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RASTECH23: Yellowtail is a growth market for RAS industry, according to Spheric Research

Data from Spheric Research’s latest report of land-based aquaculture says there are more projects in yellowtail production and less construction on salmon.

Matt Craze, founder of Spheric Research, presented the latest findings of the Land-Based Aquaculture Report 2023 at the RASTECH 2023 conference. Craze closed the “Creating a RAS business model” session on April 20 to provide attendees with a bigger picture of what’s happening in the RAS industry, with a focus on finance and deal flow.

“Yellowtail is stands out as something of an interesting case with early success, especially with a couple of the European companies that are doing quite well,” said Craze. “We predict that it’s going to there’s going to be more encouraging signs from some of these companies, as the technology is maturing. And not only are the technologies maturing, but also I think the investor basis is maturing too. I think that’s only going to continue.”

Craze also reflected on last year’s difficulties for any type or early venture funding.

“Everything was pretty much down as borrowing costs went up. Right now, there’s a lot of oil and gas money going into renewable projects. It’s kind of on steroids,” he said.

However, his research also showed that the deal flow came back. As a wider, more diverse group of companies begin to emerge in the RAS industry, the burden of pushing the sector forward can be shared, rather than just on one company.

“Salmon Evolution has had very good execution, it’s proven the technology. And some of these flowthrough companies, or partial, hybrid flowthrough projects have done very well,” said Craze.