Fish Farming in the UAE - Case Study Example

Fish Farming In UAE Research Project Proposal Name Institution Fish Farming In UAE Research Project Proposal Introduction The United Arabs Emirates refers to a country situated in the southeast end of the Arabian Peninsula of the Persian Guf and shares territories with Qatar and Iran. The total population of the UAE is estimated to be 9.2 million. The group came up with this topic so as to ensure constant provision of fresh fish to the UAE consumers throughout the year. The country’s largest farm business, Mubarak Fisheries, produces an estimate of 400 tons of fish annually (Fathelrahman, Basarir, Gheblawi, Sherif &Ascough, 2014). The amount of fish currently produced by the existing firms is not adequate to serve the growing demand in the UAE. This paper is a research project proposal of fish farming in the UAE. The Proposed Project According to research, reared fish are of better value compared to wild captured fish. Various fishing firms have been established in the UAE in the last decade. Over 60% of the worldwide fisheries supplies are overfished based on a 2009 report. In the UAE, the level of hammours, the shaari (spangled emperor fish) and the fresh (tinted sweetlips) and the zuraidi dropped drastically between the years 1970s and 2002. Not all fish species may be cultivated in the UAE (Al-Abdulrazzak&Pauly, 2014). UAE has no fresh water supplies and the Arabian Gulf’s water is too salty for the survival of majority of the commercial species. Therefore, only local prevalent species may be grown in the fishery farms. However, the tilapia has successfully been cultured in Oman in open cages. Nevertheless, such species are associated with various threats. Any destruction of the cages would lead to their introduction to the local waters which would have extensively severe results. The foreign species are associated with the risk of distracting the local bionetwork. For instance, when the zebra mussels was introduced to the water systems in the US and Canada during 1980s, it resulted to disastrous results and damaged harbours, yachts, and water management plants (Fathelrahman, Basarir, Gheblawi, Sherif &Ascough, 2014). In other regions like the Western Gulf, the waters alongside the shore are very superficial and it is difficult to carry out fish farming at the shores due to the frequent water contamination with the fish waste. This project aims at fish firming in the Northern Emirates. The Northern Emirates has warm sea water and easy access to the coast and considerable labor prices which makes the region suitable for aqua business in the region.This project will reduce UAE dependency on imported fish and minimize fish shortages within the region. The government will benefit due to the reduction of importation revenue associated with imported sea foods. The community will benefit from the constant supply of fresh fish at considerable prices due to establishment of the local fish firm. The fish feeds for this project will be imported from Saudi Arabia. Open fish farms face the threat of external environments. For instance, red tide algae bloom that distressed marine life in the Gulf of Oman during the wintertime of the year 2008 and 2009. The worst effects were experienced in Dibba where the total fish biomass dropped by more than 70%. The fish firm, Asmak, was in operation and used to produce 1200 tons of fish yearly (Mbaga, Al-Jufaily& Al Belushi, 2012). All dropped drastically and has not yet recuperated till the; therefore, this project aims to introduce a closed fish farmand an open fish farm along the shores of the Northern Emirates. The firm will have minimal threats from the external environments. The project will establish a fish firm that has a well-ordered interface between the cultures and the natural environment. The potential customers of the products from these products are the local citizens of the UAE. The project will lead to the establishment of various fish trading stalls in accessible areas within the country. The direct competitors to this project include the local fish farming firms such as the Amwaj fish company in Dubai and the Dubai Deira fish market. The indirect competitors include the major fish exporters in the UAE such as the Wet fish trading and the Al Bateen Sea Fish Trading. An estimate of $ 25000 is in place for the development of this project which was obtained from Khalifa Funds. Out of this amount, $ 4000 will be utilized in the purchasing of the required equipments for development of the fish farm which includes nets and water purification equipments. $ 5000 is allocated for the construction process (labor); $ 4000 will be used to purchase the start culture of the desired fish species for the fish farm; $ 3000 is allocated for development of purchase stalls in the agreed regions; $ 5000 will be used to purchase the feeds for fish, and $ 500 is allocated for monitoring. $ 1000 is allocated transport of the participants and for market research process. The remaining amount will be utilized for any additional expenses that may be excluded in the main budget. Unique Selling Point To provide availability of fish to consumers in the appropriate time, an effective marketing system is essential. Majority of fish do not sell fish directly to the consumers. Most of the fish is sold to the retailers who do a lot of bargaining. This project aims to adapt a supply chain where the number of intermediaries is minimal which is vital for profit maximization. Also, the consumers are able to access the fish at considerably lower prices. In most cases, fish firms fall prey for retailer’s crude exploitation (Batchelor, 2014). Although entry into the retail market is difficult for upcoming fish firms due to non-cooperation of existing retailers, this project will aim at reaching the direct consumers. Primary catch market competition is not as high and extensive exploitation may exist. The team conducting this project will establish market stalls in different regions within UAE where the fish from the firm will be sold directly to the consumers (Patino, Pitta & Quinones, 2012).The fish will be sold to the consumers at considerably lower prices due to elimination of middlemen which will be advantageous and will eliminate competition in the market. Market Research and Other Information Market research is very significant in every business and should be carried out