletmo said: ‘Historically, salmon farmers have been focused on how to reduce the cost per kilo…now it’s increasingly coming to a wide range of different price points, with different qualities, and operations. Hence, lifting selling prices is as relevant as reducing cost in terms of profitability.’ Hvistendahl agrees: ‘That is the new thing here. I know I talked about new frontiers with land based and new geographies, but that was also there last year, under the development licences. What’s new this year, we see the big companies looking to the market place to increase price, increase value creation.’ Lower feed prices Another market trend is lower profitability in the fish feed industry. Marine Harvest (Mowi) has disrupted this part of the value chain by building new fish feed factories in Norway, and the Kyleakin, Skye, plant, that will be opened in Scotland in 2019. ‘The one in Scotland is very well located,’ said Hvistendahl. ‘Skretting has decided to close down their factory in Scotland and service the Scottish market from Norway, and this trend should result in lower feed prices to the farmers.’ She also noted the trend in the processing part of the value chain: ‘Last year [2017], Seachill was acquired by Hilton and this year Capvest seems set to acquire Young’s through Karros. These acquisitions mean that the merged companies

will be present in both meat and fish. There are lots of reasons why this makes sense.’ The salmon market will continue to be robust into 2019, with fish sold to so many countries, China opening up again for Norwegian salmon, and opportunities in the US. As for other investors, there is global interest on the equity side, with the sustainability of the sector a big factor. Hvistendahl has said before that when governments become more interested in fish farming it encourages more local financing. ‘The government in Norway has been very much behind the development of

Above: Norwegian salmon farm

“The demand

for salmon is high, so you look at how to increase the supply”

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the industry and your government has been slower to catch up,’ she said of Scotland in 2017. This has changed in the last year or so. ‘We see more interest from Scottish banks to ﬁnance the industry which we didn’t see historically,’ she says now. ‘This industry is so important. In Norway we have this report saying for every job in the industry, three additional jobs are created. For each Norwegian krone in value creation in salmon farming, another krone is created outside, what you call a ripple effect. ‘In Norway, this is very well documented and I thought it was the same in Scotland. When oil prices are not that strong, to have other types of important businesses, I thought it was becoming more popular in Scotland.’ As for the effects of Brexit, and any possible impact on the Norwegian

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companies in Scotland, she admitted it was difﬁcult to say. There are many variables to consider - movements of the currency have a huge impact on proﬁtability. And a lot of Norwegian salmon is exported to the UK and processed here. Norwegian salmon sold to the EU has tariffs, and it could be that tariffs on Scottish exports ‘will harm it a bit, but it’s hard to say’. ‘But Scottish salmon gets a premium price, not only in Scotland but in Europe as well, and there is a huge domestic demand for salmon.’ Whatever the outcome, the bankers at DNB will take it in their stride, said Hvistendahl. ‘There is no panic here! We’re not deeply concerned about this. All these tariffs, trade barriers, disease, biological things, this is part of the everyday story of this industry.’

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108 CANADA

Act NOW Federal legislation will encourage expansion say farmers

ANADA is the fourth largest producer of farmed salmon in the world, with Atlantic salmon the top aquaculture export, although Chinook and coho are also farmed. The annual average farm gate value of salmon culture in Canada was $735.2 million in the last ﬁve years (2011-2015), and British Columbia salmon production represents about

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60 per cent of the total. Farmed salmon is Canada’s third largest seafood export by value, with the US the largest export market, and it is the largest agri-food export from BC. An annual average of 122,300 tonnes of salmon was produced in the last ﬁve years (2011-2015), and salmon represents an average of 70 per cent of total Canadian aquaculture volume.

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The country has the potential to double production, according to a federal government report published in September. Aquaculture was highlighted in the government’s Agri-food Report – from Canada’s Economic Strategy Tables - as one of the four priorities requiring immediate action, with the potential for the sector to nearly double production from 200,565 tonnes in 2016 to 381,900 tonnes in 2028 to meet rising demand. The Canadian Aquaculture Industry Alliance (CAIA) said the report found stiﬂed growth and lost opportunity for the aquaculture sector as a result of a complex regulatory framework. And it called for an economic growth approach for the sector via a new federal Aquaculture Act. Timothy Kennedy, CAIA executive director, said: ‘Canada can regain lost competitive ground and become a true global sustainable aquaculture leader. With a supportive policy and regulatory environment, our industry is ready to seize the opportunity, creating new middle class jobs and growing our economy, much of that activity in coastal communities and with indigenous partnership and engagement.’

“Canada can regain lost competitive ground and become a true global sustainable aquaculture leader”

He added: ‘We encourage decision makers to enact the recommendations of this report as quickly as possible to ensure Canada can achieve its full potential as a leading competitor in global seafood production.’

Oposite: Salmon farm Below: Canadian salmon

British Columbia’s policy of engagement BRITISH Columbia’s salmon farmers generate more than $1.5 billion towards the province’s economy, and support over 6,600 jobs. According to the BC Salmon Farmers’ Association, farm raised salmon is BC’s highest valued seafood product, and the province’s top agricultural export, although the sector

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occupies just 0.05 per cent of the coast. Farmers in the province have been the target of perhaps the most aggressive anti-aquaculture campaigning in the world, mostly run by well funded environmental groups lobbying on behalf of wild ﬁshing interests. The biggest producer in the area, Marine Harvest, was forced to take out a court in-

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110 CANADA

Above: British Columbia salmon farm

junction in 2018 to protect the welfare of its ﬁsh and its staff after an invasion by protesters. The company is awaiting the outcome of talks between the BC government and First Nations representatives over the future of aquaculture tenures in the Broughton Area off Vancouver Island. There are more than 400 jobs dependent on Marine Harvest farms in the area, said Jeremy Dunn, director of community relations and public affairs at Marine Harvest Canada. ‘We know the families that depend on those jobs are concerned but they are also hopeful that these discussions will lead to a workable solution, that will address concerns while allowing us to continue supporting good, local jobs and providing an important food source,’ he said. Salmon farming companies in BC have engaged in 20 economic and social partnerships with coastal First Nations. And approximately 78 per cent of BC’s annual production of farm raised salmon is harvested from areas covered by agreements with First Nations. BC Salmon Farmers’ Association executive director John Paul Fraser, launching the association’s annual sustainability progress report in October, said: ‘One of the major misconceptions of the salmon farming sector is

that it does not care or think about the state of wild salmon and the environment. ‘However, science has repeatedly told us that wild and farm raised salmon can co-exist in the ocean and salmon farming actually plays a role in protecting wild fish by providing a sustainable alternative.’ The association has tried to improve access to the industry and advertises farm tours on its website. In 2017, it hosted 428 guests, including students and staff, government and elected officials, international buyers, media personnel, chefs and local residents, touring seven farms in the Discovery Islands and Broughton Archipelago. The BC salmon farming industry is required to submit reports on the health of farm raised salmon to DFO (Fisheries and Oceans Canada), the primary regulator of the province’s aquaculture sector. The reports include: quarterly mortality reports indicating the cause of mortality of all fish; treatments applied; fish health event notifications; mortality event notifications; monthly sea lice abundance reports; and sea lice over threshold notifications. An annual report on compliance of health management and other regulated practices is available on Fisheries and Oceans Canada’s website.

‘SCIENCE HAS TOLD US THAT WILD AND FARM RAISED SALMON CAN CO-EXIST’

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Government backing to double growth NEWFOUNDLAND and Labrador’s aquaculture industry is worth more than $200 million annually to the provincial economy. Farmers benefit from a supportive provincial government, which recently backed the sector in a ‘Way Forward’ plan that aims to remove barriers to growth. As part of the scheme, the province has a target of increasing salmon production to 50,000 tonnes (up from around 25,000 tonnes in 2016) and mussels to 10,750 tonnes (3,211 tonnes in 2016). In September, when the province celebrated ‘aquaculture week’, fisheries minister, Gerry Bryne said: ‘In partnership with the aquaculture industry, we are pursuing opportunities and removing barriers to support sector growth and cultivate conditions that will foster new and expanding business activity and stimulate private sector employment. ‘The growth of this industry translates into real socio-economic benefits for our rural, coastal and inland communities. This is indeed a year to celebrate.’ Mark Lane, executive director of the Newfoundland and Labrador Aquaculture Association (NAIA), said aquaculture week was symbolic of the close collaboration between industry and the government to grow the farming of the oceans ‘in a sustainable an environmental

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responsible manner’. As a demonstration of this support, the government recently gave Grieg NL the go ahead to expand its farming operations in Placentia Bay. The company’s $250 million project will include establishing a hatchery and land based smolt production facility, as well as sea based operations. The provincial government will provide repayable ﬁnancial assistance to support the development, totalling up to $30 million. Provincial funding will complement a $10 million repayable federal investment through the Atlantic Canada Opportunities Agency’s Business Development Programme. A ﬁnancial and economic impact analysis by the Department of Finance estimates that once fully operational in 2025, this project will generate $33 million in labour income and $82.5 million in Gross Domestic Product annually. Navdeep Bains, economic development minister, said at the Grieg NL project’s launch:

‘This project represents a major global investment in a rural based strategic industry and ﬁts well with our government’s priorities around innovation and clean technology.’ The development is expected to generate more than 800 new jobs once full production is reached. This is based on the company’s prediction of approximately 440 direct jobs at Grieg NL and processing facilities, and approximately 380 other jobs in afﬁliated sectors. Grieg NL’s general manager, Knut Skeidsvoll, said: ‘Grieg NL is a willing partner with the provincial government in its strategy for advancing aquaculture, with the goal of increasing salmon production to 50,000 tonnes annually, and doubling employment in an industry that is both yearround and long-term.’

