Markets
BY VINCE MCDONAGH
Battered but unbowed The latest report from Seafish finds an industry adapting in the face of great challenges
A
fascina�ng insight into how the UK seafood sector turned coronavirus chaos into innova�ve new business opportuni�es is provided by Seafish, the industry’s support organisa�on. It is easy to forget that op�mism abounded at the start of the year with salmon and whitefish prices soaring to record highs. Throughout February and March, however, it became increasingly clear that the world was in the grip of the Covid-19 pandemic. The crisis hit some sec�ons of the fish trade harder than most because their main customers, hotels, restaurants and other catering outlets, had closed with no indica�on of when they would reopen. Seafish recently published a detailed study in its latest Covid Impact Review and it has produced a mixed picture. They key points to emerge are: • Export markets were hit first, as key countries including China, Italy, Spain and France entered lockdown. • Retail sales soared as the UK began life in lockdown, before levelling off at an increased level compared with the same �me in 2019. • UK foodservice markets collapsed at the end of March as lockdown put a hold on ea�ng out and tourism. • As businesses along the UK seafood supply chain lost access to their usual markets, new small-scale markets emerged, selling direct to consumers.
38
Seafish Report - Vince.indd 38
Aquaculture businesses face unique and ongoing financial challenges as a result of fixed “minimum crewing” costs (minimum crewing is required for basic stock management at farm sites). Those supplying foodservice or reliant on live or fresh export markets were at par�cular risk when these markets disappeared “overnight”. Small primary processors, such as those in Northeast Scotland and the Humber region, supplying fresh whitefish to the foodservice sector were hit par�cularly hard. Seafish says major concerns have been raised around the effects of lockdown on future supply. Aquaculture produc�on cycles take several years to complete, and the pandemic has broken the cycle of reproduc�on and restocking. There are fears that this crisis will lead to an undersupply of smaller, younger fish and seed to restock, and an overabundance of fish and shellfish of a sellable size and weight in the coming years. But the survey has also thrown up a genuine tale of ingenuity and enterprise on the part of a number of businesses. It highlighted, for example, the Sco�sh firm of CFayre in the town of Largs. At the start of the year it was a family-run fishmonger with a small online ordering service. Prior to lockdown, 90% of its trade came through the shop door. Seafish says that when the pandemic swept the UK, owner John Watson decided to close the shop and Left: The CFayre team shi� focus to online sales. Opposite: Keenan Seafood; Immediately, he saw the demand for online sales The CFayre website take off, with home deliveries far outstripping normal shop sales. So much so, that the small family team ini�ally struggled to keep up with the surge in demand. The review says: “With a huge effort, working long hours and pu�ng in more effort per sale, they were able to successfully adapt their opera�on. While working to meet heightened online demand, they also worked hard to adapt the shop. A�er seven weeks they reopened with safe physical distancing, contactless payment and branded high visibility
www.fishfarmermagazine.com
11/01/2021 15:33:39
