Until the establishment of the SEF Industry Development Subprogram, there was a dearth of R&D projects focused on industry development for the SESSF. The Subprogram was established in 2000 and has since accessed over $700K in funding (of which almost half has been from sources external to FRDC) to increase the value of the fishery by value-adding to fish products, adopting new technologies and improving utilisation of catches. The current Subprogram project finishes in December 2003 but there are sufficient funds to extend its work until June 2004. Members of the Seafood Industry involved in the SESSF see the need for R&D into industry development projects to continue and are supporting the submission of this proposal to continue the Subprogram.
Many of the economic indicators for the commonwealth scalefish fisheries in south eastern Australia are poor. The low profitability in the fisheries is recognised by most operators in the catching sector and this has flow-on effects throughout the supply chain. Industry is now looking to investigate the impediments to economic efficiency in the fishery. To achieve the complementary outcomes of sustainability and economic benefits to the stakeholders in the SEF, a whole of chain approach to R&D is required (which is in accordance with government direction on R&D planning). Current practice focuses on the biology and fishery management which has precluded more innovative ways of adding value and meeting sustainability performance measures.
Recognising that catch levels are unlikely to increase in the future, fishers are looking for various options to improve profitability by increasing the value of their catch. This type of industry development is a primary goal of the SESSF Industry Development Subprogram.
By continuing to link groups of people in the seafood industry with expertise in the whole of supply chain, the Subprogram will continue to deliver the successful outcomes for the seafood industry involved in the SESSF. The through-chain approach being adopted by the Subprogram for industry development is continuing to attract interest from a wide range of stakeholders and will continue to be successful in accessing considerable funds that are not usually available to the seafood industry. For example, the Subprogram has recently accessed $10,000 to develop up a $500,000 through-chain market development and innovation project under the National Food Industry Strategy program. In this manner, the Subprogram easily pays for the initial investment it receives from the FRDC. Nevertheless, through the involvement of FRDC in various industry development projects under the Subprogram (eg. as an ASCo shareholder), the Subprogram intends to return dividends to the FRDC that will make the Subprogram cost neutral to the FRDC by the end of this project.
