Potential of In UAE

A guide to select species suitable for the UAE

aquaculture

By During the challenging situation of the pandemicEfstathios major Lampakis and minor problems and gaps arose in all section of human activities. Ichthyologist 1 Aquaculture & Consultant Greece

Abstract

The study highlights the key aspects of the most likely species for UAE aquaculture. First of all, it should be mentioned that it is based on the average amounts of nine years and this in itself is very important and can be used in feasibility studies as a reference. The normal turnover period of almost all aquaculture activities is about 5 to 7 years. By studying consumption over a long period of time, predictions become more accurate. Real domestic consumption is a key point in understanding local market demands. In addition, this data could be used as a reference for understanding the market of neighboring countries where similar fish species are consumed and could be exporting countries of the products later on. Starting a business with fresh products, and initially targeting the local market is beneficial because it does not involve costly packages, shipping, and expensive marketing. Some of the benefits of selling in the domestic market are:  There is no need to apply extensive and costly marketing analysis  It is not necessary to involve traders, and direct sales could be achieved  Logistics is not so complicated and market access is easier.  Labor cost is lower  No additional costs are required according to the export cost. The helpful tips and comments that follow all types can be used as a guide to  Understanding the domestic market  Awareness of the difficulties and gaps of cultivation of certain species  Awareness of the risks associated with domestic and international market of certain species  Examine the possible expansion of the production Although the study does not focus on the financials, from the Investment perspective some useful data emerge such as  What is the market as quantities and how big the business could be  How to approach the competition and what to keep in mind when choosing certain species.  Reference on CAPEX, OPEX, and ROI for different species according to cultivation systems  What are the international market trends and how this can affect the level of production.

A large number of species could be grown in the UAE by using RAS or other cultivation systems. Not all species have the same adaptability and the cost of investment is usually linked to the choice of system and the specific biological aspects of the chosen one. The scales of economies are a critical factor in any investment and if this is not combined with the chosen species, the system that will be used along with the market perspective, it is almost certain that the investment will fail. Investing in local species. To invest in local species sounds difficult due to the knowledge gap in most of the species and the lack of previous experience in large-scale commercial production. At this point, the governmental support should be considered and contribute to the cost by grants and support with the existing knowledge available from the experimental production already done in ministries. Countries that have success stories in aquaculture are initially financially supported by the government and an extension of know-how was given under their supervision In the UAE, at the moment, the existing know-how and data that some ministries or entities have in their hands can be used. The use of this data can be applied to aquaculture. The initially expected low survival levels and the unknown response of these species to high densities should be considered as a risk factor and should be supported by the government in case of failure.

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Table of Contents Executive Summary...... 5 About this Study ...... 6 Aquatic Food Sources in the UAE “2009-2017” ...... 8 Aquatic Food Distribution & Consumption in the UAE “2009-2017” ...... 9 Evaluation of Aquatic Products Consumption in the UAE ...... 13 Classification of Aquatic Products in the UAE ...... 14 Processed Aquatic products ...... 15 “Consumption 2009-2017” ...... 16 “Potential Opportunities” ...... 17 Not currently cultivated Species - Products ...... 18 “Consumption 2009-2017” ...... 19 “Potential Opportunities” ...... 20 Potential Aquaculture Species-Products...... 21 “Classification”...... 23 “Consumption 2009-2017” ...... 25 Distribution in the UAE market ...... 26 Native Species Classification ...... 27 Native Species Consumption Evaluation ...... 28 “Emperors” ...... 29 “” ...... 30 “Snappers” ...... 31 “Finfish” ...... 33 “Safi” ...... 35 “Cobia” ...... 37 “Mullets” ...... 39 “Silver pomfret” ...... 40 Other Potential Species Consumption Evaluation ...... 42 “ & ” ...... 45 “” ...... 47 “Salmonids” ...... 49 “” ...... 51 “” ...... 53 “” ...... 55 “Seabream & Seabass” ...... 56 “, , Mollusks” ...... 58 Freshwater Species Consumption Evaluation ...... 60 3

“Consumption 2009-2017” ...... 62 “Consumption 2014-2017” ...... 63 Aquaculture Trends & Statistics ...... 65 “Global Aquaculture” ...... 66 “UAE Aquaculture”...... 68 Exploring the Potential for Aquaculture Species in the UAE ...... 69 “Marine Species” ...... 70 “Marine - Freshwater Species” ...... 72 “Freshwater Species”...... 73 Conclusion on the Most Potential for Aquaculture Species in the UAE ...... 74 “Key Aspects for Aquaculture in the UAE”...... 75 “Evaluation Factors for the Potential Species” ...... 77 Challenges and Future of Aquaculture in the UAE ...... 78 Citations ...... 79

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Executive Summary

Food security has become a top priority and immediate action has been taken around the world to find solutions to provide access to food for all people.

Self-sufficiency at national level has also become a challenge and all countries have approached food security differently.

Regarding the industry, at the beginning of the pandemic, many problems arose which were mainly related to the logistics and distribution of the products in the market centers. However, these challenges were solved fairly quickly and balance was restored in a relatively short time due to the immediate government’s effective actions. Due to the rapid evolution of the country most of the food products are imported and small quantities are produce locally. The UAE aquaculture is not count more than 15 years. Starting with shrimps on 2004 and continuing with trials in experimental and commercial scale the aquaculture in the UAE is still in an infant stage producing less than 3,000 tons per annum. To understand the stage of the UAE aquaculture we can mention that a farm with annual production of about 3,000tonnes is consider as small to medium size farm. Similar to this in Greece and Turkey farms with an annual production above 1,000tonnes are considered as valuable as per the scales of economies. Due to the big gap between the imported aquatic products along with the contribution of the and the small contribution of the local aquaculture production the necessity of implement fish farming is one of the major issues for the food security of the county. To point out what is the most suitable species for farming under the specific conditions of the UAE a lot of factors are involve. In this study evaluate mostly the choice of aquatic species as per their consumption level and explore the potentiality of farming some of the species locally. Biological aspects and considerable examples of other countries along with main financial indicators will be a part of the evaluation as well.

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About this Study

The study is focuses more on the assessment of fish consumption over a period of nine years (2009- 2017), in the UAE. The ultimate goal is to export data based on the preferences of the buying public, which will help to identify which species might be suitable for aquaculture purposes in the country. Data used have been collected from published statistics from the Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) [1], and the static base of the Ministry of Climate Change & Environment (MOCCAE) [2].

All data were classified into broad categories, followed by subdivision into smaller categories according to the nature and their potential for commercialization. The classification followed the names given by the FSA database and was categorized according to the commonly used species names or family names.

Taking into account the nature of each category or species and the conditions of the UAE, each category was assessed separately in order to determine which specie(s) have more cultivation potential or could be part of an organized development of fish farming in the UAE.

The evaluation was based on the consumption of aquatic products during the period 2009-2017, taking into account  Imports Exports and Re-exports  Wild catches from Fisheries,  Local production from Aquaculture All products were then classified according to their nature using the average annual consumption of the period 2009-2017. To find out the contribution of each category to the domestic consumption and to highlight the market trends, two main categories were used.  Marine Products  Freshwater products Segmentation into similar products was followed with the aim to identify the most preferred aquatic products consumed. Furthermore, specific classes were created, including categories and species names in order to specify those species that are most likely to be cultivated in the Emirates. The classification in this phase focuses on the evaluation of each category in order to explore its dynamics to become an investment opportunity.

Given the environmental conditions in the UAE and the ability of the species to grow locally, the segmentation includes the following categories:  Processed & Other Aquatic products  Not currently cultivated species  Potential for the UAE Aquaculture species Regardless of the fact that processed aquatic products, do not relate to actual fish farming, are a part of it and the number of products consumed in this category shows the market trend and is an indicator of the direction in which fish farming should move. As, Non-Aquaculture species, were classified, species that are not yet successfully produced on a commercial scale as a full cycle in aquaculture.

As potential aquaculture species, for the UAE, have classified the species that are mainly consumed locally or have dynamic tendencies to become investment opportunities. 6

A successful complete production cycle in R&D, small-scale, or commercial fish farming, has been achieved for all species included in this category. Some species in this category have already been successfully produced in aquaculture as a closed-cycle production in the UAE and some others have been carried out outside the UAE and considered as potential under certain conditions.

In order to identify the species that could be cultivated under the UAE’s conditions the cultivation system, the available natural resources, as well as the existing technology and know-how were taken into account.

The focus is more on highlighting the feasibility of aquaculture in the UAE according to the biological aspects of certain species and the farming system to be used.

Not analyzed in detail the financial aspects or financial perspectives. However, some general financial indicators and market trends are reported to assess the viability of an aquaculture investment.

For the final assessment have been conducted a trend report on:  Selection of suitable species for fish farming at a national level  Reference to the cultivation system, suitable for the UAE conditions.  Connection with world production and aquaculture trends

As it is impossible to analyze the specific details for each species or category, concluding tips and comments on critical aspects follow the evaluation after the presentation of each category or species.

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Aquatic Food Sources in the UAE “2009-2017”

Up to 70.2% of the Aquatic products that consumed in the UAE come from imports. From the wild catches from fisheries about 29.4% and just 0.4% are the average contributions of the Aquaculture of the total aquatic products.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

The main source of aquatic products in the UAE comes from imports >200,000tonnes annually [1]

Fisheries are almost stable throughout the period at an average of

75,000tonnes annually [2]

Aquaculture, despite its rapid growth in recent years, still does not contribute more than 3,000tonnes [2] to the annual production of aquatic products.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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Aquatic Food Distribution & Consumption in the UAE “2009-2017”

Out of a total of 2,296,802tonnes, 318,391tonnes (up to 14%) of aquatics products were exported or re-exported [1] The total Consumption during the period 2009-2017 amounted to 1,978,411tonnes,

Average annual consumption 219,823tonnes.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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Aquatic Food Consumption in the UAE “2009-2017”

Total of 1,978,411tonnes, were consumed through the period 2009 – 2017. 65.4% was imported, 34,1% came from the wild catches and less than 0.5% were the locally produced aquaculture products is the most preferred, with a total consumption of about 1,839,536tonnes. Consumption of freshwater aquatic products has been increasing in recent years, but it is still not the first priority for consumers. The main source of consumed products is Imports with a share of 1,165,406tonnes. Fisheries participates with 674,130tonnes. Aquaculture contributes a very small amount of less than 0.5%.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) In order to extract the contribution of each product category to consumption and to investigate the market trend, two main categories were initially created. • Marine Products • Freshwater products

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Aquatic Food Consumption Forecast “Marine” - “Freshwater”

During 2009-2017 a significant increasing of consumption in both “Marine” and “Freshwater” products were noted. Marine products increased by almost 32% starting with 179,000tonnes in 2009 exceeded 230,000tonnes in 2017.

Freshwater products showed a much larger increase from the very low consumption of only 712tonnes in 2007 recorded an increase of over 3500% and reach at the level above of 25,000tonnes from 2015 onwards.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

The average consumption per annum, of this period is approximately 220,000tonnes. During 2017 the total consumption was up to 263,062tonnes giving a consumption per capita of approximately 28kg [2] and shows a tendency for further increase.

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Aquatic Food Consumption Forecast “Marine”

Seafood Imports are projected to rise above the level of 200,00tonnes in the coming years

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Due to the fact that aquaculture is a new industry for the UAE, the average production level still does not exceed 1,000tonnes per year.

The projected trend is to grow further and exceed 3,000tonnes annually the next few years

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Fisheries show a slightly negative outlook, most likely due to depletion of natural resources and restrictions on for certain endangered species.

This is a sign that the two other sources: imports or aquaculture, could benefit and have develop further.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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Aquatic Food Consumption Forecast “Freshwater”

Given the gap between local seafood production and consumption, the constraints that will likely arise for fisheries due to the depletion of natural resources and with the expected increase in aquaculture consumption there seems to be a solution for the country to achieve sustainability and contribute to food security.

Freshwater products Imports are projected to rise above the level of 40,000tonnes in the coming years

An increase just above the levels of 20,000tonnes per year, opens up a fairly large market and potential investment opportunities in freshwater aquaculture.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

The contribution of Freshwater aquaculture, compared to the rapid increase of imported products is almost non-existent.

As the UAE does not have natural freshwater recipients to catch wild fish, aquaculture seems to be mandatory.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

It is clearly obvious that the UAE market is driven by imported Aquatic products.

