Marine Industries Global Market Analysis - Marine Institute

92 MARINE INDUSTRIES GLOBAL MARKET ANALYSIS
reported period, of over €100 billion in 2001 (due mostly to exchange rate
fluctuations) but towards the end of the period the impact in the increase of
aquaculture production leads to a slight upturn, but not to levels previously reached.
Forecast average annual growth for 2005–2009 is therefore still negative, but
marginally at –0.4%. If displayed in dollars, then the processing sector would show
steady growth throughout the forecast period (see table 16.1).
16.3 EUROPEAN MARKET
The European market is valued at €8.2 billion in 2004.The value-added culture is
not spreading in a consistent way across Europe. In most Mediterranean countries
people still have the desire to have a whole fish on their plate and processing can cut
the value. 63 However, generally, value-added products are year by year taking a greater
share especially within the chilled fish sector. From the available information, we
estimate that within the EU, the UK has the largest processing industry, followed by
Spain. 64 A considerable export market exists for processed seafoods. Norway’s
international sales have been greatly aided by the establishment and development of a
premium brand. Obviously far more detailed analysis would have to be performed to
ascertain individual countries’ processing output accurately. As a result some individual
countries’ values may be inflated or deflated.
Challenges for smaller producers such as Ireland include the need to develop and/or
invest in automation and increase production to achieve both economy of scale,
volumes and continuity of supply required by the major European supermarket
chains.The processing industry is an important employer in coastal communities
within Ireland. Our estimates for Irish activity seem to correspond fairly closely with
the BIM data.The Irish processing activity was worth €287 million in 2004. 65
Due to the major differences in labour costs, it is sometimes cheaper for European
countries to export unprocessed products to the Far East and Eastern Europe for
processing and re-import, rather than process at home.
63
Intrafish,‘Value Added Seafood Trends’, November 11 2004.
64
Eurostat
65
Based on DWL estimates.