Right: Salmon farm

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112 ICELAND

Iceland cometh

New player emerging as a significant force in salmon farming By VINCE MCDONAGH

IVEN its pristine fjords and an abundant supply of pure water, it is a little surprising that Iceland has not started to develop as a serious player in ﬁsh farming until now. There are several reasons: previous lack of know-how, insufﬁcient funding, unfortunate timing in relation to cost and market prices, and failed earlier attempts have all

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Left: Kristjan Davidsson

combined to make banks and investors cautious before parting with their money. But that situation is starting to change. Icelanders have seen what salmon farming has done for the Norwegian economy and its remoter rural communities, and they want a share of that prosperity. Education is also playing a big part, with both universities and secondary schools now offering students courses in ﬁsh farming. Kristján Þ. Davíðsson, managing director of the Icelandic Aquaculture Association, spoke about his country’s hopes and plans for the future. ‘We are beginning to emerge as a signiﬁcant force in aquaculture because the technology and the expertise is now available to us, and this is helping to facilitate new developments. ‘In fact, many Icelanders have acquired much of their experience while working for the industry in

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neighbouring countries over the past decade. ‘Now these same are developing their own form of entrepreneurship, which is attracting new investors, not only with capital but also with knowledge and connections to important suppliers and markets.’ Only time would tell if Iceland has any special advantages over neighbouring countries, such as Norway, Scotland or the Faroe Islands, he argued. But Iceland’s healthy environment and its cautious approach to nature management were major assets. ‘Most companies currently applying to develop aim for a sustainability certification at the same time.’ Davíðsson said Iceland produced more than 20,000 tonnes of farmed fish in 2018, of which 70 per cent was salmon. Most of the remainder was rainbow trout and Arctic char. But that production figure is only a starting point. ‘The quantity will, hopefully, grow by a few thousands of tonnes each year, although the rate is going to

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be regulated by government allocation of licences and a supportive legal framework. ‘We see Europe, the United States, Asia and, not least, China as our main markets. Icelandic seafood has traditionally sought the best paying markets, driving up performance in order to supply the best possible quality. ‘If our competitors are able to produce at a lower cost than a remote location like ourselves, then we have no choice but to aim at producing the best quality and in the most efﬁcient way in order to compete and fetch better prices.’ He is convinced that over time Iceland can build the same reputation with salmon and trout that it has done with trawler and linecaught cod and haddock. ‘To quote ex-president Obama,

“Many

Icelanders have acquired much of their experience while working for the industry in neighbouring countries”

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114 ICELAND

‘yes we can’! And I believe this is the aim of the industry in general. ‘In fact, some of the country’s conventional ﬁshing companies, such as Samherji, are involved or preparing to become involved in aquaculture.’ Despite a coastline of just over 3,000 miles (4,988km), not every part of Iceland is suited to ﬁsh farming operations. ‘The southern coast is open to a vast ocean and unprotected for thousands of kilometres. Much of the west, north and northeast areas of the country have been closed to farming by the authorities, because they include many commercial angling rivers. ‘Hence, we have only limited areas, mostly in the Westfjords and the southern fjords on the east

Above: Iceland has 3,000 miles of coastline

‘

coast, available for fish farming. Luckily, those areas have proved suitable, with good protective fjords and suitable environmental conditions.’ What has become clear is that the communities in those areas, many of whom have lost their traditional fishing activities, see aquaculture investment as the means to reviving their economies. ‘This aspect is still in its infancy, but Kristján Þ. Davíðsson, managing director of the Icelandic Aquaculture Association’ said Davíðsson. The sector is employing hundreds of people in direct and support jobs and he believed this figure would rise to thousands within the next few years.

‘WE HAVE NO CHOICE BUT TO AIM AT THE BEST QUALITY’

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Asked about the Norwegian policy of instructing companies to pay large sums of money to coastal communities when granted new licences, he said it was important that the government in Reykjavik did not try to strangle what was still a young industry with too heavy a tax burden. ‘We are already aware of the government’s plan to raise money from a resource tax over the next five years. ‘This is rather early when compared to Norway, for example, where the idea of a new resource tax is only now being debated, half a century after investment in aquaculture started up and where annual production is currently well over a million tonnes a year.’ More than 12 months after the Reykjavik government published a draft report on the future of fish farming, the industry was still waiting to see if there would be any amendments to the legal framework. ‘We are not too sure when this will come, but when it does we do hope there will be suitable changes to the legislation in order to build investor confidence. ‘It is indeed crucial that investors have faith in how the government acts; that the rules remain fair and predictable over time and are not altered every now and then in favour of special interests,’ he stressed. One of the main challenges facing the sector was the powerful environmental lobby, which seemed to oppose every new application by the fish farming companies, and river fishing interests.

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LICENCES BATTLE THE Icelandic parliament passed a law in October which gives the Minister of Fisheries authority to grant provisional licences for fish farming. This followed moves by the country’s Environmental and Natural Resources Board of Appeal earlier in October to block fish farm development, when it revoked the operational licences of salmon farming companies Arctic Sea Farm and Arnarlax for a combined 17,500 tonnes of fish in open-net farms in the Westfjords. Opposition to the farms’ expansion had come from conservation groups and landowners, citing concerns of pollution and the spreading of farmed salmon into fishing rivers around the country. In another move, the presidents of 10 fishing companies in north-west Iceland came together in November to censure open-net fish farming in their district. Iceland’s prime minister, Katrina Jakobsdóttir, stepped into the debate in October, saying that government departments were working on ways to provide the affected farming companies with a ‘fair deadline’ to overcome any deficiencies in their original applications. The two developments are expected to create more than 150 jobs, a high figure in towns where the populations number less than 2,000 inhabitants. Davíðsson said it was important not to shout ‘from the pits of emotion and create fear and bad feeling’, but to hold reasoned debates. ‘Angling and fish farming can co-exist provided both parties show a willingness to cooperate. ‘Unfortunately, resistance to fish farming has been too much on a ‘shoot and shout’ basis, which I believe has harmed the cause of angling more than helped it.’

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116 FAROE ISLANDS

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The long

view

Faroese farmer focuses on bigger smolts in five-year plan By VINCE MCDONAGH

EGIN Jacobsen was bare- Left: Regin Jacobsen, chief executive of ly ﬁve years old when Bakkafrost he started helping out in the family business. Life in the Faroe Islands was quite tough back then. ‘It was almost as cold inside as outside,’ he recalled recently. ‘The main activity was marinating and packaging herring.’ Today, Jacobsen is chief executive of Bakkafrost, the world’s eighth largest ﬁsh farming company, with an annual turnover of more than 3,800 million Danish kroners (£448 million). At home, he is also known as Regin á Bakka, the son of Hans á Bakka, who founded the company in 1968 with his brother Róland. In 2017, Bakkafrost harvested 54,600 tonnes of salmon, with 44 per cent of sales going to the EU (including Britain), 21 per cent to Eastern Eu-

rope, 17 per cent to Asia and 18 per cent (and growing) to the United States. It employs almost 1,000 people on an archipelago of just 50,000 inhabitants – one employee for every 50 inhabitants. Not bad for a company which did not start ﬁsh farming until 1979. Educated at the Aarhus School of Business in Denmark, Regin Jacobsen formally joined the company in 1982. As Bakkafrost continues its ambitious programme of growth with sustainability at its centre, he told Fish Farmer about his company’s hopes and plans. ‘Yes we have seen many changes - especially the last 10 years have been the most successful in the company’s history.’ So what does he hope to achieve over the next ﬁve to ten years?

LAST 10 YEARS HAVE BEEN THE MOST SUCCESSFUL

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118 FAROE ISLANDS

‘Our aim is to continue to develop the company. At the same time, we always want to minimise the risk in our daily operation. A keyword within the company today is sustainability, therefore we want to ensure that the growth of the company is sustainable. ‘We continue to move forward, always bearing in mind that what might have worked in the past may not necessarily work in the future. ‘You could say a natural part of our DNA is that changes are part of progress. We are therefore always looking forward to make any changes and improvements that are needed, and we always have a ﬁveyear investment plan. ‘With this plan, we expect to see a sustainable yearly growth of eight per cent in production.’ The main investment programme includes: • Increased production capacity of ﬁshmeal, oil and feed at Havsbrun, Bakkafrost’s own subsidiary; • Investment in smolt production, aiming to increase capacity, and especially the size of smolts in freshwater; • Biofuel operation to minimise environmental impact; • Sea farming further from land in more challenging open seas; • New broodstock station so that Bakkafrost can increase the

“A natural

part of our DNA is that changes are part of progress”

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capacity of its own breed of Faroese salmon. Jacobsen said the company was now half way into its two-year sustainability programme. ‘We have had more farming sites certified by the Aquaculture Stewardship Council (ASC) than in any other year, and plan to exceed our target to have six sites certified by the end of the year. ‘In March 2018, we made a commitment to invest in the Faroe Islands’ first biogas plant which, when in operation, has the capacity to convert up to 90-100,000 tonnes annually of all waste from salmon and dairy farms, providing enough renewable heat for 400 homes and electricity for 1,900 homes. ‘This is projected to save 11,000 tonnes of Co2 emissions and produce 40-45,000 tonnes of natural liquid fertiliser annually,’ said Jacobsen. ‘The renewable energy produced from waste will feed in to the national grid, contributing to the Faroe Islands’ national target to have 100 per cent electricity from renewable sources by 2030, which in October 2018 was already at around 75 per cent. ‘In September this year, to coincide with our 50th birthday, we signed a three-year contract with the University of the Faroe Islands to support further research into natural sciences, specifically related to aquaculture in the Faroes. ‘So we are making good progress to address the material issues we outlined in our Healthy Living Plan. ‘We have not stopped there though. We have set ourselves apart from our competitors by investing heavily in our integrated supply chain to produce healthy,

Opposite (top): More sites certified (Middle): Excellent water quality (Bottom): Perfect conditions

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world class salmon as sustainably as possible.’ Jacobsen agreed that the salmon industry had faced some difficult challenges, which made it imperative to take a long term view. ‘We believe that coming together to address many of these risks through national initiatives has given us an advantage, and as a result we are proud to be leading the way in areas such as fish health and welfare. ‘Our collaboration with the Global Salmon Initiative (GSI) and our commitment to various standards and certifications, such as ASC, has also enabled us to work with the rest of the industry to address systemic issues.’