Aquaculture is far behind and a lot of work needs to be done to ensure sustainable production Evaluation of aquatic products. of Aquatic Products Consumption in the UAE

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Classification of Aquatic Products in the UAE

According to the nature of aquatic products and the ability of aquatic species to grow in captivity, the following four main categories will be addressed: Processed & Other Aquatic products Not currently cultivated species Potential for the UAE Aquaculture species

As mentioned above, subtracting the exported and re-exported products, the total of locally imported aquatic products amounts to 1,978,411tonnes giving an Annual Average Consumption of 219,823tonnes

Aquaculture, as almost all business investments, is not represented by one or two-year production but must be evaluated taking into account multi-year statistics. In the following evaluation, all analyses were based on average consumption and the data has been presented as annual production capacity in order to highlight the potential of the products as a trend to become an investment opportunity.

Following the above given categories and using the data from fisheries and aquaculture we will explore the possibilities for the application of aquaculture in the UAE as per category and specific fish species where ever is possible.

As the market is not static but varies from time to time, the averages will be used for all categories for the final assessment to export the annual needs.

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Processed Aquatic products

Product Process Dried, Salted, Brine, fillet Not smoked Fish Livers and Salted, Brine,Smoked Fish Heads, Tails, Maws N/A Live, Fresh, Chilled,Canned Aquatic products Flours, Meals Oils, for Human consumption Aquatic products Flours, Meals, Oils Not for Human consumption Aquatic products Dried, Salted,Canned, Brine,Pellets of Other Aquatic products No product discription or process Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) For the division into categories, the description of the data source were followed.

Most products in this category come from imports and concern marine species.

The "Other Aquatic products" category includes all those products listed as “Other or Others”, as per the database have been used. This category is classified together with the processed products in order to have more accurate data on the other categories where the family or species names are clearly named or classified.

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“Consumption 2009-2017”

This category is of particular interest since depends on imports.

Annual average imports,

82,160tonnes

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Almost 740,000tonnes have been imported during 2009-2017, and approximately 224,000tonnes exported.

About 71% of the imported products are consumed locally

Average Annual Consumption 57,304tonnes

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

As the processed and other aquatic products is a large market, contributing up to 26% to average annual consumption, further analysis and more detailed product description are required. The data collection system should be updated and include more detailed information by using more specific names of species and/or more accurate product types, in order for the class "Others" to be eliminated as much as possible.

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“Potential Opportunities”

Aquatic products processing is an industry inextricably linked to the development of fisheries and fish farming. It is expected that the processing and standardization industry will be developed in parallel with the development of fish farming.

Exports of whole fresh fish take place, particularly to Saudi Arabia in addition to re-exports of fish imported of fish imported primarily from the Sultanate of Oman.

As the production of aquatic products increases, in addition, to live - fresh products, frozen, dried, salted, and smoked products will begin to be produced in order to use the excess quantities in a valuable way.

Fish fillet fresh or frozen, canned and roasted foods and other processing of aquatic products industry will increase.

High value, and multiple varieties of products will extend the industrial chain and will enhance the overall benefit of fishery and aquaculture production.

The development of the aquatic product processing industry will not only have a positive impact on fishery and aquaculture production but will also promote the entire economy of the country.

The new industry that will arise will give investment opportunities, the formation of multi-links among industry groups, new job positions and will contribute to the food and security of the country.

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Not currently cultivated Species - Products

As aquaculture only covers a few decades as an industry, there is still a large knowledge gap and many species are still under investigation. Most of the species in this category come exclusively from fisheries and trials to commercialize them have, so far, been unsuccessful. There is currently no need for cultivation or their farming costs will be higher than current market prices.

For the division into categories, the description and names of the data source [1] were followed

To highlight the potential of this category and to further evaluate the data, similar families were further classified and analyzed. The table below illustrates the names as per the database and terms that will be used for grouping the species.

Data Base Name Name to be used (Engraulis spp.), (Clupea harengus, Clupea pallasii), (Sardina pilchardus, Sardinops Pelagic spp),Sardinella (Sardinella spp.), Brisling or (Sprattus sprattus) Dogfish and other , fins, Sarks, dogs & Swordfish (Xiphias gladius), (Octopus spp.) Frozen, , Cephalopods Cuttle fish and frozen Cold-water shrimps and prawns (Pandalus Cold water shrimps & spp., Crangon crangon) prawns Barracuda, Jellyfish (Rhopilema spp.), Scyphozoa, For breeding, Jellyfish Others (Rhopilema spp.) Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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“Consumption 2009-2017”

In this category included species that are not cultivated yet, are low value species as per the consumed amount in the UAE, and aw well species that are still in early stages of R&D. In addition none of the species included are cultured in the country.

A small percentage of about only 3.7%, was exported from the initial total quantity of these products.

Imports and local fisheries share this category almost equally.

About 51% of the imported products are consumed locally

Average Annual Consumption 16,175tonnes

Fisheries had a contribution of about 49%

Average Annual Consumption 15,747tonnes

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Of this category, two classes are of interest, and should be considered as possible future opportunities for the UAE, Pelagic, and Cephalopods.

“Pelagic” includes many of the most important fish products in the world, and are also commonly caught for production of and [14],[23].

"Cephalopods" have attracted interest in recent decades, many experiments to cultivate species of this family have been carried out around the world [9].

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“Potential Opportunities”

“Pelagic” Here is a general concern that aquaculture expansion may be constrained by its dependence on fishmeal, a concept that is referred to as the “fish meal trap” (Funge-Smith et al. 2005). Fishmeal and fish oil are key components of most marine species farming and, at lower inclusion rates, fishmeal is also used in the diets of freshwater, non-carnivorous species, such as and , mostly in Asian developing countries (Tacon and Metian 2008).

Fishmeal and fish oil are obtained by processing a large proportion of the world’s small catches (anchovies, sardines, herrings, etc.). Fishmeal and oil are two major ingredients used in compound aquaculture feeds. The growth of aquaculture production has raised concern on the impacts over small pelagic stocks through the increasing demand for fish inputs (Naylor et al. 2000) [14].

As the demand for fish oil, fishmeal along with low cost and healthy protein is expected to increase, this category may have many opportunities in the coming decades.

Trading, processing, processing equipment and logistics sector together with possible cultivation of some of the species in the category are some of the future challenges.

Cephalopods

“Cephalopods” are the most interesting of the rest of the species in this category. They are in the research and development stage in many countries and are expected to become part of aquaculture products in the coming years.

Cephalopods have high rates of growth and low food conversion, which for aquaculture translates into short culture cycles, high ratios of production to biomass and high cost-effectiveness.

However, at present, only small-scale culture is possible and only for a few species: the cuttlefish Sepia officinalis, the squid Sepioteuthis lessoniana and the Octopus maya and O. vulgaris (Erica A G Vidal 2014) [9].

In Thailand experimental cultivation of squids Sepioteuthis lessoniana, spineless cuttlefish Sepiella inermis and pharaoh cuttlefish Sepia pharaonis,have been taking place since 1985 (FAO)

Trials also have been conducted in Octopuses in US, , Australia, Spain, Greece and other countries on breeding and grow out stages as well but the full cycle production for cephalopods is still under investigation.

There is an overall recognition of the potential of cephalopods that need to be translated into actual production in the coming years, as a way of promoting diversification of culture outputs in a sustainable and economical form.

Following the global trend to research these classes, and as it takes many years to achieve successful cultivation, in case of interest from the authorities, the R&D program should be considered as soon as possible.

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Potential Aquaculture Species-Products

Many factors need to be considered in assessing the potential for aquaculture implementation in the UAE. Given the high temperature, limitations in offshore farming, and water scarcity, the collected data will be analyzed and evaluated to investigate which is most suitable for aquaculture species in the UAE.

Furthermore, following the trend of the local market (according to the average consumption of the period 2009-2017), we will be identifying and quantifying the potential for farming species.

The basic idea is that the species to be selected must first be able to provide self-sufficiency in the country and ensure the food and security of the country in a state similar to the existing pandemic and in addition, we will be exploring the factors that could make these species investment opportunities. The international marketing potential of these products in line with the global market trend will also be considered.

Due to the existing technology and research trend of the aquaculture sector, a large number of aquatic species could be identified as potentially suitable for cultivation. For this presentation, the products were categorized based on what is listed as the most consumed.

Some of the factors which were taken into account to find which species have more potential for aquaculture in the UAE are as follows:  UAE environmental conditions  Demand in the local market  Demand in the global market  Farming technology and available Know-How  Availability of locally produced juveniles and breeding ability in the UAE  State of the local production

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As this category has a large number of species four subcategories with similar characteristics have been created: Marine, Native, Freshwater, and Other species. Almost all species of this classification are of commercial interest and are found either in small-scale culture or are under research& development. Many other species could be included in this category, as potential for aquaculture in the UAE, but we selected the most popular for the UAE, according to their consumption.

All data will be presented as per the classification done and will be analyzed according to their average consumption during the period 2009-2017. For the evaluation, only species mentioned with explicit names, family names, or other explicit references to the database were used. Following the names given in the database [1], a division into categories has been applied to facilitate the evaluation of data and results and highlight the dynamics of each class.

As a first step, a quantitative benchmarking of consumption will be presented, using groups of similar species. It will follow an analysis of the most preferred species in the local market in order to draw useful conclusions that will lead to the specie(s) which is suitable for commercial aquaculture or having the potential to be.

Climatic conditions and farming systems, for each class, will also be taken into account in order to approach the most suitable and valuable for the UAE aquaculture species.

Trends of international market financial approach will consider as well.

Starting with marine species (as they are more consumed), two subcategories have been created. One includes mainly imported species and the other common native species which are usually referred to as "local species" Freshwater species are the next category. Almost all items in this category are imported. In recent years there has been intense interest and many efforts have been made in small-scale agricultural farms throughout the UAE mostly as a part of Aquaponics.

In the latter category, "Other" has included species that are not in high demand, but they have already been cultivated in other countries and some of which have been of great commercial interest in recent years.

At the end of the evaluation, in order to make these species suitable, instead of potentially, for aquaculture in the UAE, some key factors that determine the success of the implementation of aquaculture will be mentioned,  Biological and economic aspects  Juveniles availability and full production cycle under captivity  CAPEX, OPEX and ROI  Market analysis and future trends locally and internationally

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“Classification”

Marine Species Data Base Name Name to be used Tunas (of the genus Thunnus), skipjack or stripe-bellied bonito,Bluefin tunas (Thunnus thynnus), or longfinned tunas (Thunnus alalunga), Bigeye tunas (Thunnus Tunas obesus),Kawakawa(Thunnus Avinus),Soutern bluefin tunas (Thunnus maccoyii), Yellowfin tunas (Thunnus albacares)Longtail (Thunnus tungle) Pacific salmon ( nerka, Oncorhvnchus gorbuscha, Oncorhynchus keta, Oncorhvnchus tschawytscha, Oncorhynchus kisutch, and Oncorhynchus rhodurus),,red salmon, ( salar) and Danube Salmonids salmon (Hucho hucho) Trout (Salmo trutta, Oncorhynchus mykiss, Oncorhynchus clarki, Oncorhynchus aguabonita, Oncorhynchus gilae, Oncorhynchus apache and Oncorhynchus chrysogaster)

