7 Reasons Why Fish Exports Are Booming in 2023
Fish exports are one of the fastest-growing sectors in the global economy, with a projected value of $200 billion by 2025. But what are the factors behind this remarkable growth? And how can you benefit from it? In this article, we will explore seven reasons why fish exports are booming in 2023, and what you need to know to tap into this lucrative market.
1. Rising demand for healthy and sustainable food.
Consumers around the world are becoming more aware of the health and environmental benefits of eating fish, which is rich in protein, omega-3 fatty acids, and other nutrients. Fish is also a low-carbon food, as it requires less land, water, and feed than other animal products. As a result, more people are choosing fish as part of their balanced diet, especially in emerging markets like China, India, and Brazil.
2. Increasing availability and affordability of fish.
Thanks to advances in aquaculture and fisheries management, fish production has increased significantly in recent years, making fish more available and affordable for consumers. According to the Food and Agriculture Organization (FAO), global fish production reached 179 million tonnes in 2020, of which 82 million tonnes came from aquaculture. Aquaculture is the fastest-growing food production sector, with an average annual growth rate of 5.3% since 2010.
3. Improving quality and safety standards.
Fish exporters are also investing in improving the quality and safety of their products, to meet the expectations of consumers and regulators. This includes adopting good practices in hygiene, traceability, labeling, and certification, as well as using technology to monitor and control the quality of fish throughout the supply chain. For example, some exporters use blockchain to track the origin and journey of their fish, from farm to fork.
4. Diversifying product offerings and markets.
Another reason why fish exports are booming is that exporters are diversifying their product offerings and markets, to cater to different preferences and needs of consumers. This includes developing new products such as ready-to-eat meals, snacks, sauces, and supplements, as well as expanding into new markets such as e-commerce, online delivery, and catering. By doing so, exporters can increase their market share and profitability.
5. Leveraging trade agreements and policies.
Fish exporters are also benefiting from favorable trade agreements and policies that facilitate the movement of fish across borders. For example, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which entered into force in 2018, eliminates or reduces tariffs on fish products among 11 countries in the Asia-Pacific region. Similarly, the African Continental Free Trade Area (AfCFTA), which became operational in 2021, creates a single market for fish products among 54 African countries.
6. Enhancing cooperation and innovation.
Fish exporters are also enhancing their cooperation and innovation, to overcome the challenges and seize the opportunities in the global fish market. This includes collaborating with other stakeholders such as governments, NGOs, research institutions, and consumers, to address issues such as overfishing, illegal fishing, climate change, and food security. It also includes investing in research and development, to find new ways to improve the productivity, quality, and sustainability of fish production.
7. Adapting to changing consumer behavior and preferences.
Finally, fish exporters are adapting to changing consumer behavior and preferences, which have been influenced by the COVID-19 pandemic and other social trends. For example, some exporters have shifted their focus from fresh to frozen or processed fish products, which have longer shelf life and are easier to transport and store. Others have increased their online presence and marketing efforts, to reach more customers who shop online or use social media.
These are some of the reasons why fish exports are booming in 2023, and why you should consider joining this growing industry. Whether you are a producer, processor, trader, or consumer of fish products, there is a lot of potential for you to grow your business and enjoy the benefits of this healthy and sustainable food.
Fish exports: trends and challenges in a changing world
Fish and fish products are among the most traded food commodities in the world, with about 38 percent of the total production entering international trade in 2018. Developing countries are the main exporters of fish, accounting for 59 percent of the total value and 64 percent of the total volume of fish exports in 2018. However, the global demand for fish is also changing due to various factors, such as population growth, income levels, urbanization, consumer preferences, environmental issues, and trade policies. In this blog post, we will explore some of the trends and challenges that affect the fish export industry in the current context.
Increasing demand for fish in developing regions
One of the main drivers of the global demand for fish is the population growth, especially in developing regions such as Africa, Asia, and Latin America. According to the FAO, the world population is projected to reach 9.7 billion by 2050, with most of the increase occurring in these regions. Moreover, these regions are also experiencing rapid urbanization and income growth, which tend to increase the consumption of animal protein, including fish. The FAO estimates that by 2030, the per capita fish consumption in developing regions will increase by 7.6 percent, while in developed regions it will decrease by 0.9 percent. Therefore, the demand for fish in developing regions is expected to grow significantly in the coming years, creating opportunities for fish exporters.
Diversification of fish products and markets
Another trend that affects the global demand for fish is the diversification of fish products and markets. Consumers are becoming more aware of the nutritional and health benefits of fish, as well as the environmental and social impacts of fish production and trade. As a result, they are demanding more variety, quality, safety, and sustainability of fish products. For instance, there is a growing demand for value-added products, such as ready-to-eat meals, smoked or marinated fish, or fish-based sauces and condiments. There is also a growing demand for certified products that meet certain standards of environmental or social responsibility, such as organic, fair trade, or eco-labeled products. Furthermore, there is a growing demand for new or emerging markets, such as e-commerce platforms, online retailers, or home delivery services. These trends pose challenges but also opportunities for fish exporters to innovate and differentiate their products and markets.
Trade barriers and uncertainties
A major challenge that affects the global demand for fish is the trade barriers and uncertainties that arise from various factors, such as trade policies, sanitary and phytosanitary measures, technical regulations, tariffs, subsidies, or geopolitical tensions. These factors can create obstacles or distortions for fish trade, affecting the competitiveness and profitability of fish exporters. For example, trade policies can affect the access to foreign markets or the prices of imported inputs. Sanitary and phytosanitary measures can affect the compliance costs or the rejection rates of exported products. Technical regulations can affect the quality standards or the labeling requirements of exported products. Tariffs can affect the duties or taxes imposed on exported products. Subsidies can affect the production costs or the market prices of exported products. Geopolitical tensions can affect the stability or security of trade relations or agreements. These factors can create uncertainty and risk for fish exporters, especially for small-scale producers or traders who have limited resources or capacities to cope with them.
Fish exports are an important source of income and food security for many countries and communities around the world. However, they are also subject to various trends and challenges that affect the global demand for fish. Fish exporters need to adapt to these changes and seize the opportunities that they offer. They also need to collaborate with other stakeholders, such as governments, international organizations, civil society groups, or consumers, to address the challenges that they face. By doing so, they can contribute to a more sustainable and equitable development of the fisheries and aquaculture sector.
References:
https://doi.org/10.4060/cb4477en
https://stats.oecd.org/Index.aspx?DataSetCode=FISH_TRADE
https://www.fao.org/publications/sofia/2020/en/
https://www.worldbank.org/en/topic/environment/publication/the-sunken-billions-revisited-progress-and-challenges-in-global-marine-fisheries
https://www.oecd.org/tad/events/Strengthening-Governance-of-International-Trade-in-Fisheries.pdf
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