BioMar takes another important step to expand its global footprint within shrimp feed. By acquiring a majority ownership of the Viet-Uc feed business, BioMar is ready to pursue a position within high-end shrimp feed in Vietnam, creating synergy with BioMar’s existing shrimp businesses in LATAM.
“With this partnership we open an important door into the Vietnamese market, one of the world’s leading shrimp producing countries with a production close to 500.000 tonnes of shrimp. Considering the performance and agility of the Vietnamese shrimp industry during the last decade and not at least during this last year of pandemic, I am sure the market holds a great potential for growth.” explains Carlos Diaz, CEO, BioMar Group.
After a comprehensive due diligence, BioMar and Viet-Uc have signed an agreement for BioMar to acquire the majority of the Viet-Uc feed business. Through this acquisition BioMar establishes a partnership together with one of the leading seafood groups in Vietnam active in shrimp hatcheries, fish hatcheries and shrimp farming. The ambition is to grow the market for high-end feed products focusing on sustainability, traceability, quality, and performance. The acquisition is subject to customary approvals by the authorities.
Looking at market forecasts and the increasing consumer focus on healthy and sustainable seafood, BioMar expects there will be an increasing market share for high-end feed, ensuring customers can capture value by delivering certified and tailored products towards global retail channels. Building upon the BioMar business model of promoting local market agility in combination with global excellence, BioMar will shortly be able to turn research and knowledge within shrimp feed into new product and service offerings to the Vietnamese market.
“BioMar is already a significant shrimp feed producer in South and Central America, and it is our ambition to continue the journey to become a major player within high-end shrimp feed. Within the past 5 years, we have established a significant production of shrimp feed in Ecuador and Costa Rica in partnership with large-scale local farmers. Now, adding Vietnam into the equation will enable us to build a strong relationship both to the market in Vietnam but also to the nearby countries, and at the same time creating benefits from the relation between genetic and nutritional development. Partnering with one of the leading companies within this field in order to develop high performance feeds, concepts and value chain collaborations makes a lot of sense in order to promote a positive development of the shrimp industry“, concludes Carlos Diaz.
Since 2012, BioMar has been engaged in the development of feed and technical services for shrimp utilizing the capabilities of global R&D in combination with trial facilities around the world, most recently through the advanced internal feed trial unit in Ecuador dedicated to shrimp and local trials in Vietnam. Moving into Asia will strengthen the position of BioMar in the global shrimp industry and make it possible to share know how and best practice across the continents.
Read the full story and read more about BioMar's sustainability initiatives in our 2023 Sustainability Report.
