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In cooperation with the Ministry of Foreign Affairs and the Ministry of Trade and Industry FaroeBusinessreport THE INTERNATIONAL REVIEW OF FAROE ISLANDS INDUSTRY AND TRADE Faroe Business r eport 2010 2010 Faroe Business Report — 2010 The International Review of Faroe Islands Industry and Trade ISBN 978-99918-998-4-8 Need a car in ISSN 1903-1173 Published and produced by PRnewsMedia.com North Atlantic Information Services Spf PO Box 3283 FO-110 Tórshavn Faroe Islands Tel.: +298 449 627 the Faroes? In cooperation with The Ministry of Foreign Affairs OpenEye.biz Editor in Chief: Búi Tyril WELCOME TO THE Get it here at Photo Editor: Maria Olsen 2010 EDITION OF THE Contributors: FAROE BUSINESS REPORT >>> www.rentacar.fo Jeremy Cresswell Alex Cross Stephen Metcalf T’S A GREAT PLEASURE to present to you the fifth volume —with a personal service, Jørgen Niclasen in this series—the 2010 edition of the Faroe Business Report. For at an unbeatable price. Editorial Office: Faroe Business Report certain reasons there was no 2009 edition; we did promise, however, c/o GlobalOne Press Ltd that the Report would be back this year and that we would bring And free kilometers. Enterprise Business Centre Admiral Court, Poynernook Road further improvements to the unique service that it already represents. Aberdeen AB11 5QX Frankly, I do believe this one is the best edition to date and I hope United Kingdom Tel. +44 (0)845 052 3422 you’ll share my enthusiasm once you’ve had a moment to check it. Fax +44 (0)845 053 1842 In tough times, some tend to be reluctant to engage in any communication www.FaroeBusinessReport.com that goes beyond what is considered an absolute minimum required for normal rentacar.fo rentacar.fo E-Mail: [email protected] functioning. Few will dispute, however, that managing stakeholder relations is Printed in Denmark I by BookPrint A/S becoming increasingly crucial to survival in today’s rapidly changing business Copyright © 2010 world. Conveying appropriate messages to key constituencies on a need-to- North Atlantic Information Services Spf do basis practically means such communication should happen at reasonable GlobalOne Press Ltd All rights reserved. frequencies. Otherwise, in today’s maelstrom of messages, it’s too easy to be ‘Something Mystical’ reprinted with rendered irrelevant. permission from The New York Times. Get the best rent-a-car deal while in the And how This is where Faroe Business Report comes in as a tool for those businesses ALL INFORMATION PROVIDED IN THIS PUBLICATION Faroe Islands—get it from rentacar.fo about a nice IS A SERVICE TO READERS AND MAY BE USED FOR and organizations that want to reach out to their most important readers, and INFORMATIONAL PURPOSES ONLY. COMMERCIAL RE-PUBLICATION, WITHOUT EXPRESS WRITTEN make those points that need to be made. apartment PERMISSION, IS PROHIBITED. Good choice of great cars— DISCLAIMER: THE PUBLISHER ASSUMES NO Meanwhile we’re proud to announce that two Faroese government from small to spacious. RESPONSIBILITY FOR POSSIBLE ERRORS, OMISSIONS to go with it? OR INACCURACIES IN INFORMATION CONTAINED IN departments—the Ministry of Foreign Affairs and the Ministry of Trade THIS PUBLICATION. THE INFORMATION IS PROVIDED At www.rentacar.fo “AS IS” WITHOUT WARRANTY OF ANY KIND, EITHER and Industry, respectively—are contributing to this year’s edition as Special EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OF BOOKS, Sponsors. The Ministry of Fisheries has also played an important part again MAGAZINES, MANAGEMENT REPORTS OR SIMILAR SOURCES OF INFORMATION. THE PUBLISHER this time, as have all the other participants and advertisers. INCLUDING ALL ORGANIZATIONS AND PERSONS APPEARING IN, WRITING FOR OR OTHERWISE Above all, the insights shared by those featured with our readers mean INVOLVED IN CREATING AND OR DISTRIBUTING THIS Also ask us for a bargain PUBLICATION, SHALL NOT BE LIABLE FOR ANY everything to the quality and popularity of the Report. rentacar.fo DIRECT, SPECIAL, INDIRECT, INCIDENTAL, OR short term rental of a fully CONSEQUENTIAL DAMAGES, INCLUDING WITHOUT And to all of you who have been missing us, it’s good to be back! furnished luxury apartment at LIMITATION, LOST REVENUES OR LOST PROFITS, WHICH MAY RESULT FROM THE USE OF INFORMATION I hope you enjoy the 2010 Faroe Business Report and get lots of valuable Kollafjørður—right between OBTAINED FROM THIS PUBLICATION. WHILE MAKING NO COMMITMENT TO UPDATE THE INFORMATION information from it. rentacar.fo Tórshavn and Vagar Airport! CONTAINED HEREIN, THE PUBLISHER MAY MAKE CHANGES OR UPDATES TO THE CONTENT, IN PRINTED, ELECTRONIC OR OTHER FORMAT, AT ANY Búi Tyril TIME WITHOUT NOTICE. Publisher and Editor in Chief rentacar.fo >>> [email protected] • Tel. +298 232 121 • í Homrum 19, FO-410 Kollafjørður, Faroe Islands Faroe Business Report 2010 • 3 Rentacar_fo_ad_FBR2010.indd 1 26/04/2010 02:33 GEOGRAPHY FISHERIES, SEAFOOD INDUSTRY FaroeBusinessreport 2010 • 36 Getting the Message Right • The Faroese fisheries management 7 A committed Part of the Global Communinty Minister of Foreign