Investment Planning: Aquaculture Investment in Greece

The rapid growth of the Greek aquaculture sector has been well-documented. Starting in the mid-1980s, this sector saw the establishment of a number of small, artisanal units, mostly for sea bass and sea bream.

These units focussed on simple cage farming, and concentrated on production. Processing was usually in the form of freezing or chilling fish for whole consumption (filleting or other processing forms are not widely utilised). The marketing of fish was usually left to third parties.

By the late 1990s, the sector was undergoing rapid consolidation. This was led by large, integrated enterprises, many of them listed on the Athens Stock Exchange and with capital availability and, to some extent, the political connections necessary to benefit from investment subsidies and funding programmes.

By 2000, aquaculture has expanded considerably. The number of species being cultivated has expanded; the break-even point for cultivation has risen in line with rising costs and competition.

 

The Greek financial crisis starting in 2010 severely affected many units, since taxes raising while working capital for exports and production was eliminated. 

Navigator Consulting has extensive experience in the general fisheries and aquaculture sector. This is illustrated by the fact that we have implemented 22 investment feasibility studies and funding applications for Greek entrepreneurs under National Development Funds 4028/86, 3699/93 and 1262/1892.

The total volume of funds granted was EUR 14,182,500, representing between 45 - 50% of the total investment volume for each client. Over 450 work places were created as a result.

The majority of applications were for sea bass and sea bream production, with an average unit size between 200 - 600 tonnes per year. The method of aquaculture production was in each case offshore cage farms.

 

Our work included the integrated feasibility study and work planning model for the aquaculture farms, as well as the associated funding application, and comprised site selection, unit physical planning, production model, processing / trading / marketing specifications and financial modelling.

Client:
Greek Aquaculture Firms

Date of Engagement:
October 1995 - June 1999

Countries of Operation:
Greece

Business Function:
Investment Advisory Services, Marketing

Business Sector:

Agriculture & Fisheries, Fisheries & Aquaculture