Europe Land-based Aquaculture Systems Market

The Europe land-based aquaculture systems market is expected to grow from US$ 158.29 million in 2023 to US$ 380.47 million by 2030; it is estimated to register a CAGR of 13.3% from 2023 to 2030.

Analyst Perspective:

According to the European Committee, the aquaculture sector in the EU comprises 15,000 enterprises and employs 70,000 people. The expansion of land-based aquaculture has created new job opportunities within the aquaculture industry. These include job positions in processes such as system design and construction, fish husbandry, water management, fish health, and RAS technical support. According to the State of World Fisheries and Aquaculture report, total aquaculture and fisheries production reached 235.895 tons in 2020, including 36 million tonnes of algae and 178 million tonnes of aquatic animals, largely due to increasing aquaculture globally. In 2020, global aquaculture production reached a record 122.6 million tonnes, totaling US$ 281.5 billion in value. All such factors are contributing to the Europe land-based aquaculture systems market growth.

Market Overview:

Land-based aquaculture is an innovative approach to fish farming in a controlled environment on land. It offers several advantages over traditional open-net pen systems; these include low environmental impact, improved biosecurity, and increased production efficiency. The land-based aquaculture sector in Europe has experienced significant growth mainly due to the increasing demand for sustainable seafood, rising concerns about catfishing, and the need for food security. Land-based aquaculture systems in Europe are based on technologies such as RAS, flow-through systems (FTS), and integrated multi-trophic aquaculture. RAS is the most common technology due to its efficient water usage and ability to control water quality parameters. Land-based aquaculture systems minimize the risks associated with the interaction between farmed and wild fish populations, thereby reducing the spread of disease and the potential for genetic hybridization.

Market Driver:

Rising Demand For Seafood to Drive Growth of Europe Land-based Aquaculture Systems Market

The demand for seafood has been rapidly increasing in Europe over the years. According to data from the EU–Japan Centre for Industrial Cooperation, the European Union (EU) is the fourth largest fish producer in the world. ~80% of this production comes from wild fisheries, while the remaining 20% comes from aquaculture or fish farms. As wild fish populations cannot procreate quickly enough, fish needs to be farmed in larger volumes to address the burgeoning demand. Therefore, aquaculture is already a leading mode of producing fish for human consumption. Further, seafood has been one of the most preferred foods in many European countries due to their coastal location and cultural heritage. A land-based aquaculture system enables large-scale seafood production. Moreover, by cultivating fish and other aquatic species in a controlled environment, these systems can produce seafood throughout the year, irrespective of seasonal variations, which reduces reliance on traditional open-net pen aquaculture. Many organizations and governments are investing in land-based aquaculture system projects to diversify and expand the Europe land-based aquaculture systems market. In March 2020, Lighthouse invested in Europe's largest recirculating aquaculture system (RAS) project. The fish farm complex spanning 75 hectares provides ~2,000 jobs. Thus, the rising demand for seafood propels the Europe land-based aquaculture systems market growth.

Segmental Analysis:

Based on system type, the Europe land-based aquaculture systems market is segmented into three types: recirculating aquaculture systems, flow-through systems, and others. In 2022, the RAS segment held the largest market share in the Europe land-based aquaculture systems market. It is further estimated to record the highest CAGR in the Europe land-based aquaculture systems market. RAS is a land-based production system developed to raise various aquaculture animals, including Atlantic salmon, in a highly controlled environment. RAS technology can be placed near the market to reduce water consumption and lower energy consumption. RAS can effectively collect and repurpose waste, help reduce environmental impact, enhance biosecurity to prevent fish escapement, minimize pathogen entry or release to the surrounding environment, and control the rearing environment for increased fish welfare and performance. It facilitates greater flexibility in site selection for proximity to markets. All such factors are contributing to the segment’s growth in the Europe land-based aquaculture systems market.

Regional Analysis:

The Europe land-based aquaculture systems market has been segmented into: Germany, UK, Poland, Austria, Switzerland, Scandinavia, Benelux and Rest of Europe. Scandinavia held the largest share of the Europe land-based aquaculture systems market in 2022. Scandinavia consists of Denmark, Norway, and Sweden. According to Statistics Denmark, there were 189 aquaculture farms as of 2021 in Denmark. According to official statistics of Sweden, fish production for consumption was estimated at 11,900 ton in 2021. Fish farming in Norway is big business. More than 837 million salmon were kept by the industry in 2021, making salmon the number one farmed animal in Norway by far. Owing to the rising demand for seafood in Scandinavia, various companies in the region are taking initiatives such as partnerships, collaborations, signing new projects, and investments to expand their business of land-based aquaculture systems. In December 2022, a big land-based salmon farming project in Sweden signed up the international feed group BioMar as its supplier. The salmon farm, based in western Sweden, aimed to produce 100,000 tons of salmon annually. Thus, such initiatives in Scandinavia show that the production of aquaculture-based food is increasing in this region. Thus, the Europe land-based aquaculture systems market is growing significantly in Scandinavia

Key Player Analysis:

The Europe land-based aquaculture systems market consists of the players such as Water-Proved GmbH, Hesy Aquaculture BV, ULTRAAQUA AS, Veolia Environnement SA, FutureFish Aquaculture GmbH, AKVA Group ASA, AquaMaof Aquaculture Technologies Ltd, GroAqua Grp, FTN AquaArt AG, and Xylem among others.

Recent Developments:

 

Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the Europe land-based aquaculture systems market. A few recent key Europe land-based aquaculture systems market developments are listed below:

• In April 2023, Water-Proved has been awarded the contract to design a trout hatchery capable of producing 200 tonnes of fingerlings.

• In February 2023, Water-Proved received an order to design and develop a recirculating aquaculture system for shrimp farming in France. The system consists of proven water treatment components such as drum filters, moving bed filters, denitrification, disinfection, and oxygenation.

• In February 2022, AquaMaof has signed a contract with Atacama Yellowtail SpA to build a 900-tonne RAS facility for yellowtail kingfish in the first phase and ultimately increase production by twofold in the second phase in the Coquimbo Region.

• In September 2022, AKVA Group and Icelandic Land Farmed Salmon signed a deal to construct a new smolt RAS facility in Vestmannaeyjar, the most southern community in Iceland, with the aim to produce 10,000 tons of Atlantic salmon a year in the first phase of production; they intend to and double this amount in the second phase.

• In October 2021, AquaMaof Aquaculture Technologies Ltd. signed an agreement with Smgenlax Aquaculture AB to build a new 2000-ton RAS facility for salmon farming in Sweden.

• In November 2020, AKVA Group signed a deal with Premium Svensk Lax to build a land-based salmon RAS in Värmland, Sweden, in order to yield 10,000 tons of salmon annually.