Presentation Transcript

1. Imported Seafood In Australia Challenges, lessons & opportunitiesNick Ruello Cairns FRDC 2010/222 funding
2. INTRODUCTION Hobart A Aqua conference speculation barra Funding from FRDC & SIAA; thanks. Started Jan, finished draft weekend A study of the composition, value and utilization of imported seafood in Australia Analysis stats, interview importers, wholesalers, looking shops, watching prices etc all cap. cities. A jigsaw picture & report > 100pages Today: degustation menu. taste of some findings of interest to you.
3. Statistics Australian Fisheries Statistics yearbook Customs HTISC number -> ABS tables -> ABARE No international code for basa or barra: no stats Prawns 8 codes nos, 3 fresh, 3 frozen 2 proces ..019 Preserved or processed NOT in cans. But under canned in ABARE tables. AAAGH ! HTISC ABS broad categories (eg 19) ; costly Some recommendations made: Workshop .
4. Some Findings & Facts Fy 8/9 stats 193 k tonnes, 50% gross S tonnage, 72 % of C Ex Can $955M. cost  $3.86B final sale . M4 Canned is king, 28% of volume (~ all flesh) Import Q largely good, grading V. good, prices up, surpassing some Australian equivalents NZ & BT. Days “cheap inferior Asian imports” gone CSIRO Review & FSANZ : Asian no diff to ANZ re FS compliance/risk Not perfect, not dangerous. “Value offering” meeting expectations on cost.
5. More Findings Basa biggest > 13000 t, $58m  $490M. 8.4 M Winner for Supers, budget eateries & shoppers All over: mining camps, hospitals, jails, planes Basa & vannamei cornerstones of Supers’ Deli IGA: Basa & vannamei profits gave confidence to sell more Australian seafood too Imports underpin post harvest sector: $ & jobs, Hi M offset/balance lower margins on Australian Sfd D growing faster > S. Prices rising, gap  Increasing opportunities for Australian aqua.
6. Supermarkets & Fishmongers Deli fish business kg & $ expanding noticeably, thanks to aquaculture, and Asia. Probably profitable now Fishmongers declining in numbers Supers maybe selling more in aggregate kg soon. Supers’ sfd range: >50% imports, 2/3 in Brisb, hence mostly frozens. F’mongers <10% Cairns & Brisb; 27% Syd. They prefer fresh local. Note Qld Catch promotion & patriotism in Cairns & Brisb. Bigger cities price driven, little connection with primary producers.
7. Prawn Imports, financial year (kg) P40 Cooked farm P41 Raw farmed P42 Raw wild P19 Highly processed 2008/9 26 ktonnes $270 M $950 M M 3.5 72% Consumpt’n
8. Cooked Prawns Same old, same old , same whole, > 60 yrs Once most fresh, now most frozen Thawed/unlabelled or Fresh label Informed choice ? Taste varies, doesn’t meet expectations for fresh Confusion, uncertainty. Satisfied consumers? Imports ? mostly meat & cutlets RTE/cook, consistent frozen /thawed taste. “Holy Trinity” .
9. Prawn Sector Quo Vadis ? Mass marketing, frozens, partic. to Supers Supers duelling for market share. Price is a sales driver Eg Large raw Aust. bananas special monthly $12.58/kg, why buy at everyday price ? Most frozens in Aust. passed as fresh Consumers & F’mongers like fresh not frozen/thawed Dangerous biz model, race to the bottom ? Quo Vadis ?
10. Prawns Outlook & Opportunities Back to future. Why compete against recently packed imported whole cooked frozens, esp. JIT pre Xmas. Discoloured old prawns, not nice, weaken the Australia brand enormously. Try premium fresh products, targeted market segments, new distribution channels & outlets. Review current situation, are supply chain members adding value marketing or gettingpercentages just by selling, at low prices ? Get over the Qldvs N Qld, NT, Aust, Imports.
11. Barramundi 8/9 Fy ~ 5500 t. frozen + fresh , all forms ~4500 t frozen fillet Taiwan etc,~400 t fresh fillet $39 M  $150M. final sale value. M 3.9 Competition is complex & dynamic : Today supers change species & country rapidly Salmon, salmon, salmon strongest,~30 kt. pa Wild barra N Aust; Aust & NZ B Eye, Flathead fillets S of Brisbane Frozen imports next level down; but many frozen fillet sizes, packaging & price. So…..
12. Barramundi Opportunities Visual value appeals Plate cover /$ BRAND/PRICE/VALUE Strengthen QA. Diversify products and markets. Add Value, More fillet options, better presentation, above Think customer & consumer utility, convenience & value COOL Yes, informs choice but many still choose imports Not a panacea. Address fundamental constraints. Australis USA grew & promoted barra in USA, now a strong importer from Vnam to keep up with demand Future is in your hands. President on track in Fish
13. Take Home Messages Imports underpin Aust. seafood trade & consumption Learn from their strengths. Ignore them publically Don’t denigrate imports, alienate potential customers or the current consumers Support fishmonger sector, a counter/check on Supers Believe in the Holy Trinity. “He who ignores the obvious won’t be around for long” (Charlie) Dare to be different: Fresh premium products, segmented marketing, avoid commodity mass market. ? Ideas Supply is the future challenge, not Demand. Good luck.