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Teamwork is required to make Scotland’s seafood sector more profitable, study says

Better coordination between industry players could increase value in the Scottish seafood chain. That is the message from a new study from The James Hutton Institute, Scotland’s interdisciplinary research institute for sustainable land, crop and natural resource management.

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Scottish seafood (photo James Hutton Institute)
Scottish seafood (photo James Hutton Institute)

The study, Building a sustainable and higher-value seafood sector: Insights from a stakeholder dialogue in the Scottish value chain, was conducted as part of the EU-funded project LOWINFOOD – Multi-actor design of low-waste food value chains through the demonstration of innovative solutions to reduce food loss and waste. It sought to understand and identify waste in the industry by engaging with a number of stakeholder groups, including fishers, processors, retailers, innovators and policymakers.

 

They found that improved coordination among stakeholders could further improve resource-use efficiency and economic returns in the seafood industry.

 

The paper recommends that Scotland adopts a cluster model, such as the one currently used in Iceland. This model brings fishers, processors, innovators and researchers together in a neutral space, allowing them to pool resources, share byproducts and attract innovators. In Iceland, the model has helped the industry use more of every cod caught, and created new industries around collagen, enzymes, medical materials and more.

 

According to the study, Scotland generates tens of thousands of tonnes of fish byproducts each year – the heads, skins, guts and trimmings of fish which go uneaten. These byproducts are almost always turned into low-value fishmeal or fish oil, however, with better coordination, they could be turned higher-value products such as collagen, nutraceuticals, cosmetics, pharmaceuticals and specialised ingredients.

 

This opportunity is not fully released because markets for these byproducts have yet to be established, and additional investments required for logistics, sorting and storage are not justifiable for smaller enterprises.

 

Additionally, when labour is limited, processing facilities tend to prioritise filleting larger, premium fish, while diverting smaller fish to lower-value uses, such as fishmeal and fish oil production. 

 

The report concludes: “Before simulating any demand from higher-value industries or initiating large investments, the lack of Scotland-specific statistics around the volume and biochemical characteristics of available byproduct material flows must be addressed. Any future valorisation strategy must also consider how to incorporate small, geographically dispersed volumes into the process, and the role of unsegregated valorisation routes, possibly investigating how to combine multiple processes to extract different chemical compounds from the same biomaterials.”

 

The researchers also advise: “A place-based approach to valorisation would reduce distances between the processors which generate the byproducts, and their potential users. Such approaches would also fit well with the geographical distribution of industry stakeholders and the characteristics of primary production in Scotland, where sea fisheries dominate on the North East, and aquaculture, especially Atlantic salmon, leads on the West Coast.”

Seafood valorisation graphic James Hutton Institute
Seafood valorisation (graphic: James Hutton Institute)

Cluster approach can help maximise value

The study found that initiatives funded and supported by several organisations, such as industry clusters, can help bring together people from across the industry and beyond. They help businesses, policymakers and researchers work together to support innovation and get more value from the catch, while making it easier and more affordable for businesses of all sizes to take part. 

 

This approach has been pioneered in Iceland’s cod industry, but The James Hutton Institute’s report also notes that the recently established Scottish Ocean Cluster holds great potential for bringing the industry together to make the most of seafood by-products.

Dr Nazli Koseoglu
Dr Nazli Koseoglu, The James Hutton Institute

Dr Nazli Koseoglu, one of the study’s lead researchers, said, “The Icelandic Ocean cluster is a promising example of how industry, researchers, and innovators can work together to build a more circular seafood economy.

 

“It was exciting to see during our research that the Scottish seafood industry was willing to move in that direction. 

 

“We should stop using the term ‘waste’ and rather speak of opportunities for circularity and higher value creation that could deliver lasting benefits for coastal communities and the wider economy." 

 

Building a sustainable and higher-value seafood sector: Insights from a stakeholder dialogue in the Scottish value chain, can be read in full on Science Direct.

Why not try these links to see what our Fish Farmer AI can tell you.
(Please note this is an experimental service) 

What role does the Scottish Ocean Cluster play in developing new seafood businesses?Which Scottish companies are turning salmon processing byproducts into higher-value products?What technologies are helping seafood processors reduce waste and improve efficiency?How has Iceland’s cod industry built businesses around seafood byproducts?Which innovations are helping salmon producers create value from processing leftovers?
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