1. Tilapia Production and Markets
Kevin Fitzsimmons, Ph.D.
Professor, University of Arizona
Vice President, American Tilapia Association
Past - President, World Aquaculture Society
London
November, 2003 updated for Aug 2005

2. Introduction Quick review of tilapia Explosion in tilapia trade
The US and EU Markets
Value added products
Opportunities to expand markets

3. Tilapia production Currently second in volume to carps
Prediction: Tilapia will become most important aquaculture crop in this century
Widest demand, no religious/cultural concerns, few environmental concerns
More genetic potential
Greatest variety of production systems

6. Major Tilapia Producers (for year 2004)
China – 897,300 metric tons / year
Egypt – 220,000 mt / year
Indonesia – 169,310 mt / year
Philippines - 122,277 mt / year
Mexico - 110,000 mt / year
Thailand - 100,000 mt / year
Taiwan Province - 90,000 mt / year
Brasil - 80,000 mt / year

7. Farmed around the world.
Tilapia production in 100+ countries.
China is world’s largest producer.
Philippines, Thailand, Indonesia, Latin America, Middle East significant producers
Germany, Belgium, Spain, Canada, Korea, Japan, most states in US
Total production >2,000,000 mt in 2004

8. Global Tilapia Sales (farmgate)
For year 2000
US $ 1,706,538, (FAO Fisheries Circular No. 886)
2004 sales >$ 3,000,000,000

9. Tilapia - the aquatic chicken
Grows in all kinds of farms
Eats all kinds of food
Large eggs and easy to rear young
Lots of ways to prepare the fish

10. Large cage farms

11. Tilapia-shrimp polyculture farms

12. Ponds and cages

13. Intensive tank culture
Tanks in Arizona
Tanks in California

14. Intensive
raceways
Raceway Systems
Extensive
raceways

15. Intensive farms in buildings in cool climates

16. Intensive farms with recirculation in greenhouses

17. Integrated with crop irrigation

18. How did tilapia get so popular, so fast?

19. Tilapia - The Perfect Aquaculture Storm

20. Miracle of Loaves and Fishes

21. Tilapia widely popular around the world and beyond.
Common names: Tilapia, boulti, mojara, chambo, lou fei, pla nil, St. Peters fish, freshwater and/or red snapper
Used in many cuisine, hundreds of recipes, often replaces over-fished local species
Eggs hatched and fry reared on International Space Station

22. Established market demand
Accepted in many national dishes
Popular in many forms (live, whole, fillets, fresh and frozen, smoked, sashimi, fried skins)

23. Tilapia the “Green” farmed fish
Herbivore / omnivore, low trophic level feeder
Algae, bacteria, and detritus are important food sources
Prepared feeds are mostly grains and ag by-products
Can be reared in high densities, with low water exchange
Disease resistant and tolerant of poor water quality. Anti-biotics and chemicals are rarely used.

24. The “environmental” fish
Promoted by aid agencies and NGO’s
Dr. M. Gupta wins World Food Prize for promotion of tilapia aquaculture, June 10, 2005
Grown mostly in developing countries
Often used in integrated farming systems
Frequently reared in reservoirs and irrigation systems with effluents used for irrigation, reducing fertilizer applications

25. Genetic improvements in tilapia
(From: Mair, G., 2002)

26. Research & Development ISTA 7 (Veracruz, MEXICO Sept 6-8, 2006)
International Symposia on Tilapia in Aquaculture

27. Nutritional quality
USDA has completed a complete highly technical nutritional analysis. Now is preparing nutritional report on tilapia for the general public
New USDA “Pyramid” guidelines further support frequent fish consumption

28. Nutritional quality Moderate in PUFA’s: 0.387 g/100g raw
0.600 g/100g cooked
Moderate omega 3 FA’s: g/100g raw
0.220 g/100g cooked
Source – USDA- ARS Lab
Low in mercury: Tilapia = 0.01 ppm (or non-detect)
Shark = 0.99 ppm
Source FDA

29. US market development
The LAND opens at EPCOT in 1983 – features tilapia culture and on menu in the Good Turn Restaurant
Farms in ID, CA, FL & AZ begin sales to Asian stores and restaurants
Farms in Colombia, Costa Rica, Jamaica Taiwan, and Indonesia begin imports

