Thai Union Dissolves Low-Profit Subsidiary in China

Thai Union has announced the liquidation of its subsidiary in China due to insufficient profit margins, as revealed in a statement released on May 30 by the Samut Sakhon, Thailand-based seafood conglomerate.

Company Announcement

In a statement posted on the Stock Exchange of Thailand, Thai Union disclosed its plans for an early termination and liquidation of Thai Union China Company Limited (TUC), a wholly owned subsidiary. The decision, approved in the executive committee meeting on May 10, 2024, is part of the company’s strategy to divest from low-profit businesses and redirect resources toward more promising growth opportunities.

Thai Union President and CEO Thiraphong Chansiri stated, “The executive committee meeting approved the dissolution of TUC to scale down our low-profitability businesses and reinvest in other growth opportunities. The registration of dissolution is expected to be completed by June 2025.”

Financial Performance of TUC

Thai Union China Company Limited has a capital value of CNY 166.7 million (USD 23 million, EUR 21.2 million). In 2023, TUC reported sales of THB 400 million (USD 10.9 million, EUR 10 million), a growth from THB 300 million (USD 8.2 million, EUR 7.5 million) in 2022 but a decline from THB 800 million (USD 21.7 million, EUR 20 million) in 2021, according to Thai Union’s annual report.

History of Thai Union in China

Thai Union initially entered the Chinese market with its own-brand products in 2017, following the termination of a joint venture with the Philippines-based Century Pacific, which supplied the Chinese market with canned seafood. The company expanded its presence in China through a partnership with e-commerce platform Tmall to sell Chicken of the Sea products online. In 2019, Thai Union furthered its footprint by collaborating with Alibaba Group’s Shanghai Win-Chain in a seafood supply agreement.

At the time, Chansiri emphasized the strategic importance of the Asian market, particularly China, for the company’s growth. “Asia, especially China, is very important to our future growth, with the seafood market expanding steadily. Thai Union is very pleased to join hands with Win-Chain to provide our highest-quality seafood to Chinese consumers,” he said.

Recent Financial Performance

Despite the liquidation of TUC, Thai Union has experienced a robust first quarter in 2024, reporting higher profits and sales. However, the company faced financial setbacks due to its decision to sell its stake in the Red Lobster restaurant chain at a considerable loss.

Currently, Thai Union is engaged in a share-repurchase program initiated in January 2024, under which it aims to buy back 200 million shares by June 30, 2024. As of May 31, the company has repurchased 131.4 million shares for THB 1.9 billion (USD 51.6 million, EUR 47.6 million).

Strategic Focus Moving Forward

The dissolution of TUC represents Thai Union’s strategy to optimize its business portfolio by shedding underperforming assets and focusing on areas with higher growth potential. By reallocating resources from low-margin operations in China, the company aims to strengthen its market position and enhance profitability in more lucrative sectors.


Thai Union’s decision to dissolve its Chinese subsidiary highlights the company’s commitment to strategic realignment and growth. As the seafood market in Asia continues to expand, Thai Union’s focus on high-quality, high-margin products positions it well for future success. The liquidation of TUC, coupled with ongoing investments in growth opportunities, reflects a proactive approach to navigating the competitive landscape of the global seafood industry.

Read: Thai Union Counters Red Lobster’s Mismanagement Claims

Posted on Categories Seafood

Meat, Seafood & Dairy Protein Report

International Meat News


In March, U.S. beef exports reached 108,218 metric tons, marking a 10% decrease from the substantial volume recorded a year earlier. However, this was still the highest monthly total for 2024. The export value stood at $889.9 million, slightly down by 0.3% year-over-year but representing the highest value since June 2023. For the first quarter of 2024, beef exports amounted to 311,865 metric tons, a 4% decline from the previous year. Notably, the export value surged by 6% to $2.48 billion.

USMEF President and CEO Dan Halstrom highlighted the robust beef demand in the Caribbean, noting a strong recovery in the Middle East and positive trends in Korea and Japan. He remarked, “Despite supply challenges, the international value of U.S. beef is highly encouraging, as shown by March’s export value surpassing $450 per head.”