Faroes.indd 119

GSI membership had been ‘incredibly important’ he believed, and a great tool in improving the transparency of the industry. The Faroe Islands, Jacobsen maintained, beneﬁts from excellent water quality and circulation due to strong currents, and cool steady sea temperatures, creating perfect conditions for farming high quality salmon. The 2003 Faroese Veterinary Model not only reduced mortality rates from 18 per cent to six per cent, it also increased the harvesting weight of Faroese salmon by 20 per cent between 1993 and 2010, decreased feed conversion rates by two per cent, and improved productivity by over 40 per cent over the same

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120 FAROE ISLANDS

period (source: www.avrik.fo). Turning to Bakkafrost’s policy of producing larger smolts, Jacobsen said the company had already seen a number of benefits. ‘It has reduced some biological risks, but has also increased our harvesting capacity at sea. But it takes time to upgrade our current smolt operations. ‘The first one was completed in 2014 and the second was in 2016 and, finally, in June 2019, we should have completed our new built smolt station located in Strond in the Faroes. ‘This will more than double our production capacity. Once we reach 2020 we will start releasing the larger smolts – aiming for 500g into the sea.’ In 2018, the company acquired a stronger foothold in the US, with the purchase of salmon importer North Landing. And Jacobsen insisted that the UK was an important part of Bakkafrost’s sales strategy, making up 10 per cent of sales in the EU region. ‘The long relations between Faroe Islands and UK gives us a good opportunity to build further on what already has been achieved, and we think we have a good product to offer into this market.’ Finally, he remains confident that Bakkafrost can maintain its global leadership for quality. ‘Our differentiation strategy is based on local raw materials in our feed for our salmon – and a strict farming model without use of antibiotics, chemicals and other ingredients.’

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WAIT AND SEE WITH UK MARKET FAROESE born Torkil Davidsen has been living with his family in Grimsby since 2006, first with Faroe Seafood, but in more recent years as head of UK operations for Bakkafrost. Is he expecting a significant expansion in sales in 2019? ‘The short answer is no. I think with all the uncertainties around Brexit, we will just have to wait and see if the UK market still remains competitive. ‘In the long term, the UK office will focus on the core of our local business, which is sales and marketing the salmon products in UK and Ireland. And we will leave farming and production to the experts in the Faroes.’

the reasons why the Bakkafrost group has a geographical approach, so that the products are always sold on all the largest markets around the world, from the EU and the US, to Russia and the Far East.’ The UK ofﬁce, he said, sells around 100 tonnes of fresh whole salmon a week to Britain, Ireland and France, along with a wide range of frozen products. Davidsen said Bakkafrost has customers in every sector of the market. But the volume would be fresh salmon into various processors, especially smokers, while its frozen products are especially ﬁnding their way into cash and carry and home delivery companies.

On Brexit, he suggested there could be problems if EU demand for access to UK ﬁshing waters is a condition of friction free trade. ‘It could go badly wrong if there are trading issues with the EU over Scottish salmon, for example. ‘The currency is also a worry. This is one of

Above: Torkil Davidsen

04/12/2018 13:38:48

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04/12/2018 10:05:31

122 CHILE

The new normal Impressive growth in 2018 but focus now is on sustainability

C Top: Paul T Aandahl Above: Ricardo Garcia Opposite: Eugenio Zamorano

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HILE, the world’s second largest salmon producer, saw the biggest production growth in 2018, with an increase of around 14 per cent for the year, compared to just ﬁve per cent in Norway. This, said analysts Kontali, would take production to more than 600,000 tonnes, although the rate of growth is expected to slow next year. Another analyst, Paul T Aandahl of the Norwegian Seafood Council, said Chile had returned to normal production following challenges with algae blooms during the spring of 2016. In value terms, as of October 2018, Chile’s salmon export revenues were worth US$4.132 billion, compared to $3.7 billion in the ﬁrst 10 months of 2017, according to the Central Bank of Chile. Aandahl said: ‘The USA is the most important market for Chile, and Chile is the largest supplier to the United States.

‘The trend in trade indicates an increase of 30 per cent from Chile to North America in H1 2018. Canada has increased their exports to North America by four per cent, whilst exports from Europe have seen a decrease.’ Meanwhile, Salmon Business reported at the end of November that Chilean salmon exports to Russia increased by more than 80 per cent in 2018 to 45,000 tonnes. And exports to China were up by 83.3 per cent to 33,000 tonnes. Growth in Chile in 2019 is predicted to be two to three per cent in harvest volumes, with five to eight per cent growth forecast for 2020. This was the view of Oslo listed Salmones Camanchaca’s boss, Ricardo Garcia, talking to Intrafish in November. Although the country saw production growth of 22 per cent in the first half of 2018, this was compared to the same period in 2017, when the sector faced severe challenges.

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On prices, Garcia said these had been ‘remarkably’ stable in the US and in general in recent months, good for consumers and retailers. In China, he said ecommerce, where his company has just stared to sell, would ‘explode’ in the next few quarters. ‘There is a huge opportunity in China because the Chinese are very, very eager to buy through the internet. I think we’ll see some big surprises in China in the future.’ He said the focus of Chilean authorities now is to ensure there is no unsustainable growth, with new regulations allowing growth only for farms with low mortality rates and low antibiotic use. ‘My guess is that the Chilean authorities will do all they can to ensure that they do not get unsustainable growth. They are not worried about the market, but they are worried about the biology,’ said Garcia The new regulations, introduced by the Chilean Undersecretariat of Fisheries and Aquaculture (Subpesca) and due to come into force in 2019, set new salmon stocking density regulations. Farmers had been allowed a three per cent expansion but, in recent adjustments to the stocking reductions announced in October, they can now increase stocking by up to nine per cent from one cycle to the next. But this growth is limited to companies whose farms had no more than 10 per cent mortality rates, and use no more than 150g of antibiotics per tonne of salmon produced. If that antibiotics number is between 150g-300g for each tonne produced, then growth of six per cent will be allowed. And for farms that use between 300g and 600g of antibiotics per tonne produced, the increase will be just three per cent. If more than 600g of antibiotics are

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used, a reduction will be applied. And if a company reports a mortality rate of 14 per cent per cycle, they will have to reduce production regardless of the amount of antibiotic treatments. The head of Subpesca Aquaculture Division, Eugenio Zamorano, said that losses would become the determining factor to decide the reduction in stocking, while the use of antibiotics is a secondary health indicator. ‘Companies that have a loss above 14 per cent will not be eligible for any growth percentage and this will only be possible insofar as we are talking about concession holders that have an excellent health performance measured in terms of the losses,’ he said. ‘This does not depend on the use of antibiotics and baths against caligus because the loss is still the most determinant health element to make the decision,’ said Zamorano. ‘It does not matter if they do not use antibiotics or if they do not bathe against caligus, because over a 14 per cent loss they will not be able to grow.’

“Over a 14

per cent loss and they will not be able to grow”

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124 COMMENT – WORLDFISH

Singing the blues

Future trends in oceans, seas, marine and aquatic resources By GARETH JOHNSTONE

RECENTLY attended the annual Our Ocean Conference in Bali, which forms part of a series of international dialogue conferences aimed at accelerating progress to achieve the United Nations’ Sustainable Development Goal (SDG) 14 on ‘Life below Water’. This development goal seeks to conserve and sustainably use the oceans, seas, marine and aquatic resources, although the discourse

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on the best way to implement SDG14 is often dominated by conservation objectives and big economic interest. Things are beginning to change as more and more emphasis is being placed on the concept of an inclusive and sustainable blue economy to generate employment, eradicate poverty, spur entrepreneurship, and create better opportunities for women, youth and indigenous people. According to the OECD, oceans contribute $1.5 trillion annually in value added to the overall economy. The FAO estimates that around 60 million people are employed in fisheries and aquaculture, with the majority of those employed by capture fisheries working in small-scale operations in developing countries. Typical discussions on the blue economy conjure high tech images of infrastructure, futuristic fishing vessels, large scale aquaculture systems and mining drills scouring untapped

Left: Unpacking GIFT seed, Myanmar. Manjurul Karim Opposite: Gareth Johnstone

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natural resources in oceans’ depths. This is an increasingly relevant element of the blue economy, given technological advances, but not the largest. Much of what the blue economy involves is not about cutting edge technology. More often than not the focus is on better integration and added value to the implementation of existing systems and tools to ensure sustainability and sustainable development. The blue economy offers signiﬁcant opportunities for aquaculture to strengthen livelihoods, transform food systems and enable nutrition security in developing economies.

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Marine aquaculture accounts for 30 per cent of total ocean food production and its strong recent growth of eight per cent per year has plateaued at less than two per cent, constrained by rising feed prices (fish oil and fishmeal), regulatory restrictions, siting constraints, and price competition from capture fisheries. If the promise of the blue economy is to be fully realised, aquaculture will need to step up and meaningfully apply the principles of sustainability. Those aquaculture companies that are able to demonstrate sustainable intensification, so-

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126 COMMENT – WORLDFISH

cial inclusiveness and can minimise environmental degradation will lead the way. As the fastest growing food sector globally, outpacing the growth of capture fisheries at an average rate of 8.6 per cent per year, aquaculture has an important role in the supply of fish and creation of jobs and economic opportunities. It is now responsible for almost half of the fish we eat. However, it relies on increasing volumes of capture fish as feeds. In 2016, close to 15 million tonnes of wild capture fish, or 13 per cent of global wild fish catches, were used for fishmeal production. The future trend for aquaculture will be demonstrating greater sustainability along the supply chains and investing in alternative feeds, including diversification to species that demand less protein. To feed a growing population, aquaculture will be encouraged to intensify sustainably and produce more fish. However, the emphasis will not only be on increasing production and volumes of fish, but increasing the quality, safety and nutritional content of the fish produced. Urbanisation and a growing middle class in Asia and increasingly in Africa will demand high quality fish products and seek diversified products. Private sector actors would be wise to proactively invest in species with high micronutrient content such as vitamins A, B12, D, E, riboflavin, iron, zinc, calcium, phosphorus, selenium and iodine. Public health campaigns on nutrition will stimulate biofortification of staples and support a balanced diet where fish is the main animal source food. Nutrition sensitive aquaculture

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will be prioritised through the blue economy. This will provide new market opportunities for nutritious fish in foods systems with processed food, such as fish cakes and fish balls, that are fortified naturally with fish

Above: AIN Project in Bangladesh

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offers opportunities for aquaculture to strengthen livelihoods, transform food systems and enable nutrition security” based micronutrients accessible to the poor, particularly in urban markets. The FAO has recognised the importance and need to sustainably grow both aquaculture and capture ﬁsheries and promotes its Blue

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Photo: Habibul Haque

“The blue economy

Growth Initiative in support of food security, poverty alleviation and sustainable management of living aquatic resources. In achieving sustainable blue growth, policy makers will increasingly consider the role of aqua-

