A new report from Rabobank looks at the changing role of fishmeal, the use of which is being rationalised because of high prices driven by falling supply and rising demand.

“As fishmeal becomes a strategic ingredient, its historical correlation to alternative vegetable-based protein sources is likely to wane, as has already been the case for fish oil and vegetable oils. This would have implications for many players in both the aquaculture and wild catch industries,” says seafood analyst Gorjan Nikolik.

The report makes the following predictions:

For aquafeed producers, minimising the use of fishmeal and fish oil while maintaining performance is a key success factor.

In the global aquaculture industry, only fish that require lower priced feed with a low inclusion rate of marine ingredients, or fish that attract a very high price will be considered for future production.

Pelagic harvesters, especially in regions with well-managed fish stocks, may see increased valuation of their quotas. Strategic investments are likely by players deliberately choosing to control fishmeal and fish oil production assets.

Suppliers of possible future alternatives, such as micro algae-derived proteins and oils, may find a lucrative market in the aqua feed industry sooner than expected.

The full report is available to business customers from Rabobank Food & Agribusiness Research and Advisory. Email: fm.global.FAMarketingMedia@rabobank.com