(Gadus morhua, Gadus ogac, Gadus macrocephalus), (Melanogrammus aeglefinus),Hake (Merluccius spp., Urophycis spp.),Toothfish (Dissostichus spp.),Alaska Pollack (Theraga chalcogramma).Blue whitings (Micromesistius Cods & Similar poutassou, Micromesistius australis),(Gadus morhua, Gadus ogac, Gadus macrocephalus excluding livers and roes),Hake (Merluccius spp., Urophycis spp.)Fish of the families Bregmacerotidae, Euclichthyidae, Gadidae, Macrouridae, Melanonidae, Merlucciidae, Moridae and Muraenolepididae (Psetta maxima, Scophthalmidae), (Reinhardtius hippoglossoides, Hippoglossus hippoglossus, Hippoglossus stenolepis), (Solea spp.) Flat fish Flat (Pleuronectidae, Bothidae, Cynoglossidae, Soleidae, (Pleuronectes platessa) Lobsters (Homarus spp.),Rock and other sea crawfish (Palinurus spp., Panulirus spp., Jasus spp.), lobsters Lobsters (Nephrops norvegicus) Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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Marine Species con. Data Base Name Name to be used , Scomber scombrus , Indian mackerel,Spotted mackerel, Jacks, Amberjacks, Trevally,bigeye, blacktip, scad, Mackerels (King fish, soitted soabusg macherel),Bagha fish Seabream (bareed silvery, banded) (Sparidae) Sea bream Sea bass (Dicentrarchus labrax, Dicentrarchus punctatus) Sea bass Shrimps and prawns, Other Shrimps &prawns Shrimps & prawns Crabs Crabs Clams, cockles and ark shells (families Arcidae, Arcticidae, Cardiidae, Donacidae, Hiatellidae, Mactridae, Mesodesmatidae, Myidae, Semelidae, Solecurtidae, Solenidae, Tridacnidae and Veneridae) frozen"Frozen Molluscs (Haliotis spp.) (Mytilus spp., Perna spp.) C513Frozen,, , including queen scallops, of the genera Pecten , Chlamys or Placopecten Frozen Marine Native Species Data Base Name Name to be used Emperors,Shearifish (Sheoor) Emperors Red snappers,Hamra fish (Asmaudi) Snappers Groupers (Hamor,Blue spoted,saddle,arolated Bertam, Groupers Chenino, Cato, Nagel, Samman), Alhamuorfish (Alkashar) Subaiti, Shiam, Nahash, Faskar, Gergifan other Sparidae Other Finfish Silver pomfret-Zubaidi Silver pomfret Mullets,Bori Meed, Byah-Buri Mullets Croaker (Siganidae),Spinefoot -Safi Safi Cobia (Rachycentron canadum) Cobia Freswater Species Common Name Scientific name Tilapia, (Oreochromis spp.), Bolti, Tilapias (Cyprinus carpio, Carassius carassius, Ctenopharyngodon idellus, Hypophthalmichthys spp., Carps Cirrhinus spp., Mylopharyngodon piceus (Pangasius spp., Silurus spp., Clarias spp., Ictalurus Catfish spp.) Nile perch Lates niloticus Nile Perch Fresh water Other Freshwater Other Species Data Base Name Name to be used Seaweeds and other , Algae Sea urchins Frozen Sea urchins Sea cucumbers Frozen Sea cycymber (Anguilla spp.)Snails, other than sea snails Eels Ornamental fish Ornamental 24

“Consumption 2009-2017”

Almost all species in this classification are grown as a complete captive production cycle. Some are still under research and development but due to high demand their potential to become part of commercial aquaculture is very high. Due to the fact that most of the aquatics products come from the imported one [2], and given the high consumption of this category, it is concluded that aquaculture in the UAE has great potential.

The average annual consumption during 2009-2017 was up to 219,823tonnes.  Processed products 57,304tonnes,  Non-Aquaculture products 29,121tonnes  Potential for Aquaculture 133,398tonnes

About 61% of all consumed species have potential to be grown in captivity

Potential Annual Production 133,398tonnes

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

As the goal is to find out which species are the most consumable and therefore have the most potential to be successfully implemented in commercial aquaculture, the categories will be presented and evaluated one by one.

In the first stage, all categories as presented above will be evaluated and the most valuable species will be further analyzed.

Categories and species of lower interest will also be evaluated to explore future possibilities if any at this stage..

In the second stage, a breakdown by species will follow and the dynamics of each species will be examined in terms of annual consumption and participation in the local UAE market.

Linking to the international market and trends will also be mentioned at this stage in order to explore possible market expansion.

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Distribution in the UAE market

Native, Shrimps &prawns, Mackerel and Freshwater species are the most preferred aquatic species, as per the consumption, in the UAE. These four categories represent 84% of the average annual consumption of aquatic species, and highlight the first trend in the preference of the domestic market.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

In addition to species classified as Native, other species derived from local fisheries could also be included, but for demonstration and evaluation purposes they were included in the general category ‘other potential’. Species such as Tuna, Mackerel, Flatfish and few others, will be evaluated separately by the native regardless of whether certain quantities come from domestic fishing.

The exploration of the species that have the greatest potential for aquaculture purposes will be based on the average annual consumption of the period 2009-2017.

Tips and general comments, along with market trends will follow the presentation of each species to help select the most suitable species for farming.

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Native Species Classification

As freshwater in the UAE is scarce, it was expected that they freshwater species, would be predominantly of marine origin.

Marine Native Species Data Base Name Name to be used Emperors,Shearifish (Sheoor) Emperors Red snappers,Hamra fish (Asmaudi) Snappers Groupers (Hamor,Blue spoted,saddle,arolated Bertam, Groupers Chenino, Cato, Nagel, Samman), Alhamuorfish (Alkashar) Subaiti, Shiam, Nahash, Faskar, Gergifan other Sparidae Other Finfish Silver pomfret-Zubaidi Silver pomfret Mullets,Bori Meed, Byah-Buri Mullets Croaker (Siganidae),Spinefoot -Safi Safi Cobia (Rachycentron canadum) Cobia Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) An average total amount of 54,461tonnes consumed annually during the period 2009-2017,

The biggest amount of the marine native species derived from fisheries.

81.6% Fisheries

18.4% Imports

0.5% Exported/Re-Exported

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Tips and Comments 1. Fisheries play an important role in placing aquatic organisms on the domestic market 2. The export potential of the local species as it appears at the moment does not seem to have a direct development perspective 3. The quantitative correlation with the annual domestic consumption, as a first impression, shows a positive impression that this category has growth prospects.

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Native Species Consumption Evaluation

Emperors seem to be the most preferred on the domestic market, far ahead of the others species. With the exception of Silver pomfret, which is mainly imported, all other species come from fishing, while Emperors and Mullets are imported in a relatively small percentage not exceeding 30% per year.

Tips and Comments

1. Emperors, Groupers, Finfish, Snappers and Safi seems to have a very good market and it is worth further exploring their potential for Aquaculture. 2. Cobia, Mullets and Silver pomfret are in lower demand and further market evaluation is needed to support their potential (if any) to become suitable for aquaculture. 3. It must be borne in mind that in addition to the domestic consumption of native goods their export potential must also be investigated in each case of mass production in order to ensure the viability of the enterprise. 4. Should be noted that the group of the species Groupers, Emperors, Farsh, Safi, Gabbit, Golden trevally, and Kingfish (mackerels), represents about 60% of the total annual catch and are characterized as over- exploited species [2]. 5. Given the protection of natural resources and possible measures that will sooner or later emerge to protect vulnerable or endangered species, it is estimated that these species will have great potential to become investment opportunities in the near future.

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“Emperors”

Emperors are one of most popular to the local market and regional species. The species Sheri (Lethrinus nebulosus) holds one of the first places in the preference of the local buyers.

The average annual consumption during 2009-2017 was about 32,531tonnes of which imports amounted to 8,342tonnes. As the Emperors are in great demand almost all fish of this species are consumed locally and with average exports being only 40tonnes exported to other countries.

74.5% Fisheries

25.5% Import

0.1% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Tips and Comments 1 Although Emperor is a popular species in the UAE and has been obtained in experimental cultivation under the patronage of ministry of Climate Change And Environment (MOCCAE), the Marine Research Center has not yet completed a production cycle or undergone intensive production on commercial scale and the unexplored reactions of the species need to be studied further. 2 As it has an extensive market with the potential for further expansion it could be a very promising species if specific aspects related to breeding, juvenile production, and grow-out are identified and overcome under intensive cultivation conditions. 3 Intensification tests in both recirculating aquaculture systems (RAS) and offshore cages need to be applied and investigated more extensively before any decision is taken.

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“Groupers”

Groupers also popular to the local market and the region species. The species Epinephelus coioides (Hammour) holds one of the most popular in the local market [3].

The average annual consumption of Groupers during 2009-2017 was about 6,190tonnes mostly derived from fisheries, 5,666tonnes, and imports to contribute with 656tonnes, and an annual average exporting quantity of 132tonnes. Groupers, as Emperors, are in great demand in the local market. Almost all of are consumed locally and only 2.1% is the average, exported to other countries.

91.5% Fisheries

8.5% Import

2.1% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Tips and Comments 1 A lot of trials have been conducted over the last decades in this species and recent achievements include reproduction under captivity and juvenile production in Marine Research Center in the UAE[2], [3], successful grow-out farming has been also done in the UAE in recent years on both small and large commercial scale. 2 Grow-out Aquaculture has been applied to both offshore marine cages and inland recycling systems. The first results showed that intensive culture is giving better results in RAS instead of cage farming. 3 With the recent experience and its capability to cultivate in all farming systems, Grouper has great potential to be one of the future species in UAE aquaculture. This is further supported by a number of other factors, such as the fact that it is included in the list of endangered species[32] and is expected to be regulated in its fishery, and is a worldwide known species with export potential. 4 Availability of juveniles, specific fish feed, growth rate and food conversion rates and production costs along with the epidemiology under captivity are some of the factors that need to be examined and studied further. The introduction of grouper aquaculture in the United Arab Emirates (UAE) could be “economically sound, environmentally beneficial, and socially enhancing”. 30

“Snappers”

According to the database used, the classification includes two main names: Red snapper and Hamra fish, (Lutjanus malabaricus) is the scientific name of the local species.

Snappers are very popular and in great demand all over the world and also holds a good share in the local market.

The average annual consumption of snappers during 2009-2017 was about 6,102tonnes. It is another native species that is almost exclusively coming from fisheries with imports contributing 91tonnes. Almost all fish of this group are consumed locally with only 31tonnes on average being exported to other countries annually.

99.0% Fisheries

1.0% Import

0.5% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Although market demand for snappers is in high all over the world it is still under research and development in most of cases. Many experiments have been performed to cultivate different varieties around the world.

Over the last decade in some species of the category a small-scale complete production cycle in captivity has been achieved. Snappers, in general, are potentially a species that can be designated as candidate for aquaculture, in the near future.

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“Snappers”

Tips and Comments

1 As Snappers become more and more popular around the world, sooner or later they will be involved in aquaculture. Research is at a good level and some critical stages, such as reproduction and juvenile production have been overcome or are under development. 2 Successful reproduction, juvenile production [22] and grow out cultivation, has been achieved, on a small scale in captivity for some varieties of this group but further research is still needed [30]. 3 The application of grow-out had successful results in some countries with juveniles harvested from the wild [31], and from hatcheries. Although the grow-out was successful, pathological problems (bacteriosis, ), appeared during the cultivation,(FAO). Using the knowledge from other species these issues could be overcome under the right husbandry and the contribution of Veterinarians with a high level of knowledge of aquaculture in similar species. 4 The nutritional requirements of red snappers are inadequate and more research is still needed from the fish feed industry. 5 Given the lack of prior data, another challenge to be overcome is to provide clear answers on technical and economic viability under intensive farming conditions.

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“Finfish”

Following the nomenclature and classification of the database used, in this category the following species are included: Subaiti, Shiem, Gabbit, Nahash, Faskar, Gergifan other Sparidae commonly named as local species.

It is very difficult to evaluate these species one by one as there were not separated in the database used.

The average annual consumption of Finfish during 2009-2017 was about 4,094tonnes with imports contributing about 81tonnes. Almost all fish of this group are consumed locally and only 3.0tonnes is the average annually exported quantity to other countries.

98.1% Fisheries

1.9% Import

0.1% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Trade (import- export - re export) of finfish is very limited and almost all products are consumed domestically and almost all originate from fisheries.

In this category, of particular interest for aquaculture purposes, are species that have already been tested in full production cycles in the Emirates or other countries in the Middle East.

Certain species such as Subaiti (Sparidentex hasta), Sheim (Acanthopagrus latus) and Gabbit (Rhabdosargus sarba), have been under research for several years in most Middle East countries and have recently been successfully produced and cultivated in captivity in the UAE [2],[3].

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Although these species are successfully produced in captivity, the fact that they count only a few years in aquaculture requires some more research to be fully classified as a fully commercial species.

Tips and Comments

1 Due to the fact that these species have similar needs, as per the cultivation system, with the Sparidae family, it facilitates their cultivation in captivity and increases their potential to expand further and faster than other species. 2 Reproduction, juvenile production and successful grow out cultivation has already been achieved, in captivity, for all three of the above species in the region and in the UAE [2] [3] as well. 3 The application of grow-out to both aquaculture systems, offshore marine cages and inland recycling systems has shown that these species are similarly adapted to both. 4 The decline in wildlife that has occurred in recent years [2] in this group should be considered in conjunction with other factors such as, availability of Juveniles, growth rate, food conversion rate, and production cost, along with the epidemiology under captivity. 5 Since they are native species, and with the right marketing, this species could be promoted to increase their national consumption. In addition as they are similar to other commercial Sparidae they could be promoted in a way to them more attractive internationally. 6 Some other points that need to be further explored are the quantity by species, market segmentation, potential export capacity and the marketing policy to be followed.

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“Safi”

Safi Arabi (Siganus canaliculatus) is also one of the favorite fish species of the local market with average annual consumption of 2,329tonnes.

It is a native species with quite high demand exclusively derived from domestic fisheries and consumed locally.

