1. Greenland – Iceland New opportunities – distribution network
Greenland – Iceland New opportunities – distribution network September 5th Director of Corporate Relations & HR Jens K. Lyberth

2. Related to our Supply Chain & Logistics:
Royal Greenland in brief
Turnover +5 Billion DKK
2.400 employees located in 17 countries
Truly vertically integrated company, combining fishing with processing, logistics and sales
Logistic key figures
Total logistic costs 309 million DKK
We deliver approx pallets to customers in 45 countries world wide
Royal Grenland do not own any logistic facilities, everything are outsourced to local and international logistic providers
Related to our Supply Chain & Logistics:

3. Fishing & Processing

4. 38 production sites in Greenland
Production facilities in Greenland
15 trawler vessels
38 production sites in Greenland
QAANAAQ
138 tons
+1500 independent fishermen deliver their catches to Royal Greenland’s facilities
UPERNAVIK
4,798 tons
UUMMANNAQ
7,427 tons
ILLULISSAT
6,559 tons
AASIAAT
2,253 tons
QASIGIANNGUIT
2,447 tons
SISIMIUT
5,238 tons
MANIITSOQ
4,752 tons
NUUK
2,589 tons
PAAMIUT
1,553 tons
NARSAQ
231 tons
AAPPILATTOQ
106 tons

5. The total volume has been increasing in recent years
Volumes from Greenland
Royal Arctic Line shipped 76,225 tons of seafood from Greenland to Aalborg, DK in 2016
The total volume has been increasing in recent years

6. Production facilities outside Greenland
Processing of prawns
1 site
Aalborg
Production of seafood in brine and packaging of frozen cold water prawns.
Denmark
Outsourcing
Primarily China & Poland
Special products for the Japanese market, and processed prodcuts for the Europeen market
International
Production & Sourcing
6 sites
Matane &
Newfoundland
Primary species:
snow crab
cold water prawns
whelk
lobster
cod
greenland halibut
herring
capelin
Canada
Roe and packing
2 sites
Cuxhaven
Production of roe and packaging of natural fish.
Primary species:
Lumpfish
Cod
Saithe
salmon
Germany

7. Sales & Logistics

8. Export volumes of Greenlandic products
EUROPE
40,201 tons
NORTH AMERICA
425 tons
ASIA
33,517 tons

9. Net turnover by Sales Channel
Drop size: Retail kg
Drop size: Foodservice kg
Drops size: Industry 16,300 kg

10. Main Supply Chain flows (as-is)
7 DC´s in Europe
DC in Greenland
DC in USA
DC in Canada
Several DC´s in Japan
49 Production Sites
13 Sales officies

11. New opportunities

12. Royal Arctic Lines joint venture with Eimskip

13. Royal Arctic Lines joint venture with Eimskip

14. Potential Reduced transit time from fishing/production to customer
Logistic cost savings
Strategic commitment to creating growth and jobs in Greenland

15. Preconditions for HUB Nuuk

16. Possible scenarios by the new network set-up
Central hub in Nuuk, Reykjavik or Rotterdam with direct shipments to:
Distributions centers in EU
Production platforms in EU
Industry customers in EU & Asia
Warehouse in Denmark will be included as distribution center equally with other distribution centers in the logistic network of Royal Greenland

17. Possibilities Fresh fish (chilled)
Express - Seafreight from Greenlandic plants to either Nuuk or Reykjavik:
High volume airfreight directly to worldmarkets

18. Barriers & Challenges

19. Challenges Authority approval Health Certificates
Mandatory documentation for all exports
As is: Cooperation agreement between Greenland and Denmark
Documents signed and controlled by the Danish veterinary authorities
Local function with veterinarian staff needed!
Business case for cost calculation and preparation
Future competitive freight costs structure in a new set-up
Fix the local freight rate issue in Greenland
Avoid added costs: Forwarding agents, Harbor fees, verterarian costs etc.
Involve the Greenlandic exporters & importers!
4,5 mil. DKK yearly in extra costs, if the port will change from Aalborg to Århus without notice and time preparation. (2 years advice)