August 8, 2006

Aqafood goes on a shopping spree for Australia's aquaculture farms

A Western Australian company, Aqafood, has launched a buy-up of aquaculture farms in South Australia with US$50 million in its kitty.

Analysts say this could lead to the creation of a major seafood company which would mean better prices and major export deals for oyster growers.

The company has entered contracts to buy several oyster farms on the Eyre Peninsula and an Atlantic salmon and ocean trout farming operation in the south-east.

Adelaide business broker Martin White says the venture could see more seafood being exported, adding that it is a progression the industry needs to take. White noted that the smaller players in the aquaculture industry has not been corporatised and for the industry to grow, this is a necessary step.

The aim is to build a globally focused aquaculture and seafood firm with its roots in South Australia, White said.