Daily Archives: 27/01/2024

BTOM Bombshell: Government’s Risk Reclassification ‘Severe Blow to Industry,’ Warns Jenney

The undisclosed costs linked to these measures are feared to threaten the survival of many small and medium-sized enterprises.

Nigel Jenney, FPC’s Chief Executive, voiced his alarm, asserting, “This verdict delivers a severe blow to the industry and will have widespread ramifications.”

His words underscore the profound impact of this unexpected policy shift, set to be implemented on 31 October 2024.
 

The industry is now bracing for the fallout of this decision.

The government’s proposed solutions, including the establishment of a Border Control Point (BCP) at Sevington and the introduction of additional Common User Charge fees, are seen as inadequate for the specialised needs of the perishable sector, known for its just-in-time operations.
 
The undisclosed costs linked to these measures are feared to threaten the survival of many small and medium-sized enterprises (SMEs).
 

The opacity surrounding the reasons for the reclassification of these products has heightened the urgency for the industry to receive timely information and to seek avenues for improvement.

Given that 65% of all EU imports depend on groupage, the implications of this decision are expected to be extensive. Vehicles transporting consignments that do not require inspection could still face significant delays at BCPs.
 
“For years, we have proposed viable solutions that are only now receiving government consideration,” Jenney lamented. “It is imperative to establish cost-effective inspection solutions for SMEs, groupage consignments, and fast-track approval for responsible companies to conduct their own official inspections.”
 

The industry is calling for the simultaneous implementation of industry-managed control points with approval for official inspections – Authorised Operator Status (AOS) – on the designated “go live” date. This strategy is vital for simplifying and reducing the complexity and cost of trade with the UK, which is key to averting food inflation and the risk of empty shelves.

This development represents a significant setback for the UK’s fresh produce industry, as it confronts the challenges posed by the new EU risk categorisation and strives to maintain its operational efficiency and economic viability in the face of these daunting changes.
 

Source: FPC FreshTalk Daily

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CNOOC uses cold energy for aquaculture

Being the first to start aquatic cultivation through LNG cold energy instead of discharging it into the ocean
China National Offshore Corp, the country’s largest liquefied natural gas importer, has spearheaded an innovative project — harnessing cold energy for the aquaculture industry — at its largest LNG receiving terminal.
 

Instead of discharging the huge amount of cold energy — which is produced during LNG vaporization and distribution — into the ocean, the company has decided to utilize it for aquaculture within the terminal, turning what was once considered waste into a valuable resource.

Similar to a marine aquarium, a total of 1,000 kilograms of red snappers and lobsters, among others, are raised in the cold water within the terminal, one of the largest LNG receiving stations in China.

Tests have shown that the fishes meet the requirements of various physiological indicators, said the company.

While cold energy has in the past been applied to low-temperature power generation and refrigerated storage, CNOOC has been the first to start aquatic cultivation through LNG cold energy, marking a new step in the construction of modern “ocean ranches” in the domestic LNG industry, said Li Ziyue, an analyst with BloombergNEF.

“During the re-gasification process of LNG, a substantial amount of cold energy is often wasted. If harnessed properly, it can greatly enhance energy efficiency and reduce emissions,” she said. “CNOOC’s innovative approach can both utilize LNG cold energy and revolutionize the aquaculture industry.”

According to CNOOC, the aquaculture experiment focuses on high-value fish species such as grouper and snapper, as well as seafood such as shrimp, crab, and sea cucumber. Its projected annual output is expected to reach 100,000 kilograms.

The use of cold energy in aquaculture is expected to reduce overall costs by 30 percent compared with traditional aquaculture.

With temperature control in aquaculture being a major cost factor, the project will help reduce expenses significantly along with considerable economic benefits, said Cao Yueming, secretary-general of the seed branch of the Shenzhen Fisheries Industry Association.

Lobster is considered a primary focus for cultivation due to its high value and strict environmental requirements.

Currently, lobsters are mainly imported, and the project will help replace high-end seafood imports through local breeding, he said.

Source: ChinaDaily

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