04/12/2018 13:57:39

128 COMMENT – WORLDFISH

culture and fisheries from a more holistic food-systems perspective. They will look for opportunities where aquaculture will complement rather than replace capture fish supplies, particularly in domestic markets, and will be seeking trade-offs that optimise the socio-economic benefits. Fish food production systems will share the ocean and aquatic resource space with multiple users. The economic sectors of tourism, shipping, biotechnologies, maritime

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security, mining, oil and gas, renewable energy and ecosystem services will all vie for contested coastal and ocean space with ﬁsheries and aquaculture. Where will the blue economy have the most impact on aquaculture? In Africa, aquaculture and ﬁsheries are among the largest sectors of its current aquatic and ocean based economy. The sustainable development of aquaculture will play a major role in the continent’s structural transformation, sustainable econom-

Above: Tilapia farming in Zambia Opposite: Tilapia farming Philippines

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power. As Africa’s population is expected to double to more than two billion people by 2050, bridging the fish production gap will be a priority. Investments to reduce post-harvest loss and waste will be applied. Over a quarter of fish harvested in sub-Saharan Africa is lost from under-developed cold chains and this is recognised as a key area of intervention to increase profits for value chain actors. As the blue economy or ‘blue growth’, the catchy description of ocean based economic growth, develops and matures, there will be increasing calls to expand the impact of achieving SDG14 to include freshwater aquatic systems. The integration of freshwater and marine food production systems will look for trade-offs between ocean and inland aquaculture - currently 65 per cent of global aquaculture production. The capacity to do this will hinge on multistakeholder partnerships that traverse marine and freshwater production systems and can connect government with industry, research organisations and civil society in a truly inclusive blue economy.

‘BRIDGING THE FISH PRODUCTION GAP WILL BE A PRIORITY’

ic progress, and social development. Investment in research will be needed to improve genetics and select for favourable traits to resist disease, to be more resistant, and tolerant to climate change. The policy environment will become more supportive, with investment to build human capacity and market infrastructure, such as roads and

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Dr Gareth Johnstone is director general of WorldFish

04/12/2018 13:58:20

130 INVESTMENT – AQUA-SPARK

DOING more with less Dutch team creating ecosystem of aquaculture companies

NTEREST from investors in the aquaculture market is much greater today than it was 10 or even five years ago, said Mike Velings, co-founder and co-managing partner, with Amy Novogratz, of Aqua-Spark. The Dutch based investment company, the first to be solely focused on the industry, must take credit for helping to popularise the sector for other investors, and proving that aquaculture can be profitable. Since setting up its fund in 2014, Aqua-Spark now has almost €50

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Above: Mike Velings and Amy Novogratz

million invested in aquaculture and the goal is to build this up to €1.5 billion by 2025. The Aqua-Spark team are currently monitoring about 1,300 companies globally, to gauge their viability as well as how well they ﬁt into the group’s ‘ecosystem’. ‘We are trying to build a portfolio of 60 to 80 companies across the value chain between 2015 and 2030,’ said Velings, speaking to Fish Farmer from New York. That will include feed ingredients, milling, farming operations, technology, alternative ways to battle

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disease, all the way to marketing, distribution and transparency. There are 14 portfolio companies on the books to date, representing 22 investments, one of the latest being new funding to Chicoa in Mozambique, a tilapia farmer already within the Aqua-Spark stable. At the other end of the spectrum, another recent investment is CageEye, an IoT innovator in feeding optimisation technology. The range of Aqua-Spark enterprises is indeed wide, covering farming operations from halibut, to Arctic char, to sea cucumbers, as well as alternative feed ingredients, data driven high tech pioneers and an aquaculture business accelerator. To gain Aqua-Spark’s attention, companies can be located anywhere in the world but they must ﬁt with the Velings and Novogratz vision of sustainability

that has been the driving force from the beginning. That vision is based on reducing the footprint in food production, and doing ‘a lot more with less’. As Novogratz said in the early days: ‘If we make investment available to the ‘best in class’ companies, they will help set a bar for sustainability. And if we can help them succeed, others will follow.’ Although the selection of suitable candidate companies is painstaking, once they are in the fold, the Aqua -Spark commitment is solid. ‘We have every intent to support all of our portfolio over the longer term – with multiple lines of funding if there’s a need for it,’ said Velings. ‘We are at the speed where we make six to eight investments every year now. ‘In 2026, we hope to make our last new investment and then work

‘ ‘THERE IS A MASSIVE AMOUNT OF CAPITAL OUT THERE’

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132 INVESTMENT – AQUA-SPARK

on synergies and developing the latest additions in the portfolio. By 2030 all those companies should be pretty mature.’ At an aquaculture investment conference in London in September, ﬁnanciers said there were not enough venture capitalists in the sector yet, and only one Aqua-Spark. But Velings sees this changing. ‘I think there is plenty of interest and much more interest than ﬁve or 10 years ago when we started getting involved. ‘It’s not just us but it helps to beat the drum often for a sustained period of time. But I think if you look at the technology companies, if you look at feed ingredients like insects, there is plenty of interest also from investors that are outside this space, that just dip their toes in and make an occasional investment. ‘I think a lot of technology companies are actually not having such a hard time to get investments. If you look at farming operations, it’s a very different story though.’

“We are still

surprised by the opportunity there is and by what this industry can actually mean for the global environment”

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Velings said once investors start to investigate farming enterprises, and begin to understand the complexity, they see how capital, and time, intensive they are. ‘People start to realise, if it’s this size I can probably only do one, and then it becomes really hard to place your bets on one card. That’s not usually considered a good investment strategy.’ He has said before that it is a shortage of information rather than money that is the problem, and there is a ‘massive amount of capital out there’. He thinks better information will encourage investment, and draw in more big players, who are concerned about future food systems but unsure how to invest. ‘People are pretty hesitant in the end - with some exceptions, because there are more and more farming operations that are getting funding if you look at, for example, RAS in salmon.’ Land based RAS interests Velings but Aqua-Spark has not so far invested in this sphere. ‘We have some partial RAS ﬂowthrough systems on land but no full RAS yet. We haven’t been able to invest in a deal that we could really get behind.’ He described developments as ‘too much too fast’. ‘Some of these systems still have massive water exchange which makes them still potentially exciting companies but very dependent on their location, on sitting on top of an aquiﬁer, or something else. ‘I would get really excited about something we could copy and that has as little water exchange as possible on a daily basis. ‘So we’ve been looking, talking, exploring, doing due diligence but largely sitting on our hands until

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Opposite: Protix feed product Below: Protix is an insect producer based in the Netherlands Bottom: Intensive Recirculating Aquaculture Systems (RAS)

now. And also being really careful that we make the right investment and not an investment in something that’s not going to work. ‘The technology is out there, and we’re just waiting for the first company to be a real match in every other aspect…but the only thing we haven’t seen yet is a full RAS. ‘We’re really actively looking for that and as soon as we find something that’s commercially viable, we are dying to make an investment.’ That could be in salmon or in any species that matches with the fund’s aim of having a feed conversion ratio that’s below two and a half. Future funds Aqua-Spark has raised money from around the world, and from a wide range of investors, and Velings sees future funds probably coming from larger family offices, high net worth individuals and corporates that have an interest in the sector. ‘And after that, potentially larger in-

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stitutional investors - pension funds, insurance companies, things like that, eventually. But in the medium term I think it will be family ofﬁces and corporate entities and some sovereign wealth funds, like those set up by some governments that have decided to make aquaculture one of their strategic long-term interests.’ Asked where he thought development could be happening faster than it is, Velings said: ‘We should develop alternative feeding ingredients faster on a global scale, and develop more alternative feeding ingredients like Calysta, like Protix (two Aqua-Spark investments), so that by 2050 we can really meet all of our challenges. ‘I think there could be more development and more funding going into farming operations because even though it’s logical what people’s initial reaction is once they start to dive in, there are also ways to mitigate that risk, as we

04/12/2018 14:09:47

134 INVESTMENT – AQUA-SPARK

are showing with our farms. I think farming efforts across different species could ramp up a little faster. ‘And I think there is a real need for more development around genetics. There are now about 600 different species being farmed in aquaculture and some argue that should be less. The genetics and getting good broodstock takes so much time, and we only focus on a few species so far and the rest is under developed. ‘If we are going to be so widespread in terms of efforts it’s not going to work – we think if we see more companies focusing on the genetics of these different species and new ways to improve selection methods for genetics and for good broodstock, and to make those processes faster, especially for slower growing species, we think it could have a massive impact across the globe.’ He believes real genetic development and coming up with technologies that are applicable across multiple species would represent a huge advance. ‘It’s one of the reasons we are excited about Cryoocyte [a reproductive technology platform] in our portfolio, but we’re looking for more companies in that space.’

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Velings doesn’t mind being called a pioneer in the aquaculture investment field, but said the goal is not to be an investor. ‘The goal for us is to show that to be affordable and sustainable with at least the same financial returns as when you do it in a more traditional way is viable, and should be the default strategy for somebody entering this space, or starting a new venture. ‘To create a big following and to change how people invest in this space and to bring a lot more people in over time, and change how people run farming operations, and in general give people more tools and more technology to do a better job, and collectively to be the best version of ourselves, there’s a lot of work ahead of us still. ‘I think we are still every day surprised by the amount of opportunity there is and by what this industry can actually mean for the global environment, food security, how interconnected things are and what the meaningfulness of this industry is globally. ‘And how wide and diverse it is – the excitement is ever increasing, it’s also very daunting to keep an overview and to keep up with everything.’ There are now 14 in the Aqua-Spark team, from all over the world but based in Utrecht, and Velings said they will continue to hire and expand significantly. But that doesn’t mean less globetrotting for Velings and Novogratz. After New York he was heading to San Francisco, then LA, then back to Amsterdam, followed by trips to Mozambique and Madagascar, while Novogratz was off to Singapore and Bangkok. They’re not sitting still then? ‘Not any time soon!’ said Velings.

