CORPORATE NEWS
EUROPEAN MARKET-DRIVEN
BioMar Group reports 28% hike in sales in H1
The BioMar Group continues to deliver strong financial results as it reported a 28% increase in sales volume covering the first-half period. The increase was mainly driven by the salmon markets in Europe.
Innovative products integrating high performance, functional feeds and sustainability concepts have shown to be a very strong platform for growth, according to the company.
"We are proud that we have been able to create solid partnerships with customers as well as suppliers in our effort to develop the industry", said Carlos Diaz, CEO in BioMar Group.
"We are right now taking major steps in improving our ability to design and document truly sustainable products together with the customers. We will in a short time be ready to launch our new tool Triple S (Sustainable Solution Steering) enabling us to enhance transparency and measure the sustainability of our products looking all the way up the value chain", he added.
BioMar expects to reach the revenue of 9.8 billion DKK in 2017, which will be a record year for the company. At the same time BioMar is preparing for significant growth in new markets through acquisitions and green field projects.
BioMar's latest announced expansion project has been the acquisition of Alimentsa in Ecuador which, together with the existing factories in South and Central Americas, will constitute a strong production footprint and a solid platform for the continuous development of high-end shrimp feed.
In the first half of 2017 BioMar has furthermore announced the construction of a new factory in Australia. The factory will complement the strong salmon division and work closely with the local customers in developing feed for other species in the region.
'STRATEGIC MILESTONE'
Norwegian firm AquaGen acquires 51% of Danish trout breeder
AquaGen AS of Norway has inked an agreement to purchase 51% of the shares in the Danish trout breeder AquaSearch ova ApS.
AquaSearch ova, established in 2006, is a leading global player in breeding and egg production of trout, as well as one of the world's leading suppliers of genetics for the portion-size trout market. From its headquarters in Billund, the company has developed a product portfolio with a cost-effective production and distribution from its six broodstock farms in Denmark. A high level of bio-security enables the company to access all global trout markets.
"Our association with AquaSearch ova represents an important strategic milestone for AquaGen. With this we get a new platform for growth and value creation, helping AquaGen to maintain and strengthen its commitment to trout breeding", said Odd Magne Rødseth, chairman of AquaGen.
He added that due to a limited market for large trout, many breeding companies in Europe and Chile have chosen to close down their breeding programmes for trout. "AquaSearch ova's strong position within the portion-size trout sector completes our commitment to all farmed species of salmon and trout. There is a great potential for AquaSearch ova and AquaGen to gather interesting synergies through exchange of experience, cooperation on R & D and the use of joint technology platforms in the breeding work".
Torben Nielsen, CEO of AquaSearch ova, for his part, said, "This transaction is very positive for the trout industry, because it helps to provide advanced technology and research resources to more trout farmers around the world".
"I'm glad that AquaSearch ova will be part of a group that has a long-term commitment to developing and distributing trout genetics. The ability to share leading knowledge and breeding technology within different species will strengthen the development necessary to meet the rapidly growing demand for seafood, and with the global reach of AquaGen and EW Group, we can further develop our global distribution to reach all important trout markets".
SEAFOOD INTELLIGENCE LIST
Cermaq is most transparent salmon farmer in 2017
Cermaq, one of the world's leading companies in farming of salmon and trout, emerged as No. 1 in ranking of Seafood Intelligence's 2017 annual transparency benchmark report.
For the 7th year Seafood Intelligence, a subscriber-based international economic and market intelligence news service and information portal, has been benchmarking transparency in top 36 salmonid farming and 11 fish feed companies. Cermaq has been No.1 1 five times and No. 2 twice.
"I'm proud of this accomplishment. Our commitment to openness and transparency is at the heart of everything we do. It is our ambition that through transparency and open reporting on material topics, we will improve and strengthen the constructive dialogue with our stakeholders," Cermaq CEO Geir Molvik said.
For his part, Wenche Grønbrekk, head of Sustainability and Risk, said, "We are working continuously to progress our reporting, and it is very valuable for us to obtain an objective and comprehensive feedback on our efforts".
"We also believe that good reporting is an essential tool to strengthen sustainability performance", he added.
Besides the detailed rating system, the benchmark report highlights several elements that present the robustness of Cermaq's transparency including the alignment of the company's strategy to the UN Sustainable Development Goals, participation in industry partnerships such as the Global Salmon Initiative, Seafood Business for Ocean Stewardship (SeaBOS) and FReSH, and its acknowledgement of impacts and challenges.
Cermaq, which has operations in Norway, Chile and Canada, said in March that it was investing in its communication strategy as a way to meet customers' needs.
"The [aquaculture] industry has underestimated this greatly, including Cermaq. We are proud to presents our product honestly and without filter. Cermaq has until now, acted like we had very little to say or promote. This will change", Molvik said then.
As the "most transparent seafood company in the world", Cermaq said that a transparent supply chain also involves telling "how we do what we do in a clear and simple professional way so that those who do not know the industry will have a much greater understanding of it going forward".
Cermaq, the second-biggest salmon company in the world, is a fully owned subsidiary of Mitsubishi Corporation with head office in Oslo, Norway.
'PERSONAL REASONS'
Zhanjiang Guolian executive resigns
The deputy general manager and head of feed at Zhanjiang Guolian Aquatic Products has resigned from the company.
According to a recent company filing at the Shenzhen stock exchange, 48-year-old Zheng Zhang is quitting his job due to "personal reasons", Undercurrent News reported.
Zheng joined Guolian in 2006 and had been general manager of Guolian's aquatic feed subsidiary Zhanjiang Guolian Feed Technology since 2008.
Undercurrent News said his departure came amid a fall in aquatic feed sales at the firm, which is China's largest shrimp company and also a major tilapia producer.
The company and its board of directors expressed their "heartfelt gratitude to Zheng Zhang for his work in the development of the company during his tenure", a company statement said.
TARGETS TO REDUCE FISHMEAL RATIO
CPF vows to maximize marine resource use
Charoen Pokphand Foods PLC (CPF) vows to maximize marine resource use, moving forward collaboration with various organisations to restore marine fertility and targeting to reduce fishmeal ratio in aquaculture feed production to no more than 5%.
DVM Sujint Thammasart, chief operating officer for CPF's aquaculture business, said the company targets to reduce the use of marine resources by upgrading animal breeding and cutting down sea-water use in aquaculture operations.
Fishmeal used in shrimp feed production as a result slides from 35% to 7% and is targeted to fall further to 5% in the next three years, being part of its support to legal fishing.
"We have a clear guideline in protection and conservation, to ensure the sustainability of marine resources. We place our emphasis on innovating shrimp feed formula to reduce fishmeal which is part of marine resources, and shifting from black tiger shrimp farming to Vannamei shrimp. Fishmeal portion in shrimp feed production thus falls from 35% in the past 20 years to 7% at present", Sujint said.
He reiterated that under CPF's vision to become "Kitchen of the World", the aquaculture business comprising animal feed, processed food and ready-to-eat food involves the company with marine resources like fishmeal and sea water for farming purposes.
The company said it continuously develops technology to maximise resource use, in line with its socially and environmentally responsible guidelines.
