Profits skyrocket for fish farming company

11 April 2001 | Gulf News, Abu Dhabi - Stanley Carvalho

International Fish Farming Co (Asmak) yesterday announced a net profit of Dh4.67 million for 2000 compared to Dh112,000 in 1999, fuelled by interest income and local fisheries sales.

The company is working closely with local authorities to complete the legal framework and the submission of a new single UAE application to the European Union to resume fish exports to the EU. First sales from the Kuwaiti joint venture are expected soon, and a large shrimp farming project in the Indian Ocean will be finalised soon.

"In 2001, the company will develop fisheries products exports from Oman and possibly Yemen, both to UAE and to the EU, invest in shrimp farming projects internationally, and evaluate and invest in integration projects in the fish sector internationally," Chairman Mohammed Al Muhairy said.

Earnings per share (EPS) rose to Dh0.156 from Dh0.004, and the balance sheet grew marginally to Dh306.257 million from Dh300.112 million. One more concession was secured in Fujairah. The Ras Al Khaimah and Fujairah concessions exceed the business plan's sea area requirement to produce 3,250 tonnes of fish per year.

Two cage farms were secured in Oman by Asmak's 65 per cent owned subsidiary Quriyat LLC with a capacity of 2,500 tonnes of fish per year combined with a concession for a hatchery.

A cage farm was developed in Bandar Khiran and another will follow soon in Quriyat. The Oman subsidiary also secured export licences for fish and signed an agreement with an EU approved processing plant to use their facility and license for exports to Europe.

"Approval was also secured from Oman's Ministry of Agriculture to stock for the first time in the region European sea-bass." Al Muhairy said a hatchery concession was finalised with the UAE government last year and the signing is expected soon.

Production at the Kuwait hatchery started late in the year and first sales to Asmak are expected soon. Also, since the preferred site for shrimp farming in the UAE was not available, "very good sites" were located in Yemen and Oman.

"We now have a reliable procurement and distribution capacity. The market recognises Asmak as a big player in the local seafood service sector," he said.

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