99.3% Fisheries

0.7% Import

1.0% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) A lot of trials have been conducted the last decades in the Middle East and Asia to cultivate Safi in captivity. Small scale successful full cycles have been achieved in under the patronage of ministry of Climate Change And Environment (MOCCAE) and the Marine Research Center but intensive cultivation has not yet been applied.

Other species of the same family is in high of interest in a lot of countries in Middle East, Asia, Australia, Indonesia, Egypt, Cyprus and others.

Natural and induced spawning has been successfully applied and the complete production cycle is achieved in many species of the family.

Several nations have dabbled with aquaculture but large-scale rabbitfish farming did not catch on probably because the fish is inexpensive yet has similar cultural requirements to expensive carnivorous fish. Developing the rabbitfishes aquaculture sector would be advantageous for diversification especially since it is one of the few marine herbivorous cultured species (FAO).

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Tips and Comments

1 No matter that Safi is characterized as an inexpensive fish. According to the retail prices in the UAE [3] Safi are reasonable for aquaculture species values and is worth it to further examine the possibility of commercialization of this species in accordance to the statistical average annual selling prices in the UAE. 2 As the total average annual consumption is not so high, in the event of increased production, further exploration of the international market and implementation of a marketing strategy should be considered. 3 Rabbitfishes characterized as “the tilapia of the ocean” from FAO. This fact should also be considered and the potential of this species should not be overestimated but its production should be controlled in case a decision is made for mass cultivation. 4 Successful reproduction, juvenile production, and grow out cultivation, has been achieved, on a small scale in captivity for some varieties of this group, but further research is needed. 5 The fact that, in most cases, rabbitfishes are sold fresh and consumed locally does not provide the advantage of processing and market segmentation should also be investigated in the case of high production. 6 Given the lack of prior data, another challenge to be overcome is to provide clear answers on technical and economic viability under intensive farming conditions.

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“Cobia”

Cobia (Rachicentron canadum) is another potential for the UAE aquaculture industry. With an average annual consumption of around 1,425tonnes coming exclusively from fisheries along with the international recognition of this species as a promising for fish farming worthy of further investigation.

Another native species that is almost exclusively coming from fisheries, with imports exports about 0.1%.

99.9% Fisheries

0.1% Import

0.1% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Cobia aquaculture started to gain high interest late in Taiwan in 1990s and expanded during the early 2000s [33],[34]. According to the most recent data from the FAO, 74,690tonnes of cobia were produced globally in 2013. China is leading the market with more than 40,000tonnes of annual production [34]. Successful full-cycle production achieved in a lot of countries such as Panama, the USA, India, Australia, and some Asian countries (FAO 2014).

Despite the great strides made in cobia aquaculture over the last decade, not a lot of published information is available regarding cobia production under captivity and the available data is highly variable.

Although the specific nutritional requirements of Cobia are not yet well known, as they are carnivores of the high food chain it is essential to use foods that contain high levels of (up to 42%) protein and 15% fish oil during grow-out [35]. As a result of this until the nutritional aspects have been further investigated further assessment of the fishmeal market must be carefully explored when estimating production costs.

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Another concern arising from the approach of the scientific community is the environmental impact of a potential Cobia aquaculture expansion and how to achieve sustainability of wild fish caught for the diet of farmed fish.

Tips and Comments

1 Cobia as it is a warm water species, is suitable for the UAE environmental condition but establishment of commercial scale aquaculture needs to be further investigated. 2 As the domestic consumption is not so high, market segmentation, export potential, competitor’s field and production costs need to be properly investigated and evaluated. 3 Regardless of whether a successful commercial full production cycle has been achieved in some countries, due to the lack of available accurate data, in the case of a full production cycle, many factors must be taken into account locally. Some major aspects are as follows: a. Cost of hatchery facilities according to the required number of juveniles and their stocking size into the grow-out farm. b. Hatchery management and available expertise in the market c. Cost of grow-out farms and evaluation of the water quality, water depth and cost of the necessary area d. Epidemiology and legal status of the necessary drugs and medicines e. Fish feed cost and availability 4 On the one hand, the rapid growth of Cobia, (over 2 kg in a year [35]), gives a great advantage and makes it very attractive for aquaculture. On the other hand, as Cobia is an expensive fish for farming the use of this species for aquaculture purposes must be carefully evaluated in order to be economically viable under intensive farming conditions. 5 Beyond the biological requirements of the species, market fragmentation, demand and trends need to be analyzed in detail. 6 Financial situation and research of existing Cobia farms is essential in order to be realistic and avoid possible overestimation of the species potential in aquaculture.

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“Mullets”

Mullet (Mugil cephalus) has an average annual consumption of 932tonnes, and due to the high stock in the wild is not taking a place in the high potential ranking scale suitable for aquaculture purposes. From fisheries coming up to 658tonnes and another 322tonnes are imported. A small quantity of 49 tonnes is exported.

70.7% Fisheries

29.3% Import

5.0% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

As per FAO 2014, the future of mullets is uncertain and the investment in this activity is declining. With the increasing desire of aquaculture producers to export their product, flathead grey with its limited export potential is becoming less attractive.

Tips and Comments

1 Full-scale commercial production of Mugil cephalus is not yet common. Induced spawning and production of fry has been achieved on an experimental and semi-commercial basis in some countries. 2 Species of the genus Mugil are also successfully produced in full cycle in the UAE at the Marine Research Center [2],[3]. 3 Although mullets are suitable for the UAE environmental conditions, establishment of commercial scale aquaculture needs to be further investigated. As Egypt is leading the market of mullets the production cost in this country would need to be considered before an investment decision is taken. 4 Another point to be considered is that the Aquaculture of mullets is referred to as semi-intensive monoculture or polyculture, using big earthen ponds where grown wild-harvested juveniles are rather than produced in full-scale intensive aquaculture 5 Although mullets are not highly recommended for large commercial agriculture, in terms of their consumption, a local integrated small-scale agriculture would be a viable investment option if all financial aspects are taken into account 39

“Silver pomfret”

Last but not least Silver pomfret (Pampus argenteus) or Zubaidi as it called locally, is another very popular species in the local market. The average annual consumption of silver pomfret during 2009-2017 was about 798tonnes. The imported quantity of 569tonnes together with small exported amount of 12tonnes is a clear sign that itis in high demand in the local market.

69.7% Import

30.3% Fisheries

1.5% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Silver pomfret is a well-traded species in the GCC countries and in the Indo-Asia-Pacific region. It is an excellent, and valuable fish stock in the northern Arabian Gulf, between Kuwait and . As it is an elite fish, it is in great demand and therefore expensive.

After 2000 the wild stocks declined more than 80% in the Arabian Gulf placing this species in red list as vulnerable (VU) [32] species. This species can grow up to 4 - 6 Kg but those caught were mostly undersized being less than 1 Kg due to of the stock.

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Tips and Comments

1 The fact that full-scale production has been achieved in the region enables Silver pomfret to be a candidate species for aquaculture in the near future. 2 Silver pomfret has shown increased growth under tropical climatic conditions (26-30 ° C) thus reducing its growing season. This is a considerable economic advantage for commercial aquaculture and should be taken into account when considering this species, in conjunction with the climatic conditions of the UAE. 3 Biological aspects and intensive farming should be considered and further investments should be made to find specific needs and provide the proper cultivation system and nutritional requirements. 4 As stocks of silver pomfret are under environmental pressure, [32] Aquaculture will alleviate the pressure on fisheries and have a high ecological impact on the Arabian Gulf. Research on developing the farming technology for the Silver pomfret could be environmentally advantageous in the next few years. 5 At the moment its financial value is quite interesting but further research on the biological aspects in captivity along with market analysis is required before any investment decision is taken.

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Other Potential Species Consumption Evaluation

In addition to the species mainly derived from fisheries and mentioned as above "Native" some other local and imported species could be identified as potential due to the high demand from the domestic market.

It should be noted that the UAE market is made up of a multinational population and the truth is at a slight level it makes sense and explains why many "foreign" for the local market species, are in high demand.

These species are having a total average annual consumption during the period 2009-2017 of 62,918tonnes and are classified as follows.

Species Annual Consumption Shrimps & prawns 23,293 Mackerels 20,122 Salmon 5,243 Trout 4,570 Tunas 3,022 Crabs 1,997 Cods & similar 1,409 Seabream 1,406 Seabass 750 Lobsters 690 Flat fish 283 Molluscs 133 Total 62,918 Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Some species in this classification are native and could be included in the previous category. The reason they are separated is because some have wide international market whilst some others come from domestic fishing in small quantities with a low contributing interest to the average consumption of the period.

Shrimps and Mackerels are in greater demand than others and lead the category. They are represented with about 70% in the average yearly consumption of the period 2009-2017.

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“Origin”

The average annual consumption of the category during the period 2009-2017 was 62,918tonnes. Imports amount to about 53,589tonnes, while 17,244tonnes come from domestic fisheries and 7,916tonnes exporting and/or re-exporting.

76.0% Import

24.0% Fisheries

11.0% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Some species in this category are in high demand in the local market. They are predominantly imported [1] and, together with the relatively high available know-how of their farming, makes them very attractive as an investment choice for the UAE.

Fisheries in this category refer the most to Tuna and Mackerel and will be assessed in the relation to these species section.

Tips and Comments 1. The low percentage of exports (11.0%)[1], shows that the trade in aquatic products also has the potential to grow and needs to be further developed. 2. The quantitative correlation between the annual imported amounts, the domestic production and the average yearly consumption, (as a first impression), shows a positive trend that this category has a potential interest. 3. As the know-how and the initial investment (CAPEX) for farming some species in this category are relatively high the financial approach together with the ROI period needs to consider. 4. Investing in this category is generally a long-term investment. Operating costs should be thoroughly evaluated and proper marketing should be applied in advance

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“Average Annual Consumption”

Shrimp and along with Mackerel seem to be the most preferred of the local market species, far ahead of the others with a share in the annual consumption of more than 40,000tonnes and represent about 70% of the category.

37.0% Shrimps & prawns

32.0% Mackerels

15.6% Salmonids

15.4% Others

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Some species in this category have already been successfully cultivated in the UAE on a commercial scale. Successful complete cycle production achieved in using a semi-intensive system and with Seabream using RAS in the hatchery and inland grow-out farming. Successful cultivation in offshore cages is also being implemented and is expected to grow further[2] [3].

Yellowtail Kingfish mackerel, European Seabass and Salmon are also succeeding in grow-out farming using land-based RAS[2] [3].

Aquaculture of certain species of the category is in high demand and new commercial sizes, offshore and inland projects are in progress in the UAE. Evaluation per species or class will follow, to explore the pros and cons of this category.

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“Shrimps & Prawns”

Shrimp & prawn are very popular to the local market and one of the most popular groups all over the globe.

According to the database used, the exact species is not clear and the category will be evaluated according to the most commonly used for aquaculture purposes. Two are salt water species the Giant Tiger prawn (Penaeus monodon) and the Pacific White shrimp (Penaeus vannamei) and two are fresh water species, the Fresh Water Prawn (Macrobrachium malcolmsonii) and (Macrobrachium rosenbergii), These species are the most common used in shrimp aquaculture industry, are dominate the market and account more than 80% of the whole farmed shrimp production globally[15].

The shrimps & prawns average annual consumption during 2009-2017 was 23,293tonnes with import to contribute with 28,506tonnes, and export or re-exported to be 5,213tonnes[1].

As there is no clearly mentioned species in the database used the amount that come from fishing are most probably classified to the category ‘others’ so we have used only the quantities that come from imports. Due to the large amount of imports, the absence of quantities from fisheries and local production does not significantly affect estimates.

81.7 % Consumed

18.3% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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Another issue that is coming from the database in the absence of the specific names of species that have been imported. All shrimps and prawns are classified into two general categories “Shrimps & prawns” and “Other Shrimps & prawns”. This issue hampers the ability to evaluate values as per the type of shrimps i.e. freshwater or marine and furthermore as per the dynamic of specific species.

In addition, due to the fact that each shrimp & prawn species show differences in resistance or susceptibility to certain pathogens and diseases it is very important to consider which species is the most valuable with the lowest risk according to market requirements.

Tips and Comments

1 Although shrimp and prawns are very popular in the UAE with a relatively stable market, in the event of intensive and mass production, the feasibility study should include and consider a risk management study to cover the possibility of disease outbreaks. 2 Choosing the right species while maintaining an adequate ratio between disease resistance and market acceptance is a critical factor and needs to be in high consideration. 3 Both freshwater and seawater shrimp could be produced in the UAE if the cultivation system is properly selected according to the area required and the water available. 4 As shrimp and prawns have an extensive international market with the implementation of the right marketing policy this could be considered as highly profitable. 5 Considering the examples from neighboring countries where an attempt has been made to mass-produce shrimp, biosafety at the state level must be taken into account before starting mass production. 6 It should also be borne in mind that the extensive and semi-intensive systems commonly used today do not provide a high level of biosafety. 7 For any fish species, and in this case for shrimps, to ensure productivity, in aquaculture, system selection, and biosafety must be combined with the right selection of highly trained staff. 8 Implementation, from the very first day of cultivation, of all the necessary formal operating procedures is highly recommended and should not be neglected.

