BioMar launches global strategy
The BioMar Group launched on June 1st a new global strategy "Shaping the Future". The strategy will reinforce BioMar's position as a locally responsive, agile, and specialized aquaculture feed provider.
Earlier this year BioMar launched a renewed purpose statement "We are innovators dedicated to an efficient and sustainable global aquaculture" and a new corporate theme "Let's Innovate Aquaculture". Now follows a new corporate strategy. "It has been important for us to create a strategy built on our corporate DNA and in particular on the four pillars supporting our purpose statement: Innovation, Performance, Sustainability, and Cooperation", explains the CEO of BioMar Carlos Diaz.
Carlos Diaz underlines that it is the perfect time for launching a new strategy: "We have seen strong financial results in the last couple of years; we have achieved many of our strategic goals; and both we and our owners Schouw & Co. are willing and capable to invest further to continue the success."
The new strategy targets a 6 % EBIT level combined with a 50 % increase in BioMar volumes over the next five years coming from both organic growth and acquisitions.
The development of the new strategy has to a large extent involved stakeholders from within and outside BioMar: "We have in particular listened carefully to our customers. It has been crucial for us to both address their present areas of concern and create a strategy which fits with their future plans. Closeness and cooperation with our customers is fundamental for our and their success. One of our new initiatives is that we want to exploit and develop our agility and flexibility further to the benefit of our customers."
A first step in the strategy is strengthening some of the core functions in BioMar. "We have a very lean, agile, and locally responsive organization. However, in order to secure future growth we want to further enhance our global innovation capability, some of our corporate support functions, and in general our capacity to enter new markets and feed more species", explains Carlos Diaz.
As one of the first initiatives BioMar will adjust the operating model and establish three market divisions; Salmon, Emerging Markets and EMEA.
"Our new Salmon Division will comprise all current salmon markets. We target to improve efficiency and integration between these markets and not least to reinforce our R&D efforts in a specie, which accounts for the major share of our turnover, and which at the same time is extremely important for the development of new solutions for the whole aquaculture industry."
The new Emerging Markets Division will in the beginning be small, in terms of turnover, but Carlos Diaz sees this new division as one of the most important initiatives to secure growth for BioMar: "We are currently building a plant in China and we see great opportunities in China, in other Asian markets, and in Latin America. To really tap into these opportunities we need to have a stronger coordination and link between business units and more implementation power."
BioMar's third market division will be the EMEA Division, covering Continental Europe, the Middle East, and Africa. It is the continuation of BioMar's previous Continental Europe market region. "This week production is starting in our new plant in Turkey, we have seen major improvements in the situation in Greece, and the region has in general performed well. With the new steps we want to consolidate and strengthen our market position in this important area", concludes Carlos Diaz.
Carlos Diaz, BioMar's CEO