frequently. Continuous market research keeps the business updated with recent market trends so as to preserve a competitive edge (Fathelrahman, Basarir, Gheblawi, Sherif &Ascough, 2014). Market research is vital for the comprehension of the target and maximizing of sales. The participants in this project will carry market research so as to identify potential customers, understand the prevailing customers, and set operational strategies. Market research plays a significant role in the preparation for business expansion (Zhang & Jensen, 2012). The team will carry out both primary and secondary research. Primary research will gather data by assessing prevailing sales and the efficiency of recent practices. It also considers the competitor’s plan providing the group with information concerning other fishing business in the UAE. Collection of primary research will include interviews, surveys, questionnaires, and the utilization of focus groups. Secondary research will involve the analyzing of data that is previously published. Secondary research will assist in the identification of competitors, establishment of benchmarks, and the identification of target segments. The segments include individuals who fall into the demographic target such as people who conduct certain lifestyle (Jabado, Al Ghais, Hamza & Henderson, 2014). One of the major aspects that will lead to the success of this project is thorough understanding of the consumers and the market. Without excellent market research, the competitors will get an advantage over this business. The team will utilize both quantitative and qualitative categories of data collection. Quantitative methods will make use of mathematical methods and utilize huge sample size. Qualitative methods will assist the group establish and fine-tune quantitative research methodology. These methods will assist the team members define problems; the sample size is usually minimal. The project will assist the government in the improvement of food security and the project will focus on high income fish species. The project will occupy an estimate of 100,000 square meters and is expected to produce 10000 tons of fish yearly. The project will work the sedimentation of sea water before it is reused. The team members working on this project will seek constant updates on the global procedures by making frequent visits to the experts in various regions of the globe. The pink fish is at the moment sailed into the UAE, cooled at temperatures less than the freezing point, and a kilo is sold for not less than $ 5 (Duncan, 2010). In the recent years, the UAE food market has grown significantly and fresh fish markets has grown constantly, however, the supply still remains inadequate. This project will establish fishing farms in areas of well-developed road systems for fast transportation of the fish to the markets maintaining quality and freshness. Time Plan The fishing firm will supply fish directly to the consumers and stalls will be developed as strategic areas for this purpose. The first group member will carry out market research and consequently establish the best location for development of market stalls. The second participant will establish sales and marketing strategies that will beat competition. The third participant will organize on the construction of the farming area and how the fish cultures will be obtained. The forth participant will take the human resource role by establishing the level of labor input and the standards required for the project to remain successful. The last participant will obtain the legal documentations required for the development of the business and establish an action plan that will ensure the business remain successful in the coming years. At the moment, the group members have proposed the areas near malls and other huge shopping centers as the best place for the establishment of the market stalls. Conclusion This paper discussed about a project proposal that includes Fish Farming in the United Arabs Emirates. The project involves a group of five members who will develop the fish farming firm. The group will establish a closed and an open fish farm. The closed fish farm will act as a backup plan because open fish farm is prone to threats from external environments. The farm will be established along the Northern Emirates due to the favorable climatic conditions. The project will commence on 1st December 2014 and will take a period of 6 months. The project will ensure constant supply of fish to the consumers at consumers at considerably lower prices. The business will eliminate various intermediaries who exploit both the primary fish farmers and the direct consumers. This project will benefit the government as it will reduce the dependency on imported fish. References Al-Abdulrazzak, D., &Pauly, D. (2014). Managing fisheries from space: Google Earth improves estimates of distant fish catches. ICES Journal of Marine Science: Journal du Conseil, 71(3), 450-454. Batchelor, G. R. (2014). Investigations into the effects of fish farming practices on water quality of some Transvaal rivers (Doctoral dissertation). Duncan, R. (2010). Fish Farms, Restaurants, Hotels and Libraries.Australasian Public Libraries and Information Services, 23(4), 170. Fathelrahman, E., Basarir, A., Gheblawi, M., Sherif, S., &Ascough, J. (2014). Economic risk and efficiency assessment of fisheries in Abu-Dhabi, United Arab Emirates (UAE): A stochastic approach. Sustainability, 6(6), 3878-3898. Fathelrahman, E., Basarir, A., Gheblawi, M., Sherif, S., &Ascough, J. (2014). Economic risk and efficiency assessment of fisheries in Abu-Dhabi, United Arab Emirates (UAE): A stochastic approach. Sustainability, 6(6), 3878-3898. Jabado, R. W., Al Ghais, S. M., Hamza, W., & Henderson, A. C. (2014). The shark fishery in the United Arab Emirates: an interview based approach to assess the status of sharks. Aquatic Conservation: Marine and Freshwater Ecosystems. Mbaga, M. D., Al-Jufaily, S. M., & Al Belushi, M. M. (2012).The Potential Economic Loss to the Oman Economy as a Result of Exporting Unprocessed Fish.Journal of Food Products Marketing, 18(3), 186-199. Patino, A., Pitta, D. A., & Quinones, R. (2012).Social media's emerging importance in market research.Journal of Consumer Marketing, 29(3), 233-237. Zhang, J. K., & Jensen, J. M. (2012).U.S. Patent No. 8,229,469. Washington, DC: U.S. Patent and Trademark Office. Read More