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“Mackerels”

Mackerel could be classified in the previous category as "native", but due to the international characteristic and high consumption they are divided into its own separate category.

The average annual consumption of mackerels during 2009-2017 was about 20,122tonnes[1].. From fisheries come 14,146tonnes and 6,197tonnes are imported while a small amount of 221tonnes are exported – re-exported. The imported quantity of 569tonnes together with small exported amount of 12tonnes is giving a sign that is in high demand in the local market.

70.3% Fisheries

29.7% Import

1.1% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Some analysts believe that Mackerel is gaining speedy momentum in the fisheries market, due to consumer trend for healthy meals including a protein-rich mackerel diet, which in turn is expected to strengthen the market growth”.

The global trend for mackerel makes them a species that could open the door to research and development (R&D) programs.

Mackerel seem to be a part of the species that will be further tested and promoted for intensive farming. There has already been some experimental production and reproduction in captivity in a lot of countries. For some species, full production cycles have been achieved and commercial grow-out farming is implemented. As this group contains tropical and subtropical species, they are suitable for the UAE environment, to both offshore and onshore.

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According to the MOCCAE, some species in this group were overexploited, such as Kanaad (Scomberomorus commerson), Dhil’e (Scomberoides commersonnianus), Zuraidi (Gnathanodon speciosus) [2].

By cultivating one of these species, or a relative of the same category, apart from the expected positive economic result, will also offer relief to natural resources.

Tips and Comments 1 A species of this family Kingfish mackerel has already been tested on inland farms using RAS[2] [3]. in the UAE and the results have been quite satisfactory. 2 Investing in similar species of this family the cost of knowledge should be taken into account together with the other parameters. 3 The absence of locally produced juveniles is another hurdle that needs to be overcome. Research on breeding farming into captivity for particular domestic species. 4 Due to the fact (as mentioned above) that some species of mackerels are overexploited [32] governmental support is expected to arise sooner or later as an issue. 5 As mackerel have an extensive international market and a reasonably large local consumption, successful production with the implementation of the right marketing policy could be considered profitable.

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“Salmonids”

The salmonids, are cold water species with a worldwide market. The average annual consumption of salmonids during 2009-2017 was 9,813tonnes[1]. This was split into two types: Salmon and Trout with almost equal consumption.

These cold water species come exclusively from imports and just recently a small quantity produced locally. From the average yearly imported amount of 10,145tonnes only 332tonnes are re-exported[1]. Salmon family and Trout (Salmon salar) are both in high demand.

Salmon 54.4% Import 4.8% Re-Export

Trout 45.6% Import 1.4% Re-Export

Consumption

53.4% Salmon

46.5% Trout

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) is very popular across the globe. Norway, , and are the four main producers. The salmon industry represents more than 18% of the total value of fish traded internationally[15]. Despite the fact that salmonids are cold water species, the use of RAS has been successfully applied to salmonid cultivation in tropical and subtropical countries including the UAE. The application of RAS as a farming method for salmon is still under investigation in terms of cost of production and the right relationship between productivity and economies of scale[26]. According to some researchers, for a RAS-based salmon farm to be profitable, the minimum annual production must be above 3,000tonnes[46].. The high cost of RAS plant combined with the duration of the production cycle (more than 2 years) makes the investment in salmon very high, especially if it takes place in subtropical areas where operating costs will increase further due to high energy requirements. Investments in salmonids aquaculture have become very popular in the UAE.

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The general impression for this category is that they have a lot of potential to become a future investment opportunity. To find out if this is the case, you need to evaluate a number of factors that may affect the viability of salmon farming in the UAE.

Tips and Comments

1 The implementation of Salmonids cultivation in the UAE must be carefully evaluated in terms of construction cost, operating costs, return on investment (according to the production cycle of the selected species), along with the cost of know-how and qualified specialists cost. 2 As the salmon farming cycle lasts about 3 years and the first year takes place in a freshwater environment and then transferred to seawater[26] [46], it must be carefully assessed for UAE conditions, the use of both water sources and accordingly make the right choice of the area where both sources are available according to quantity and quality. 3 To make salmon farming sustainable (especially in the event of a crisis such as a pandemic), hatcheries should also be considered in order for the country to be self-sufficient in the supply of juveniles and, in addition, to avoid the risk of disease. In this case, the use of freshwater for the hatchery and saltwater for the grow-out farm needs should be carefully considered and evaluated for long-term forecasts over 10 years. 4 To take advantage of RAS biosafety and provide greater protection against diseases especially sea lice that are very common in offshore salmon farming, the absence of diseases during the introduction of juveniles or eggs must be carefully investigated and a reliable source found. 5 Regarding the size of salmon farming in the UAE using RAS, the views of researchers need to be considered. It has reported that, in order for a land-farm using RAS to be profitable, the minimum annual production should be between 3,000tonnes[46]. As the salmon market in the UAE does not exceed 6,000tonnes other markets need to be explored and the competitiveness of the selling prices checked. 6 Salmonids are considered expensive fish. In addition to the analysis of the in the UAE, an analysis of the consumer audience should follow. Nationalities who consume Salmonids, consumer's wage status and level, and the tendency of migration, are some factors that must be taken into account and analyzed. The analysis of nationalities, as a percentage of salmon consumers and market growth projections would be very useful in determining purchasing power and forecasting trends so production will be programmed accordingly. 7 UAE weather conditions are driven by very high temperatures. Salmon can only be grown in RAS. The costs of energy, fresh water, and the land lease should be considered in the feasibility study for at least a period of about 10 years. The ten years period for salmon farming is almost equal to only three production cycles. Based on the consumption of the last decade, the UAE market consumes about 6,000tonnes of salmon. 8 Assuming a gradual increase of 30% over the next 3 years the annual consumption[3]. will reach about 8,000tonnes. As the market is open to competition and the average viable annual salmon production farm is around 5,000tonnes, controlled and scheduled authorization of farming, for this species, need to be considered.

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“Tunas”

The average annual consumption of Tunas between 2009-2017 was 3,022tonnes [1].mostly from the domestic fisheries, 2,333tonnes, with imports amounting 1,604tonnes. Small quantity 915tonnes were export-re export.

59.3% Fisheries

40.7% Import

2.3% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Tunas has gained attention in recent decades as a high-value species for aquaculture purposes

Research and development efforts to produce it in captivity, in a complete production cycle, have been made in many countries around the world and recently have been successfully implemented in Bluefin tuna in Japan. Due to the fact that juveniles are not available in the market, tuna farming is limited to the collection of juveniles from the wild and after a pre-growing period, they are transferred to cage farms[40].

Two are the most common species that cultivate, Bluefin tuna of the species (Thunnus orientalis), (Thunnus maccoyii), (Thunnus thynnus) and (Thunnus albacares) The species Kawakawa (Euthynnus affinis), tuna mackerel, is also starting to gain attention because it has the advantage of a shorter maturation period compared to the other two species and allows for rapid reproduction as per FAO globefish trading statistics 2020.

Need to be mentioned that tuna, in terms of price per kilo, is the most valuable fish in the world that is either commercially fished or cultivated in an aquaculture system.

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Tips and Comments

1 The have been included in the IUCN’s “Red List”. Bluefin tuna[32], is listed as crucial endangered, Yellowfin tuna as near threatened and Kawakawa as moderately vulnerable which give these species more chances to be aquaculture candidate species. 2 Tuna aquaculture has not been around for many years. So far, progress in development management and operating processes has been limited and further improvement is needed. 3 As fish farming of tuna is still based on wild catches, both for production and feed the line between aquaculture and fisheries is still not so clear. More intensive production has been limited because no- one has managed to ensure a reliable supply of fry and feed. 4 Successful stories of production of juveniles of Yellowfin and Blue-fin Tuna in the hatchery stage in Japan (after 23 years of trials), in Kindai University, increase the potential of this family but still the market of juveniles is at infant stage and very challenging. However, more research still needs to be done into improving larval survival rates, as the survival rate of eggs collected from fish spawning in the cage are still below one per cent. 5 In case of taking a decision to culture Tuna in the UAE, the source of juveniles, governmental restrictions on fishing juveniles and technology to be used need to be considered. 6 The feed source is another critical point that needs to be considered. Feeding is mostly dependent on other fish such as mackerel and sardines and less in pelletized feed FAO. Whether this is cost effective and environmentally friendly need to be considered as well. 7 Deep water areas are also need to be considered as the common height of the cage nets for offshore tuna farming is about 25 to 30m (almost double compared to finfish). 8 Tuna are attractive fish species, highly prized – and priced, but production costs and feeding strategy must be carefully considered along with the environmental impact of mass aquaculture production.

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“Crabs”

Considerably high the average annual consumption of crabs during 2009-2017 was almost 2,000tonnes, mostly come from imports (1,344tonnes), and with domestic fisheries contributing 751tonnes, and total exported quantity of 99tonnes.

64.1% Import

35.9% Fisheries

4.9% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

The most interesting species are the mud crabs, but also other species, are under research and development. In Asia the most cultured are Scylla serrata, S. tranquebarica, S. paramamosain and S. olivacea. Mud crabs are among the most valuable species in the world, with the bulk of their commercial production sent live to market. As per FAO[5], compared with many other species that are the subject of industrial scale aquaculture, mud crabs can still be considered to be at an early stage of development, as the use of formulated feeds for them is still in its infancy and little work has yet been undertaken to improve stock performance through breeding programs. Compared with other types of aquaculture mud crab cultures still have a large number of variants, including: the use of seed-stock collected from the wild as well as produced from a hatchery. Farming systems that range from very extensive to intensive, monoculture to polyculture, and farm sites that vary from mangrove forests to well-constructed aquaculture ponds or grow-out cages and recirculating aquaculture systems.

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Tips and Comments

1 In most countries actively involved in mud crab aquaculture development, the national government [5] is taking a key role in aquaculture planning to underpin national aspirations and growth targets for their respective industries. 2 Crab farming is considered to be of low environmental risk [28], [27]. 3 Rotifer algae and artemia are the live food that crab larvae feed on in the early stages [5], and they are well known in the aquaculture industry giving an advantage to crab hatcheries. 4 The relatively small investment with a return on investment of less than three years along with the possibility of two production cycles per year make the investment in crab aquaculture quite attractive. 5 From an environmental point of view, the cultivation of extensive-semi-intensive form crab farming in mangrove areas provides an additional incentive for reforestation programs [28]. 6 Given the challenge of the fisheries sector, crab fishermen could be the first candidates [27] to develop crab farming with government support and guidance. 7 In case of taking a decision to culture crabs in the UAE the source of juveniles and technology to be used need to be considered. 8 The feed source is another critical point that needs to be considered. Feeding is mostly dependent on other fish and not suitable pelletized feed is widely available [28]. 9 As more crabs are sold fresh, packing plant facilities and logistics must be considered and be cost- effective.

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“Cods”

The average annual consumption of family between 2009-2017 was 1,409tonnes, all coming from imports of 1,665tonnes with re-exported quantity of 256tonnes[1].

84.6% Consumption

15.4% Export/Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Cods are consider as low temperature and high production cost in captivity making them not as attractive as could be. As per FAO (Cod farming), in Norway between 2002 and 2008 farmed cod production increased more than 60% per year. In 2008 there were 20 commercial hatcheries and 533 cage farming licenses. By 2014 the industry had completely disappeared from Norway due a number of factors across all stages of production. The example of Norway needs to be considered and keep these species as potential until the know-how reaches a level that can support the production in all stages.

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“Seabream & Seabass”

Seabream and Seabass are Mediterranean species with a worldwide market. The average annual consumption of Seabream between 2009-2017 was 1,406tonnes, and for Seabass 750tonnes[1]. Both species have recently started to be grown on a commercial scale in the UAE with prominent Seabream which had an average annual production of 959tonnes. Negligible quantity from both species are exported, and almost all had been consumed locally.

