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UK Seafood Growth Prompts Acquisition ff

17 October 2003 United Kingdom

For an island nation with a long history of exploiting the natural resources of the sea, Britain is not particularly regarded as a nation of fish eaters. But despite current concerns about the mercury levels in some fish and seafood, consumption has been rising steadily, with the increasing body of evidence supporting numerous health benefits of seafood consumption contributing in no small part to the gains.

In fact, the UK seafood market has grown by 19 per cent by volume since 1999 and is currently worth £1.7 billion – a fact that is also contributing to the growing levels of corporate activity in this market.

The latest example is the acquisition this week of the Pinegain Group by Young’s Bluecrest Seafood (YBS), the leading supplier of seafood to the British market. Pinegain is the owner of Marr Foods, the UK’s largest independent seafood processor.

YBS supplies fish products to most UK sectors – including frozen and chilled, branded, private label, retail and foodservice sectors – and the acquisition of Marr's will help expand the company’s existing manufacturing abilities as well as build its credentials in popular seafood such as tuna, Pacific salmon and smoked fish.

Wynne Griffiths, chief executive of YBS said: “We are absolutely delighted to have secured this acquisition. I’m confident it will prove to be a valuable asset in our continuing drive to build the UK seafood market, giving us access to new product opportunities and allowing us to build on our existing manufacturing skills and customer relationships.”

Both companies have been quick to see the potential in the growing UK demand for ready meals, and have been at the forefront of new product innovation in this sector, introducing new generations of British consumers to tasty, healthy and above all interesting fish dishes.

Marr's claims to be the market leader in supply of fish and seafood to the major UK multiple retailers and food service companies – an important benefit at a time when the traditional high street fishmonger has all but disappeared in most UK towns and cities.

The retail market for seafood was worth over £1,500 million in the year ending March 2003, according to TNS SuperPanel data, while the fish still has an important part to play in the high street through the 8,000 fish and chip shops across the UK, which sell £478 million of seafood each year, according to Seafish, the organization which promotes seafood consumption in the UK.

Young’s is the UK’s biggest seafood brand, and it has played heavily on the increasing consumer awareness regarding the health benefits of fish in its own marketing.

Just this month it launched a ‘Twice a Week’ campaign to encourage more people to eat the recommended level of fish in their weekly diet, just one of a number of moves designed to coincide with this week’s National Seafood Week in the UK.