Canned tuna is a  billion business. But it’s facing some existential threats

Valued at an estimated $40 billion, the tuna business is a vital participant within the international meals sector.

The U.S. imported about 637.9 million kilos of tuna in 2021, based on the most recent knowledge from the National Oceanic and Atmospheric Administration — practically 71% of that was canned.

The business is dominated by multinational firms reminiscent of Thai Union Group, the proprietor of Chicken of the Sea, and it faces some challenges.

Between 2000 and 2021, per capita consumption of tuna dropped 45%.

Shifting shopper preferences, market consolidation, sustainability, transparency issues and a practically decade-long price-fixing scandal all affected tuna’s reputation amongst Americans.

But in 2020, the primary yr of the Covid-19 pandemic, demand elevated for the inexpensive and protein-rich possibility and tuna notched its highest consumption degree since 2011. Thai Union posted a practically 19% revenue improve that yr over 2019.

However, Thai Union is now confronting rising prices as a result of inflation and the conflict between Russia and Ukraine. The firm has applied worth hikes over the previous two years and is exploring automation methods to assist offset rising prices.

What’s extra, the corporate faces existential threats to the business together with sustainability, local weather change and unlawful fishing.

Watch the video above to study extra concerning the $40 billion tuna business.

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