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    How To Get Started in The Business

    Nicardo Neil The Competitiveness Company

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    The Competitiveness Companys Ornamental Fish

    Program

    y Developing the Ornamental Fish Value Chain inJamaica

    y

    Targeting Urban Areasy Stimulate and/or Implement Market-led solutions to

    Issues of:y Outdated Technology

    y Low Volumes

    y Low Access to Inputs

    y Linkages to Higher Value Markets

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    WhatWe Do...y MarketDevelopment Increase the number of OF Exporters; Identify

    International Importers and Make Linkages with Local Producers andExporters

    y Information Provide Current & New Farmers with Info on Starting up,Upgrading, Financing, Markets, Best Practices, Inputs, links to other farmers,Training, etc.

    y Technical Assistance for farmers through Short Term Technical AssistancePrograms

    y Work with Financial Institutions to Negotiate Favourable Financing for OF

    Farmers

    y Develop the Capacity of Local Trainers to Deliver Training more Effectively

    y Take A Sector-wide Approach to Developing OF.

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    The Future V lue hai

    The Si gapore Model

    Support Markets

    Brood stock Importers(Informal)

    Brood stock Importers(Informal) Styrofoam1 Manufacturer

    Styrofoam1 ManufacturerHardware

    Hardware Fish Food & SupplyWholesalers

    Fish Food & SupplyWholesalers

    Input Supply

    Input Supply

    OF Farmers

    Production

    OF Farmers

    Production

    Pet Shops

    Pet Shops

    Domestic

    Consumers

    Domestic

    ConsumersExporters

    Exporters

    Consolidators/

    Agents

    Foreign Consumers

    Foreign Consumers

    JNBS

    JNBS

    Trainers

    Trainers

    Extension Officers

    Extension Officers

    Joint Procurement

    Joint Procurement

    Trainer Agentson Commission

    Trainer Agentson Commission

    Train-the-trainer

    Train-the-trainer

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    Busi ess pportu itiesy Ornamental Fish is an Entrepreneurial Opportunity

    not only as a Farmer....

    y Breeder

    y

    Growery Supplier of Feed

    y Para-vet/Extension Service Provider

    y Fish Farm Installation & Maintenance

    y Consolidator Collect & Prepare Fish for Exporty Exporter

    y Aquaponics

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    The Global Ornamental Fish Trade

    Aquarium keeping one of the largest and fastest growing

    hobbies worldwide (NABARD, 2007)

    Valued at over US$ 8 Billion (Retail sales) (NABARD, 2007)

    Annual Growth of 8% per annum The US imports US$ 500 Million/yr

    Mostly from Developing Countries

    Over 90% of Fish Exported is Freshwater

    Industry rebounded well from 1997 & 2001 economic

    downturns

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    Local Advantages in Exporting

    y Jamaicas climate ideal for year-round production

    y Tropical Temperature

    y No extreme weather (cold or hot)

    y Proximity to the Canada & the U.S.

    y Short transportation time (reduced stress for fish)

    y Competitive Freight rates

    y EPA Provides opportunities to access growing Europeanmarkets competitively

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    Major Market Statistics

    The EU is currently thelargest import market (as aregion) with over 30% (2006)

    The US is the largestimporting country with15.7% of global imports

    Potential Markets forJamaican Farmers

    US

    Canada

    UKGermany

    France

    Netherlands

    Italy Based on demand and freight logistics (costs &

    time)

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    Singapore The Worlds Single Largest Exporter

    WhatDo TheyDo?