March was a standout month for U.S. beef exports to the Caribbean, which saw a 16% year-over-year increase to 3,398 metric tons, the third highest on record. The export value rose 12% to $31.1 million, the second highest on record. This growth was driven by record exports to the Dominican Republic, which jumped 17% to 1,238 metric tons, with export value skyrocketing 30% to a record $15.4 million. First-quarter exports to the Caribbean increased 18% in volume and 14% in value, with significant gains in the Netherlands Antilles, Leeward-Windward Islands, Cayman Islands, Barbados, and Turks and Caicos Islands. Trinidad and Tobago saw dramatic growth in beef variety meats.

The Middle East experienced a significant rebound in demand for U.S. beef, with March exports up 30% year-over-year to 5,342 metric tons and export value rising 22% to $22.2 million. First-quarter exports to the region increased 41% in volume and 40% in value, driven by larger beef variety meat shipments to Egypt and substantial muscle cut exports to the UAE, Kuwait, and Qatar.

Although March beef export volume to Mexico fell for the first time in 15 months, the market performed well with 16,628 metric tons, down 5%, but export value increased 3% to $100.2 million. First-quarter exports to Mexico rose 12% in volume and 18% in value. Brazil has emerged as a significant supplier, becoming the second-largest beef supplier to Mexico since gaining access last year.

Other first-quarter results for U.S. beef exports included:

  • March beef export value per head of fed slaughter was $454.62, up 14% year-over-year, the highest since July 2022. The January-March average was $407.91 per head, up 9%.
  • Exports accounted for 15% of total March beef production and 12.6% for muscle cuts, up from 14.6% and 12.3%, respectively, a year ago. First-quarter exports accounted for 13.9% of total production and 11.6% for muscle cuts, slightly down from last year.

Despite a decline in volume, beef exports to South Korea achieved higher value. March exports totaled 22,105 metric tons, down 14% year-over-year, but value increased 5% to $211.2 million. First-quarter exports to Korea were down 8% in volume but up 10% in value.

March beef exports to Japan edged higher in value at $168.6 million, up 1% year-over-year, despite a 7% decline in volume to 21,412 metric tons. First-quarter exports to Japan fell 10% in volume but were only slightly down in value due to a weak yen impacting consumer purchasing power.

March beef exports to Central America decreased in volume but increased in value, driven by strong growth in Guatemala and Panama. First-quarter exports to the region rose 4% in volume and 15% in value.

First-quarter beef exports to Canada dipped slightly in volume but saw a significant 17% increase in value.

March beef exports to Taiwan slumped in volume and value, pushing first-quarter exports 18% below last year’s pace in volume and 6% in value.

March beef exports to China/Hong Kong fell in both volume and value, with first-quarter exports down 7% in volume and 2% in value.

First Quarter Lamb Exports

March lamb exports were 35% below last year at 246 metric tons, with export value down 5% to $1.5 million. However, first-quarter exports fell only 5% in volume but increased 19% in value, led by growth in the Caribbean, Mexico, and Canada.

International Seafood Market News

Despite South China Sea Standoff, Filipino Officials Attend Fishery Talks in China


In a surprising move amid heightened maritime tensions, the Philippines has accepted China’s invitation to participate in a forum on sustainable fisheries in the South China Sea. This comes even as Filipino and Chinese vessels are engaged in escalating confrontations in the contested waters.

Recently, over 100 Filipino fishing boats were blocked by Chinese navy vessels from entering the Scarborough Shoal, a disputed territory claimed by both nations in the South China Sea. Despite these clashes, senior fishery officials from the Philippines, along with representatives from Brunei, Cambodia, Indonesia, Malaysia, Myanmar, and Thailand, attended the forum hosted on May 9 by the South China Sea Fisheries Research Institute, part of the Chinese Academy of Fisheries.

The forum, held in Fangchenggang, a port city near the Vietnamese border in the Guangxi region, focused on sustainable fisheries management. The attendees discussed strategies for reviving fish stocks and were invited to witness the annual release of fish fry by Chinese and Vietnamese officials, marking the start of a joint effort to rejuvenate fish populations in the Gulf of Tonkin (Beibu Gulf).

Fangchenggang has become a crucial trade bridge between China and Vietnam, attracting numerous Chinese companies relocating manufacturing operations to take advantage of cheaper labor and better access to U.S. and E.U. markets. The city is home to major seafood industry players, including Xianmeilai Food Co. and Haishitong Fishery (Guangxi Hiseaton Foods Co.).

Wang Xueguang, vice president of the China Aquatic Products Processing and Marketing Alliance (CAPPMA), highlighted Southeast Asia’s growing importance as a trading partner for Chinese seafood companies. He emphasized the region’s role in the future of China’s seafood trade during his remarks at the forum.

