Royal Greenland has announced an investment in Canadian seafood producer Quin-Sea Fisheries Limited.
Quin-Sea Fisheries annually produces and sells more than 11,000 metric tonnes of primary crab and cold water prawns, and operates six land-based factories generating annual revenues in excess of US$44m (CA$60m).
Derrick Philpott, who owns Quin-Sea and will remain with the company, said: “We see much opportunity to further develop the seafood industry in Newfoundland and Labrador through working with Royal Greenland.”
“It is important for the ongoing growth of the business that the local seafood industry continues to prosper, and we are eager to join with Royal Greenland to achieve this objective,” he continued.
Royal Greenland focuses on fish and shellfish which is wild-caught in the North Atlantic. It has revenues of US$731m (5bn DKK).
“We have come to know Fred and Derrick and Quin-Sea very well over the last months, and we are convinced that the two companies are an excellent match,” said Mikael Thinghuus, CEO of Royal Greenland.
He continued: “Both companies are founded on a deep knowledge of in-shore fishing and processing and a profound respect for the local communities in which our suppliers and employees live and work.”
The investment is subject to the approval of the provincial government for the change of operator of the processing licences held by Quin-Sea Fisheries Limited.
Mr Thinghuus concluded: “We all tend to see other companies that harvest, produce and sell the same species as our main competitors. In my view, this is a big mistake; one that I openly admit that we at Royal Greenland have been as culpable of as anyone else.”
“In reality, our main competition is other species of seafood – for example, consumers switching between cold- and warm-water shrimp – and entirely different sources of protein – chicken, pork, and beef”.