Seabream 59.6% Import 40.4% Aquaculture 0.3% Re-Export

Seabass 100% Import 1.8% Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Seabream is a very popular species and cultivation has been started in a lot of countries in the Middle East. Saudi Arabia, Oman and UAE already have commercial offshore and land based farms. In 2018, more than 2,000tonnes of seabream were produced in the UAE and it intends to increase further in the coming years[2] [3]... Sea bass is a species that prefers mild water temperatures and due to its susceptibility to certain diseases and its sensitivity to warm waters it is not expected to have the same growth course. Both species market is dominated by two Mediterranean countries: Greece and Turkey. The level of knowledge in the production into these two countries is very high and the competition along with the cost of producing them in the UAE needs to be evaluated carefully.

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Tips and Comments

1 Sea bream and sea bass are known in the aquaculture industry with a high level of know-how in a closed production cycle. The fact that they have already been successfully developed in the UAE gives these species (especially Seabream) the advantage as an investment opportunity. 2 Since the operation of a commercial hatchery is not a viable solution, due to the small market a critical disadvantage comes from the absence of locally produced juveniles and the high cost of buying them. 3 In the case of investing in these two types, the trends of the international and domestic markets must be taken into account. The fall in prices in recent years as well as the cost of producing these species locally and the competition in the market must be assessed and taken into account as well. 4 In the case of offshore farming consideration needs to be given to the UAE conditions with high temperatures and low oxygen levels during the summer, the risk of red tides, predators (birds and wild fish), the area according to the water depth, area rental cost, and future expansion possibilities. 5 In the case of recycling systems (RAS), some of the factors to consider are the cost of investment and operation whilst maximizing economies of scale, the availability of suitable locations for future expansion, the cost of renting land, the quality of water and the necessary water treatment facilities (inlet and sewage) 6 Diversity of the product range including prepared and/or preserved products can also be a good option supporting the investment in the event that prices drop in the fresh fish market.

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“Lobsters, Flatfish, Mollusks”

Of this group, lobsters show interest due to their high prices and the relatively high average annual consumption of 690tonnes. Flat fish with 283tonnes, and Mollusks with 133tonnes [1] of annual consumption can only be considered as a small - scale farming or export facility.

Lobsters leading this classification

62.4% Lobsters

25.6% Flatfish

12.0% Mollusks

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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Tips and Comments Lobsters

1 There is growing demand for lobster in world markets, especially in Asia. At the same time, the lobster industry is facing declining landings, in some cases. In Australia it is expected to fall to historically low levels over the next decade. It is also expected that there will be no recovery in the south of New England where the decline started at the early days of this century. 2 Tolerance to high stocking in controlled conditions, communal living without cannibalism, acceptance of pelleted feed and strong market demand are some of the characteristics which make lobster a widely accepted aquaculture species. 3 However, for a sustainable aquaculture practice seed production is not yet achieved on a commercial scale though the larval phase of a few species has been completed. Seed Availability Panulirus homarus homarus, P. ornatus, P. polyphagus and Thenus unimaculatus are the promising species[6].. 4 As the industry is based on collection on the capture and grow-out of wild post larvae (pueruli and juveniles) the choice of a species that are already cultivated as a closed cycle are of high interest. The most favorable among tropical spiny lobsters currently is the Tiger spiny lobster (Panulirusornatus) [6] [7]. 5 Tiger spiny lobster is one of the fastest-growing lobsters compared to other spiny lobsters and can reach from puerulus stage to 1.0kg in 18 months much faster than Panulirus homarus and P. polyphagus which need 20-24 months to reach the size of 300g to 380gms[6] [7]. 6 As lobster cultivation is relatively new, the capital and operating costs for the aquaculture systems to be used must be carefully considered and adapted to be similar to most commercially viable aquaculture activities. 7 In case of taking a decision to cultivate lobsters in the UAE the source of breeders and/or juveniles, technology and know-how, will need careful consideration.

Flatfish & Mollusks

1 Cost of existing aquaculture technology for flatfish along with UAE weather conditions must be assessed in the selection of the most valuable species. Most farming opportunities considered are high value flatfish such as , halibut and sole. 2 In the case of cultivating flatfish, the competition between flatfish species and other whitefish species in the same market play an important role and need careful consideration[36].. 3 The most suitable system for the UAE conditions for flatfish farming is consider the recirculating aquaculture systems (RAS) 4 Although mollusk consumption is not significantly high, mollusks and especially bivalves are suitable for aquaculture and can be applied in the UAE. Further analysis is required to investigate the species with the highest demand and high export potential 5 In aquaculture, due to their high demand, many groups are cultivated are Oysters (Family Ostreidae), Mussels (Family Mytilidae), Scallops (Family Pectinidae) and Clams (various taxonomic groups).

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Freshwater Species Consumption Evaluation

In order to evaluate the possibilities of implementing aquaculture in the UAE, the most consumed species have been selected. According to the database used these are as shown in the table below. Apart from these, some other freshwater species could also be used for aquaculture purposes in the UAE. However, because the evaluation is based on and limited to products consumed, the other species will be mentioned at the end of the section as future candidates.

Freswater Species Common Name Scientific name Tilapia,Tilapias (Oreochromis spp.), Bolti, Tilapias Carps (Cyprinus carpio, Carassius carassius, Ctenopharyngodon idellus, Hypophthalmichthys spp., Carps Cirrhinus spp., Mylopharyngodon piceus Catfish (Pangasius spp., Silurus spp., Clarias spp., Ictalurus Catfish spp.) Nile perch Lates niloticus Nile Perch Fresh water Other Freshwater Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

Freshwater aquaculture is fairly new in the UAE and is still limited to small farms with an annual production of no more than 10 to 20tonnes per year. In most cases they are part of agricultural activities and have recently been converted to Aquaponics. As the UAE population tends to increase, the need for low-priced fish will increase alongside high-priced species. In addition, the beneficial use of scarce water resources through Aquaponics practices leads to more integrated use of freshwater sources and provides sustainability.

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Freshwater Aquatic Products Origin

The freshwater aquatic products have been exclusively sourced from imports with an average annual amount of 14,948tonnes, and a small contribution of the local aquaculture of 94tonnes. From these amounts 745tonnes are export – re-exported, giving an average annual consumption of 14,289tonnes during the period of 2009 -2017[1].

99.0 % Import

1.0 % Aquaculture

5.0 % Ex-Re-Export

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

With the exception of Tilapia all other freshwater species come exclusively from imports. A limited quantity from local aquaculture production does not even appear in the database.

The contribution of Domestic Aquaculture is limited to an average annual production of 94.0tonnes

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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“Consumption 2009-2017”

Catfish, Tilapia and Carp are the preferred consumed freshwater species with more potentials to be candidate species for commercialization.

Catfish is the most consumed fish with an average annual consumption during the period, of 6,692tonnes, almost exclusively come from imports followed by: Tilapia with 3,839tonnes, Carp with 2,328tonnes, Nile perch with 1,262tonnes and “Other freshwater” with 168tonnes

Catfish is leading the category with 46.8%

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

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“Consumption 2014-2017”

Considering that after 2014 the annual consumption of freshwater products has stabilized over 25,000tonnes, the aquaculture potential of the three main species is greatly increased.

From 2014 onwards the imports of freshwater products have stabilized above the level of 25,000tonnes per year.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Leader species with more potentialities to be implemented aquaculture in the UAE are still the remaining three species Catfish, Tilapia, and Carp.

As the consumption of the three species had quite high increases between of 2014-2017 there is an opportunity to further explore this market.

The average annual consumption between 2014-2017 was 26,678 tons

Compared to the consumption of the period 2009-2017 has been increased by 53.6%

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

As an alternative and sustainable way to farming, Aquaponics seems to be an affordable solution and should be carefully considered.

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Water scarcity, as well as the beneficial production of animal and vegetable proteins provided by Aquaponics, is growing rapidly in many countries. Given the UAE hazardous weather conditions, the application of Aquaponics seems to be a promising solution.

With the trend to increase consumption of freshwater fish and the potential with aquaponics, the investment in freshwater aquaculture is expected to become popular in the next few years.

Tips and Comments

1 Catfish and tilapia are two very promising aquaculture species due to their resistance to hazard conditions, their rapid growth, reasonable feed conversion rates, their ability to grow in high densities and their adaptation to low quality water. Carp are more susceptible to accepting diseases with higher needs according to water quality and higher food conversion rate. 2 In the case of choosing one of the three species that are mostly consumed market assessment is required for the choice of specific species of the family. The suggested species are Pagasius Catfish, African Catfish, Nile Tilapia (GIFT), and . 3 As water scarcity in the UAE is a major issue, only RAS is suitable for freshwater aquaculture. Due to the high cost of investing in RAS, economies of scale combined with fish density must be taken into account in order to reduce production costs. However, in addition to RAS systems, lakes or semi- intensive systems could be used. Such systems require more water and bigger land areas. They also have low productivity per cubic meter of water and a lower biosafety index[37]. 4 Using RAS for Tilapia has already achieved cultivation with densities above 80 kg/m3. Catfish went further, reaching 550kg/m3 with an average of 250 to 300kg/m3[39].. However, to reach such densities a high level of knowledge is needed along with well-designed systems. 5 Water quality at high densities tends to decrease as a result of waste decomposition[38].. To overcome this problem, two solutions have recently been implemented: the use of a higher rate of water renewal and the second application of aquaponics 6 Another point to be assessed is the current situation and forecasts of the international market. As these species are grown more in countries where very low production costs can be achieved, production costs must be linked to imports into the UAE price. 7 To reduce costs, knowledge about the reproduction and production of juveniles as well as the supply of low-cost fish feed, should also be further assessed[10].

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Aquaculture Trends & Statistics

FIGURE 3.2: Volume and Share of Capture and Aquaculture Production in Global Harvest

2011 (Data) 2030 (Projection) Capture Aquaculture Capture Aquaculture

63.6 90.4 93.6 93.2

Total harvest Total harvest 154.0 million tonnes 186.3 million tonnes Source: FishStat and IMPACT model projections. Total harvest As aquaculture is quite a new industry, it should be evaluated, analyzed and adapted to the specific conditions of the country to be implementedTotal in harvest harmonization with the selective species and best possible cultivation system to be applied.

Total harvest With rising demand for fish and decreasing catches from the capture fisheries, aquaculture is gaining more importance. However, to sustain aquaculture, there is a need to regulate land, candidate species, water, quality inputs, markets, fish health, adaptation to climate change and pollution-free sites for freshwater and marine. Especially for seafood that are the most marketable foods in the international market. Trade in fish and fishery products is likely to increase in the future to meet ever-increasing demand[40].

Most of the species have been classified as suitable for aquaculture, they have already been successfully cultivated in full circle globally or locally. In addition, many experimental trials have been conducted around the globe and it is expected that aquatic species products will revolutionize the food chain in the coming decades.

Many species are potentially suitable for UAE aquaculture according to their demand from the domestic market[8] [18]. Referring to the fish farming system that is most suitable for the UAE, the use of new technologies that allow the development of land-based tanks using water-saving recycling systems seems to be the most applicable to fish farming in the Emirates. However, offshore farming is also suitable for certain species[19].

Choosing the right species and the right aquaculture system to be used, must first seek to be a profitable business investment by achieving a balance between environmental, economic and social parameters[19]. As fish production is inextricably linked to fisheries, the impact of the rapid growth of certain species in this sector must also be taken into account.

The overall aim of this report is to highlight the aspects that make certain species suitable for farming in the UAE. Taking into account the annual consumption, the suitability according to the environmental conditions and the possible effects on the market, the aim is to achieve a sustainable level of development in the aquaculture sector. Global market trends and statistics will not be analyzed as they are not the focus of this report. Most important aquatic product data is available free through FAO publications. From the last published statistics data the top ten highest product by production quantity (live weight), ASFIS species items in world aquaculture 2017 are in the table below.

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“Global Aquaculture”

Top 10 ASFIS species items by quantity in world aquaculture, 2017

Top 10 ASFIS species items World aquaculture (2017 quantity)

Number of World production Share of world ISSCAAP countries quantity of the production ASFIS species Scientific name division farming the species item quantity of all species item (live weight; tonnes) species (%) 1. Japanese kelp Laminaria japonica Aquatic plants 4 11 174 505 9.98 2. Eucheuma seaweeds nei Eucheuma spp. Aquatic plants 13 8 637 534 7.72 3. Grass carp (= white Amur) Ctenopharyngodon idellus Freshwater fishes 38 5 519 487 4.93 4. Cupped oysters nei Crassostrea spp. Molluscs 9 4 905 215 4.38 5. Hypophthalmichthys molitrix Freshwater fishes 37 4 704 673 4.20 6. Whiteleg shrimp Penaeus vannamei Crustaceans 36 4 456 603 3.98 7. Gracilaria seaweeds Gracilaria spp. Aquatic plants 7 4 311 040 3.85 8. Japanese carpet shell Ruditapes philippinarum Molluscs 7 4 228 206 3.78 9. Nile tilapia Oreochromis niloticus Freshwater fishes 78 4 130 281 3.69 10. Cyprinus carpio Freshwater fishes 78 4 129 100 3.69 Other species n.a. 55 749 978 49.80

All species 196 111 946 623 100.00

Source: FAO Global Fishery and Aquaculture Production Statistics 1950–2017 (v2019.1.0), published through FishStatJ (March 2019). Available at www.fao.org/fishery/statistics/software/fishstatj/en.