This forum signifies a complex interplay of diplomacy and economic interests, where collaborative efforts in fisheries management continue despite ongoing territorial disputes. It underscores the necessity for regional cooperation in ensuring the sustainability of shared marine resources in the South China Sea.

International Dairy News

Northern Ireland’s Largest Agri-Food Investment to Boost Cheddar Production


Dale Farm, a leading dairy cooperative in Northern Ireland, has announced a monumental £70 million investment to expand its cheddar cheese facility at Dunmanbridge in County Tyrone. This investment, the largest ever in Northern Ireland’s agri-food industry, aims to increase cheddar cheese production by an impressive 20,000 tonnes annually.

Dale Farm, owned by 1,280 farmer members, processes nearly 1 billion litres of milk each year. The cooperative reported an annual turnover of £728 million in 2023, reflecting its significant growth and robust market presence.

Largest Investment in Northern Ireland’s Agri-Food Industry

This substantial investment will integrate state-of-the-art technologies and equipment at the Dunmanbridge site, significantly boosting production capacity while achieving notable sustainability gains. The expansion aligns with Dale Farm’s strategy to solidify its position as a leading European cheddar manufacturer.

Nick Whelan, Dale Farm’s Group Chief Executive, emphasized the cooperative’s commitment to quality and sustainability. “Dale Farm has built a strong reputation in cheddar production, and this investment will support our growth and capability, positioning us as a leading cheddar player in Europe,” Whelan said. He added that the dedication and ingenuity of the Dale Farm team are crucial to the cooperative’s success, with exports already reaching 40 countries worldwide.

Expansion Details

The expansion project, already underway and scheduled to be operational by February 2025, includes:

  • A new high-speed automated cheese slicing line
  • Increased warehouse space
  • Investment in new patented products and processes

The facility’s increased capacity will also enhance its whey protein concentrate production. The integration of advanced energy-efficient technologies and new production processes is expected to reduce the site’s carbon footprint by an estimated 4,500 tonnes per year compared to milk powder production.

Whelan stated, “We aim to lead the sector in Northern Ireland and beyond, cementing our region as a global leader in quality, sustainability, and innovation. This expansion will significantly reduce our carbon footprint, marking another milestone towards our journey to net zero.”

Implications for the Dairy Industry

This expansion comes on the heels of several years of impressive growth for Dale Farm, driven by strong customer demand across the UK, Europe, and other global markets. The cooperative’s continuous improvement in technology and sustainability practices highlights its commitment to future-proofing its operations and maintaining its competitive edge in the global market.

International Container Shipping News

Booming May Rates Mask Looming Capacity Bomb


Since 2 May, container shipping rates have surged by 28.8% due to congestion at Asian ports, increased U.S. import demand, reduced capacity from Asia to Europe, and geopolitical risks in the Red Sea. This spike, however, hides a potential overcapacity issue looming on the horizon.

Drewry Shipping consultants reported that container freight rates had fallen by 2.6% week-on-week between 25 January and early May, boosting the financial performance of shipping companies and their share prices by 19% year-to-date. However, these rising rates are driven by short-term factors like Asian port congestion, empty container repositioning, and a capacity squeeze on European trades resulting from Red Sea diversions.

Capacity Challenges

Alphaliner highlighted that despite the delivery of 1.14 million TEUs of new capacity this year, the three major shipping alliances—Ocean Alliance, 2M, and THE Alliance—still lacked 36 ships to fully staff their 25 Asia-Europe loops as of 10 May. If Suez Canal transits resume, carriers could redeploy approximately 54 vessels, totaling around 764,100 TEUs.

Stefan Verberckmoes, an Alphaliner analyst, warned of a potential overcapacity issue if the Red Sea diversions are resolved, noting that carriers have restructured their networks with new rotations considering the Cape route. An additional 2 million TEUs are expected to be delivered this year, which will help mitigate the current 10% shortage on Asia-Europe routes.

Verberckmoes also noted that extra tonnage is needed for services from India to Europe and from Asia to the U.S. East Coast, which will help balance the capacity. He expects a strong peak season, indicating that the additional capacity is still needed.

Current Situation and Future Outlook

As of 10 May, Asia to Europe services operated by the three main alliances involved 340 ships, 36 short of the required number for 25 loops, forcing lines to cancel 9.6% of all weekly sailings. The Ocean Alliance was short of 20 ships, while 2M and THE Alliance each needed eight more vessels. To address the capacity discrepancy, Maersk and MSC have resumed vessel sharing agreements.

