A Market Analysis towards the Further Development of Seaweed Aquaculture in Ireland

According to the Sea Change Strategy (2006), the Irish seaweed production and processing sector will be worth €30 million per annum by 2020. If this target is to be reached, then the sector must capitalise on the existing wild resource and it must necessarily expand seaweed aquaculture to augment supplies of higher value seaweeds and to provide product into the abalone and urchin farming sector, which has an estimated need of 2,000 tonnes of wet product per annum, at full production capacity. Seaweed aquaculture in Ireland is limited to only a small number of licensed sites at the current time. According to the most recent data (1997) supplied by the Department of Communications, Marine and Natural Resources (DCMNR) and the Department of Agriculture Fisheries and Food (DAFF) to BIM, there is one algal aquaculture licence in Waterford, two in Cork and one in Galway. That said, at least three further licences have now been applied for, and one has been approved in Kerry. It is hoped that work undertaken during the course of this research project, PBA/SW/07/001(01), ‘Development and demonstration of viable hatchery and ongrowing methodologies for seaweed species with identified commercial value’, will facilitate the licensing and further development of seaweed culture in Ireland. By perfecting culture techniques and making information available to stakeholders, it is anticipated that further engagement can be facilitated to move the seaweed aquaculture sector forward in Ireland.

Ireland’s seaweed and biotechnology sector is currently worth €18 million per annum (Morrissey et al., 2011), it processes 36,000 tonnes of seaweed (wild product) and employs 185 full time equivalents (Morrissey et al., 2011). The product source is currently limited to the wild resource and product range is limited in the main to high volume, low value products such as animal feeds, plant supplements, specialist fertilisers and agricultural products. A smaller proportion goes into higher value products such as foods, cosmetics and therapies. In order to gain more from this industry, it is proposed that processors move down the value chain in order to achieve higher returns from their product. In order to do this, it is suggested that the industry needs to introduce automation and more sophisticated processing and packaging techniques. Reducing labour costs is considered a key driver of increased competitiveness in the sector. Moving away from the more traditional wild species and applying aquaculture techniques to create sustainable year round supply is also key to industry development.

Laminaria digitata and Palmaria palmata are two seaweed species identified as offering opportunity for cultivation in this project. Laminaria can be grown on long lines at sea, while at the current time, vegetative growth of Palmaria in tanks is the growth method that has shown success. Laminaria digitata can be fed as a macroalgivore diet to farmed abalone and urchins. On the other hand, Palmaria palmata is considered a food delicacy and most of the national production is sold and consumed domestically (16-30 tonnes), however there is increasing demand from Spanish and French markets for the product. National production of Laminaria is likely to be the same or lower than Palmaria. Palmaria can also be fed to abalone. The combined requirement for these two seaweeds from the current macroalgivore sector in Ireland is 1,500-2,000 tonnes of product. While the requirement to feed macroalgivores is significant in its need for volume production of seaweed from farming, the production of significant tonnage should not allow for market distortion in terms of the value added/processed product. Dried and packaged bulk
Palmaria makes of the order of €16-€19/kg while Laminaria typically makes €10-€16/kg for bulk quantities.

The value added opportunity for Palmaria is significant and pickers of wild product can augment their supplies by cultivating product. New technologies should be investigated to allow further automation of processes, including washing, drying, milling and packaging. A variety of Agencies now exist where linkages can be established for new product development, in particular, for example, in the increasingly fashionable area of functional foods, for example, the BIM Seafood Development Centre, Clonakilty, The Food Technology Centre, St Angelas College, Sligo and Spice O’ Life Ltd in Dunmanway, Cork.

Ireland is trading on its ‘clean green’ image. Seaweed is used in spas and in cosmetics. New food products can be marketed using the promise of the ‘Ireland Brand’. This brand stands for provenance, truth, good value and quality. Ireland has a great number of good restaurants, farmer’s markets and established export markets for seafood products which can be capitalised on by innovative thinking