Unlocking Aquaculture Potential in Europe: Innovation and EU Policies

1. Aquaculture Innovation and Opportunities ***** Inovação e oportunidades Aquicultura Alexandra Leitão 7th Annual Conference of Tourism Funchal, 3rd May 2013

2. Outlines • Facts and challenges for the aquaculture industry • EU Legislation & Funding • Innovation in aquaculture • Off-shore production • Conclusions

3. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions • Aquaculture production has significantly increased globally (+7% /year) • EU production fairly static (+0.5% /year) • EU import 65% ofthefish Production in MillionTonnes Source: FAO-Stat, 2011 Why the EU is missing the track? Demand, Technology, Training are available !

4. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions The Strengths of the EU • Leader in Technology and Research • Strong and trained entrepreneurial base • High quality standards • Diversifiedwatersystems, climatefeatures Source: EATIP, SRA 2012

5. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions The Challenges • EU imports 1.6 millions tons • Provide the European consumer with desirable products of the highest quality at an affordable price • Assure that aquaculture’s impact on the environment is minimal • Respect the conditions for optimal livestock health and welfare • Develop and integrate new technologies within the entire value chain • Improve economic performance at each level of the value chain • Guarantee the training and skill development of those working in the sector and attract talented professionals

6. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions The Opportunities • Themarket • ProductQualityandSafety • Research andInnovation • Social andEconomicDevelopment FAO Report, "The State of World Fisheries and Aquaculture 2010."

7. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions EU Legislation & Funding • The overarching European policy affecting aquaculture is found in the Common Fisheries Policy and its related legislative instruments: • The Common Fisheries Policy (CFP) is primarily concerned with the management of the stocks of wild fish in European waters • The Common Organisation of the Markets for Fisheries and Aquaculture Products (COM) looks to assist establishment of the best conditions for the markets in Europe. • The European Maritime and Fisheries Fund (EMFF) is the financial instrument for supporting and implementing the CFP and the COM.

8. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions European Maritime and Fisheries Fund(EMFF) • European Maritime and Fisheries Fund for the period 2014-2020 accompanying the implementation of the CFP with the necessary financial resources • Focus on people and communities dependent on fisheries • Boost to the development of EU aquaculture • Stable financing for IMP

9. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Europe 2020 and EMFF Supports aligned with 3 thematic objectives of Europe 2020: Promoting employment and labour mobility Enhancing the competitiveness of the fisheries and aquaculture Protecting the environment and resource efficiency

10. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Europe 2020 and EMFF Boost for Aquaculture • Growth and jobs : • Encouraging new aquaculture farmers • Investing in human capital: support to management, advisory and relief services and life-long learning • Innovation and new forms of aquaculture: • Off-shore and non-food aquaculture; • New forms of income through multifunctional aquaculture • Adding value to products through ‘in-house’ processing, marketing and direct sale

11. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Europe 2020 and EMFF Boost for Aquaculture (2) • Environmental sustainability: • Increasing the potential of aquaculture sites through spatial, infrastructure, and environmental planning for aquaculture areas. • Promotion of aquaculture with high level of environmental protection and delivering environmental services (ponds). • Addressing the risks - Human and animal health: • Development of best practices or codes of conducts on bio-security or on animal welfare • Facilitating access to stock insurance

12. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Europe 2020 and EMFF Market measures Better products Adding value through marketing and processing measures Support to POs (in line with CMO Regulation) Measures specifically designed for Producers Organisations Production and marketing plans Storage aid for POs (phasing out) Bringing outermost regions closer Specific compensation for additional costs in outermost regions for fishery and aquaculture products

13. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Innovation • Marketdemand (development of indigenous species rather than exotics) • Life cycle mastering • Enhance Algae mass culturing • Final product transformation • High-value additives • Marketing • Organic and Certification • Off-shore aquaculture • Integrated aquaculture systems • Integration into eco-tourism sector • Environmental sustainability Diversification scale and types of operation Added value of the final product

14. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Innovation • Invest in and support relevant research area • Multi-disciplinary programmes so as to promote innovation • Assure the knowledge  commercialisation • Balance high quality standards / economics • Assure attraction of young people /professionals • Transparent, open and clear communication with society Diversification Scale and types of operation Added value of the final product

15. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Offshore Aquaculture The SeaStation 300 off the coast of Hawaii. Photo NOAA. Photo: SeaFoodBusiness.com Photo by: GIO Photographer

16. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Main production areas: Sagres Lagos Armona APPAA (Area: 34 ha; Bivalve production capacity: 4000 ton / year) Testa e Cunhas SA (Area: 16 ha; Production capacity : 9000 ton/cycle) Finisterra (Area: 33 ha; Production capacity : 2000 ton/year) Ostracultura e Mexecom (Area: 9 ha; Production capacity 250 ton/cycle)

17. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions APPAA (Pilot Aquaculture Production Area of Armona): • Initially 30% of the aquaculture production in the APPAA intended to be for bivalve production . • Each plot has 8 ha of useful area. • Presently one company operating: Current production: 100 tons / year; Expected production: 1500 ton / year • 10 projects are licensed for bivalve production.

18. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Productionsystems: Long-lines • System of submersible long-lines, which best fit the zone hydrodynamics; • Suitable for the production of all species of interest; • Easy to maintain; • Expansion capacity. Smartlines • System best suited to the production of mussels; • Resistant to the zone strong hydrodynamics; • Production of higher quality mussels; • Fast manipulation; • Reduced maintenance costs; • Environmental and visual impact reduced

19. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Mainspeciesproduced: • Oysters (Crassostrea e Ostrea) • Oysters (Crassostrea e Ostrea) • Oysters (Crassostrea e Ostrea) The production depends on juveniles from natural banks and foreign hatcheries • Mussels (Mytilus) • Mussels (Mytilus) • Mussels (Mytilus) The production depends on juveniles from natural beds and local capture • Scallop (Pecten) The production depends on juveniles from foreign hatcheries

20. Facts and Challenges EU Legislation & Funding Innovation Off-shore Conclusions Conclusions Several opportunities for the aquaculture industry (High market demand, Regional resources: technologies, RTD and labour and Local favourable assets) Stable and favourable EU financing scheme (EMFF) National capabilities and demonstration sites for off-shore aquaculture “If aquaculture did not exist we would have to invent it.” Commissioner Maria Damanaki Directorate-General for Maritime Affairs and Fisheries

21. Thank you for your attention