Rabobank’s report illustrates that fishmeal is a high value strategic ingredient

The latest Industry Note (#494) from Rabobank draws some interesting and valid conclusions on the future supply and demand for fishmeal. The transition from a bulk commodity traded on price to a specialised, high quality and high value product has been occurring for some time, with leading producers investing heavily in technology and packaging to add value to this important source of nutrition for farmed animals.

IFFO share FAO’s expectation for a stable but not increasing supply. As feed volumes continue to increase, the use of fishmeal will be increasingly targeted by species and lifestage to create the best value for the farmer and eventual consumer. Producer and user partnerships are becoming increasingly important to secure supply for those feed manufacturers who offer high quality products for high value species. While IFFO is unable to comment on price forecasts, the historic trend has been upwards as a result of demand exceeding supply. Despite this trend and significant investment by alternative protein sources, fishmeal remains the best performing and most digestible option in animal feed.

Rabobank are a respected financial institution with a high profile in the food sector. IFFO shares supply and demand statistics with the bank to inform their reporting. Key changes that have added value to fishmeal in the last ten years have included:

  • The introduction of steam drying technology to increase protein digestibility
  • Bagged product as an alternative to breakbulk/loose shipped material
  • Sophisticated analytical certification to buyer specification
  • Uptake of independent environmental impact, traceability and food safety certification (IFFO Responsibly Supply scheme)
  • Recovery of fish processing by-product to supplement raw material supply
  • Recovery of soluble proteins from processing water to reduce environmental impact and increase in fishmeal protein levels

-Ends –

Please contact:                   Georgie Harris, Communications and Membership Manager

T: +44 (0) 2030 539 195 - E: gharris@iffo.net

Notes for Editors

  1. IFFO represents the marine ingredients industry worldwide. IFFO’s members reside in more than 60 countries, account for over 50% of world production and 75% of the fishmeal and fish oil traded worldwide. Approximately 5 million tonnes of fishmeal are produced each year globally, together with 1 million tonnes of fish oil. IFFO’s headquarters are located in London in the United Kingdom and it also has offices in Lima, Peru, and in Beijing, China. IFFO is an accredited Observer to the UN Food and Agriculture Organisation (FAO). For more information, visit the IFFO website - http://www.iffo.net/
  2. The Global Standard for Responsible Supply (IFFO RS) is a business-to-business certification programme that enables a compliant factory to demonstrate that it responsibly sources its raw material from well-managed fisheries and responsibly converts that into pure and safe products. To be certified fishmeal and fish oil factories must demonstrate sourcing from well managed fisheries and safe and traceable production. Assessments are conducted by an independent certification body and in just over two years, IFFO RS has successfully attracted over 110 certified factories, spread across nine countries. Most of the largest fisheries such as Peruvian anchovy, Alaskan Pollock, Blue Whiting in UK, Iceland and Norway, Gulf menhaden in USA and many more have been approved for supply into the manufacturing food chain including whole fish and by- product raw material to produce compliant fishmeal and fish oil. For more information visit the IFFO RS Website - http://www.iffo.net/iffo-rs
  3. Fishmeal is a natural, balanced, highly nutritious feed ingredient used in diets for farmed fish and crustaceans and as a high protein supplement in nutritionally demanding periods in the life cycle of pigs and poultry, as well as in pet food.
  4. Fish oil is the major natural source (97%) of the healthy long chain omega-3 polyunsaturated fatty acids, EPA and DHA. Most fish oil is used in feeds for farmed fish and there is an expanding market for fish oil for human nutritional supplements and functional foods.