sea for food. Mr. Kinney points out that in considering the 

 resources of the sea we must become internationally minded 

 and that our research on fishery resources is minimal at best. 

 He points up the responsibility of the processor to watch care- 

 fully new developments. The case is made that fish supplies 

 only about 1 percent of the calories needed for food by our pop- 

 ulation. As he sees it, the fishing industry must compete more 

 successfully and it can do so by improving present methods, 

 developing new products, controlling and reducing labor costs, 

 and recognizing the market for convenience. He goes on to 

 discuss these in more detail, pointing out that the industry 

 must upgrade its products in order to get more of the consumer's 

 food dollars. He thinks that the fishing industry must become 

 more imaginative, creative and watch new developments — such 

 as the radiation of seafoods, freezing with liquid nitrogen, and 

 freeze drying — and keep a close watch on the development of 

 fish protein concentrate. The industry itself spends too little 

 for research and most of it is in the general field of quality 

 control rather than in evaluation of developments made possible 

 by basic research efforts of scientists throughout the world. 

 Mr. Kinney points out that in order to keep competitive we 

 must increase production efficiency — by automation, design and 

 construction of new equipment and new methods. 



He believes the future will bring computers into the fish pro- 

 duction lines to control automated filling and dispensing equip- 

 ment and help produce more uniformly high-quality products 

 in formulation of texture, color, and flavor. This is the chan- 

 nel to the greater consumption of fish in North America and 

 greater profits. He makes a plea for positive attributes in our 

 marketing. He thinks the fishing industry must give the con- 

 sumer, at some greater cost to itself, more products, more con- 

 venience, more nourishment, and more flavor for her money. 

 He concludes, optimistically, that if the industry is wise enough 

 to utilize fully the research available from our own and sister 

 industries, the rewards in profits and growth will be great. 



Speakers on the Marketing Panel projected their thinking 

 into the future so far as marketing was concerned, and pre- 

 sented their views on potential markets and profits if full ad- 

 vantage of opportunities is grasped. The discussion primarily 

 related to the developments in the markets for fish and shell- 

 fish within the United States, although there was a recognition, 

 albeit not a great one, of the opportunities for overseas market- 

 ing development. Within the last 10 to 15 years, the marketing 

 of seafood products has been revolutionized. A decade or so 

 ago, the bulk of the products, except for a few canned or solid 

 products, was sold on the sea coasts, and relatively little fish 

 was consumed in the Midwest. There, most of the population 

 was unaware of the advantages of fish on the menu. 



Mr. John Mehos pointed out that today, from one end of the 

 country to the other, a large variety of fish and seafood items 

 is found on menus of hotels and restaurants and other mass- 

 feeding establishments. Everywhere, homes and restaurants 

 serve sea products — domestic as well as foreign — from every 

 corner of the country and globe. While domestic consumption 

 of fish has not increased substantially, the value of fisheries 

 products consumed has increased substantially. Ten years ago, 

 the retail value of fish and shellfish products was about $900 



million, and today it has reached about $1.3 billions, an in- 

 crease of over $400 million. Although this appears fine on 

 first glance, another look shows expenditures for food increased 

 60 percent, half again as much as the increase for fish and sea- 

 food products. In examining population growth and compar- 

 ing this with the increase in total supply of fish and seafood, it 

 was shown that the total supply consumed in the United States 

 just about kept pace with the population growth. This cor- 

 responds very well, of course, with the constant rate of con- 

 sumption of between 10 and 11 pounds per capita in this 

 country. I would add that, if one looks closer and considers 

 the change in the value of the dollar during the past 10 years, 

 we can scarcely be complacent about the increase in sales of 

 fisheries products during the past 10 years. 



It was also shown that the amount of imported products 

 consumed in the United States has gone up tremendously. In 

 1953, the value of fishery products imported into the United 

 States was approximately $200 million. In 1963, the imports 

 were valued at $400 million — an increase of 100 percent. 

 Shrimp was used as a specific example. In 1950, the United 

 States and Mexico produced practically all of the shrimp con- 

 sumed in the United States. Today, 20 percent of the con- 

 sumption comes from over 48 countries other than the United 

 States and Mexico. Data show that to a considerable degree 

 the increased imports occurred subsequent to the development 

 of frozen fillets and fish sticks and blocks. With the tremen- 

 dous increase in consumption of such products as fish sticks, 

 fish portions, breaded shrimp, and other frozen products, there 

 has been a radical change in the type of fishery product con- 

 sumed in the United States. In addition, it was pointed out 

 that there has been a radical change in the method of market- 

 ing. The revolution in marketing fisheries products has altered 

 significantly the kind of products consumed in the home, the 

 packaging of products, and distribution throughout the coun- 

 try. Mr. Eric Turnill visualized marketing prospects in the 

 years ahead. He concludes, much as does Mr. Kinney, that 

 there will be approximately a 23-percent increase in popula- 

 tion of the U.S. by 1975, reaching about 230 million people, 

 not counting increases in Mexico and Canada. But Mr. 

 Turnill also points out that there will be a great deal more 

 money in the pockets of each family, and that the spare money 

 is increasing at a faster rate than the basic income. To him 

 this means that Americans are going to be in a position to spend 

 more money for food, and they are going to want better, higher- 

 priced, and more convenient foods to serve. He foresees that 

 the American housewife will buy more precooked portions of 

 shrimp, lobster, crab, halibut, salmon, and other products 

 which may be produced in the future. He estimates, and I 

 assume his statistics to be correct, that Americans will probably 

 spend 75 percent more for foods in 1975 — just 10 years from 

 now. And, it seems quite logical, people will spend more for 

 food away from home, at hotels, restaurants, clubs, and drive-in 

 restaurants. The housewife will do almost all her buying in 

 self-service supermarkets. Mr. Turnill predicts, on the basis of 

 Bureau statistics, that there will be more than 5 J/2 billions of 

 pounds of fish and shellfish available to sell in 1975. Since 

 the statistics come from our Bureau, I take them to be correct 



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