Contributing Factors to Rate Spikes

In addition to the Red Sea crisis and vessel shortages, other factors have contributed to the spike in freight rates:

  1. Rising Consumption in China: During the Labour Day holiday (1-5 May), consumption surged due to government incentives promoting home renovations and the replacement of old goods. Subsidies up to CNY 10,000 (US$1,380) for electric or hybrid vehicles boosted sales of vehicles, home appliances, and furniture by 5-8%. E-commerce sales grew nearly 16% year-on-year, and Shanghai port’s throughput increased by 4% in April to 4.18 million TEUs.
  2. Canadian Railroad Strike Threats: Concerns over a potential strike by Canadian rail workers pushed up Transpacific rates. Canadian National Railway and Canadian Pacific Kansas City are negotiating with Teamsters Canada Rail Conference to avert the strike planned for 22 May.
  3. Increased U.S. Consumer Demand: U.S. containerized imports are rising, driven by strong consumer demand. The National Retail Federation reported that March import volume at major U.S. ports reached 1.93 million TEUs, a nearly 19% increase from the previous year. KOBC expects U.S. demand fundamentals to continue improving, potentially exceeding 2 million TEUs by the third quarter.

These factors illustrate the complex and dynamic nature of global shipping markets, where short-term disruptions can mask longer-term capacity challenges. Stay informed with our newsletter for the latest updates and insights into the shipping industry.

For more: Go to ESSFeed Market Reports

Red Lobster Files for Bankruptcy

Red Lobster Files for Bankruptcy Amid Financial Struggles

Red Lobster, once a pioneer in bringing affordable seafood to middle-class America, has filed for bankruptcy. The iconic chain, known for its cheddar bay biscuits, crab legs, and shrimp dishes, reported having over $1 billion in debt and less than $30 million in cash on hand. The company plans to sell its business to its lenders and secure financing to continue operations, although more restaurant closures are expected.

Rise of a Seafood Giant

Red Lobster was founded in 1968 by Bill Darden, a key figure in the casual dining revolution. The chain quickly expanded during the 1980s and 1990s, becoming the largest seafood restaurant chain in the world. In 2014, Darden Restaurants sold Red Lobster to Golden Gate Capital for $2.1 billion. Since 2020, Thai Union Group, a Thailand-based seafood distributor, has been the largest shareholder, owning 49% of the company.

Financial Troubles and Declining Customer Base

Despite its initial success, Red Lobster has faced numerous challenges in recent years. The number of customers visiting Red Lobster dropped by 30% since 2019, with only a slight improvement post-pandemic. Analysts and former employees attribute this decline to a combination of mismanagement, competition, and economic factors.

The company has struggled under Thai Union’s ownership, facing significant cost-cutting measures and strategic missteps. Thai Union’s cost reductions, while intended to streamline operations, often backfired and hurt sales. A former Red Lobster executive, who requested anonymity, stated that these measures were often “penny wise and pound foolish.”

Management Turmoil

Under Thai Union, Red Lobster experienced a high turnover in its executive team. Since 2021, the company has had five CEOs and saw significant changes in its leadership, including new chief marketing, financial, and information officers, all of whom left within two years. This instability further complicated the company’s efforts to navigate its financial challenges.

Strategic Missteps and Costly Promotions

One of the notable strategic errors was making the $20 endless shrimp promotion a permanent menu item. Traditionally a limited-time offer, this decision resulted in an $11 million loss, significantly impacting Thai Union’s profits. The bankruptcy filing indicates that Red Lobster is investigating the circumstances surrounding this promotion, which management had opposed.

Additionally, Thai Union’s decision to eliminate two breaded shrimp suppliers in favor of an exclusive deal with higher costs also contributed to the financial strain. This decision did not align with Red Lobster’s typical process of selecting suppliers based on projected demand, leading to increased operational costs.

Competitive Pressures

The rise of fast-casual chains like Chipotle and quick-service restaurants like Chick-fil-A over the past two decades has also squeezed Red Lobster. According to Technomic, a restaurant research firm, casual dining’s share of total restaurant industry sales dropped from 36% in 2013 to 31% in 2023. This shift reflects changing consumer preferences and heightened competition, which have further challenged Red Lobster’s market position.

