Markets
Demand for aquaculture is growing
Sustainable food production is one of the biggest challenges today.
Aquaculture plays an increasing role in meeting the global protein demand, which is expected to double by 2050.
Protein demand expected to double by 2050
Fish consumption is growing faster than other protein sources. Aquaculture accounts for 50% of the world's fish used for food.
Source: United Nations, OECD-FAO Agricultural Outlook 2017-2026
Benchmark’s large and growing markets
Our markets in genetics, health and advanced nutrition are an critically important component of the production cycle, and are growing faster than the aquaculture industry. They play a fundamental role in addressing the needs of all key stakeholders.
Producers continuous drive for productivity, profitability and growth
The most important driver of productivity and profitability for fish and shrimp farmers is biological performance, which combines growth, health and survivability. Benchmark’s products deliver substantial value for our customers.
Growing consumer awareness
Consumers today are increasingly concerned with the use of antibiotics, environmental impact, climate change and fish welfare putting pressure on retailers and producers. Benchmark’s focus on developing sustainable solutions aligns the interests of consumers, retailers and producers.
Increasing regulatory standards
Governments want to ensure that the growing aquaculture sector is sufficiently regulated to address sustainability concerns, while continuing to play a key role in satisfying protein demand and in promoting economic growth. Benchmark’s products and services help our customers grow profitably while meeting the evolving regulatory standards.
Strategy
Our vision is to be the leading provider of solutions in genetics, health and specialist nutrition for the global aquaculture market.
We have market leading positions, a portfolio and pipeline of innovative products and a global commercial, production and distribution network that will help us achieve our goal.
Our strategy for the next five years has five key areas:
1) Implement structural efficiencies
2019:
- Appointed advisers for the disposal of the businesses in Knowledge Services, which are non-core
- Streamlined and prioritised our Animal Health pipeline and investment
- Implemented Group-wide cost reduction/containment plan.
2020 Priorities:
- Conclude sale processes for non-core assets
- Rationalise R&D facilities
- Establish partnership agreement for companion animal products
2) Grow in established markets from existing capacity and through partnerships
2019:
- Commercial opening of land-based salmon egg production facility in Norway
- Decision to pursue independent strategy for salmon genetics in Chile following dissolution of joint venture with AquaChile. Assumed ownership of joint venture’s hatchery facility as a platform to establish local production of salmon eggs
2020 Priorities:
- Continue ramp-up of production at land-based salmon egg facility in Norway
- Develop commercial capabilities in advanced nutrition to increase penetration of farm segment with probiotic range
3) Commercial delivery of pipeline products
2019:
- Next generation sea lice treatment (BMK08): Conducted two sets of successful trials across multiple farms in Norway; improved efficiency of CleanTreat® system, and progressed regulatory process in line with plan
- Sea bass/sea bream vaccines — Progressed regulatory approval and manufacturing development towards launch of first vaccine in H1 calendar year 2020
2020 Priorities:
- Obtain marketing authorisation in Norway for BMK08
- Achieve regulatory approval for first sea bass/sea bream vaccine in the Mediterranean market
4) Focused investment in markets that leverage the Group’s platform
2019:
- Shrimp Genetics — Successful trials conducted in Vietnam, Thailand and China
- Commenced production of broodstock in Florida and entered into an agreement with local partners for multiplication and distribution in Thailand
2020 Priorities:
- Completion of shrimp multiplication centre building in Thailand • Launch of SPR shrimp in China and Thailand
5) Position Benchmark in areas of future growth
2019:
- Tilapia — achieved genetics breakthrough to increase resistance to Streptococcus iniae, a major disease in tilapia
2020 Priorities:
- Establish partnership to continue to develop the Company’s tilapia genetics programme
