Cultivos Marinos de Guardamar (Culmar) operates across 295,000 square meters in the Bay of Alicante yet has outgrown its facilities for the captive breeding of sea bass and sea bream. As such, the company, part of Marjal Group, plans to invest EUR 1.2 million (USD 1.65 million) to renovate and expand its fish farms with a view to increasing production by 14 percent.
Culmar currently has 36 cages installed within two miles of the coast, half of which, at 18 meters in diameter, will be replaced by larger frames reaching 25 to 30 meters deep. Culmar manager Agustín Ríos said, “With this expansion all our cages will be 25 meters, much more profitable with a capacity of 90 metric tons each, which is more than double what we had before.”
The company produced 1,100 metric tons in 2010, with EUR 5 million (USD 6.9 million) turnover, and is expecting similar figures in 2011 with expansion beyond 1,250 metric tons and more than EUR 6 million (USD 8.2 million) turnover.
Describing the expansion plan “always in terms of prices,” Ríos explained that 2010 was a period of “survival” for marine aquaculture enterprises, resulting in only slight growth expectations due to “the downward pressure on prices and the slowdown of consumption,” together with the credit crunch.
“In 2009 we had to close many companies in Valencia because you cannot produce at EUR 4 (USD 5.50) and sell at EUR 3 (USD 4.10),” he said.
Stating its case for the Culmar investment, parent company Marjal Group explained: “In the mid-90s the idea of fish farming was put on the table, and, after careful investigation, the original partners decided that it was a project worth investing time and money into. From this moment on, this industry has taken off and Culmar, Grupo Marjal’s project, is one of the forerunners in this growing sector.”
Ríos is clear that “aquaculture will increase, although it will be necessary to monitor the concessions, production and the setting of minimum prices” to improve the sector, which faces competition from Greece and Turkey with their lower prices, lower labor costs and use of genetically modified feed. “Our feed is made from fish meal and soya, which are more expensive. In addition they do not pay fees and there is little control,” added Rios.
Other problems concern fish escaping their cages, temporary breakages or theft. The European project Prevent Escape, led by the University of Alicante, includes payment of EUR 15 (USD 21) to fishermen who catch and return each tagged fish. With this project they aim to recover 5 percent of stock losses.
More than 80 percent of Culmar’s production is sold to wholesalers who export mainly to Portugal with the rest sold to other areas.
To manage the expansion, Culmar’s staff count will increase from 26 to 32 employees.