Bankruptcy and Future Plans

Red Lobster has been signaling its financial distress for months. In January, the company brought in Jonathan Tibus, a restructuring expert, to assess its business. Tibus was appointed CEO in March. Last week, Red Lobster began shutting down 93 restaurants in preparation for its bankruptcy filing.

As the company ran out of cash, it stopped paying vendors last year. In its bankruptcy petition, Red Lobster outlined plans to stay afloat with a $100 million financing agreement. This agreement aims to provide the necessary funds to continue operations while the company restructures its business.

The bankruptcy filing acknowledges that Red Lobster has “a bloated and underperforming restaurant footprint” and cites the difficult economic environment and increased competition as significant factors in its financial struggles. The company plans to sell its business to its lenders, who will then provide the financing needed to keep the remaining restaurants operational.

Customer Reactions and Market Impact

The news of Red Lobster’s bankruptcy has elicited strong reactions from its loyal customer base. Known for its affordable and accessible seafood, Red Lobster has been a staple for many middle-class families. Customers have expressed disappointment and concern over the potential loss of their favorite dining spots.

The impact on the market is significant, as Red Lobster’s financial woes reflect broader trends in the casual dining sector. The company’s struggles highlight the challenges traditional restaurant chains face in adapting to changing consumer preferences and a competitive landscape dominated by fast-casual and quick-service options.


Red Lobster’s bankruptcy marks a critical juncture for the company and the broader casual dining industry. The chain’s efforts to restructure and secure financing will determine its future viability. As Red Lobster navigates this challenging period, its ability to adapt to market demands and rectify past missteps will be crucial.

The restaurant industry will be closely watching Red Lobster’s progress, as its fate could signal broader implications for other casual dining chains facing similar pressures. For now, Red Lobster’s loyal customers and stakeholders await the outcome of the bankruptcy proceedings, hoping for a turnaround that preserves the iconic brand’s legacy.

Read: Thai Union Group Announces Exit from Red Lobster Investment

Source: CNN

Posted on Categories Seafood

Mowi Norway Faces “Perfect Storm” of Challenges in Q1 2024


Mowi Norway encountered an exceptionally challenging first quarter in 2024, characterized by winter sores, severe jellyfish incidents, and harsh weather conditions. Despite these obstacles, the company remains optimistic about achieving its full-year projections. Mowi CEO Ivan Vindheim shared the quarterly results in Bergen, Norway, highlighting the resilience of the company in navigating these environmental hurdles.

Unprecedented Environmental Challenges

Mowi Norway faced a unique set of challenges in Q1 2024 that significantly impacted operations. Winter sores, caused by harsh weather conditions, and severe incidents involving string jellyfish created a “perfect storm” of difficulties. An unusually cold and stormy winter exacerbated these issues, presenting significant hurdles for Mowi’s Norwegian farms.

Vindheim acknowledged the tough quarter, stating, “We landed on our feet after a quarter which will go down in history as one of our more challenging quarters.” Despite these environmental challenges, Mowi’s other farming regions demonstrated much stronger performances, underscoring the company’s overall resilience.

Impact on Operations and Prices

The harsh environmental conditions in Norway affected Mowi’s production and operations. The winter sores and jellyfish incidents led to reduced fish health and higher mortality rates, impacting the company’s output. Additionally, the cold and stormy weather conditions disrupted farming activities, further complicating the situation.

These challenges also had a ripple effect on prices. The reduced supply of healthy fish and the operational disruptions led to fluctuations in market prices. However, Mowi’s diversified operations across different regions helped mitigate the overall impact on the company’s financial performance.

Strong Performance in Other Regions

While Mowi Norway struggled with environmental challenges, the company’s other farming areas recorded much better performances. These regions benefited from more favorable conditions, leading to higher production levels and better fish health. The strong performance in these areas helped balance the difficulties faced in Norway, contributing to the company’s overall stability.

Vindheim highlighted the importance of diversification in Mowi’s operations, noting that the strong results from other regions provided a crucial buffer against the challenges in Norway. This diversification strategy ensures that the company can withstand localized issues and maintain overall performance.

Outlook for the Full Year

Despite the tough start to the year, Mowi remains confident in achieving its full-year projections. Vindheim expressed optimism about the company’s ability to recover and meet its targets. The steps taken to address the challenges in Norway and the strong performance in other regions provide a solid foundation for future growth.

“The first quarter was undoubtedly tough, but we have proven our resilience and ability to adapt,” Vindheim said. “We are on track to hit our full-year projections and continue delivering value to our shareholders.”

