The U.S. salmon market is in a healthy state. Imports of farmed salmon to the U.S. were up significantly in 2018, with prior years also witnessing rises. Higher demand has led to price increases: over the last 3 years, the cost of Atlantic salmon rose from $4.12 to $5.80. Despite these rises, U.S. salmon consumption per capita still trails consumption in the European Union by 2.18 pounds.
On the basis of species, the market has been segregated into Atlantic, Pink, Chum, Sockeye, and Coho. Among these, Atlantic salmon is the most popular salmonid species and represents two-thirds of the overall salmon market in the United States, with an annual volume of 657 million pounds out of a total 981 million pounds per year; making it the second most popular seafood in the country.
Looking forward, market volume is projected to reach 4.7 million metric tons by 2024, expanding at a compound annual growth rate of 3.8% during 2019-2024.
AQUACULTURE INVESTMENT OPPORTUNITY
Salmon farming is among the most successful segments within the aquaculture industry. The United States currently imports more than 90% of its seafood, meaning there is a pressing need for local sources of high quality, healthy fish. With seafood demand in the United States expected to double by the year 2050, there is a significant investment potential in aquaculture.
Land-based RAS farms are expected to produce over 40% of the global aquaculture output. To learn more about investing in Main aquaculture, please complete the registration form.
For Accredited Investors
LAND-BASED FARM ECONOMICS
Traditionally, land-based RAS has been used for the production of smolt, young 12-15 month-old juvenile salmon. Today, RAS are being built for full life-cycle production, challenging traditional offshore farming in open-net pens, or “cages” in the ocean.
But what about the RAS project economics? The considerable carbon footprint of the Atlantic salmon currently produced and imported from overseas alone may not deter many buyers, until they discover the fish is less fresh, less tasty, and—most importantly—less affordable.
Surging market demand for seafood, and the increasing license and operating costs of traditional offshore farms have made land-based aquaculture an increasingly attractive option, especially for high-value species such as Atlantic salmon. According to DNB Markets, a division of DNB Bank, Norway, the internal rate of return (IRR) of a land-based salmon farm with transport advantages may reach 23%.
To access Aquabanq’s production cost and other financial information pertinent to the project please complete the registration.
Land-based aquaculture is a significant investment opportunity. In terms of fish consumption, all trends point upward. World fish production is expected to see sustainable double-digit growth.
However, until now, there has always been a clear division between the investments for financial gain and the money people give back to create environmental change. Traditionally, people have spent most of their lives building wealth, but wait until after retirement to give back.
We at Aquabanq believe that environmental impact and financial returns are not mutually exclusive.
Whether you’re an existing shareholder or a new investor, we want to make investing with us easy and enjoyable.
If you are just getting started with us, please register here and we will lead you through the simple process.
Aquabanq operates under Regulation D, Rule 506(c) exemption, and as a consequence must be able to demonstrate that it took reasonable steps to ensure that all investors are accredited at the time of the investment. Upon registration, we will provide you with a questionnaire and if you do qualify as accredited investor, you will be granted access to the password-protected section of our website—the Data Room— that contains information about Aquabanq’s private offerings.
There is no proof of prior relationship requirement for issuers relying on a Rule 506(c) exemption.
As a privately held company, we make detailed financial information available only to authorized institutions and accredited investors.
An “accredited investor” includes a natural person who:
earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior two years, and reasonably expects the same for the current year, or,
has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person’s primary residence).