Left and below: Cryoocyte

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INTO AFRICA AQUA-SPARK has some aquaculture household names in its portfolio, such as the biotechnology alternative feed ingredient firm Calysta, but its influence at the other end of the scale, particularly in Africa, is just as significant. Amy Novogratz said when Aqua-Spark was just starting in 2015: ‘We will invest all over the globe, but we have a specific interest in Africa. There’s a huge shortage of sustainable, accessible, healthy fish protein in subSaharan Africa.’ One of the first investments was in Chicoa Fish Farms, a vertically integrated tilapia producer in Mozambique. ‘Our company in Mozambique is the only one that we’ve done from the ground up, and is actually doing really well and we’re scaling up production,’ said Mike Velings. Although still a ‘fairly modest farming operation’

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in terms of size, Aqua-Spark is building more vertically integrated infrastructure. There is already a hatchery and in the next few years they will add a feed mill, providing finance, along with other investors. They teamed up with a local management team from the outset, which already had experience in the feed milling industry. ‘It’s not been an easy road, it’s very remote, with very difficult conditions, but they’re doing really well, they have one of the best feed conversion ratios in subSaharan Africa – producing for Mozambique, Malawi, Zimbabwe and Zambia right now,’ said Velings. ‘We are pretty confident from where we are now – which is 1,000 tonnes - that we can scale up to somewhere between 5,000 and 10,000 tonnes in the next few years.’ Aqua-Spark hopes to

use Chicoa, situated in the uppermost location of the Cahora Bassa gorge, as a platform to help other people start farms throughout the region. Velings said that around the lake where they are, there are a lot of ﬁsheries in decline that have great potential to be turned into farming operations. But this is not the only investment in Africa. ‘We’re also in the stages of trying to wrap up our efforts across the continent and working diligently with other partners to set up an African investment fund that speciﬁcally focuses on aquaculture as a part of Aqua Spark, with the support our wider portfolio. ‘It’s still early days and we’re still working on it, but maybe we hope to able to announce something around mid-next year.’ Below: Tilapia

04/12/2018 14:10:38

136 STANDARDS – AQUACULTURE STEWARDSHIP COUNCIL

The hard

work begins Chris Ninnes on the success of certification so far, and challenges ahead

SALMON

How has the standard driven sustainability? The ASC certiﬁes environmentally and socially responsible aquaculture in an effort to drive the aquaculture industry towards sustainability. Our claim is ‘responsible’ in part because we feel that sustainability is a journey, one that advances as we gain more knowledge and information about the science that underpins

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farming practices. In the six years since the Salmon Standard was launched in 2012, ASC’s Theory of Change has acted as a catalyst, leading to our standards being consistently and increasingly taken up by major retailers as their benchmark for sustainability. This has led to even more farmers joining the programme to meet the requirements of retailers that see the value in sourcing seafood from farmers who reduce their environmental impact and show care for their workers and the community by engaging with a transparent, third-party certiﬁcation. This drive towards sustainably is not all to ASC’s credit. We are a multi-stakeholder organisation dedicated to collaboration and working with others that share our goals. However, a key aspect of how the standard is helping to drive this update is centred not just on the requirements of the programme, but also on its transparency. The level of disclosure required by the ASC is

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unprecedented and allows more insights into how farms operate and where further improvements could be made with future revisions. The growth of the ASC and the increasing awareness of key players has also made it economically viable for the entire industry to explore sustainable alternatives, notably in the realm of feeds. We anticipate that the forthcoming ASC Feed Standard will also catalyse further – and very signiﬁcant – changes towards sustainability. Are you satisﬁed with the rate of take-up? We are pleased with the growth of the programme. As of October of this year, more than 800,000 tonnes of salmon and close to 250

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farms were certiﬁed, with more in assessment. The amount of certiﬁed production represents approximately 25 per cent of global salmon production. Many in the global retail and food service sector have made commitments to sourcing ASC products for their farmed seafood offering. These partners worldwide can equally be credited for advocating and pushing the ASC programme forward, and also for contributing to promoting responsibly farmed salmon to consumers globally. Of equal importance is the consensus in the international seafood

Above: Chris Ninnes Opposite: Salmon

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138 STANDARDS – AQUACULTURE STEWARDSHIP COUNCIL

sustainability scene that ASC is the most stringent standard for farmed salmon. The recommendation by the Monterey Bay Aquarium’s Seafood Watch programme in June 2017 was followed by recognition by the Global Sustainable Seafood Initiative (GSSI). As well as meeting all of the essential components of the benchmark, the ASC Salmon Standard achieved 52 ‘supplementary components’ – more than any other aquaculture certiﬁcation scheme. The ASC’s standard achieved 100 per cent of the components in two of the three categories, governance and operational management, as well as 25 supplementary components for the requirements of the standard. How close is the ASC to completing its review? The two ongoing salmon reviews— one for Parasiticide Treatment Index (PTI) and the other for smolt— are progressing well and we are on schedule to be completed in early 2019.

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The ASC Supervisory Board and Technical Advisory Group are considering the revisions during their upcoming meetings in December. All changes to standards must undergo both a public consultation and ASC’s governance process. In taking these steps, ASC is respecting a standard setting procedure in line with ISEAL [the global membership association for credible sustainability standards] requirements. It is also an important ﬁnal step in our multi-stakeholder process and brings credibility to the programme. And will this enable Scotland’s farmers to come on board? Our understanding is that the ASC Salmon and Freshwater Trout reviews should indeed facilitate the aspirations of some Scottish farmers

“The ASC’s mandate is to

address the negative impacts of aquaculture” 04/12/2018 14:13:43

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who until now could not consider ASC certification because they relied upon smolts produced in freshwater net-pens. Once the reviews are finalised, we anticipate that more Scottish farmers will be able to aim for ASC certification if smolt sites are certified to the ASC Freshwater Trout Standard.

GENERAL

Are you satisfied with the rate of take-up? With over 1.5 million tonnes of ASC certified products produced across the 10 species groups we certify— and the first sea bass and sea bream farms to be certified expected to add to those figures soon—we are encouraged by the embrace of the programme. We have achieved a great deal in a short time, but there is still much to do. Our aim is not to reach any particular growth rates or figures— we are driven by wanting to transform the aquaculture industry at large, from the production of feed ingredients, to on farm activities, the processing stage and to how people choose and buy seafood. Why is ASC the standard all farmers should aspire to? We believe ASC provides sustainability minded and ethically conscious farmers with a worthy benchmark. While no standard is fool-proof -and we can and will continuously improve ours – we do think the ASC certification, along with the recognition and market access it can also provide individual farmers, is an important indicator of farm performance.

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Above: Sea bass Below: Sea bream Opposite: Salmon

How relevant is the ASC in middle and emerging markets? ASC remains young and we are poised to expand into multiple regions. We are currently present in 70 producer and consumer markets and are rapidly expanding. The number of ASC staff has almost doubled in the past three years. In the past 18 months we recruited new staff to cover South America and Asia, while strengthening our presence throughout Europe and in North America as part of our goal to build capacity in many regions. Can it drive up standards in newer industries, in Africa for example? The ASC programme is of beneﬁt in all regions, including in Africa where ASC is still gaining a foothold. The number of certiﬁed farms in Africa is currently in the single digit range, but we are keen to expand our engagement across the continent.

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140 STANDARDS – AQUACULTURE STEWARDSHIP COUNCIL

In October, ASC launched a new Improver Programme aiming to facilitate accessibility and impact of the standard to individual small scale farmers and more producers of all sizes into the programme. Is the Improver Programme accessible to small farmers? The Improver Programme was created to assist small farmers who would like to improve their social and environmental performance. It is noteworthy that it is open both to those producers who want to obtain certification, and also to those who simply want to improve farming practices but may not have certification as an immediate goal. This is consistent with our overall mission to transform the aquaculture industry and it is conducive to a pre-competitive and collaborative approach. Farmers who participate in the programme will be supported by the ASC and given access to tools and networks to help them succeed through the ASC’s online academy. Or is the standard not relevant to them if they sell their fish locally? The relevance of the ASC standard is both local and global. In some regions farmers sought certification to gain access to export markets. However, as the programme moves out of the start-up phase and becomes better known, we are seeing an increase in farms joining the programme with an interest in meeting both export and local

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demand in countries where the impact of the programme is still in its early stages, such as China. ASC’s mandate is to address the negative impacts of aquaculture, and we have to work at all levels to achieve our mission. We are keenly aware of the need to engage with small farmers to facilitate their involvement with the ASC programme, and will continue to expand our work in that regard.

Left: Chris Ninnes Below: Rainbow trout

Has progress been made with group certification? Work on Group Certification is ongoing and indications are that interest is significant. We aim to have the final document ready by mid-2019. What are you most proud of so far? Helping shape and build the ASC as an organisation from concept to a functional and self-funded reality. What would you still like to achieve? The hard work has just started. We need to expand on activities that will scale the social and environmental benefits demonstrated through the ASC programme across an increasing number of species and impact areas. This will need to involve new and emerging markets and recognise that this has to be a collaborative effort involving governments, businesses and others committed to achieving this ambition. Chris Ninnes is CEO of the Aquaculture Stewardship Council

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BRINGING SCOTLAND ON BOARD

CHRIS Ninnes, CEO of the ASC, and Scott Nichols, a member of the organisation’s supervisory board, visited a number of farms in Scotland in August to see the latest innovations in the Scottish salmon industry. They were given a tour of Marine Harvest Scotland’s facilities, including the freshwater operations, by managing director Ben Hadfield. The company has stated its ambition to have all its farms ASC certified but the stumbling block in Scotland, to date, has been the provision that ocean based salmon farms receiving smolts reared in freshwater lochs are not eligible for ASC certification. Marine Harvest rears

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Above: Ben Hadfield (far right) shows the ASC’s Scott Nichols and Chris Ninnes (second and third right) Marine Harvest’s freshwater site at Loch Lochy.

about half its smolts in freshwater lochs, but a review of the ASC Fresh Water Trout Standard will make it possible to comply with the strict criteria. Due to the similarities between trout and salmon—and parallels in their production when these species are raised in either freshwater or the sea— updates to the standard regarding smolt will also be applicable to salmon. The update would also introduce requirements for data collection, providing a previously unavailable resource that

will allow for improved understanding of the impact of farming on wild salmon in the region, said the ASC. Marine Harvest Scotland has made significant investments in smolt production technology, including in its new RAS hatchery in Inchmore, Glenmoriston, which was officially opened in 2018. ‘Marine Harvest Scotland maintains several quality, environmental and animal welfare standards that recognise and audit our full production cycle that takes place in freshwater and at sea,’ said Hadfield. ‘The ASC standard is also a certification scheme we are very much wanting to pursue.’