Mitigating Future Risks

Mowi is taking proactive measures to mitigate similar risks in the future. The company is investing in advanced monitoring systems and better infrastructure to withstand harsh weather conditions and jellyfish incidents. These investments aim to improve the resilience of Mowi’s operations and ensure sustainable production.

Additionally, Mowi is enhancing its biosecurity measures to prevent and manage winter sores more effectively. By focusing on fish health and environmental management, the company aims to reduce the impact of similar challenges in the future.


Mowi Norway’s first quarter of 2024 was marked by significant challenges due to severe environmental conditions. However, the company’s ability to navigate these difficulties and remain on track for its full-year projections highlights its resilience and strategic strength. With ongoing investments in risk mitigation and strong performances in other regions, Mowi is well-positioned to achieve its goals and continue its trajectory of growth.

The first quarter’s difficulties will be remembered as a testament to Mowi’s resilience and adaptability in the face of unprecedented challenges. As the company moves forward, it remains committed to delivering value and maintaining its leadership position in the global salmon industry.

Read: Navigating the Waters: The Titans of Global Aquaculture



Posted on Categories Seafood

John West’s New MD

Mark Doherty steps into the role of Managing Director at John West, bringing extensive experience in the grocery industry. His appointment signals a new era for the renowned seafood brand under Thai Union Group’s leadership.

Mark Doherty’s Appointment

Mark Doherty, formerly Commercial Director at John West, assumes the position of Managing Director effective March 12, 2024. With 15 years of tenure at John West, including six years as Commercial Director, Doherty’s promotion underscores his dedication and contributions to the company’s success.

Doherty’s Professional Journey

Mark Doherty boasts over 25 years of experience in the grocery sector, having managed various retail channels and worked across diverse food categories. Before joining John West, a subsidiary of Thai Union Group, Doherty held roles at prominent companies such as Northern Foods, Nestlé, and Anheuser Busch, enriching his expertise in the industry.

Thai Union’s Endorsement

Paul Reenan, President of Thai Union Europe, expresses confidence in Doherty’s capabilities, citing his appointment as a testament to Thai Union’s commitment to nurturing talent. Doherty’s leadership is poised to drive John West’s continued growth and innovation in delivering healthy, high-quality seafood products to consumers worldwide.

About Thai Union Group

Thai Union Group stands as a global seafood leader, renowned for its commitment to quality, innovation, and sustainability. With a diverse portfolio of brands including Chicken of the Sea, John West, and Petit Navire, Thai Union serves customers across the globe, maintaining a workforce dedicated to pioneering sustainable practices.

Sustainability Commitment

Thai Union’s sustainability efforts, exemplified by its SeaChange® 2030 strategy, underscore its dedication to environmental stewardship. Recognized for its sustainability initiatives, Thai Union is a member of the United Nations Global Compact and plays a pivotal role in organizations like the International Seafood Sustainability Foundation and Seafood Business for Ocean Stewardship.


Mark Doherty’s appointment as Managing Director of John West marks a significant milestone for both him and Thai Union Group. With his wealth of experience and leadership acumen, Doherty is poised to steer John West toward further success, aligning with Thai Union’s commitment to delivering sustainable, innovative seafood products globally.

Related: Top 10 Largest Seafood Producers in the USA

Source: Seafood Source

Posted on Categories Seafood

SalMar’s Innovative Salmon Living Lab

Aquaculture giant SalMar unveils a groundbreaking initiative, the “Salmon Living Lab,” fostering collaboration and innovation across the salmon industry.

Collaboration for Progress

SalMar invites industry leaders to join its “Salmon Living Lab,” aimed at fostering collaboration and knowledge sharing among various stakeholders. Cargill, a global food corporation, becomes the initiative’s inaugural partner.

Addressing Industry Challenges

Gustav Witzøe, SalMar’s founder, underscores the pressing need to confront industry challenges. Despite past successes, increasing fish mortality, welfare concerns, and rising feed conversion ratios highlight critical gaps in knowledge about salmon, the industry’s cornerstone.

Financial Commitment to Innovation

SalMar pledges a substantial investment of NOK 500 million to kickstart the initiative, demonstrating its dedication to driving positive change. Future costs will be shared among participating parties, yet specifics regarding contributions and the center’s location remain pending.

