Fish oil market growing in Asia-Pacific

THE FISH OIL market in Asia Pacific is expected to reach $1.5 billion five years from now as it grows at 5% CAGR, according to ApacMarket.com. Demand is driven by aquaculture applications and direct human consumption.

Over 80% of fish oil is absorbed by the region’s aquaculture market mostly in China, Viet Nam and Indonesia, according to the new report Asia Pacific Fish Oil Market (Application, Species and Geography) - Country Analysis, Segmentation and Forecast, 2014 – 2020.

Salmon and trout are the two fish species that consume the largest volume of aqua grade fish oil, according the report.

Demand for fish oil as pharmaceutical, functional food and health supplement is also fast rising in Asia Pacific, specifically in aging Japan which accounts for two-thirds of the market. Omega-3 is seen as a remedy for cardiovascular, eye and joint deterioration.

The region cannot meet its own demand for fish oil, which mostly comes from Viet Nam. Therefore it imports from Latin America and Scandinavia. However, there is a demand-supply gap in the industry resulting from stringent fishing quotas and adverse climatic conditions in major fish producing countries like Peru and Denmark, notes the report.

To ensure supply, production utilizes fish by-products, particularly the head, viscera and backbone of the fish. Most fish oil is derived from anchovies, as well as mackerel, sardines, cod, herring and menhaden.

China and Japan are the largest fish oil consumers accounting for three-fifths of the region’s market. They are followed by Australia, Viet Nam, Indonesia, India and the rest of APAC.