Background to the Scottish fish farming industry

Aquaculture is the culture of aquatic animals and plants in fresh, brackish or marine water environments.

Aquaculture in Scotland can be broadly split into three categories:

• Growing finfish in cages or pens
• Growing shellfish on the seabed, trestles, suspended on ropes or nets
• Growing seaweeds.

The bulk of marine aquaculture in Scotland is salmon and shellfish, chiefly mussel, production. Experimental cultivation of farmed salmon began in 1969 and has since developed into a substantial rural industry, with an estimated 8,000 jobs provided by salmon farming and related support industries, mainly in remote locations where alternative sources of employment are scarce. Virtually all production takes place in the inshore waters of the west coast and the Western and Northern Isles, where the most favourable conditions for aquaculture are to be found. Alternative species, such as cod and halibut, are being grown in commercial quantities and organic farming is also on the increase.

The shellfish industry is predominated by small scale businesses, providing employment opportunities in remote locations throughout the west coast and Outer Isles of Scotland. The cultivation methods employed are labour intensive and the stock held in the water is prone to many risks, often resulting in significant losses. Production of mussels farmed in Scotland has increased steadily, with a recent sharp rise in Shetland.

Seabed rental

We have a statutory duty to obtain a return for the use of land within our ownership and so rental is due for areas of seabed used for commercial purposes, including aquaculture. For salmon farming the rental is calculated using a formula based on production.

The rent, which is subject to review every five years, has reduced over time in actual and real terms reflecting the decreasing market value of the final product and represents approximately just one per cent of a farm’s gross turnover. Outer Isles farms (Outer Hebrides, Orkney and Shetland) receive a reduction to reflect the higher operation costs arising from their location.

Seabed rentals for shellfish are formula-based, linked to the amount of equipment on site and specified in the lease. The majority of farms pay a relatively small amount which reflects the nature of the industry, being largely comprised of small scale farms.

The future

Some salmon farmers are looking to diversify into alternative finfish species, with halibut and cod being the most favoured. Also, investment in complementary species has increased, more particularly cod production in Shetland.

Unless offshore or exposed locations become attractive, the opportunity for development of new finfish sites is expected to be limited. The way forward is likely to be modification and consolidation of existing sites, either by a change of species or change in equipment specification, or relocation to alternative sites.

Further information

   Scottish Aquaculture Research Forum

   Scottish Executive

   Scottish Salmon Producers Organisation

   SEPA

   Scotland Government: Town and Country Planning (Marine Fish Farming) (Scotland) Order 2007

   OPSI: Town and Country Planning (Marine Fish Farming) (Scotland) Order 2007

   Tri-Partite Working Group