As wild fish populations shrink and human populations continue to expand, fish farming will become increasingly integral to meeting food demand, particularly in Asia. Fish farming will be responsible for providing 62% of all fish consumed by humans by the year 2030 according to a report by the UN released last month. In order to benefit from these developments, Australian aquaculture producers will need to be selective about the species they produce. Because of the high cost of production in the country, Australian seafood farmers will need to focus on luxury, premium products. Western Australian Agribusiness Craig Mostyn Group acquired two abalone farms in Tasmania in late 2013 and has recently acquired Jade Tiger Abalone, west of Melbourne for $20 million. The Jade Tiger acquisition will drive Craig Mostyn’s exports to 800 tons per year bound for Hong Kong, China, Japan and Singapore. David Lock, chief executive of Craig Mostyn states that additional aquaculture acquisitions within Australia are hard to find. Most produce products that are too low in value at too high a production cost. There is great potential in the sector but the products produced must a value beyond price in order to succeed.
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