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New era in ﬁsh farming

HE evolution of aquaculture, like any successful industry, has depended on innovation, from the early days of gradual improvements in cage design and feeding methods, to the present application of high end technology. In recent years, new words have entered the fish farmer’s lexicon, such as big data, robotics, machine learning and artificial intelligence, while continued scientific progress, in fields such as genetics and nutrition, helps tackle health issues. The Global Aquaculture Alliance,

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Below: Oil rig Bottom: Oyvind Oaland

which set up an annual innovation award to recognise those at the forefront of finding new solutions to the industry’s key challenges, sums up aquaculture innovation as: • Technologies that mitigate the occurrence of animal diseases or parasites, or that reduce or eliminate the use of antibiotics to treat animals; • Technologies that improve production efficiencies at the hatchery or at farm levels, while mitigating environmental impact; • Advances in offshore or land based recirculation technology; • Novel feed ingredients; • Reductions in carbon footprint through improved energy efficiency or regeneration; • And social programmes designed to improve living and working conditions at the farm or processing levels. The pace of technological change varies, with the sophistication of salmon farming at one end of the spectrum and small scale freshwater farming in emerging markets at the other. But much of the smart innovation today has relevance across species and continents. Oyvind Oaland,

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global director for research and development at Marine Harvest, said in a plenary at the Aqua 2018 conference in Montpellier in August that salmon farming started as a comparatively high tech industry compared to, for example, Asian shrimp farming, but changes within the sector are on a similar scale. Offshore The Norwegian government is driving innovation in the salmon sector, with its development licence scheme prompting an explosion of imaginative alternatives to traditional sea pen farms. Marine Harvest was just one of the companies that rethought its approach and applied for permits to farm fish in structures such as a semi-enclosed Egg, with 90 per cent of its construction below the water, and the Beck cage, a flexible submersible, offshore cage. Already in the water, with its first harvest in the autumn, is SalMar’s Ocean Farm 1, the first project to be awarded a development licence. Measuring 110m in diameter and 68m high, with a 250,000m3 volume, and 1.5 million salmon, the full scale pilot offshore farm heralds a new era, said SalMar, and is addressing biological and technical problems so that the industry can grow sustainably. Made in China and anchored in Frohavet, off the coast of Trondelag, Ocean Farm 1 combines the technology of submersible offshore installations with the top expertise of the salmon sector, and is being used as an R&D facility, focusing on fish health and welfare, as well as a production site. But Ocean Farm 1 will be dwarfed by SalMar’s latest application to win approval, the Smart Fish Farm,

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developed by offshoot Mariculture and given eight development licences in November. The farm, to measure 160m in diameter, has been conceived as an offshore, enclosed grow-out facility for three million salmon. The Witzoe family, owners of salmon farmer SalMar, have had the foresight to invest in offshore aquaculture, said Steven Raffferty, formerly head of Skretting and now at consultancy and design ﬁrm, Global Maritime. The company has worked with SalMar on both Ocean Farm 1 and Smart Fish Farm, and Rafferty said in an interview in Undercurrent in the summer that he believed all the salmon farming nations would have offshore farms in the next ten years. ‘A downturn in the oil sector has been a great opportunity for aquaculture to take on some of the technology and engineering from that sector,’ said Rafferty. ‘Plus, salmon is seeing good proﬁts, allowing for investment in innovation; at the same time, they see their production costs are increasing, so they have the will to improve now.’ But offshore aquaculture doesn’t have to mean futuristic gigantic rigs. ‘It can just be small tweaks to existing designs, for instance in moorings, which allow you to push the pens

“Year of

ingenuity and invention helps create industry of tomorrow”

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1km further out to sea.’ In fact, while traditional salmon pens measuring 160m and 180m are being farmed successfully by the Norwegians, on the other side of the world there are 240s on some locations, operated by leading Australian farmer Huon in Tasmania. This size of cage can accommodate 600 tonnes, so two cages would be equivalent to an entire Scottish farm, with its smaller diameter pens, representing vast economies of scale and efﬁciency. Meanwhile, in China, the ﬁrst harvest of salmon from a fully submersible cage is expected to be ready in February, according to the operator, Rizhao Wanzefeng Fishing Co. The 35m high steel Shenlan 1 has claims to be the world’s biggest fully submerged ‘intelligent’ net cage. It can cultivate 300,000 salmon during

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a growth circle, and is expected to meet an annual output of 1,500 tonnes. Located 130 sea miles east of Rizhao City in eastern China’s Shandong Province, in a mass of cold water in the Yellow Sea, the farm is 180m in diameter and can dive between four to 50m, to be adjusted according to the water temperature. Cutting edge Much innovation is being driven by a new generation of engineers and scientists, matching Silicon Valley technical brilliance with the demands of modern aquaculture. In June, Fish Farmer reported from AquaVision in Stavanger, where six exciting start-ups won a platform to explain their transformative inventions. Aquabyte, from San Francisco, is applying computer vision and ma-

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chine learning to the salmon sector, focusing on building biomass and sea lice counting software, said CEO and founder Bryton Shang. His system will be able to determine the size of the fish, the visual health in terms of the number of sea lice, and how hungry the fish is. The biomass estimation and sea lice counting uses the existing infrastructure of the farm, such as feeding cameras. ‘We get expert annotators and fish farmers to help us identify the fish and, over time, train algorithms to learn to identify the fish on their own,’ said Shang, who anticipates eventually being able to identify each individual in a pen. This kind of precision farming is also the goal of Scottish innovator Ace Aquatec, pioneer of acoustic deterrent devices, electric stunning machines, and now a biomass counter. The BioCam, said company director Nathan Pyne-Carter, is the only genuine 3D underwater time of flight camera that exists in the world. The BioCam, being tested on Scottish farms, will save producers money because they won’t waste so much on feed and will be able to harvest at a very accurate rate. ‘This will give much more accurate measurements, there and then, so they’ll be able to pull out the 3kg fish not the 3.5kg ones, or they’ll be able to know that in two weeks’ time they’ll have 3kg fish so won’t over feed.’ Greater accuracy is the aim, too, of the Norwegian BioSort concept, which is developing the iFarm with salmon farmer Cermaq. Based on sensor recognition of individual fish, it will reduce the need for sea lice treatment and cut mortality rates by up to 75 per cent, according to BioSort CEO Geir Hauge.

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‘The key feature is that we can follow each individual fish, which is primarily done by looking at the spot pattern on the fish and some other features,’ said Hauge. ‘Then we can build a library of the individuals that live in the pen.’ He is confident the technology will have health and welfare benefits well beyond reducing lice counts, and can be deployed within existing farm infrastructure inshore. From Canada, Valerie Robitaille, CEO of XpertSea, has devised a system combining artificial intelligence, computer vision and machine learning to improve stock management at farms. Along with her fellow Maine Maritime Academy graduate, Cody Andrews, she has created XpertCount, which counts early stage aquatic organisms such as shrimp larvae and live feed. It is a smart IoT (internet of things) unit that connects to a portal where customers can access data and analytics from any device. ‘All this information then goes to a web based platform where producers can go and consult the information and have access to the quality of the organisms, and recorded day to day monitoring growth and other relevant production information,’ Robitaille told Fish Farmer in May. XpertSea has won backing from aquaculture investment firm Aqua-Spark for the system, which can be applied to different species. ‘We have an application for counting eggs, sizing eggs, but also counting alevins and fry, and now we’re developing an application to try and get the weight information of the animal, and weight distribution.’ Another North American, computer science graduate Tony Chen, from the Massachusetts Institute of

Opposite (top): Ace Aquatec’s BioCam (below): BioSort iFarm Below: The XpertCount Bottom: Tony Chen, Manolin

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spent grain from local breweries or used grounds from local coffee roasters, and feeds it to black soldier fly larvae in an indoor, environmentally controlled environment and in just six days the larvae consume the organic waste, converting it into high-protein body mass. At the stage of harvesting, the insects are 45-65 per cent protein, containing many essential amino acids. The insects are then processed into a flour ready for distribution. Technology, has come up with a digital health analytics Among recent health innovations platform for resource sharing between fish farms. is one that has addressed the ‘The future of our ocean is going to depend not just unnecessary use of antibiotics in on one government, one person or one company, it’s aquaculture. Proteon Pharmaceureally how do we get on the ticals’ product, a bacteriophage same page. I believe we’re branded as Bafador, improves health building digital channels to make and performance, reduces the risk this happen,’ said Chen, who of AMR (antimicrobial resistance), has taken his company, Manolin, will increase environmental susto Bergen to be at the heart of tainability through predictability, aquaculture innovation. and improve food safety, said CEO Chen said Norwegian farmMatthew Tebeau, at the Aquaculers have a wealth of data but ture Innovation Europe summit in ‘they’re slow on getting informa- London in September. tion fast enough’. Bafador is designed to eliminate ‘So we developed a health pseudomonas and aeromonas infecresponse system that notifies tions in closed containment aquaculfarmers when an outbreak is ture and it does so very effectively, happening and neighbours have said Tebeau. had high sea lice values, or when they’ve had treatments. It’s really about moving this information a little bit quicker.’

“The future

of our ocean is going to depend not just on one government, one person or one company”

Feed Innovations in feed have seen the development of new sources of alternative ingredients as diverse as flies, microalgae, naturally occurring microbes, and genetically engineered camelina plants. London based Entocycle has developed patented technology to industrially farm black soldier flies to make a new form of protein to replace traditional feed ingredients, such as fishmeal and soy. The company collects organic food waste, including

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Top left: Black soldier fly larvae Above: Diego Robledo

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SLAUGHTER AT SEA In a trial, when untreated, the introduction of pseudomonas resulted in mortalities of 50 per cent; when the young fish were protected with Bafador, mortality was reduced by 80 per cent to approximately 10 per cent. Innovation in selective breeding promises to revolutionise disease control. Diego Robledo of the Roslin Institute told the Pharmaqademy conference in Inverness in October that there was major potential for the genetic improvement of economic traits, including growth rate, feed efficiency, fillet yield, reproduction and maturation rates, and disease resistance (the latter representing more than 50 per cent of the selective breeding goal in salmon).

Above: The Norwegian Gannet

A NEW boat that takes fish from the farm, slaughters it on board and then transports it to market, was delivered to its Norwegian owner, shipping company Hav Line Gruppen, in November. The 94m long, 18m wide Norwegian Gannet, built in Spain, has an on-board water filtration system, can process 100 tonnes of salmon an hour and has 500m2 deck space. The vessel, once in full operation, will have 36 people working in its factory, and will travel between the fish farms along the west coast of Norway.