30. Top Ten Seafoods (U.S.) per capita (lbs)

31. US Tilapia consumption 412,148,000 lbs (187,000 mt) of live weight ,716,000 lbs (229,000 mt) of live weight-2004

32. 19,480 mt fresh fillets, 36,160 mt frozen fillets, 57,2990 mt whole frozen (2004)

33. $174,215,165 (2002) $241,205,610 (2003) $297,413,000 (2004) $ 352,305,388 (est 2005)

34. $176,152,694 imports Jan-June 2005
2005 Imports should be > $ 352,305,388

35. US Sales of tilapia
Imports in 2004 were $297,413,261
US production of $40,000,000 at farm
2004 Total US tilapia sales were over $337,000,000
2005 Sales estimate –
$176,152,694 (Jan-June imports) *2= $352,305,388 + $40,000,000 = $392,000,000

36. Tilapia (May 25, 2005 Madrid Daily)
Europe is following US trend of adopting tilapia as replacement for traditional fishes

37. Major tilapia market segments US vs. EU
Live fish (supplied by US growers)
Fresh fillets (supplied by Ecuador, Honduras, Costa Rica and Panama)
Frozen fillets (supplied by China, Indonesia)
Sashimi grades (supplied by Taiwan)
Live fish (supplied by EU growers)
Fresh fillets (supplied by Jamaica, Ecuador, and Zimbabwe)
Frozen fillets (supplied by China, Indonesia)
Sashimi grades (supplied by Taiwan)

38. Major fillet buyers (US)
Major restaurant chains (Darden Red Lobster, TGI Fridays, Landry’s, Joe’s CrabShack, Ruby Tuesday.)
Major grocery chains (Safeway, Kroger, Winn-Dixie, Wegmans)
Food service (supply small restaurant & grocery chains) - SYSCO, Fleming Co., Shamrock
Brokers - most based in Miami, Tampa, Houston, Los Angeles, San Francisco, New York, Seattle

39. Major fillet buyers (EU)
Major grocery chains (TESCO, Marks & Spencer, INTERMARCHE, Carrefour)
Food service (supply small restaurant & grocery chains) - Youngs
Brokers –Iceland.co
Brands – BirdsEye, Movenpick, iglo

40. Consumer evolution Ethnic buyers (Asian - African)
Up-scale restaurants
Casual dining
Hyper and super markets
Local groceries

41. Expanding markets in the EU
Quality control and assurance
Advertising
Product placement
Endorsements
New recipes
Substitute for snapper, bass, flounder
New value added product forms

42. Quality control and assurance
National standards
ISO and HACCP (Hazard Analysis at Critical Control Points)
Industry standards
Buyer standards
Other (NGO’s)

43. Improved processing plants

44. IQF Fillets in re-sealable packages

45. Tilapia Market Trends $/kg
Prices have been constant or trending down for several years, will not increase with inflation
$/kg

46. Breaded tilapia products

47. Smoked products

48. Advertising

49. Direct retail sales

50. Product placement “Saving Faith” Murder mystery
Detective fixes elegant tilapia dinner to seduce the beautiful blonde.

51. Endorsements Dear Kevin,
I recently began using farm raised Tilapia fillets. I buy these in individual vacuum sealed packages in one pound bags at Wal-Mart. My husband has diabetes and we both are very weight conscious. This fish is the perfect food item for us, I love the way it is packaged, just use what I need for one meal. It is reasonably priced, always available in the market and consistently high quality.
I LOVE THE PRODUCT!!!!
Marian Birnie Aug. 12, 2001

52. New recipes

53. New recipes

54. By-products
Leather goods from skin will become a significant contributor to profitability
Pharmaceuticals from skins
Formed fish products
Fertilizer
Fish meal

55. Flowers made from Tilapia scales

56. Typical prices for Tilapia products sold in the U.S. (August 2005.)

57. Fresh tilapia fillet products
Size (under 3 oz, < 85 g) 3-5 oz, g 4-6 oz, g 5-7 oz, g over 7 oz, > 195 g
Skin on, shallow skin or deep skin
Individual wrap, 2 or 5 kg package, master pack

58. Fresh tilapia fillet product prices FOB Miami
Size (under 3 oz, < 85 g) $ /lb 3-5 oz, g $ /lb 4-6 oz, g $ /lb 5-7 oz, g $ /lb over 7 oz, > 195 g $ /lb
Variation in prices due to skinning, packaging, volumes and history with buyer
Additional variations with terms of payment

59. Mexico - 110,000 mt Tilapia-shrimp farm in Sonora Pond Tilapia farm
in Tamaulipas

60. Markets in Mexico
Raceway system, Tamaulipas
Strong domestic markets; on ice, fillets in grocery stores
All domestic consumption - Will eventually develop export markets.

