reLAKSation 53.

Crystal Balls!!:  The keynote address given by Patrick Dixon of Global Change at the recent AquaVision conference certainly gave food for thought. Yet, whether fish farmers found it of any relevance to their industry remains to be seen.

Liberally laced with buzzwords and elaborate images (www.globalchange.com/ppt/nutreco2/nutreco.htm) Dr Dixon’s presentation focused on the future, something to which the fish farming industry has been relatively unresponsive.

To shed light on what the industry has missed, this self styled futurologist looked at the trends, which might affect the industry in years ahead. However, without a crystal ball to shed light on the future, Dr Dixon, like the rest of us, can only take a stab in the dark.

Controversially, Dr Dixon said that “don’t believe in market research” because this only tells you what consumers want now, not, more importantly, what they will want in the future. Yet, all the trends, which he cited as likely to influence the industry in the future, such as animal welfare, genetically modified organisms and health scares are all actually things which influence the industry now.

Although his examples are nothing new, the underlying message is spot on. The fish farming industry has been all too ready to look backwards rather than to the future. For example, some sections of the industry continue to be fixated with production-led strategies, which have led to continuing problems throughout the last decade. Meanwhile, those strategies which are market-led, have been largely ignored, even though they represent the real future of the industry. This is illustrated by the fact that yet again the issue of dumping is raising its ugly head, although from a slightly different direction.

Dr Dixon has a catch phase, which sums up his philosophy “Take hold of the future or the future will take hold of you”. Although, his long presentation covered a variety of different issues, this is one message, which the fish farming industry could well heed.

 

Group Strategy: Allan Wilson, the Deputy Minister for Environment and Rural Development, has announced details of the working group whose task it will be to produce Scotland’s first aquaculture strategy. Strangely, only six out of the twenty-three members represent the aquaculture industry, the remainder represent the environment, the banks, the local authorities and other similar organisations.

According to Intrafish, Mr Wilson has said that he is confident that everyone will be able to look beyond the confines of their own interests to create a framework beneficial to the country as a whole, but we, at Callander McDowell, are not convinced.

There is simply too much focus away from the industry itself and too many other interests to be confident that a sensible strategy will emerge. Such a strategy must encourage the continued expansion of fish farming and most especially of farmed salmon.

Sometimes it requires someone without any direct connection to the industry to really bring sense to the overall requirement for such a strategy. Speaking at AquaVision, Dr Patrick Dixon of Global Change has predicted that the commercial fisheries sector will decline completed within 50 years. If this should occur, then there will be a clear need for aquaculture to provide all supplies of fish and seafood. This cannot happen if we become concerned about every single environmental issue. The reality is that the industry must not be dictated to, but rather work in partnership to achieve the necessary growth.

However, the reality is that many current near shore sites are not ideal for the expected expansion, and thus there must be renewed emphasis on the development of open sea farming. This is unlikely to happen if left to business alone and therefore Mr Wilson should ensure that his department acts as the catalyst to push growth offshore.

 

Made in Norway: During our regular checks of the retail sector, we recently came upon some packs of salmon fillets, which were labelled as Scottish, but the wording on the back label stated ‘Farmed in Norway’. 

This is clearly a packaging error, although not an isolated incident. It is however, an indication that many stores are now acquiescing to the new labelling legislation, especially on packs of fish. Only one store group has yet to make any real effort to implement new labels on new prepacks, whilst all have work to do on the fresh fish counter, but this must come shortly.

The interesting aspect of the new labelling is that for the first time, it is possible to identify the country of origin, especially on salmon, when previously we could only make an educated guess.

In the UK, labels have at one time or another identified Scotland, Norway, Ireland and Chile as the country of origin on fresh salmon, sometimes on the same product at the same time, mixed together. The key question is whether this new knowledge of the country of origin will have any effect on consumer purchases. This question was asked by Brian Simpson of SQS who said that given a choice between Scottish and imported salmon, it would be interesting to see which they choose. According to Intrafish, he’d challenge the idea that the home-produced product is not being preferred.

Yet, more than one store group has been offering their customers both Scottish and Norwegian salmon at the same time, all clearly marked. One even offered Irish salmon as well, giving customers a three way choice. In every case, it would seem that customers are not that discretionary and just picked up the nearest pack, irrespective of its origin.

There has been a suggestion that unlike their English counterparts, customers in Scotland are more concerned about buying locally produced fish, yet Chilean and Norwegian fish have been openly on sale in Scottish stores and have been just as equally chosen by consumers.

This just shows that perhaps country or origin is not an issue. As long as the salmon industry puts the salmon in the form consumers they want, at a price they want to pay, then producers will find a ready market.

The fact that one major store group continues to sell ‘Scottish salmon produced in Norway’ just shows that not one customer has complained. Perhaps, this is more of an indication that more informative labelling is not that interesting to the customer!

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