Overview of UK markets & supply

Original presentation delivered by Julie Graham, Seafish April 2005

Marketing relies on:

1. Consumers attitudes towards the environment & seafood

Use consumer research

2. Supply of seafood available

Look at present availability

and: predicted future supplies

Consumers attitudes to the environment and seafood

Consumers attitudes to the choice of fish

Seafood purchasing patterns

Choice of seafood – chilled v frozen

Consumer concerns

Conclusions

0

20

40

60

80

100

White fish Exotic fish Chilledunprocessed

Frozenprocessed

% w

ho

pu

rch

ase

Disinterested Paddler Wader Swimmer

Seafood purchasing patterns by typology

Choice of seafood – chilled v frozenThe overall approach / mind-set varies by format:

CHILLED FROZEN

Strong tendency for repeat

purchasing

Chilled is a more emotionally

driven and hence random

decision process

Frozen product selection

operates in a more

functional manner

Decision made at the retail outlet Products are typically pre-determined

before reaching the retail outlet

Spontaneity, browsing and product

comparison is evidentStrong grab-and-go behaviour

Broader product repertoire

Seafood purchase decision criteria

64

5551

34

24 22

1410 10 8 7

4

28

57 57

44

14

4

31

6 5 48 8

0

50

100

% o

f to

tal r

es

po

nd

en

ts

Chilled Frozen

Key purchase drivers

Low priority

High priority

Consumer concerns relating to seafood

Awareness of seafood-related publicity generally restricted to Waders & Swimmers

Over-fishing had greatest recognition (26%)

Weak awareness of farmed fish (5% had heard of farmed salmon)

75% of Disinterested and 43% of Paddlers were unable to mention any issues

Overall, little behavioural change in terms of seafood purchase was evident

Any change in behaviour was generally confined to modification rather than rejection

Publicity has had a limited impact on consumer purchase intent

Seafood is still widely regarded as a natural, pure and healthy food resource

Conclusions

I’d be inclined to try other fishrather than do

without

If you worried about everything, you

wouldn’t eat anything

I tend to switchoff because I like fish and if I choose to eat

it I will

UK Supply

UK supply of seafood

0

500

1,000

1,500

2,000

2,500

2003 2004

Th

ou

san

d t

on

nes

Imports

Landings

1.9 million

tonnes

Source: DEFRA / HM Customs & Excise

Imports

Top 5 species imported to the UKValue

Source: HM Customs & Excise

69% of total imports

Prawns £339m

Cod £328m

Tuna £193m

Salmon £108m

Haddock £101m

1.46 million tonnes imported in 2004, worth £1.54 billion

4

-1

15

34

11

-2

1116

-4

-20

0

20

40

60

80

Total imports Cod Haddock Salmon Prawn

% C

han

ge

2004

vs

2003

Volume

Value

Key species imports to the UKGrowth in volume and value (%)

Source: HM Customs & Excise

Focus on cod and haddock

World production of cod and haddock (2002)

Source: FAO

Total production

Cod Atlantic / Pacific Haddock

1.2 million tonnes 267,000 tonnes

Key producersNorway (21%)

Iceland (19%)

Russia (15%)

Russia (20%)

USA (20%)

Norway (19%)

UK production 3% 20%

Total UK supply – cod & haddock

0

50

100

150

200

250

300

350

2003 2004 2003 2004

Th

ou

sa

nd

to

nn

es

Imports

Landings

Cod Haddock

Source: DEFRA / HM Customs & Excise

Total imports

Cod Haddock

278,000 tonnes 110,000 tonnes

Key countries Iceland (36%)

Faroes (21%)

Norway (18%)

China (7%)

Iceland (25%)

Denmark (15%)

Russia (15%)

China (14%)

UK cod and haddock imports 2004

Focus on China

Imports from China

0

10

20

30

40

50

60

70

80

2000 2001 2002 2003 2004

Others

Salmon

Pollack

Haddock

Cod

January – December

Th

ou

san

d t

on

nes

Source: HM Customs & Excise

99%

131%

715%

211%

Summary Three quarters of UK seafood supply is met through imports

Top 5 species imported - prawns, cod, tuna, salmon and haddock

The UK produces 3% of world cod, and 20% of world haddock

Cod imported from Iceland, Denmark, Russia, China

Haddock imported from Iceland, Faroes, Norway, China

China has become increasingly important in recent years for UK supply of cod and haddock

Julie GrahamMarket Insight Executivej_graham@seafish.co.uk

0131 524 8684

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