Surprisingly the largest production item, in terms of quantity is not a fish, and the second is not a marine species. The fact that the aquatic plant industry is growing rapidly along with the high production of freshwater species such as Carp and Tilapia signals the need for low-cost protein sources [14].

Surmised the above quantities, as per the related division, this fact is more obvious but the category others is making difficult the evaluation and the extraction of safe conclusions.

Aquatic plants & Freshwater species 38.0%

Mollusks and Crustaceans 12.2% Other species 49.8%

Of the total world production of aquatic products.

Aquatic plants & Freshwater species 38.4% Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Mollusks and Crustaceans As per the value the biggest share (excluding the others) is equal divided to freshwater and crustaceans. 11.8% Other species 66 49.8%

Of the total world production of aquatic products.

Top 10 ASFIS species items by value in world aquaculture, 2017

Top 10 ASFIS species items World aquaculture (2017 value)

World production Share of Number of value of the species world countries ASFIS species Scientific name ISSCAAP division item (farmgate; production farming the USD 1 000) value of all species item species (%) 1. Whiteleg shrimp Penaeus vannamei Crustaceans 36 26 743 265 10.72 2. Atlantic salmon Salmo salar Diadromous fishes 14 16 697 788 6.69 3. Grass carp (= white Amur) Ctenopharyngodon idellus Freshwater fishes 38 12 649 100 5.07 4. Silver carp Hypophthalmichthys molitrix Freshwater fishes 37 10 268 207 4.11 5. Red swamp crawfish Procambarus clarkii Crustaceans 3 10 003 537 4.01 6. Chinese mitten crab Eriocheir sinensis Crustaceans 3 9 540 416 3.82 7. Common carp Cyprinus carpio Freshwater fishes 78 8 635 866 3.46 8. Nile tilapia Oreochromis niloticus Freshwater fishes 78 7 612 374 3.05 9. Hypophthalmichthys nobilis Freshwater fishes 19 7 318 744 2.93 10. Japanese carpet shell Ruditapes philippinarum Molluscs 7 6 957 089 2.79 Other species n.a. 133 152 775 53.35

All species 196 249 579 163 100.00

Source: FAO Global Fishery and Aquaculture Production Statistics 1950–2017 (v2019.1.0), published through FishStatJ (March 2019). Available at www.fao.org/fishery/statistics/software/fishstatj/en.

Analyzing the above values, by category, we can see that fresh water species are still in the top of the category (excluding the class others). Crustaceans (mostly Shrimps & prawns) are in higher demand when compared to the other two classes’ diadromous and mollusks. As per the value the biggest share (excluding the others) is almost equal is divided to freshwater and crustaceans following by the diadromous and mollusks.

Freshwater species 18.6%

Crustaceans 18.5%

Diadromous and mollusks 9.5% Other species 53.4%

Of the total world value of aquatic products.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) GlobalUAE aquaculture Aquaculture trends and statistics do not necessarily reflect the reality of the selection of certain species for fish farmingStatus for each& country. They can be helpful to understand the international market trends. 67 TrendsFreshwater species 18.6%

Crustaceans 18.5% “UAE Aquaculture”

Due to the rapid growth of the UAE, over the last 50 years, the demand for aquatic products has increased to levels that cannot be met exclusively by domestic fisheries, and the growing needs have been met by imports. The Emirates is primarily an import driven country for food supply demands, and the same goes for aquatic products. According to MOCCAE, the fish consumption per capita, is up to 28kg, compared to the global of 20,3kg p [11], UAE is a high consumer of fish. Following the consumption of fish per capita, if the population will be increased to about 10million the annual consumption can reach the level of 280,000tonnes. With a wild catch of about 75,000tonnes[1], and aquaculture production of about 3,000tonnes [2], the gap in needs is up to202,000tonnes annually. The high consumption of aquatic products already exceeds the 220,000 tonnes [3], during 2020 and the gap between import and local production became a major concern for maintaining the country's food security. Given that fishing is at its limit aquaculture does not seem to be the only solution, but it is imperative and necessary to accelerate rapidly. Following FAO statistics [11], according to the value of the products, shrimp seem more suitable for the conditions of the UAE. But before making a decision, the cost of production compared to the leading countries in the market must be carefully assessed along with other factors that will be presented below.

In terms of quantity, algae (seaweeds) are the leaders in world production [15], [14], but the level of knowledge, marketability and applicability in the country must be taken into account before being deemed as suitable for the UAE.

Related to freshwater aquaculture needs to be taken into account as the UAE as a desert country is facing lack of fresh water source, harsh weather conditions and agricultural farming is generally insufficient to cover the needs of the fast growing population in the country. This fact together with the systems that need to be implemented and the high costs of production do not really support the idea of implementing low priced species as the global statistics are showing. The way to improve freshwater aquaculture is to integrate it into agriculture using practices such as aquaculture –aquaponics and other freshwater saving practices.

Before proceeding with the evaluation of potentially suitable species for the emirates it should be noted that the history of aquaculture has, in most cases, demonstrated, that the promotion and use of native species is the practice that leads to success. Success stories of investing in aquaculture using native fish species or improving local species farming come from large industries around the world. Some well-known examples of countries who succeed in cultivating local species and have been gaining international recognition are the following  Norway, farming Salmon and Trout  Egypt, farming Tilapia  Greece and Turkey, with Seabream and Seabass  China and Thailand, producing massively Shrimps and other native species Focusing on growing local species or species that easily adapt to local conditions seems to be a good choice for improving sustainability and ensure food security.

This study report, focuses more on highlighting the feasibility of aquaculture in the UAE according to the biological aspects of certain species, and the farming system to be used. It does not analyze in detail the financial aspects and the financial perspectives. However, some general financial indicators and market trends are reported to assess the viability of an aquaculture investment.

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Exploring the Potential for Aquaculture Species in the UAE

Following this classification given above and the parameters related to the application of aquaculture, an assessment will be investigated according to the ability of certain species to become candidates for fish farming in the UAE. The list created according to the average quantity consumed, between 2009-2017, and the cultivate environment as per the water salinity. Species Annual Consumption Culture Water Emperors 32,531 Marine Emperor, Shrimp, and Mackerel are Shrimps & prawns 23,293 Marine/Freshwater the most preferred marine species and represent Mackerels 20,122 Marine 58.0% Catfish 6,692 Fresh water Groupers 6,190 Marine Of the average annual consumption of Snappers 6,162 Marine the period 2009-2017 Salmon 5,243 Marine/Freshwater Trout 4,570 Marine/Freshwater Finfish 4,094 Marine Tilapia 3,839 Marine/Freshwater Exploring the Potential Tunas 3,022 Marine for Marine Safi 2,329 Marine Carps 2,328 Freshwater SpeciesCatfish and Emperor,Tilapia are Shrimp the freshwater, and Crabs 1,997 Marine leaders represent Mackerel are the most preferred marine Cobia 1,425 Marine species and represent 8.0% Cods & similar 1,409 Marine 58.0% Seabream 1,406 Marine

Of the average annual consumption of Nile perch 1,262 Freshwater Of the average annual consumption of the period 2009-2017 Mullets 932 Marine the period 2009-2017 Silver pomfret 798 Marine

Seabass 750 Marine

Catfish and Tilapia are the freshwater Lobsters 690 Marine leaders represent Flat fish 283 Marine Emperor, Marine Species Other freshwater 168 Freshwater Shrimp, and Mackerel are the most 8.0% Molluscs 133 Marine/Freshwater preferred marine species and represent Total (Tons/Year) 131,668 Of the average annual58.0% consumption of Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) the period 2009-2017 Of the average annual consumption of the As perioda first impression2009-2017 the trend of the domestic market is making clear what the needs is, and where the attention Catfish should beand given. Tilapia are the freshwater leadersEmperors, represent shrimp and prawns and mackerel are the most preferred species represented with 58% in annual consumption. Particular attention should be paid to these groups and further investigation of their potential to Exploringbecome aquaculture 8the.0 %species Potential in the UAE . forOfThere the Marine averageare many annual factors consumption involved in ofcreating a sustainable fish farming business. theAt thisperiod point, 2009 with-2017 reference to total production as a country and not as an individual company, species with less Speciesthan 1,000tonnesEmperor, of annual Shrimp consumption, and will be excluded. Mackerel are the most preferred marine Catfishspecies andand represent Tilapia are the freshwater leaders represent 58.0% 69

Of the average annual8.0% consumption of the period 2009-2017 Of the average annual consumption of the period 2009-2017 “Marine Species”

By removing species with less than 1,000tonnes consumption, and classifying the rest according to their growing environment and the average annual consumption between 2009-2017, the landscape for the potential for aquaculture species, according the preferences of the domestic market, becomes clearer.

Species Annual Consumption Culture Water Emperors 32,531 Marine Mackerels 20,122 Marine Groupers 6,190 Marine Snappers 6,162 Marine Marine Species Finfish 4,094 Marine Tunas 3,022 Marine 47.0% Safi 2,329 Marine Crabs 1,997 Marine

Cobia 1,425 Marine

Cods & similar 1,409 Marine Marine Species Seabream 1,406 Marine

Total (Tons/Year) 80,687 Marine Species 47.0%

Species Annual Consumption Culture Water

Marine/Freshwater Species Shrimps & prawns 23,293 Marine/Freshwater Marine Species Salmon 5,243 Marine/Freshwater 29.0% Trout 4,570 Marine/Freshwater 47.0 % Tilapia 3,839 Marine/Freshwater Total (Tons/Year) 36,945 Marine/Freshwater Sp Marine/Freshwater Species

Marine29.0 Species% Species Annual Consumption Culture Water Freshwater Species Catfish 6,692 Fresh water 47.0% Carps 2,328 Freshwater Marine/Freshwater24.0 % Species Nile perch 1,262 Freshwater Total (Tons/Year) 10,282 Freshwater Species 29.0% Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Exploring the

Marine/FreshwaterThe abovePotential classifications for Species were made according to the consumption and the ability of each species to be Aquaculturecultivated in differentFreshwate salinities, and/or if different water salinity is required in certain cultivation stages. r29.0 Species% Specifically for Shrimps & prawns classified as “marine/freshwater”, because fresh and salt water species were both could be cultured, and are included in this category. 24.0% Salmon and Trout classified as “marine/freshwater”, because Salmon needs fresh water in some stages[26] and Trout can be fresh or salt water species. Tilapia is Marineclassified as “marine/freshwater”, because is able to be cultivated in both saline and fresh water.

However,Species marineFreshwater species are mainly preferred and consumed locally, and should be further considered as the first choiceSpecies for the application of aquaculture in the UAE. 70

24.0%

Exploring the By taking into account the consumer’s preferences and the ability to implement on commercial scale aquaculture tuna and cod are excluded because of their high risk to cultivate in full-cycle in captivity. Finfish are excluded because is not clearly mentioned in the database the nomenclature and the quantity per specific species.

From the above listed species the most potential in the UAE are as follows.

Native species Most consumed marine fish in the UAE

Crabs & Seabream Are gaining attention.

Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae)

From the above table is clear that the most preferred species are local species. Emperors, Grouper, Snapper, Safi and Cobia, followed by Crabs and the only one alien species: the European Seabream. It should be noted that Crabs could also be characterized as native depending on the chosen species to be cultivated.

From these species Cobia and Crabs have not been cultivated in a commercial full closed cycle in the UAE.

Emperors, Snapper and Safi are still in the research and development stage and have not yet been commercialized. However, successful full cycle in small-scale production has been achieved at the Marine Research Centre, which is under the authority of the Ministry of Climate Change and Environment.

Seabream is the only species which have been cultivated on a commercial closed cycle production.

Since most of the species in this classification are native, without a significant internationally competitive market trying to further explore and market them could be an investment opportunity.

However, government and institutional support are needed to become commercially active with aquaculture species.

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“Marine - Freshwater Species”

Multinational and worldwide species are leading this classification. Shrimps & prawns are dominant in this category by a significant margin.

Salmon and Trout both belongs to Salmonids are place second. Trout have been excluded from the classification because not any trial in the UAE have done so far and is considered as high risk.

Tilapia is the next most popular fish from freshwater mostly species but with the ability to cultivate in salt water as well is represented in this category.

