Mr Andrew Mallison. Director General, International Fishmeal and Fish Oil Organisation (IFFO) Fishmeal & fish oil trends and responsible sourcing
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1 Mr Andrew Mallison Director General, International Fishmeal and Fish Oil Organisation (IFFO) Fishmeal & fish oil trends and responsible sourcing
2 Fishmeal and Fish Oil Market Trends Andrew Mallison Director General IFFO GFFC 10 th April 2013
3
4 The Value Chain
5 What do we do? Conferences Market reports Standards Communications Technical Support Lobbying
6 60% World Production 80% World Trade
7 WORLD FISHMEAL PRODUCTION ('000 mt)
8 WORLD FISH BODY OIL PRODUCTION ('000 mt)
9 Novel marine ingredients Source: Aurora Algae / National Geographic
10 Effect of precautionary fishery management?
11 Is it right to feed fish to fish? The idea of landing large quantities of anchoveta, or sand eel, or most of the other species used in feed fisheries, and using them to provide food for the poor is a laudable objective, but unrealistic...there does not seem to be any foundation for the argument that aquaculture threatens the sustainability of South American reduction fisheries and, therefore, endangers the food security of those who are already undernourished or the income levels of the poor in Chile, Peru or anywhere else
12 The importance of sustainable fisheries: Where feed fisheries are not managed sustainably, aquaculture today constitutes an important threat to world fish stocks because of aquaculture s reliance on fishmeal and thus on reduction fisheries Most fisheries have been poorly managed at some stage Significant improvements have been made in the last ten years For example Peru now has some of the best managed fisheries in the world: RANKING MARITIME COUNTRIES BY THE SUSTAINABILITY OF THEIR FISHERIES Mondoux et al (2008)
13
14
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16 PERCENTAGE OF FISHMEAL USAGE IN AQUACULTURE 2011 Crustaceans Marine Fish Salmonids Eels Cyprinids Tilapias Other* 10% 5% 6% 30% 6% 22% 21%
17 Usage of Fish Oil
18 PERCENTAGE OF FISH OIL USAGE IN AQUACULTURE 2011 Crustaceans Marine Fish Salmonids Eels Cyprinids Tilapias Other* 2% 0% 4% 6% 5% 17% 66%
19 Typical feed composition
20
21 Omega-3 demand forecast Crude Anchoveta Fish Oil Production and Omega-3 Market Demand (in 000s of metric tons) Typical Sustainable Cap Crude fish oil production Omega-3 market demand Source: International Fishmeal and Fish Oil Organisation, GOED Analysis
22 Dietary supplements are still demanding the bulk of anchovy oils Omega-3 Demand Outlets by Crude Anchoveta Fish Oil (in metric tons) Pharmaceutical 41,780 Dietary Supplements 122,980 Functional Food 16,420 Pet Food 26,490 Clinical Nutrition 3,090 Source: Frost & Sullivan, GOED Analysis
23 New sources will have to be developed to meet pharma demand. Fish Squid Zooplankton Algae Fungi GM Plants Anchovy Sardine Menhaden Sandeel + byproducts Market Squid Shortfin Squid Antarctic Krill Pacific Krill Northern Krill Calanus Schizochytrium Crypthecodinium Euglena Phaeodactylum Nannochloropsis Nitzschia alba Y. Lipolytica M. alpina Sap. diclina Sac. kluyveri C. elegans Soybeans Rapeseed Brassica Linseed Rockcress Commercially Available In Development
24 Omega 3 s and Omega 6 s Well documented health benefits of EPA and DHA (heart and brain). Developed world diets too high in Omega 6, too low in Omega 3. Omega 6 tends to block absorption of Omega 3.
25 New IFFO Video Marine Omega 3 s, the healthiest fats 6dBQ
26 Recap Supply whole fish Supply byproducts Total Supply Demand
27 By-products
28 SE Asian Fishmeal Production Project established Dec 2011 by HRH Prince of Wales International Sustainability Unit. Project partners IFFO, SFP, leading retailers and processors. Now linked to FAO REBYC2 project
29 From commodity to speciality: Low value, variable quality. Consistency and analytical standards. High value, targeted use.
30
31 Feeding a growing population. Responsible Feed Ingredients Responsible Feed Responsible Aquaculture Global Food Security
32 IFFO RS Standard
33 Set by multi-stakeholder group
34 IFFO RS Update Feb 2013 Now over 100 certified factories Over 40% of global fishmeal production 17 whole fish stocks 63 species approved as by-products 12 Chain of Custody certificates Improver Program
35 Summary. Highly nutritious and renewable resource. Contribution to human health Supply stable but demand increasing. Move from commodity to high value ingredient. Upward pressure on price pulling in vegetable substitutes and increasing Omega 6 contribution Markets need to make informed choices on health and environmental benefits of alternative feed compositions.
36 Thank you
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