1. Global Update 2008: Tilapia Production, Innovations, and Markets Kevin Fitzsimmons, Ph.D. Sec. Tres. American Tilapia Association Past President – World Aquaculture Society Professor, University of Arizona Orlando, FL Aquaculture America Feb 2008

2. Overview F Global perspective F US and EU markets for tilapia products F Processing and packaging changes F New products F Demands on farmers F Future trends

3. Tilapia aquaculture F Second most important farmed fish after the carps F Most widely grown of any farmed fish F Asian countries are major producers and consumers

6. Tilapia the “Green” farmed fish F Herbivore / omnivore, low trophic level feeder F Algae, bacteria, and detritus (bioflocs) are important food sources F Prepared feeds are mostly grains and ag by- products F Promoted by aid agencies and NGO’s F Dr. M. Gupta awarded World Food Prize for promotion of tilapia aquaculture, June 10, 2005 F Disease resistant and tolerant of poor water quality. Anti-biotics and chemicals are not needed for commercial farming.

7. Global production of tilapia

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

10. US Tilapia consumption (imports and domestic) 229,000 mt of live weight (equivalent) - 2004 306,410 mt of live weight (equivalent) – 2005 368,295 mt of live weight (equivalent) – 2006

11. US Consumption of tilapia from domestic and imported sources

12. 23,101 mt fresh fillets, 74,381 mt frozen fillets, 60,772 mt whole frozen (2006)

13. $241,205,610 (2003) $297,413,000 (2004) $392,978,298 (2005) $482,742,515 (2006)

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

15. Tilapia ( June 2007, Tesco, UK ) F $18 US per kg whole fish!!!!

16. Begin quality control on the farm F Reduce or eliminate use of drugs and chemicals F Consider alternatives to methyltestosterone F Use high quality feeds, proper ratio of protein, carbohydrates and fat (minimize fatty deposits) F No contaminates in feed F Maintain water quality, avoid polluted water F Control algae blooms and off-flavor

17. Depuration stage F Check fish for off-flavor at the farm F Move to depuration system, good quality water, no feed, clear fish of off-flavor F Depuration system can be on-farm or at processing plant F Check for off-flavor at processing plant F Check for off-flavor at end of processing

18. Transport to processing plant F Best to transport live F May want to add salt to reduce stress and maintain quality

19. High quality fresh and frozen fillets F Hand trimming of fillets F Buyers are requesting better trim of margins of fillets for more consistent appearance

20. Many fillets are treated with carbon monoxide (CO, also called liquid smoke) F CO infuses into fillet and reacts with myoglobin F Fillet maintains fresh appearance for longer period

21. Carbon monoxide - CO F Especially common at Chinese processors F Initially CO infusion in bags, then moved to cabinets, now retort vessels

22. Carbon monoxide - CO F Rapidly improving the technique, and providing safety to workers F Must be labeled as an additive in US and EU

23. Carbon monoxide F Latest variations are to introduce CO during transport to the processing plant and putting whole fish into CO pressure vessel on receiving dock

24. Demands on farmers and processors F Demand for even more food safety, high quality, “organic” or “green” tilapia products. - Reduce or eliminate use of methyl-testosterone hormone. - No anti-biotics or other chemicals - Reduce environmental impacts - More integrated, re-use water for farming crops - Re-use processing waste products F More value-added tilapia products F More demand for all forms, especially frozen meals F Rapidly increasing demand from Europe

25. Improved quality control: Required for US, EU, and Japan markets F Samples checked for bacterial and chemical contamination F Follow HACCP procedures, ISO, and EU guidelines F Many plants are using ozone dips to reduce surface bacteria

26. Gaining NGO certifications F NaturLand F World Wildlife Fund F Aquaculture Certification Council F Each reviewing sustainability of aquaculture practices and providing a certification and marketing logo

27. Improvements in packaging

28. IQF Fillets in re-sealable packages

34. Tilapia Orange Juice

35. Current Global Market Trends F Increase in demand for all forms of tilapia F Demand increase will be greatest for frozen fillets F Demand increase will be significant for fresh fillets F High profit margin for prepared meals assembled and packaged in developing countries

36. Global Tilapia Market Trends Prices have been constant, only fresh fillets have increased slightly, will not see increases with inflation $/kg

37. Upcoming supply shortage for frozen fillets F Note from China (CAPPMA) F 100,000 metric tons of tilapia lost in first week of February 2008 due to the severe winter storms hitting Guangdong and Fujian provinces

38. Global Aquaculture Tilapia Sales F For year 2000 =US $ 1,744,045000 (FAO FishStat 2007) F 2005 sales = $ 2,457,312,000 (FAO FishStat 2007) F 2010 sales >$ 5,000,000,000

39. Future global tilapia aquaculture

40. Conclusions F Need to meet stricter food safety, quality, and environmental criteria F More demands for food safety, quality assurance, improved packaging, and environmental safeguards (with little if any increase in price) F ISO, HACCP and NGO certifications

41. Eighth International Symposium on Tilapia in Aquaculture 12-14 October, 2008 Cairo International Conference Center