Shrimps & prawns The most consumed Marine/Freshwater species in the UAE

Exploring the Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Potential for All the species in this classification have their own challenges to overcome. AquacultureShrimps Shrimp& prawn& prawns compete mostly with the Asian market, with the low cost of production and the challenge of [4] theirThe vulnermost abilityconsumed to certain diseases . SalmonMarine needs/Freshwater to become species cost-effective and compete with the European salmon as per the prices and the quality. Tilapia needs to be cultivated on a commercial scale and compete against big producers in China and Egypt wherein the theUAE cost of production is significantly lower.

Freshwater Since most of the species in this classification are needed or could be grown in freshwater, the quantities of freshSpecies water requiredShrimps and & the choice of the best possible water-saving system should be considered. prawns However,The most as consumed there is no previous data to assess the viability of investments for these species on a large commercialMarine/Freshwater scale in the species UAE a detailed analysis of the financial result is required.

Inin addition,the UAE for Salmon and Tilapia, as the existing domestic market is not big enough, thorough marketing research should be done before making a decision to define market dynamics and potential for exporting any overproducedExploring quantities. the

Potential for

AquacultureShrimps & prawns The most consumed Marine/Freshwater species in the UAE

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“Freshwater Species”

Due to the water scarcity in the UAE "pure" freshwater species are the most challenging. Water-saving systems and practices must be put in place to enable the aquaculture of these species.

Species Annual Consumption Environment Catfish Catfish 6,692 Fresh water The most consumed Freshwater Carps 2,328 Freshwater species in the UAE Nile perch 1,262 Freshwater

Other freshwater 168 Freshwater Source: Federal Competitiveness and Statistics Authority (FCSA, Baynat.ae) Conclusion on the Most

Carps are notPotential considered asfor suitable , because they need clean water and are not as resistant as catfish. Due to the lack of previous experience and safe results it is not suggested for the UAE. Nile perch isAquaculture a species that has not been tried, and due to the unknown reaction to the specifics in the UAE conditions itSpecies is not consideredCatfish as a candidate species for commercial aquaculture at the moment.

CatfishThe most seems consumed the most suitable Freshwater for UAE conditions, it should be mentioned that the ability of this species to bespecies grown at in very the highUAE densities of 200-500kg / m3[32] [30], using RAS is an additional advantage.

Conclusion on the

Most Potential for

Aquaculture Species in the UAECatfish

The most consumed Freshwater species in the UAE

Conclusion on the Most

Potential for

Aquaculture SpeciesCatfish

The most consumed Freshwater species in the UAE

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Conclusion on the Most Potential for Aquaculture Species in the UAE

Summarizing the evaluation of data according to the average consumption observed during the period 2009- 2017 and the prospects for the implementation of aquaculture in the UAE, the most potential to become investment opportunities in the coming years are the Native species.

Included in this category are local species of groups: shrimp & prawn, crab, mackerel and tuna opens up a large field of potential aquaculture development using species that are UAE indigenous fauna

Taking into account the concern of the Ministry of Climate Change and Environment and the Ministry of State for Food and Security along with studies that have been conducted in Abu Dhabi about the fisheries resources that are severely overexploited for some native species, this category should be given priority and taken into account as more necessary and more potential for aquaculture than other non- native species. Between the species that are overexploited the Emperors, mackerel, Grouper, Red snapper and Safi which are consumed locally at an annual average quantity of 67,334tonnes[1]., about 51% of the total potential for aquaculture species that are consumed locally. By adding Cobia, Silver pomfret and other Finfish sourced from fisheries this percentage is rise above to 56%.

Cultivating native species will bring significant benefits. The mass production of native species is the key to the success and can contribute to the country's economy due to projected high domestic consumption. The production of native species can support and improve the natural stock of fish too.

Choosing species with high domestic demand and anticipated capacity to expand initially in neighboring countries, and in international markets thereafter is also an effective practice followed by other aquaculture industries and should be considered as well.

As far as Salmonids, and especially salmon, there is less domestic consumption and the licensing framework needs to be taken into account the protection of companies as per the number that should be licensed in accordance with the quantities that the market can absorb.

Seabream is already one of the commercially cultivated species in the UAE. Expanding the production of this species is not difficult, as the level of knowledge and adaptability of sea bream to local conditions have already been tested. Market trends and cost-effective production need to be examined and evaluated in order to expand further.

Regarding the freshwater species such as catfish, tilapia, and fresh water shrimp the most effective systems for the UAE seem to be the water recirculating system (RAS). To make these systems profitable and competitive integrated systems could be a sustainable solution, if the economies of scale are well estimated and the cost of production will become competitive to the existing more extensive and lower-cost systems that are used in other countries.

Tuna, marine shrimp, lobster and crab could also be candidates for aquaculture in the UAE but more research is needed to create an affordable full-cycle production model, suitable for the UAE conditions.

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“Key Aspects for Aquaculture in the UAE”

As per FAO[11] , Aquaculture is growing faster than any other food production industry. The link between aquaculture expansion and small pelagic fisheries was started to become clearer when salmon, shrimp and marine species aquaculture developed. Aquaculture also provides opportunities for developing entrepreneurial activities, like seed production feed, aqua clinics, and fish exports[17].

The key to success, to improve aquaculture, is to create social and economic resources. To do this requires a well-designed framework, working with the public and private sectors through participatory approaches.

To choose the right species is not a simple matter and a lot of trials, experiments, and government support is needed.

As was mentioned for a lot of species some of the important aspects to choose the right species for aquaculture purposes can be summarized as follows:

According to the economic perspective the key points to be checked are: 1 Stability of the domestic and international market as per quantity and value along with the market forecast according to the production cycle of the chosen species. 2 Investment cost and turnover periods under specific local conditions where the aquaculture will be implemented. 3 Statistical analysis of sales prices of previous, current and forecast prices 4 Possibility of exporting the chosen species and the competitive playing field According to the biological perspective the key points to be checked are 1 If the chosen species can be produced in full cycle production locally and furthermore what are the achievements of previous trials if there are any? 2 What is the local market situation regarding the a. Available know-how locally and previous experience b. Production of fingerlings or availability c. Fish feed cost and availability d. Farming systems suitable for the chosen area e. Environmental risk, risk of pollution and risk of predators f. Biosafety status at national level and disease control level at national and field level g. Available locally well-educated and experienced staff for the specific species. h. International research and available R&D data i. Environmental effect (threaten or protected species) Taking into account the above points, the most suitable and profitable species for the UAE would be chosen.

As soon the choice of the species is finalized the proper cultivation system needed to cover the needs of the specific species will need to be provided.

Due to the fact that the consumer's audience, in the UAE is multinational and is often changing, some additional factors should be taken into account in selecting the appropriate species for fish farming according to the preferences of consumer audience.

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1 The economic level of immigrants working and living permanently in the country 2 Prediction of the political situation that may affect or change the consumer audience 3 The financial level of tourists visiting the country

The positive impact of multinationalism is that is open to a wide range of fish. For example, at the same time Marine (high value) and Freshwater (lower value) species could be cultured without having a price conflict between them.

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“Evaluation Factors for the Potential Species”

Potential suitable in the Annual Consumption Species Culture Water Annual consumptionMarket value Farming system Risk factors in the UAE UAE Intensive RAS - Low level of know-How on 32,531 Emperors Marine High High Offshore commercial scale High Semi-intensive Medium level of know-How - 23,293 Shrimps & prawns Marine/Freshwater High High Intensive High risk of disease Medium Intensive RAS - Medium level of know-How 20,122 Mackerels Marine High High Offshore on commercial scale High Intensive RAS - Medium level of know-How 6,692 Catfish Fresh water Medium Low Aquaponics on commercial scale High Good level of know-How. Fingerlings supply is not 6,190 Groupers Marine Medium High Intensive RAS stable High Intensive RAS - Low level of know-How on 6,162 Snappers Marine Medium High Offshore commercial scale High High level of know-How on commercial scale. High Investment and Operation 5,243 Salmon Marine/Freshwater Medium High Intensive RAS cost, Long turnover period Medium High level of know-How on commercial scale. High Investment and Operation 4,570 Trout Marine/Freshwater Low High Intensive RAS cost, Low Good level of know-How on commercial grow out for Intensive RAS - some species. Fingerling 4,094 Finfish Marine Low Medium Offshore supply is not stable. Medium High level of know-How on commercial scale. Low Intensive RAS - investment, Operation cost 3,839 Tilapia Marine/Freshwater Low Low Aquaponics need to be consider High Low level of know-How on commercial scale. High Investment and Operation 3,022 Tunas Marine Low High Offshore cost, Long turnover period Medium Good level of know-How. Intensive RAS - Fingerlings supply is not 2,329 Safi Marine Low Medium/High Offshore stable High Good level of know-How. Fingerlings supply is not Semi-Intensive stable. Specific needs must 2,328 Carps Freshwater Low Low RAS - Aquaponics consider Low Low level of know-How on commercial scale. Low Semi-Intensive Investment and Operation 1,997 Crabs Marine Low Medium RAS cost, Short turnover period Medium Good level of know-How. Fingerlings supply is not stable. Specific needs and Intensive RAS - market assessment must 1,425 Cobia Marine Low Medium Offshore consider Medium Low level of know-How on commercial scale. Not 1,409 Cods & similar Marine Low High Intensive RAS suitable for the UAE yet Low High level of know-How on commercial scale. Medium Intensive RAS - Investment and Operation 1,406 Seabream Marine Low High Offshore cost, Medium turnover High Good level of know-How on Semi-Intensive commercial scale. Not yet 1,262 Nile perch Freshwater Low Medium RAS - Aquaponics vey popular in the UAE Low Good level of know-How on Intensive RAS - small scale. Financial need 932 Mullets Marine Very Low Medium Offshore to be consider Medium Low level of know-How on Intensive RAS - commercial scale. High value 798 Silver pomfret Marine Very Low High Offshore for the UAE High High level of know-How on commercial scale. Medium Investment and Operation Intensive RAS - cost, Medium turnover, 750 Seabass Marine Very Low High Offshore disease risk Medium Medium level of know-How on commercial scale. Is 690 Lobsters Marine Very Low High Intensive RAS worth it a trial in the UAE Medium Good level of know-How. 77 283 Flat fish Marine Very Low High Intensive RAS Not suitable for the UAE yet Low Semi-Intensive Good level of know-How. 168 Other freshwater Freshwater Very Low Low RAS - Aquaponics Need more investigation Low Good level of know-How. 133 Molluscs Marine/Freshwater Very Low Low Semi-Intensive Need more investigation Medium 131,668 Total (Tons/Year) Challenges and Future of Aquaculture in the UAE

One of the most challenging factors in the UAE are the high temperatures, especially during the summer. High temperatures lead to a reduction in dissolved oxygen with the consequent need to add oxygen from external sources which inevitably raises the cost of production. High temperatures in freshwater farming, additionally leads to high rates of water evaporation and increases of the need for new fresh water.

Other environmental challenges that need to be considered during implementing offshore mostly aquaculture is the risk of Red Tide, the risk of pollution and wild predators.

The lack of locally produced juveniles for most species is another issue that needs to be addressed before or during aquaculture implementation.

The fish feed industry is also a very important sector that would be very useful in case of increased production to control the cost.

Aquaculture machinery and equipment do not really exist with the specifications necessary to perform intensive and controlled systems.

Most of the investors often attracted by the idea of the high prices associated with big margins. But the reality is that the competition is quite high and in general, not more than 30% of net profit can come from most of the high commercial aquatic animals. With a return on investment of more than 5 years, aquaculture is not considered a low or short-term investment. Especially for the fish hatcheries, the initial investment is quite high, but in a well-organized environment, the profits are also high and can make this investment more attractive than the grow-out farming for most species.

However, success will come if accompanied by good planning, and careful data collection and analysis along with well-organized standard operating procedures under high biosecurity and proper management.

As the fish market changes rapidly with the continued expansion of the industry it is very important for any company to understand the patterns of market movements in order to better plan, design and be competitive in terms of quality and price of the final product.

The choice of the system to be used, extensive, intensive, RAS or offshore is also a factor that needs to be considered according to the economies of scale that could lower the cost and increase productivity. We would need to keep in mind that this is almost unique for each species and for each holding.

Statistics are useful but do not always represent reality. In some cases, there is a large gap between theoretical and practical approaches to strategic plans. To fill the gap, it is necessary to find a way to match the theoretical approaches with the practically implemented strategic plans.

The UAE has many opportunities to expand the aquaculture sector [8] [18] [19]. If this will align with the country's food and security program, can offer a significant positive social impact and high income to the country. 78

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