Dumb college kids ideas

davidhughes85

New member
I am currently a finance major and one day wish to get into either the import/export or wholesale business. I want my business to be involved with humane methods of capture only. I believe that either way they are harvested one day regulations will become significantly tighter and those not using suppliers with humane methods will have great losses. I believe it wouls be a great industry to get in since the sale or marine animals is increasing some 13% a year, which leaves space for newcomers (hopefully) Where can I find some info on this industry such as how many players are out there, industry growth and numbers etc....any info at all would be great...I have a very long time b4 I plan to do this but I want to do alot of research first
 
Based on your statement
I want my business to be involved with humane methods of capture only. I believe that either way they are harvested one day regulations will become significantly tighter and those not using suppliers with humane methods will have great losses.
my suggestion would be to work with the new crop of aquaculturers and look at becoming a distributor for that sort of operation. It seems that performing the same sort of duties for that market would fill all of what you have stated.
 
Do you think people would appreciate someone who uses only humane sources even if the cost might be higher?...From the look of it there are many of you who aquaculture at home, maybe I could bring together many of you(constant source of demand for you) then distribute to the lfs' in greater quantities.
 
constant source of demand

As I am finding out . Selling aqua cultured corals is not a problem. I can't tell you how many peoples demands I can not meet. So to have someone one sell them for me is a wast at this point in time.

as far as "who uses only humane sources" How could you be sure that the practices were being used? I believe they will tell you what you want to hear, unless you have your people out there overseeing what is going on.

Philip Root
 
Before I get started let me say that the idea is valid, and certainly not dumb, but make sure you do your homework and spend plenty of time studying your idea before you jump into it. Think of it as a research paper that counts for 100% of your grade in the first year of business.

As far as the cost being higher, it is hard to say if LFS owners would pay a premium. I am sure some would but the majority probably wouldn't, it is a bottom line business and many of them don't have much bottom line as it is. The average consumer would probably not pay a premium, as most of them don't even know what humane captured livestock is or how it differs from anything else. You have to realize that for every consumer on this board there are probably 20 others that don't do anything but look at their tank and talk to the LFS owner. If the owner says they need something, they get it, if it dies they get another, ask what they did wrong, and try again. I don't mean this in a negative way at all it is just how it is. You have to realize that when you are on this board you are talking to enthusiasts, not the average consumer.

Phillips comments about practices used by wild collectors are pretty true. There have been many threads on this board and others about inspection procedures and findings, and they leave something to be desired, even for those facilities participating in programs to certify their stock or collection methods. Education is one thing and enforcement is a completely different thing.

On the distribution idea, I think it is still quite early to try to create a distribution network for AquaCultured livestock. Most of those who are working projects of this sort are either very early on in the process or still don't have enough product to satisfy their local market. In fact the only operation that I know of that is distributing out of its local market may not even be around in a few months. What would need to happen for your idea to be successful would be for the operations to continue to grow and then find some that are outproducing their local market. At this point they may be looking to offload some of their extra stock, and then you can get started.

There are a few considerations even if that were to work out. Double shipping, and your markup are things that could price their livestock out of your clients price range so you would definitely have to do some homework on how to set it up, but the idea is valid once the market grows enough to support the idea. Also keep in mind, unless you are going to drop ship, the size of the facility it would take hold prep the amount of stock you are looking at.
 
Thanks for the indepth response raaden...and I totally agree with your point root..I would have to agree I need to wait until coral propagation supply is great enough to need to be sent to other areas. But the problem with that is coral propagation will increase with the technology that makes doing such a thing easier...but that same technology will make more reef keepers which will increase demand. Almost parallel. I dont know, just a guess. Maybe I should just stick with importing and fit myself into the high quality corals and exotic fish niche. Look at clams direct..they established high quality excellent service and shipping and went from me not knowing who they were to all I hear about. Do you all think that the online market (quality websites, not the ones you go to and they hardly have anything) has caught up to the potential demand and teh increase in reef keepers? I think saltwater aquariums is almost an emerging market.
 
Here's the perspective from someone who is new to SW. I looked into SW almost 20 years ago, but stuck with FW because of stories of reefs being damaged by collectors using cyanide). More recently I got excited about reef aquariums, but then heard horror stories of reef damage caused by unscrupulous or indifferent collectors. Just a few weeks ago I saw something about dealers noticing that some live rock appears to have been sawed from reefs, rather than collected from rubble.

I decided to set up a reef tank only after seeing aquacultured corals offered in the Fosters & Smith catalog. I had no idea that corals were being aquacultured, and after doing a lot of research I found that a reef tank could be set up using methods that wouldn't damage existing reefs.

Although I made a reluctant decision to use some wild-collected LR instead of aquacultured LR (I plan to use 50% manufactured LR that I'm creating from cement and ground oyster shells), I would have purchased aquacultured LR if my LFS had offered it.

I will also seek out aquacultured corals when it comes time to stock the tank. I asked the LFS guy if they carried aquacultured corals, and we proceeded to have a long discussion about that. He said (and this is his opinion, I haven't verified this with anyone else) that a large amount of the corals offered for sale have been aquacultured, but distributors don't bother separating out or labeling aquacultured vs. wild-collected corals. His view of it was that his distributor moves such a large volume of product through their dist. center that they don't have the time or means to label individual specimens. Also, the distributor gets his stock from many different producers; some of them label individual specimens and some don't. And when they arrive at the LFS, even if a few specimens are labeled, the LFS doesn't bother keeping track of which are wild and which are aquacultured.

So, my take on all of this is there may be a demand out there for aquacultured corals, fish, etc. (or, in your case, for humanely harvested livestock), but the large-scale suppliers are focused on moving vast amounts of product as efficiently (meaning low-cost) as possible, which means they aren't going to focus on what may currently be just a niche market. I compare it organic produce. There has long been a market for small-scale producers and local retailers offering high-quality organic vegetables, but it took a long time for the Publix supermarkets and Wal-Mart supercenters to start stocking organics. And when they did, they were in small bins off to the side for twice the price. It took a company like Whole Foods to see the demand and to capitalize on it by building a business model around organic foods.

I agree with raaden: "The average consumer would probably not pay a premium, as most of them don't even know what humane captured livestock is or how it differs from anything else. " A big part of the effort may be to increase the demand by educating SW hobbyists -- let them know that you are offering them an alternative and tell them why they should choose your humanely-caught livestock over someone else's cheaper livestock. You only need a piece of the pie, not the entire pie.

Sorry for the long post, but the issue of "sustainable" (if you want to use an in-vogue buzzword) reef-keeping is a strong interest of mine. As I get deeper into reef-keeping and have more to show for it than a tank full of stinky rock, I hope to get more involved in aquaculture techniques and to promote methods that don't harm wild reefs.
 
If it helps, i frequent a certain LFS who pride themselves on being able to guarantee only humane captures as well as strong aquacultured goods (not just wild caught) ..

would rather pay an extra $5 for a fish that will live years down the line than be cheap and have one kick the bucket due to poisoning within a few years
 
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