Running a Coral Business

[BSAJim]

Anthony,

Some continuing dialogue on the subject of running a serious
coral farming business:

1) Who should I contact at Reef Central about a new forum?
The Propagation and Aquaculture forum fills up with really simple
and repetitive questions about propagation. Serious discussion
about running an aquaculture business gets really lost.

2) When developing a business plan, one can easily do some
research on the web to see the prevailing retail proces of corals.
If I plan to sell to wholesalers, is there any info you can share on estimating wholesale prices - either % discount from average
retail or general per coal prices? I'm assuming the same price
structures apply to selling to retailers as well.

3) Seriously, how did you get all the glass for your propagation
tanks for free? A light fingered brother-in-law?

4) I realize that the cost of putting color pictures of your coral
greenhouse in the book was expensive. However, electrons are
cheap. Are there more detailed pictures that you can share with
the coral farming community?

5) In looking at the pictures, it's not clear if the tanks had their
own sumps.

6) Finally (whew) I understand you recommendation regarding
farming different corals in different tanks to prevent chemical
warefare from limiting growth. How disciplined must this be? Is
it simply hard vs. soft, only similar corals together, or complete
isolation of each family or even species?

Thanks,

Jim

 

[Anthony Calfo]

Cheers, Jim

1) Who should I contact at Reef Central about a new forum?

Hmmm... good question. I really have no idea... I'm just a guest here But... I would start with the moderator of the current coral farming forum regarding the splinter forum, out of respect/courtesy and for insight/perspective. He/she/they mave have some of the same notions as you from their experience moderating the current one.

IMO though... I suspect it is not really necessary. The current one really may be best for all... as many current newbies will be seasoned professionals one day and will benefit from the exposure to advanced questions early in this already narrow field/forum. And really... for the truly "advanced" industry professionals, a BB is not the place for such advice/action: trade shows, symposiums, conferences, etc are where you/we need to network. You simply don't find the board members and managers of the biggest companies in the industry online (rare) as such... they are busy enough. They make time for networking on a tailored circuit of events to network.

My/the previous mention of the PIJAC organization and trade journals like Pet Business will put you directly in touch with the pulse on the business side of the industry with announcements of such upcoming events.

If I plan to sell to wholesalers, is there any info you can share on estimating wholesale prices - either % discount from average

Again... you will get all of this info and more from a subscription to the trade journals: demographics, profit percents, etc.

But to answer you question specifically. The retail mark-up over wholesale is/needs to be about 3X of wholesale. A grower gets about half of the wholesale price in our industry. Thus... your 100-lots of hardy leather corals get sold to a wholesalers for $5 each... resold to merchants for $10, who then retail them for about $25-30. These numbers are just an average, but are fair and reflect inherent costs/risks of business at each level. Less aggravation, risk, expense (relative) and profits lower down the pole

3) Seriously, how did you get all the glass for your propagation

My best friend managed a large glass plant/industry. They run 20 x 22 foot sheets of glass and regularly have waste pieces 2 or 3 foot long by 20 foot! They then actually have to pay to have it hauled and recycled. Giving it away for free or next to nothing actually saved them a few pennies

4) I realize that the cost of putting color pictures of your coral greenhouse in the book was expensive. However, electrons arecheap. Are there more detailed pictures that you can share with the coral farming community?

Indeed.. and agreed. The electrons are cheap... but the time is not, alas. It really is all the time I have and then some to mentor on wetwebmedia and a little over here each day. Thats a good 2-3 hours daily that I'm not with my family, and not endeavoring in more profitable work (heehee... actually... its unpaid!). In time, I do hope to post a slide show/gallery on my website. Perhaps I'll illustrate BOCP2 heavier too if it sounds like there is enough ineterest in the added expense to producing the book.

5) In looking at the pictures, it's not clear if the tanks had their

Nope... a waste of space for a grower. No advantage when all else is already tendered/automated in the growout vessels.

6) Finally (whew) I understand you recommendation regarding
farming different corals in different tanks to prevent chemical
warefare from limiting growth. How disciplined must this be? Is
it simply hard vs. soft, only similar corals together, or complete
isolation of each family or even species?

Experience (as with most any sort of farming) will show you that all culture vessels need to be species specific. One per... and even with corals, different colonies of the same species will fight! All at the expense of energies that could be used for growth, reproduction, vigor, etc.

Heehee... you don't see pumpkin vines growing between cornstalks... no free range chickens running between the legs of bull steer... and yes, no corallimorphs with your sps

Best regards, Jim/All

I do hope to see you at a conference soon MACNA: IN/KY 2003, MO (Marine Ornamentals): HI 2004, 10th International Coral Reef Symposium: Okinawa JAPAN June 28-July 2 ( www.plando.co.jp/icrs2004 )etc.

 

[BSAJim]

Farm Skimmer

Farm Skimmer

Anthony,

Given that the species are being kept in seperate tanks in
order to maximize growth, does this mean that you ran separate
skimmers for each tank? If water from different tanks were mixed,
wouldn't that enable allelopathy to still occur?

Secondly, given that your propogation tanks jad no sumps,
the DSB and live rock were obviously in the propogation tank.
Did you also include other critters (snails and crabs) to clean
the tanks and add biodiversity?

I have created a "test" greenhouse. I constructed a 4 ft cube
from 2x2s and covered it in 4-mil plastic. Inside is a 100 gal tub
with fresh water. I am monitoring outside, inside, water
temperature, and total light exposure to ensure that my site
will enable productive coral growth. I'll keep folks posted on
test results.

Thanks,

Jim

 

[Anthony Calfo]

Cheers, Jim

Correct my friend... different tanks... different skimmers. In many cases two skimmer per tank! DIY Nilsen style models 5' tall... cleaned alternately to improve skimmate production (or skirt the interuptions of skimmate production from almost daily cleanings). Not necessary for home aquaria perhaps... but a boon for farming with high and heavy bioloads.

Shared water from systems plumbed inline is indeed an allelopathic concern.

There were some utilitarians creatures added to each system... but minimally, and on a need-only basis (as various pests or nuisance growths flared). When farming coral... the goal is not necessarily biodiversity... its productivity. Adding crabs that demolish the infauna of a sand bed is not helpful in farming or display aquaria Many of the grazing gastropods are fine though.

Excellent to hear of your test GH! Looking forward to hearing more about it and seeing your shared pics. Best of luck with it my friend! And rest assured, that in many ways... a full blown GH will be much easier (especially regarding climate control) to run than your model. So if the model shows promise... go for it

kindly,

Anthony