SalMar’s Extensive Industry Involvement

As the world’s second-largest Atlantic salmon farmer, SalMar plays a pivotal role across the salmon value chain, encompassing genetics, egg production, processing, and more. This comprehensive involvement positions SalMar as a key player in shaping the industry’s future.

Partnership with Cargill

Cargill, a longstanding partner of SalMar, lauds the Salmon Living Lab as a testament to their enduring collaboration. Helene Ziv-Douki, Cargill Aqua Nutrition President, emphasizes the potential for joint efforts to enhance animal welfare and foster sustainable industry growth.

Driving Animal Welfare and Sustainability

The partnership between SalMar and Cargill aims to drive meaningful impact by addressing pressing industry challenges. Through collaborative initiatives like the Salmon Living Lab, they strive to advance animal welfare standards and promote sustainable growth in the aquaculture sector.

Collective Action for Industry Progress

In a rapidly evolving industry landscape, collaboration emerges as a cornerstone for addressing shared challenges. The Salmon Living Lab sets the stage for collective action, uniting industry leaders in a concerted effort to overcome obstacles and drive positive change.


Top 10 Largest Seafood Companies in the World

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Posted on Categories Seafood

Thai Union’s ASC Certification Marks Sustainability Triumph

Thai Union achieves a significant milestone as the first Asian producer to secure Aquaculture Stewardship Council (ASC) certification for its Mahachai Plant, marking a step towards sustainability in feed production.

Introduction to ASC Certification

The Mahachai Plant, situated in Thailand’s Samut Sakhon province, earns ASC Feed Standard certification, showcasing Thai Union’s commitment to environmental and social responsibility in feed production.

Rigorous Audit Process

Thai Union undergoes a thorough audit process conducted by Control Union, ensuring compliance with the ASC Feed Standard’s stringent environmental and social requirements.

Implications for the Aquaculture Industry

ASC CEO Chris Ninnes highlights the significance of Thai Union’s certification, emphasizing its contribution to promoting responsible shrimp farming practices and enhancing sustainability in the aquaculture industry.

Thai Union’s Commitment to Sustainability

Peerasak Boonmechote, CEO of Thai Union Feedmill, underscores the company’s dedication to sustainability, aligning with its global sustainability strategy, SeaChange® 2030, and reinforcing its position as an industry leader.

Incentives for Compliance

Thai Union benefits from the ASC’s incentive program, exempting certified feed mills from license fees on compliant feed production in 2024, further incentivizing sustainable practices in the aquaculture sector.

ASC’s Feed Standard Requirements

An overview of the ASC’s Feed Standard requirements, emphasizing the importance of environmentally responsible raw materials and socially responsible sourcing in feed production.

Transition for Fish Farmers

ASC-certified fish farmers have until October 2025 to ensure their feed supply originates from certified mills, underscoring the imperative of sustainable sourcing throughout the aquaculture supply chain.

Innovative Decarbonization Initiative

Thai Union launches the Shrimp Decarbonization initiative in collaboration with The Nature Conservancy and Ahold Delhaize USA, aiming to reduce greenhouse gas emissions in the shrimp supply chain.

Pilot Program Objectives

The pilot program targets significant reductions in greenhouse gas emissions while maintaining product quality standards, reflecting Thai Union’s commitment to environmental stewardship.

Leadership in Sustainability

Adam Brennan, Chief Sustainability Officer at Thai Union, emphasizes the transformative potential of sustainable practices, positioning Thai Union as a pioneer in driving sustainability within the seafood industry.


Top 10 Largest Seafood Companies in the World

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Trident Seafoods Initiates Sale of Alaska Plants

Trident Seafoods, a prominent player in Alaska’s fishing industry, has announced its intention to sell three of its shoreside plants in the state. The decision, part of a broader restructuring initiative, marks a significant development for the company and the local communities involved. Despite the challenges posed by declining salmon prices, Trident Seafoods is actively engaged in negotiations with potential buyers, aiming to ensure a smooth transition that prioritizes the well-being of its employees and maintains its commitment to Alaska’s seafood sector.

Strategic Restructuring Amidst Industry Challenges

In December 2023, Trident Seafoods revealed its plans to divest four processing facilities in Alaska. This strategic move follows a period of volatility in the fishing industry, underscored by plummeting salmon prices. By seeking buyers for these plants, Trident aims to streamline its operations and position itself for long-term sustainability in a competitive market environment. The decision, though unsettling for some, reflects the company’s proactive approach to adapt to evolving industry dynamics.