    A City-state the size ofKingston with limited land

    Strategic locationPerfect climateGood exporting

    infrastructureAn efficient network of small

    farmers, consolidators and

    exporters 20+% of the Global Export

    MarketOnly Produces 44% of its

    Exports

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    Top Ornamental Fish in Demand

    Cichlids

    Barbs

    Angelfish Gouramis

    Goldfish

    Severum

    Mollies

    Oscar

    Koi

    Producing for Export

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    Ornamental Fishes Extreme Variety

    Species Water Quality Season Breeding Type Egg Type/ Care

    Molly Hard water Sp. Summer Live Bearer Young Ones

    Guppy Hard water Sp. Summer Live Bearer Young Ones

    Platy Hard water Sp. Summer Live Bearer Young Ones

    Swordtail Hard water Sp. Summer Live Bearer Young Ones

    Gourami Wide Tolerance Summer Nest Builder Male Guard eggs

    Rosy Barb Wide Tolerance Summer Egg Scatterer Adhesive

    Gold Fish Wide Tolerance Winter Egg Scatterer Adhesive

    Danio Wide Tolerance Summer Egg Scatterer Non Adhesive

    Fighter Wide Tolerance Summer Nest Builder Male Guard eggs

    Catfish Wide Tolerance Winter Egg depositer Enclosures Reqd.Angel Soft Water Summer Egg depositor Parents Fan Eggs

    Cichlid Soft Water Summer Egg Depositors Enclosures Reqd.

    Tetra Soft Water Summer Egg Scatterer Adhesive

    Carp Soft Water Winter Egg Scatterer Adhesive

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    The OF Production Cycle

    Breeding

    Feeding

    CaringGrading/Sorting

    Selling

    Husbandry

    Young Fryvs. MatureNutrition

    for Growth

    QualityChecking;HealthChecks

    Separatingby species,

    qu

    ality,size

    Packaging,transportation,

    marketing

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    Backyard Ornamental Fish Farming

    y A re-circulating aquaculture system (RAS) do not require significant space and

    uses vats, a system of pipes, air and water pumpsy Less susceptible to natural disasters, birds and predators

    y More control over quality and Bio-Diversity

    y Cost of a profitable small scale model start-up unit ranges between J$100,000 J$250,000 (# of vats, type of pump, etc.)

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    Ill stration 8 at Backyard Farm

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    Start- p Eq ipment & Capital Req irementsCapital Req irements for Small Ornamental Fish Farm Set p (as at A g st 2009)

    Q antity Item Unit Price (J$) Total (J$)

    6 56"

    lastic

    at 6000 48000

    1 Little Giant Energy Efficient Inline

    ump 45000 45000*

    1 Aquarium Air

    ump 5000 5000

    1 Pipes & Piping Fixtures 10000 10000

    1 Filter Media (e.g. Gravel) 5000 5000

    1 10x20 Shade House (Frame & Shade Cloth 15000 15000

    10 Glass Tanks (Breeding) 1500 15000

    5 Brood Stock (Pairs) 600 3000

    1 Filter Trough 4000 4000

    Total 150,000

    *Note: This pump is energy efficient and results in a 2/3rd reduction in monthly energy costscompared to other, cheaper pumps (and pays for itself in 10 months). Farmers may choose to

    get cheaper (higher wattage) pumps to reduce start-up costs (by about $20,000).However,monthly electricity costs will be much higher. At lease 40% of Startup cost ($50,000)

    recommended for working capital (spent over 4 month growing cycle)

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    Prod ction 8 at Systemy Production Assumptions

    y Number of breeding pairs 2y Laying frequency/month 2y Number of eggs per laying pair 500y Number of eggs/laying pair/month 1000y Total yield (fries)/harvest 2000y Mortality Rate (%) 10y Mortality (#) 200y Amount grown out 1800y Grow Out Period (days) 100y Fish Available for Sale/harvest 1800

    y Fish will produce at full capacity for 9 months of the year and there will be anoticeable fall in egg-laying (about 25%) in the remaining 3 months.

    y With the proper Production Cycle 12 to 15 harvests possible per year

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    Main Grow-out VatsFish Produce Ammonia which is

    converted into nitrates (nutritiousfor plant growth)

    Main Water Catchment(Pump)

    Filtration Troughs/Grow BedsPlants use up nitrates and are able to flourish.

    They also filter the water.