ENCLOSED AT SEA NORWEGIAN salmon farmer Cermaq is on-growing smolts in a sea based closed containment system. The 120m pen, in Horsvågen in Nordland, is encased in tarpaulin and will have water pumped in from a depth of 13m, preventing sea lice entering the cage. The tarp wall is made of strong and ﬂexible composite, which minimises the risk of escape, in what Cermaq describes as the world’s largest closed cage using ﬂexible walls. Capacity is 400 tonnes and volume is 10,400 m3. The system, which has been constructed in part-

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Above: Smolts are put into Cermaq’s new closed containment system in Horsvågen

nership with Botngaard and Serge Ferrari, is certiﬁed for locations with a wave height of 2m, and can be used at most existing sea sites. ‘There are still a lot of things we don’t know about

closed containment systems,’ said Harald Takle, R&D manager of farming technology in Cermaq Group. ‘We see that closed containment systems in the ocean can play an important role in the aquaculture industry in the future, but it still requires further development. ‘This is why we have applied for development licences with the FlexiFarm concept, which takes closed containment systems a giant step further as it will include cost-effective water treatment against infections and allow harvest size production in more exposed areas.’

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Land of opportunity But can ambitious onshore projects fulfil expectations?

ONFIDENCE in the future of land based farms has seen the recent launch of several big scale projects, most notably in North America, and growing investment in onshore facilities that produce fish to harvest size. Analysts at Norway’s DNB bank forecast in October that RAS (recirculating aquaculture systems) salmon production is on course for 345,000 tonnes. The bank’s Alexander Aukner told delegates at the fifth RAS conference in Sunndalsøra that previous estimates might have been over optimistic, but that there would be much growth in the next few years. ‘Two years ago, we identified 20 different projects around the world, which would provide a production of 154,000 tonnes of biomass,’ said Aukner. ‘Our projection for 2019 was that it would stand at 114,000 tonnes. That figure we see now instead will stand at about 8,000 tonnes.’ Of the 20 projects that existed in 2016, only 10 remain, but new ones have come on stream since then and several have scaled up. Therefore,

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Above (from top): Aelxander Aukner; Trip O’Shea; Johan Andreassen Opposite: AquaMaof Biofilter

potential biomass has significantly increased. ‘We have now identified a total of 30 different projects, which together will produce a total of 345,000 tonnes, if realised.’ And while the banks have yet to invest heavily, the farming companies involved are attracting serious financial backing. But Aukner warned that the biggest bottleneck in the future would be ‘people with operational experience’. The skills shortage is also making investors hesitant, according to Trip O’Shea, vice president at the New York based investment house Encourage Capital. ‘Finding new management teams for RAS remains a challenge,’ O’Shea told Seafood Source in July. ‘We looked at several RAS deals…but there are only 25 people in the world [who] really know how to build and operate RAS. You do it wrong and you could lose your shirt – a $10,000 per tonne investment is required.’ That said, there have been several big scale RAS initiatives for salmon farming, in the US, Norway and in Europe, hitting the headlines in 2018. Nordic Aquafarms of Frerikstaad

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announced at the beginning of 2018 its plan to build a 40-acre landbased salmon plant in Belfast, Maine. Construction of the facility, which will ultimately produce 33,000 tonnes of salmon annually, is set to begin in 2019. More ambitious is Norwegian listed Atlantic Sapphire, which is constructing the first large scale, land based commercial salmon farm in the US. At its plant in Miami, Florida, it expects its first harvest, of around 800 tonnes, by 2020 and it stocked its first eggs in November. The company’s founder and CEO, Johan Andreassen, said it could be producing 90,000 tonnes by 2026, and in 10 years it will have a 10 per cent share of the US salmon market. Atlantic Sapphire owns Langsand Laks in Hvide Sande, Denmark, which has been pioneering RAS technology since 2011, with mixed results. In 2017, it lost 250,000 fish, a quarter of its projected harvest, but said it is on track to start producing 2,400 tonnes a year by the second quarter of 2019. Meanwhile, Whole Oceans, is also building in Maine and also hopes to capture 10 per cent of the US salmon market over the next decade, when it plans to produce 200,000 tonnes. In a partnership with, among others, Billund of Denmark, the company has ambitions to build the most advanced land based Atlantic salmon production facility in the world, according to CEO Jason Mitchell. He told Intrafish in November that the capital intensive nature and long lead time from the start of construction to the first harvest remains challenging for RAS farmers. Also, it is hard to get such projects insured. This was confirmed by leading aquaculture insurer XL Catlin. The firm’s global project manager, Geir B. Myre, told an investors’ forum in London in September that many of his competitors will not insure RAS farms. His company does, but has incurred ‘some huge losses’ in the last few years. ‘We’ve had farms completely wiped out – in Norway and in Europe the same happened – and this led to

“There are only 25 people in the world who really know how to build and operate RAS”

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insurers completely pulling out of the market. ‘There’s a lack of standards in these farms,’ said Myre, but he acknowledged that they will be a future solution after ‘a period of mistakes’. In Europe, there has been some small scale success in recirculating aquaculture systems, outside of Denmark. In September, Swiss Alpine Fish harvested its first Swiss Lachs Atlantic salmon from its RAS facility in southern Switzerland. And a Polish land based farm operated by Pure Salmon has successfully grown several batches of harvest size fish since it was established two years ago. Owned by 8F Asset Management and Israeli RAS technology firm, AquaMaof Aquaculture Technologies, it is the first of a planned rollout of RAS farms by Pure Salmon. A second facility was recently announced in Japan, with €141.9 million investment to develop a 137,000m2 farm, producing up to 10,000 tonnes of salmon a year, once fully operational in 2021. AquaMaof is also the company behind Grieg Seafood’s hatchery and nursery RAS facility in Marystown, Newfoundland, which has capacity for seven million smolts, the world’s largest indoor salmon aquaculture facility. And it has installed RAS farms across Europe. In July, Norwegian company Salmon Evolution got the go ahead to build what could become Europe’s biggest land based salmon farm. The facility, to be constructed in Fræna, western Norway, will have capacity for 28,000 tonnes of salmon a year.

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2019 EVENTS This year’s aquaculture events and conferences

AQUATIC ANIMAL HEALTH CONFERENCE The 21st International Conference on Aquatic Animal Health aims to bring together leading academic scientists, researchers and research scholars to exchange and share their experiences and research results on all aspects of aquatic animal health. It also provides a premier interdisciplinary platform for researchers, practitioners and educators to present and discuss the most recent innovations, trends, and concerns, as well as practical challenges encountered and solutions adopted in the ﬁelds of aquatic animal health.

January 17-18, 2019 | Rome, Italy

BraqCon (brackish water conference) BRAQCON 2019 will be a significant event in the fisheries sector in the context of brackish water aquaculture, coastal ecosystem, food security and societal development. The conference is a unique platform that confluences academic researchers, industrialists, farmers, market analysts, policy makers and other government officials from both India and abroad. BRAQCON 2019 will deliberate on current topics concerning the brackish water ecosystem and sustainable aquaculture with focus on species and system diversification, nutrition and feed.

January 23-25, 2019 | Chennai, India

AQUAEX INDIA AquaEx India is South Asia’s premier ﬁsheries and aquaculture event, aimed to cater for the needs of every aspect of the industry — including farmers, buyers, suppliers, scientists, consultants, professionals enthusiasts and prospective entrants.

January 31 - February 2, 2019 | Hyderabad, India

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Aquafarm AQUAFARM 2019 is an international two-day event dedicated to and reserved for operators of the Euro-Mediterranean sustainable aquaculture industry. The event will provide an opportunity to meet operators in the industry – from breeding, processing, distribution and consumption – with the chance for professional networking.

February 13 - 14, 2019 | Venice, Italy

AGRAME With a 130 per cent increase in aquaculture visitors, AgraME is the only show in the MEA that caters speciﬁcally for the aquaculture industry. AgraME offers international visitors a showcase for wide range of products and technologies created for the region’s aquaculture industry. The show attracts buyers from across the globe every year to source new and innovative solutions

March 5 - 7, 2019 | Dubai, United Arab Emirates

AQUACULTURE 2019 The triennial is the largest aquaculture conference and trade show held in the world with nearly 4,000 attendees from more than 90 countries - and even more are expected to register for AQUACULTURE 2019. The show combines the annual meetings of the World Aquaculture Society, National Shellﬁsheries Association, Fish Culture Section of the American Fisheries Society, and the National Aquaculture Association. In addition to the annual meetings of the main sponsors, there will be parallel sessions and a trade show.

March 7 - 11, 2019 | New Orleans, USA

SEAFOOD EXPO NORTH AMERICA Seafood Expo North America/Seafood Processing North America is North America’s largest seafood trade exposition. The exposition features more than 1,340 exhibiting companies from over 50 countries. Exhibitors supply nearly every type of ﬁsh, seafood, and seafood related product or service available and the show has become a highlight in the professional seafood buyer’s calendar.

March 17 - 19, 2019 | Boston, USA

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23RD INTERNATIONAL SEAWEED SYMPOSIUM Given Korea’s long history of seaweed aquaculture, with a growing interest in seaweeds as future resources, the scientiﬁc theme of ISS 2019 is “ ‘Seaweeds: From Tradition to Innovation’. To harmonise the ‘tradition’ and ‘innovation’, ISS 2019 will take advantage of advanced seaweed aquaculture technologies and the broad spectrum of algal research in Korea. The ISS 2019 will offer an unparalleled opportunity to learn the most advanced technologies, exchange knowledge, and network.

April 28 - May 3 2019, | Jeju, South Korea

AQUA & FISH WORLD CONGRESS With members from around the world focused on learning about aquaculture and ﬁsheries, the three-day congress provides scope to meet participants from across the community, conduct presentations, distribute information, meet with current and potential scientists, and make a splash with new aquaculture developments. World renowned speakers, recent techniques and developments are promised.

April 29 - 30, 2019 | Seoul, South Korea

The world moves forward Feeding is the most important task in aquaculture. Therefore, you should choose the best and most advanced tool. We in Steinsvik have worked with feeding systems since the 80s. Time after time, systems like Are 126, MultiFeeder, GMT Feeder and FeedStation have set the standard for what is possible to achieve with a central feeding system. Around the world, our solutions are used both for land and sea based farming. Now we have raised the bar once again. We present Next Generation FeedStation!

