North and north-east projects have secured £8.6 million of a £20m payout in the first round of the UK Seafood Fund Infrastructure Scheme.
Peterhead-based processor Denholm Seafoods will use its cash, nearly £3m, for new equipment to increase production of mackerel and herring landed in the Blue Toon.
Projects at Alness-based, employee-owned processor Aquascot and Mowi Scotland – part of Norwegian fish farming giant Mowi – have been awarded £3.7m and £2m respectively.
The UK Seafood Fund Infrastructure Scheme comes at an important time, helping to safeguard and grow our domestic food supply as well as securing local jobs in rural communities.”
Scott Nolan, operations director, processing and sales, UK and Ireland, Mowi.
The payouts are from a £65m funding pot aimed at kick-starting infrastructure improvements in the multibillion-pound UK seafood industry.
Cash is being made available for projects such as modernising ports and harbours, alongside boosting capacity and efficiency at processing and aquaculture facilities.
The scheme also supports businesses to become more environmentally sustainable.
Successful bidders in round one, which is expected to unlock up to £50m in additional private investment, are investing in greener technologies to reduce greenhouse gas emissions and adapt to more reusable materials.
£30m up for grabs in second round
Department for Environment, Food and Rural Affairs (Defra) officials have just announced a further £30m which is now available in a second funding round.
Denholm Seafoods director Allan Stephen said success in the opening round, with £2.9m of funding secured, would allow the north-east firm to invest in new freezing and production facilities to “maintain our high quality product”.
The company has embarked on a £30m strategic development plan to increase production and freezing throughput of mackerel and herring landed at Peterhead.
Aquascot is building a new salmon processing facility next to its existing salmon and trout plant, and its funding will be used to pay for equipment.
Mowi will use its cash to upgrade its salmon processing plant in Fort William.
Scott Nolan, operations director, processing and sales, UK and Ireland, Mowi, said: “The upgrade to our salmon processing plant in Fort William… is vital to ensuring the UK remains competitive in a very global seafood market.
“The UK Seafood Fund Infrastructure Scheme comes at an important time, helping to safeguard and grow our domestic food supply as well as securing local jobs in rural communities.”
Minister says fishing communities ‘important part of UK’s heritage’
Fisheries Minister Mark Spencer said: “Fishing communities are an important part of the UK’s heritage.
“They make a valuable contribution to our economy, so we are backing them with funds to boost growth and opportunities across the industry.
“This funding will ensure seafood businesses throughout the supply chain are well-equipped to keep pace with increasing demand at home and abroad, boosting production and sustainability, and building a resilient sector for the future.”
The infrastructure scheme is one of the three pillars of the £100m UK Seafood Fund launched by former prime minister Boris Johnson after he signed off the Brexit deal.
For the second round, businesses will have until March 2025 to deliver “transformational projects” – meaning more organisations will be able to apply.
Defra will shortly announce successful applicants from the Fisheries Industry Science Partnerships (FISP) scheme, also part of the UK Seafood Fund, which funds data collection and research to support sustainable fisheries management. The final FISP round will launch next month.
Mark Spencer: Seafood has vital role in food security and growing our economy
UK Government unveils £75m package from its £100m seafood pot
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