Fish and seafood are an integral part of the Mediterranean diet but, in recent years, consumption in Greece has been relatively low at around 17.3 kg per capita in 2015. This is far below both the E.U. average (25.8 kg) as well as the average consumption of other countries in the region (around 35 kg). The financial crisis certainly had an impact on consumption trends, reducing disposable income, but the mix of traditional tastes and habits, cultural biases and religion, geography and urbanization, have all contributed to Greece’s lower consumption.
In Greece, access to fresh fish or seafood has never been universal. While island and coastline communities have an abundant and cheap source of fresh fish and seafood, for most people living in the mountainous mainland, fish and seafood are rare and expensive commodities. From another perspective, religion also affects fish and seafood consumption. The dominant Christian Orthodox faith demands prolonged periods of fasting during which it is actively advocated to substitute meat and fish with other animal proteins such as shrimp.
So how do Greek consumers choose fish and seafood, what products do they prefer and where do they find them? STIP’s intern Christos Rallis, a Greek national, shares some insights.
The three factors that influence consumer behavior
Thanks to surveys conducted by the European Market Observatory for Fisheries and Aquaculture Products (EUMOFA) and the Eurobarometer, we have quite a clear picture of what the Greeks seek in their seafood, and one thing stands out: Greeks strongly prefer fish and seafood that is wild, fresh and that they can buy per kilogram. Three factors are most influential for consumers’ choices.
First, the appearance of the product – how fresh does it look and how is it presented? – is extremely important. For this reason, many shops in Greece present their products in counters where consumers can personally select what fish they buy, paying particular attention to colour and aspects of hygiene. For frozen products, attractive and orderly packaging is key.
A second crucial factor is price, which is understandable considering the income constraints experienced by the majority of Greek consumers. Nevertheless, on local markets, people with lower income levels buy fish and seafood more regularly (around once or twice per week) than those with higher incomes, who, next to shrimp, can simultaneously afford more preferred and expensive products such as beef and lamb. Expensive or not, the Greeks spend more on a kilogram of fish or seafood than the E.U. average, while they consume less. From this, we may conclude that Greek consumers highly value the quality of their food and will buy the best, even if that means they cannot eat it as often.
Finally, the origin of the product is also significant. Greeks prefer domestic products, but they are open to imported fish and seafood if it is not available from their own waters. The reputation of the imported product in terms of quality and affordability is crucial. Interestingly, the wealthier Greek consumers appear to prefer farmed seafood over wild caught seafood, in contrast to most other countries.
Saganaki: Without doubt Greece’s most popular shrimp dish
As a main dish in the Greek cuisine, shrimp is usually prepared with tomato sauce and spaghetti (garidomakaronada). Shrimp and prawn dominate the meze culture (tapas), which is directly associated with the consumption of local alcoholic spirits, like ouzo, tsipouro or raki. Specialized restaurants – sometimes called ouzeri or tsipouradika and commonly located close to ports – serve shrimp and prawn boiled, fried or sautéed with tomato and feta cheese (saganaki). Not without reason, the latter is probably the most popular side dish in Greece.
Domestic shrimp production and imports
Currently, the Greek shrimp market represents a volume of about 7,000 metric tons consumed annually. Shrimp from Greek waters captures about 40 percent of the market, the remainder constitutes imported shrimp.
In Greek seas, we can find three main indigenous shrimp species. The rose shrimp (P. longirostris), fished all over Greece, is caught between October and May and grows to a size of around 7-8 cm. In some areas, the species is darker and reaches larger sizes. A second species is the grey prawn (M. kerathurus), which can reach a size of up to 15 cm and is found in the Ambracian Gulf in the Ionian Sea, as well as in the area of Platamonas in Central Macedonia. Finally, there is the small-sized (3-4cm) and highly popular Simian shrimp (P. narval), which is fished year-round except between May and July. Despite these shrimp species being indigenous, they can be captured in limited quantities only. Local demand outgrows domestic production, which was only about 3,000 metric tons in 2016.
For this reason, shrimp imports to Greece are increasing and the current numbers exceed the pre-financial crisis levels. In 2017, Greek traders imported about 7,000 metric tons of shrimp and exported about 2,000 metric tons. Some shrimp is imported from Spain (1,000 metric tons) for processing and re-exporting, but the bulk of imported shrimp for domestic consumption is sourced from India (1,800 metric tons), Ecuador (1,500 metric tons) and Argentina (850 metric tons). Already in the first six months of 2018, Greek imports touched 4,400 metric tons, compared to 3,500 metric tons over the same period in 2017. This was mainly driven by an extraordinary first quarter in which imports were double the amount of 2017.
A closer look into Greek import data uncovers that each year, imports peak from January to March, gradually normalize in April and May, and experience another slight increase during the summer months. This can be explained by the cultural and climatological contexts at play. Imports are influenced, firstly, by the decreased availability of fresh local products during the winter months. Secondly, and most importantly, it covers the period directly before and during the 40-day fasting period of Easter. During this period, meat and fish are prohibited but seafood is allowed, and thus shrimp becomes one of the main sources of protein at the Greek family table and imports skyrocket.
Marketing channels
There are four fish and seafood distribution channels available to Greek consumers and restaurant chefs. Fishermen may sell their catch directly themselves or they can sell (the remainder) to wholesalers, but another important channel for the distribution of fresh fish are the large central markets and local open markets as well as specialty shops. Supermarkets constitute a fourth channel, and often deal in frozen products.
For fishermen, it is desirable to unload their catch in one of Greece’s 285 fishing ports and to directly exhibit their products to potential customers. This way, they avoid intermediates and fetch better prices for their catch. Fish that remains unsold on the docks is then often sold to wholesalers. These are usually based in the auction markets of the country’s main port cities. They are Greece’s main buyers, importers and distributors of fresh or frozen fish and seafood, and supply the large central markets, the local open markets and specialized shops across the country.
Almost every big city has a large central fish and seafood market that is open daily, customarily located next to the meat markets. This is where consumers and chefs may find the best bargains. Local open markets are open twice per week and offer a much smaller array of products. Specialized small fish shops generally offer a wider product range, selling either fresh or defrosted products. Products are presented in counters and customers can pick whichever product appeals to them the most.
Supermarkets focus on frozen products and offer a variety of shrimp products. The largest players in the Greek retail market are: Alfa Beta Vassilopoulos, a traditional major retail chain and subsidiary of Ahold Delhaize; Greek Markets SA, which operates the Sklavenitis brand and the Chalkiadakis chain that controls the important local market of Crete; Masoutis SA, a deep-rooted chain in the regional markets of Northern Greece; Metro SA, which controls the My Market chain; and, finally, Lidl, which is capitalizing on the market exit of ALDI and which has managed to acquire a significant segment of the retail market due to its competitive prices. Most Greek supermarkets operate their own supply chains which are disconnected from the big wholesalers.
Quality over quantity
While Greek consumers continue to deal with a weak economy and low incomes, this does not reduce their appetite for high-quality seafood. They may eat less fish and seafood than other European countries, but they do eat the best. With import volumes of shrimp in particular on the rise, consumption is increasing, and new business opportunities emerge. Are you interested in expanding your shrimp export business to Greece? Contact us!