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SEAFOOD EXPO GLOBAL Seafood Expo Global/Seafood Processing Global is the world’s largest seafood trade exposition. It features more than 1,900 exhibiting companies from 78 countries. Exhibitors supply nearly every type of ﬁsh, seafood, and seafood related product or service. (Note the slightly later date this year, with the expo moved froward from April.)

May 7 - 9, 2019 | Brussels, Belgium

RASTECH RAStech (formerly the ICRA Conference in Roanoke, VA), is a technical conference and trade show serving the emerging recirculating aquaculture systems (RAS) sector. A land based, low impact aquaculture process, RAS has the potential to meet the world’s growing need for protein with minimal effect on the environment. RAStech gathers producers, researchers, policy makers and suppliers in the RAS space.

May 13 - 14, 2019 | Washington DC, USA

AQUACULTURE RESEARCH Aquaculture Research 2019 will take place in Dublin, Ireland, but the venue of the event hasn’t been determined yet. It is going to be a trendsetter congress, according to the organisers (aquaculture-ﬁsheries. pulsusconference.com), featuring research in the ﬁshery, aquaculture, mariculture and aquaculture feed sectors.

June 10 - 11, 2019 | Dublin, Ireland

2019 BC SEAFOOD EXPO The BC Seafood Expo Trade Show provides businesses with the opportunity to meet face-to-face and showcase their products and services to seafood buyers, exporters, distributors and other providers from throughout British Columbia and the Paciﬁc north-west. Make connections, secure deals and grow your network with an Expo Trade Show Booth package, which includes access to dynamic expo workshops, panel discussions and the International Buyers Reception.

June 12 - 13, 2019 | Comox Valley, BC, Canada

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ASIAN PACIFIC AQUACULTURE 2019 The Asian Paciﬁc Aquaculture (APA’19) Conference and Exposition, held over three days in Chennai, India, features international and Indian companies showcasing their latest products, services and equipment for aquaculture.

June 18 - 20, 2019 | Chennai, India

AQUACULTURE PHILIPPINES 2019 Aquaculture Philippines 2019 is an ideal platform to promote brands, products and solutions to a highly targeted group of industry professionals, decision makers and buyers. As part of its expansion within Livestock Philippines 2019, the event is expected to attract more than 10,000 stakeholders and specialists say the organisers.

June 26 - 28, 2019 | Pasay City, Philippines

Int. Summit on Fisheries & Aqua The Scientific Federation is an expert driven non-profit international conference organiser, initiated to provide an international forum for the discussions on cutting edge research in the fields of science, medical, clinical, technology, engineering and life sciences.

August 12 - 13, 2019 | Prague, Czech Republic

AQUA NOR 2019 Since 1979, Aqua Nor has been an important international meeting place for the aquaculture industry, and it is today the world’s largest aquaculture technology exhibition. During Aqua Nor, numerous seminars, mini-conferences, lectures, debates and presentations are held. Visitors and exhibitors can participate in various social events both during the day and in the evening. The conditions are perfect for meeting old friends as well as new contacts and customers in an informal setting.

August 20 - 23, 2019 | Trondheim, Norway

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WORLD SEAFOOD SHANGHAI Thanks to efforts over 13 years, World Seafood Shanghai has become the ﬁrst choice for aquatic product traders as a platform where they can meet buyers and extend business into the Chinese market. Together with China Food Shanghai, the last exhibition brought together more than 1,500 enterprises from more than 20 countries and regions. The previous exhibition covered an area of 60,000sq m, attracting 56,493 visitors from 59 countries and regions in total.

August 28 - 30, 2019 | Shanghai, China

SEAFOOD EXPO ASIA The exposition featured 224 exhibiting companies from 34 countries around the world last year. Attending seafood professionals can expect to ﬁnd an assortment of popular and trending international seafood products that will keep their customers coming back for more. Visitors travel from across the world to attend Seafood Expo Asia. The event is designed for seafood professionals, including buyers and chefs, looking for new suppliers, products, or trends.

September 3 - 5, 2019 | Wanchai, Hong Kong

SAHARA EXPO Featuring aquaculture for the ﬁrst time, this show is the International Agricultural Exhibition for Africa and the Middle East. Informa, the world’s largest exhibition company, is organising the event, giving participating companies greater reach than ever before. Sahara will offer exhibitors maximum beneﬁts, providing the perfect environment to network with potential partners, launch new goods, win new business, and increase revenue.

September 9 - 12, 2019 | Cairo, Egypt

AQUA INNOVATION SUMMIT Showcasing the most exciting innovation in farm management, nutrition and health innovation, this is the third Aquaculture Innovation Summit. It is part of the Animal Health Innovation series, which focuses on showcasing and supporting innovation and sustainability initiatives in three key areas of aquaculture: farm management, nutrition and health. The objective at this two-day event is to bring to light cutting edge modern technologies and solutions that are helping shape one of the most important industries for the future.

September 10 - 11, 2019 | London, United Kingdom

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4TH SEAFOOD INDUSTRY SHOW More than a trade show, the event connects buyers and suppliers and generates future business. The experience of the three previous shows helped the organisers understand the needs of the Brazilian seafood industry and its potential, and glimpse future opportunities. ‘We have seen the maturation of the market in the last year, the demand for novelties and the interest of the producers and importers,’ said the team.

September 15 - 17, 2019 | São Paulo, Brazil

AQUACULTURE EUROPE 2019 The Aquaculture Europe events are all about communication with the sector. AE2019 will feature a special international trade exhibition, where German and international companies will present their latest products and services. Since 2014, EAS has teamed up with the European Aquaculture Technology and Innovation Platform (EATiP) to organise a special one-day event of panel discussions focusing on relevant and timely issues for the sector.

October 7-10, 2019 | Berlin, Germany

GOAL 2019 Be inspired by 60-plus speakers providing insight on the trends shaping the future of responsible aquaculture production and sourcing, while networking with around 400 seafood professionals from 30-plus countries. GOAL (Global Outlook for Aquaculture Leadership) is a pre-competitive event, an opportunity to put day-to-day business aside and bring together all industry segments to discuss shared responsibilities and goals. Since its inception in 2001, the annual GOAL conference has been a must attend event for the world’s aquaculture thought leaders.

October 21 - 24, 2019 | Chennai India

LAQUA19 LACQUA19 will be the 2019 annual meeting of the Latin American and Caribbean Chapter of WAS. Following the previous successful LACQUA meetings, LACQUA19 will bring international attention to the aquaculture industry of Costa Rica and Central America. LACQUA19 will be held in San José, the capital of Costa Rica. It is the safest country in the region and with an enviable biodiversity. Aquaculture in Costa Rica is characterised by tilapia, shrimp and some marine species.

November 20 - 22, 2019 | San Jose, Costa Rica

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158 COMPANY DIRECTORY

ACE AQUATEC Predator control and processing equipment contact: www.aceaquatec.com

AKVA GROUP Technology for sustainable biology contact: T: +44 (0)1463 221 444 | www.akvagroup.com

BIOMAR Feed innovator dedicated to sustainable global aquaculture contact: T: +44 1324 665585 | www.biomar.com

DNB International specialist in ﬁnance and investment contact: T: +44 01224 625436 | www.steinsvik.no

GAEL FORCE Marine equipment suppliers to the aquaculture industry contact: T: +44 (0)1463 229400 | www.gaelforcemarine.co.uk

HYDROTECH Water treatment and ﬁltering technologies contact: T: 01494 796040 | www.hydrotec.co.uk

KAMES FISH FARMING Trout farming and marine equipment contact: T: +44 (0) 1852 200 286 | www.kames.co.uk

MARINE HARVEST World’s largest salmon farmer contact: T: 01397 701550 | www.marineharvestscotland.co.uk

MSD ANIMAL HEALTH Leading solutions to promote ﬁsh health and welfare contact: ﬁshhealth@merck.com | www.msd-animal-health.co.uk

MØRENOT Leading supplier within the marine industries contact: T: +47 70 20 95 00 | www.morenot.com

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natural emulsifiers like LIPOGEST and AQUALYSO. They offer more options on ingredient choice, improving protein efficiency and creating a more

NETKEM AS

sustainable aquafeed with environmental 2019 less FISH FARMER YEAR BOOK 159 impact. We would like to share our in-depth

knowledge and hands-on experience with you. It’s Excellent protection against fouling on pen nets contact: T: +47 66 80 82 15 | www.netkem.no good for you, and great for your fish and shrimp.

NET SERVICES (SCOTLAND) LTDInterested? Find your local contact at nutriad.com Quality net manufacturer contact: T: 01859 540432

NUTRIAD

NET SERVICES (SCOTLAND) LTD

22.03.2017 - April Issue

Species speciﬁc aquafeed additives contact: T: +32 52 77 01 30 | E: info@nutriad.com | nutriad.com

PHARMAQ LTD Fish health management tools contact: T: +44 1425 656081 | E: PHQ.uk.orders@zoetis.com

SCOTTISH AQUACULTURE INNOVATION CENTRE GLOBAL LEADER IN VACCINES SCOTTISH SALMON COMPANY FOR AQUACULTURE Driving, sharing and nurturing innovation contact: +44 (0)1786 278322 | scottishaquaculture.com

Producing premium Scottish salmon contact: +44 (0) 131 718 8500 | www.scottishsalmon.com

SCOTTISH SEA FARMS Producing premium Scottish salmon contact: T: 01786 445521 | www.scottishseafarms.com

STEINSVIK Innovative solutions for harsh conditions contact: T: +47 488 52 888 | www.steinsvik.no

UNDERWATER CONTRACTING

PHARMAQ Ltd. Tel: +44 1425 656081 Underwater specialist, E-mail: PHQ.uk.orders@zoetis.com

safely delivering and improving contact: T: +44 (0) 1224 872861 | underwatercontracting.com

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W & J KNOX

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Supplying yarns and netting for 20 years contact: T: 0505 682511 | wjknox.co.uk

XELECT Genetic solutions for aquaculture contact: T: +44 (0)1334 845204 | www.xelect.co.uk

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160 OUR SPONSORS

2019 FISH FARMER YEAR BOOK