61. Brasil - 80,000 mt

62. Tilapia production & Markets in Brasil
Production in Southeast and Northeast
Red tilapia in Southeast for fee-fishing and food
Cage farms allowed in NE reservoirs.
Tilapia leather industry
Jump in interest with ISTA 5 in Rio.
Developing export markets.

63. Tilapia production in Ecuador 35,000 mt
Replacing shrimp because of white spot and other shrimp diseases
Using shrimp infrastructure
Exporting to US and EU
Benefits to shrimp culture with polyculture

64. Tilapia production in Ecuador and shrimp viral infections
White Spot
IHHN
Taura

65. Red strains of tilapia most popular
for brackish polyculture systems

66. Tilapia production in outside ponds with shrimp in covered ponds

67. Costa Rica - 15,000 mt
Acuacorporacion ponds in Cañas, Costa Rica

68. Jamaica - 5,200 mt Tilapia production 1980-2001

69. USA  9,000 mt Production in most states
Mostly intensive systems, many recirculating
Sales to ethnic markets as live fish, high value

70. US Tilapia Aquaculture
9,200 mt per year (20,000,000 lbs)
California is largest producer
ID, NC, FL, TX, AZ, NY,PA, MA are also significant producers
Virtually all tilapia in US for live sales
Asian groceries and restaurants are primary market outlets

71. EU / US Supply and Demand TRENDS
Supply of fillets primarily from China, Southeast Asia, South and Central America.
Demand for live fish needs to expand beyond Asian markets
With rapid increases in supply, demand must increase at least as fast to support price.

72. Major Tilapia Producers in International Trade
China - whole frozen, IQF fillets
Ecuador - fresh fillets
Taiwan - whole, IQF, sashimi
South & Central America - fresh fillets
Zimbabwe - Fresh fillets
Indonesia - IQF fillets
Thailand - IQF fillets

73. Current International Market Trends
Increase in demand for all forms of tilapia
Demand increase will be greatest for fresh fillets
Prices have been constant for several years and will remain stable, will not increase with inflation

74. Changes and Predictions
Further intensification in virtually every country

75. Changes and Predictions
EU / US production will increase slowly, intensifying current production methods

76. Changes and Predictions
Polyculture with shrimp will become common in most shrimp farming areas (already practiced in Thailand, Philippines, Mexico, US, Ecuador, Peru, Eritrea)

77. Tilapia - shrimp polyculture

78. Floating cage
Hapa (net pen)

79. Changes and Predictions
Production will be 75% Oreochromis niloticus, 20% Red strains, O. aureus and O. mossambicus mostly for hybridization

80. Changes and Predictions
Production will be 50% intensive ponds, 35% cages, 10% intensive recirculating and tank systems, 5 % other

81. Predictions for Value-added products
Processing and "value-adding" will intensify in producing countries

82. Sashimi

83. Fried tilapia skins

84. Future global tilapia production

85. Thank-you !
Questions?

86. Production of Tilapia in the Americas 2002 (by volume)

87. Tilapia production in the Americas

88. Strain evaluations
For saline waters - Hybrid red strains are preferred
For cage and pond culture Chitralada strain of O. niloticus originally from Thailand and further developed in Brasil.
The GIFT strain of O. niloticus, originally developed in Philippines is most common in Philippines and China
YY Super males - Genetically Male Tilapia

89. Estimated cost of production
China - $0.70/kg
Philippines, Indonesia, Brasil - $0.80/kg
Thailand, Peru - $0.85/kg
Ecuador, Honduras, Costa Rica - $0.90/kg
Mexico - $1.00/kg
Taiwan Province - $1.05/kg
US - $2.00/kg
Canada - $2.10/kg

90. US. Tilapia imports