regime has been praised for its ability to create transparency and eliminate Affairs, Jørgen Niclansen, on the Faroe Islands’ commitment to interna- MARITIME & RELATED INDUSTRIES tional cooperation. discards of marketable fish, but old communication problems may make it difficult to work with conservationists. • 56 Scramble to Cope • 8 Something Mystical Today’s Faroese would never consider living Progress in the maritime sector could be key to 76 Fresh Link: Return of the Star • Founding a new shipping without modern technology but still have preserved much of their ancient Magnificent New Pelagic Vessel Tróndur í Gøtu• a swift recovery in the Faroes, spearheaded by infrastructure development 40 Vinnan gets a company to save a vital link between the Faroe Islands and Scotland culture—including some hunting and herding practices that may indeed and offshore oil and gas—yet unexpected levels of success in some areas new RSW vessel of the highest caliber, possibly the last one for the Faroe turned out to be a smart move—with hundreds of tonnes of fresh and seem surreal to outsiders. highlight gaps in the legislation. Islands for a long time, considering recent cuts in pelagic fish quotas. frozen fish products exported every week, and imports growing. 15 Boosting Faroe-Euro Trade • 59 Maritime Regulations: Int’l Standards Wanted • Adjusting to While new trade agreements with 44 A better Way to Share the Fish • As it chairs the Nordic Coopera- 78 Superior Cleaning Agents Mean Business in Money Squeeze • business environment changes, Faroe Agency pushes for improved Eastern European countries could come about in the near future, the tion in Fisheries and Aquaculture for the first time, the Faroes places Kemilux retains sufficient capacity to supply international ship fleets with contingency planning in the Faroe Islands, awaiting new legislation on Faroes is hoping to see its Free Trade Agreement with the EU upgraded issues of marine ecosystem management and rights based fisheries on the its world-leading detergents and cleaning agents—while sales soar to marine pollution and liability in cases of accidents. to encompass services as well as goods. joint agenda, highlighting problems related to changes in migratory record high as business customers focus on value for money. resources. 16 Fending Off Recession, the Faroese Way • 60 Mest Pushes Out the Boundaries • Prospects for new Alongside its traditional role as 80 Optimism at Port of Runavík • As well as being home to the economic growth and untapped business opportunities are highlighted in • a shipbuilder and repairer, MEST has grown into a multifaceted company 46 Eilif Gaard: Champion of the Holistic Approach to Science country’s only supply base for offshore oil and gas, Runavík has become a major stimulus package in the Faroe Islands, featuring projects ranging with a growing interest in high-tech equipment for fish processing on land Under its new management, the Faroe Marine Research Institute looks to the largest port in the Faroes as regards sourcing of both wild whitefish from aquaculture and pharmaceuticals to shipbuilding and tourism. and at sea. further develop its knowledge of marine ecosystems, as well as finding and farmed salmon—and is poised to become even larger. new ways to bridge the gap between fisheries science and commercial 18 Revamping Vagar Airport • 62 Vónin Advances in Pelagic Fishing Gear • In the hope that commercial flights will fishing. Vónin’s international 82 SBW Introduces Intra-European Door-to-Door Service • Receiving become cheaper and the fledgling Faroese tourism sector be given a boost, reach increases as the company focuses on fuel economy and environmen- increasing amounts of export cargo from the Faroe Islands and Iceland, an ambitious step is being taken to generate more air traffic in the Faroe 48 Faroese Fishing Giant to Expand Product Range • tally friendly fishing gear—with successful purse seine nets and pelagic Smyril Blue Water complements its signature reefer truck service with Islands: the extension of Vagar Airport. With its own trawls attracting vessel owners from across the world. fleet of modern fishing vessels to secure sourcing, Faroe Seafood looks to cheaper and more environmentally friendly alternatives for its clients. • extend its range of value added products after tough years of its expansion 20 Magic for Meetings Peculiar for its remoteness, yet only a 64 Complementing Industrial Fish • Faced with the prospect of • and consolidation. 84 ‘Always on the Look-Out for New Opportunities’ With the two-hour flight from Copenhagen, the Faroe Islands offers an exotic dwindling fishmeal production, the Port of Fuglafjørður looks to diversify country’s strongest capital and liquidity position, TF Holding, the leading blend of natural beauty and modernity—increasingly enticing for 50 Adjusting to Uncertainties • in future—with seafood processing returning to prominence and fuel private investor in the Faroe Islands—and by far the leading insurance conference-goers in search of the perfect getaway.
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