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 SCALLOPS COMPETITIVE OVERVIEW
Scallops Competitive Analysis
There are no known significant direct competitors in the scallop farming business in BC. The United States of America will not allow the farming of this species in their waters, as this species is considered "exotic". Although scallop farming is a very significant industry in Japan and China, only frozen shucked scallops are currently sold into North America from these countries. Recent examination by the U.S. and Canadian Food Inspection authorities of the growing waters in China has resulted in a reduction of exports due to high levels of pollution.
Island Scallops is the only hatchery, outside of China, that has successfully produced the Japanese scallop, and the only company that has successfully hybridized the weathervane and the Japanese scallop. Island Scallops is uniquely positioned as the sole producer of live Pacific scallops in North America. There are no other hatcheries capable of producing this unique breed. Although a large commercial scallop fishery exists on the east coast of North America, the majority of the scallops are shucked at sea with only limited quantities sold live. These scallops are sold as "Digby scallops". A number of companies have attempted to grow the bay scallop and the sea scallop on the East Coast, but these companies have only achieved limited success.
BC Scallops Competition
The primary British Columbia participants in scallop farming are ISL joint venture farmers or independent scallop farmers, which receive their supply of seed scallops solely from Island Scallops. These farmers are chronically underfinanced and are able to purchase and grow less than 300,000 scallops per farm. Island Scallops is uniquely positioned to rapidly expand these farms (up to six farms) under an exclusive farming and marketing contract. Three joint venture farmers are currently farming scallops and receive free scallop seed, technology and support for a 12% royalty on the harvest and exclusive marketing of their product through ISL.
Due to its large size and small count per pound, the sea scallop is the prime competitor in the U.S. market. The fishery for this scallop is located primarily on the North American east coast, in particular Georges Bank off New England and the Maritime provinces. This is a limited opportunity fishery, with actual fishing time being dictated by sea and other environmental conditions.
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 SCALLOPS  COMPETITIVE OVERVIEW BLACKCOD GENERAL FISHERIES |
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