Your return on R&D investment

In 15 min . . .

Post election funds & post CRC R&D budget scene

Hard nosed priorities!

Disease, morts, improving productivity

Your investment working

Oyster retail

POMS resistance breeding (& ‘operation ASI’) – Matt C

Norovirus

Benchmarking future

News

Future

Post election funds & post CRC R&D budget scene

2007 - 2014Pooled $565k pa

post 2014Pooled $451k pa

pre 2007Separate $420k pa

Each state applying for FRDC $ via cross sector advisory Board

States pooling most R&D $ via CRC & to a strategic plan

States pooling R&D $ via FRDC & to a strategic plan

NSW SA TasNSW SA Tas Others

FRDC

CRC

Grower levy /ha or $/1000 seed Grower levy /ha or $/1000 seed

FRDC

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

NSW SA Tas

FRDC’s budget cuts

Oysters Australia leverage from FRDC reduced and under pressure

FRDC to lose approx $1.2m pa to pay for the cost of Australian Government “regional fisheries management organisations” (RFMOs) – a potential loss of up to 7% on oyster’s $ match

Australian Government has asked the FRDC to consider moving to a regional location – but at its own (significant) cost.

FRDC’s Tactical Research Fund

FRDC’s draft 2015-2020 RD&E plan priorities

1. Public confidence in the fishing and aquaculture community, and the government’s role

2. Reduce regulatory burden3. Industry potential, growth and markets4. Resource access and allocation5. Workforce development6. Habitat/ecosystem health and climate change

Oyster priorities – time to get hard nosed!

NSW ($) SA ($) Tas ($) National

average

Protect ability to farm 15 7 8 9

Tenure security & ability to borrow

capital against assets

8 7 7 8

Reducing costs of farming 11 10 9 11

Availability of labour & training 2 5 3 4

Breeding better oysters 27 32 24 24

Manage & protect against disease 14 23 31 22

Ensure shellfish safety & market

access

5 7 12 8

Improved path to market 2 5 3 4

A better returning market 16 5 4 10

100 100 100 100

On

farm

Off

farm

R & D

. . . achieved via use of technology

Priorities - managing & protecting against disease

What is normal mortality?

What environment / husbandry contributes to mortality and good growth?

Background info or ‘baseline’ Prevent & reduce

Measure of stress

Alert of stock stress & poor growing conditions

High priority investment areas >2014

Your investment working – oyster retail

Stage 2• Sept - November• Pre commercialisation• 20 independent national retail stores• Brochure (redesigned), posters (a series), tray fronts, store run demos, stickers

Your investment working – oyster retail

Oyster retail – stage 2 – Australia trial locations

SURVEY OF FOODBORNE VIRUSES IN

AUSTRALIAN OYSTERS

Norovirus (NoV) levels need to be contextualised against a baseline

•EU moving towards mandatory virus monitoring (in UK 76% of production areas are positive for NoV).

•To avoid similar regulation we need to show we don’t have a problem

USA, UK, France and China have done NoVsurveys (reported prevalence ranges between 4 – 76%)

Determination of Australian NoV baseline

• Could provide an argument against mandatory testing

i.e. if baseline < 2% prevalence

• Could be used to inform improved management where required

SURVEY OF FOODBORNE VIRUSES IN

AUSTRALIAN OYSTERS

Survey Design

– Oysters sourced at the production area level

– Main oyster producing states: NSW, SA, TAS & Qld

– Sampling reflects states productivity

– 150 samples collected each in winter/spring and summer/autumn (n=300)

• This will enable detection of viruses if present at < 2% prevalence

– Viruses investigated are Norovirus (GI & GII) and Hepatitis A virus using the international standard for testing (ISO/TS 15216)

Fact sheet on the project can be found at:

http://oystersaustraliablog.org.au/green-light-for-new-rd-projects/

Or contact Dr. Valeria Torok (valeria.torok@sa.gov.au) for more information

SURVEY OF FOODBORNE VIRUSES

IN AUSTRALIAN OYSTERS

Number of oyster samples collected fromvarious Australian Oyster production areas perseason (winter/spring or summer/autumn)

• Winter/spring sampling commenced in July and will finish in September

• Sample numbers assigned to harvest areas were determined by production data

• Sample collections within harvest area has been randomly determined

Your investment working – benchmarking

2010/11 2011/12 2012/13 2010/11 2011/12 2012/13

All states 89,746$ 76,643$ 194,863$ -5.6% 6.0% 13.2%

SA 37,087$ 71,838$ 325,960$ 4.7% 16.8% 41.9%

TAS 71,060$ 113,754$ 183,053$ 5.5% 10.6% 5.2%

NSW 17,848$ 34,421$ 15,332$ -29.5% 12.2% 11.8%

Profit (before tax and after imputed

labour)Profit as % income

Total participants 2012/13 = 12

Program still open

Benefit is individual

Collective co-investment questionable – to be decided

+ 2 years info prior

Your investment working – news

By email & housed athttp://oystersaustraliablog.org.au/

Short video versions by phone & housed athttp://oystersaustraliablog.org.au/

Want news 4 x/yr on your phone?Sms your name to 0425 237 566

Future

In 2013, we talked about a national levy to replace state R&D levies including a non RDE component for Biosecurity, OA overheads, marketing

Coincidentally, in 2013, the PIRD Act was also changed which now enables FRDC to “Undertake marketing relating to the products of primary industries” in addition to its normal RD&E role.

In June 2014, Oysters Australia Board decided it was too early to make a change to a national levy now. OA agreed to:

• aim for 2017 to run the ballot process and lodge a submission under the PIERD Act• provide more detail to growers on mechanisms and how they work• provide costed proposal on any non R&D activities to growers

FRDC

What is FRDC doing about marketing?

FRDC is about to begin a formal consultation with industry on marketing – your feedback will be vital

FRDC wants to build a long term platform for marketing which includes both research, development and market activity.

FRDC wants to make sure any marketing investment is:strongly linked to enterprise level investment

overseen with strong governancestrategically focused

disciplined in approacheffective in delivery

able to quantify its success

Brett McCallum (Chair)Tim Hess

Arthur RaptisPeter Fare

Nathan Maxwell-McGinnGus Dannoun

Anthony CiconteAndrew Puglisi Jules Crocker Shane Geary

Marketing Function Advisory Committee(advises the FRDC board)

John SusmanSam Gordon David CaraccioloRachel King Katherine Winchester Dallas D'SilvaJonas Woolford Anthony MercerLen Stephens

What areas do you think the seafood industry should focus on?

Where should the seafood industry work together?

What are the priorities for the seafood industry?

What areas of marketing are priorities for you?

What areas of marketing would you invest your money in?

What results would you expect/like to see from marketing activities?

Do you support seafood industry undertaking marketing? (If no why?)

Would you contribute to seafood marketing?

Some market related questions FRDC might ask you

& partner R&D providers

Thank you

and

thanks to . . .

ADVERTISMENT BREAK

Sydney Royal Aquaculture Competition

Held twice per year – February (SRO) and September (Pacifics)

NATIONAL competition!

Judging according to visual, flavour & condition

Feedback given“It’s a cheap and effective way of

marketing your name so that buyers buy

your stock over someone else’s“

Hazelgrove Oysters