Photo: Uri Magnus / Hatch Blue
German engineering is world-renowned, but at the moment its potential in the aquaculture sector remains "untapped", according to a new Hatch Blue report released this week.
Commissioned by Landwirtschaftliche Rentenbank, Germany's development agency for agribusiness and rural areas, the report Engineering the Blue Future: Germany’s Role in European Aquaculture Tech notes that Germany has strong domestic demand for seafood, but that this almost exclusively relies upon imports, with around 90% of the seafood consumed coming from beyond the country's borders.
This provides an oportunity, the report argues, for Germany to transform itself into a stronger player in the aquaculture sector - despite ongoing challenges in Europe of high operating costs, fragmented regulation and a shortage of skilled workers. Hatch Blue and Rentenbank argue that Germany’s strengths in key areas such as automation, engineering, digital systems and applied research could help address some of those constraints.
“Food security is gaining increasing importance in Germany and Europe. Aquaculture can make an important contribution to this while simultaneously opening up new economic perspectives for rural areas," said Nikola Steinbock, chairwoman of the management board at Rentenbank.
"However, the expansion of the sector is currently hindered, in particular, by high energy costs and complex framework conditions. This makes innovative approaches, such as the integration of aquaculture into existing agricultural systems, all the more important. For example, the use of waste heat from biogas plants can lower operating costs and advance the circular economy,” Steinbock argued.
“Furthermore, access to capital is crucial. Rentenbank therefore supports the expansion of aquaculture in Germany – from research and development to the market launch of facilities – with our funding programs,” she added.
The report suggests that Germany could build a larger role for itself as an exporter of aquaculture technology, equipment and production systems, rather than focusing only on expanding fish farming within its own borders. The authors also argue that universities and research institutions need stronger commercialisation pathways to help turn research into start-ups and market-ready products.
Tackling the issue of financing, the report calls for a mix of early-stage grants, infrastructure funding, low-interest loans and government-backed guarantees, arguing that such tools could reduce risk for private investors in a sector affected by regulatory uncertainty.
That uncertainty should also be addressed, the study authors argue, by introducing standardised rules, with clearer permitting procedures and national guidance throughout Germany to make long-term planning easier for companies and investors.
“At Hatch Blue, we recognize that the German blue economy is rich in innovation. We hope this report supports Germany in becoming a cornerstone of a resilient food system and a leading exporter of the technologies shaping the future of aquaculture," said Georg Baunach, managing partner and co-founder of Hatch Blue.
The report's findings were presented on 7 May at the Growth Alliance Networking Summit in Frankfurt, in combination with a mini-documentary released alongside the study.