Navigating Sale Negotiations

As Trident Seafoods progresses towards finalizing the sale of its Alaska plants, company officials emphasize their commitment to securing suitable buyers who will uphold standards of excellence and community integration. CEO Joe Bundrant underscores the importance of ensuring a seamless transition for both the fleet and employees, highlighting the company’s dedication to responsible business practices. With negotiations nearing completion for plants in Petersburg, Ketchikan, and False Pass, Trident Seafoods demonstrates its proactive stance in minimizing disruptions to operations and livelihoods.

Complexities and Considerations in Kodiak Plant Sale

While the sale of three plants advances steadily, Trident faces unique challenges in negotiating the sale of its Kodiak facility. As the largest and most intricate of the four plants, with year-round operations supporting multiple species, the due diligence process is understandably more extensive. Despite the complexity, Trident remains optimistic about the outcome, assuring stakeholders of continued support during the transition period. The company’s commitment to maintaining market access for Kodiak’s salmon season underscores its dedication to sustaining local economies and ensuring the security of its workforce.

Long-Term Commitment to Alaska

Throughout the sale process, Trident Seafoods reaffirms its enduring commitment to Alaska and its fishing communities. By consolidating operations and pursuing strategic partnerships, the company aims to optimize resource allocation and foster sustainable growth in the seafood sector. CEO Joe Bundrant emphasizes the symbiotic relationship between Trident and Alaska’s fishermen and communities, emphasizing a shared vision for long-term prosperity. As Trident navigates the complexities of restructuring, its unwavering dedication to supporting local stakeholders underscores its role as a responsible steward of Alaska’s marine resources.

Conclusion: A Path Forward for Trident Seafoods

Trident Seafoods’ decision to sell its Alaska plants signifies a pivotal moment for the company and the broader fishing industry. By embracing strategic restructuring, Trident positions itself for resilience in the face of market challenges while reaffirming its commitment to Alaska’s economic vitality. As negotiations progress and sale agreements near completion, Trident Seafoods remains focused on ensuring a smooth transition that prioritizes the well-being of its employees and the communities it serves. With a long-term vision guiding its actions, Trident Seafoods stands poised to continue its legacy of excellence in Alaska’s rich maritime heritage.

Related: Largest Seafood Companies in USA – Top 10 List

Posted on Categories Seafood

Thai Union Reports Significant Losses

Thai Union Reports Losses in Q4 2023

Thai Union, an international food and beverage manufacturing company, faces significant losses, largely attributed to its investment in Red Lobster.

Background: Investment in Red Lobster

Thai Union increased its stake in Red Lobster in 2020 but faced challenges due to poor performance. In January 2024, it announced plans to exit the strategic partnership with Red Lobster Master Holdings.

Factors Impacting Red Lobster’s Performance

A combination of factors, including the Covid-19 pandemic, industry challenges, higher interest rates, and rising costs, contributed to Red Lobster’s prolonged negative financial performance.

Decision to Divest and Impairment Charge

Thai Union’s decision to divest from Red Lobster came after a thorough review highlighted discrepancies between Red Lobster’s financial demands and Thai Union’s priorities. The company recorded a significant impairment charge as a result.

Continued Losses and Rising Financial Burden

In Q4 2023, Thai Union’s losses from Red Lobster increased, reflecting ongoing financial challenges within the chain. The decision to divest signals a strategic shift for Thai Union.

Related: Top 10 Largest Seafood Companies in the World

BioMar’s Best Ever Year

BioMar Achieves Record Success in 2023

BioMar, a leading aquafeed company, announces its best-ever yearly results following a strong Q4 performance.

Impressive Financial Performance

Despite similar volumes and revenue to previous years, BioMar boosts EBITDA by 26%, surpassing market guidance and achieving a turnover of DKK 20 billion.

CEO’s Satisfaction and Strategic Focus

Carlos Diaz, CEO of BioMar, expresses satisfaction with the company’s performance, highlighting proactive market development and improved commercial activities.

Focus on Sustainability and Partnerships

BioMar emphasizes the importance of long-term business relationships and sustainability. Diaz underscores the significance of partnerships with suppliers and customers committed to sustainability.

Prioritizing Quality Over Volume

BioMar prioritizes long-term collaborations with core customers over volume expansion. Diaz emphasizes the company’s commitment to building a healthy business while advancing sustainability goals.

Related: Top 10 Largest Seafood Producers in the USA

Posted on Categories Seafood
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