    Water Flow

    Aq aponics

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    Five Step Export Preparation

    Identify fish forexportExamine forparasites & disease

    Pre-selectionChecking

    Set-up Separateholding area

    Continue qualitychecks & medicate

    Post-SelectionQuarantine Withhold feeding

    Clear water offaecal matter

    Acclimatize

    Purging

    Separate fish bytype, gender, etc.

    Sorting &Counting Place sorted fish

    into oxygenatedplastic bagsPack in polystyrene

    Packaging

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    Pre-Selection Checking

    yAt least 1 week before fish are ready to beseparated & preparedyCheck for parasites and diseases

    yExamine fish for appearance (ragged fins,ulcers, fungal patches, colour)yMake preparations for holding areayEnsure that needed chemicals, treatments

    and packing materials are acquired and onhandyNotify Veterinary services of intention to

    export Ornamental fish

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    Quarantine

    yPrepare a separate holding area

    yMultiple tanks

    y

    Clean wateryRe-check fish for parasites, diseases,

    appearance and behaviour

    yApply treatments required

    yAdminister prophylactic treatment such assalt, formalin, Methyl Blue, etc (consult VetServices)

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    Purging

    yWithhold feeding minimum 2 days and up to 5days

    y Egg-laying fish usually require longer

    y Siphon faecal matter from water (preventfish from eating faeces)

    yClear water signifies fish are sufficientlypurges

    y Purging allows fish to clear their digestivetracts. This reduces amount of waste release intransport bags, which maintains water quality.

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    Sorting & Counting

    yCount and Sort fish into different lotquantities according to size, species andquality.

    yHold each group in separate aquaria, trays, orbuckets.yContainers should have adequate water and

    air flowyWater exchange rate: minimum 4 times per

    dayy Ready packaging material

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    Packaging

    Fish should beplaced intoplastic bagswithoxygenatedwater, sealed

    and placed intopolystyreneboxes

    Ideally,

    squ

    arebottom bagsare best,howeverpillow(regular)

    bags may alsobeused

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    Other Issuesy Shipping Additivesy Sedatives & Salt widely used to reduce stress and trauma.

    Increased activity and stress increases oxygenconsumption during transport, which heightensmortality rates (Quinadine, MS-222, Methylene Blue)

    y Temperaturey Different species thrive at different temperatures.

    Tropical fish prefer 26C 30C (consult Vet Services)y Oxygen Levels

    y

    Preferably 60-40 Oxygen to water ratio.y Packing densityy Try to balance need to minimize shipping costs (packing

    many fish per container) and to minimize fish mortality(packing less fish per container).

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    Summary & Conclusions

    y Mortality of Fish during transport is decreased by:y Careful Handlingy Quality water (no faecal matter)y D

    iminished stress (use of sedatives andacclimatization)y Screening (examining, sorting and treating fish)y Packaging is an important decision. One must

    consideryAmount of fish being shippedy Oxygen levelsy Use of polystyrene boxesy Packing Density

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    MarketResearch

    Identify a specific export market

    Identify specific species

    The Competitiveness Company

    Training

    Get trained in breeding, growing, feeding, care

    Identify source of ongoing technical advice

    Ministry of Agriculture (Twickenham Park) &Heart Ebony Park

    Networking

    Develop relationships with exporters or consolidators or importers

    Create linkages with other farmers

    Make Calls - - Call The CC

    Financing

    Create Business Plan and Design Fish farm based on requirements

    Access financing from targeted MFIs (JN, JBDC)

    Production

    Set up production schedule

    Breed, feed, care, sort

    Logistics

    Package and Transportation of fish to consolidator or exporter

    Getting Started

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    Critical Success FactorsProducts The Fish

    Logistics

    Aggressive Marketing

    Training

    Networking

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    Challenges Identifying markets

    Volumes

    Packagingarketing

    Freight Rates

    Transportation & its effect on

    ortality

    Getting CertifiedExport Logistics

    With respect to size, shape, colour

    Control of disease, and pests

    Bio-securityQuality The cost of feed

    An unreliable power grid and constantly rising electricity costs

    Production scheduling & throughputProduction