Hans J Marter

27 January, 2009

TWO Shetland salmon processing companies are to benefit from more than £1.1 million of European money to extend their facilities in the isles, and create 17 new jobs.

The grant assistance through the new European Fisheries Fund was announced yesterday (Monday) to coincide with the visit of Scottish environment minister Mike Russell.

Lerwick Fish Traders will receive £420,000 towards a new integrated Baader grading and processing line, while Greenock based salmon oil producer Rossyew has been granted £738,000 to set up a plant in the isles to serve the local aquaculture industry.

Both payments have been fast tracked in response to the recent outbreak of ISA in the isles and to give Mr Russell some good news to bring with him.

Mr Russell said: "This investment and the jobs it will create and support will therefore be welcome news for both of these companies and for the Shetland community as a whole."

LFT's grant assistance will trigger a £1.4 million investment, which will help to increase the current workforce from 93 full time staff to over 100.

Company manager Michael Stark was in meetings with the environment minister all day yesterday, and unable to respond to a request for comment.

Rossyew's sales director Ian Wright said he was delighted with the award which would enable the company to go ahead with a £1.2 million expansion to the isles.

The company turns salmon by-products such as guts and heads into salmon oil and salmon protein which is used as ingredients in the pet food and animal feed industries.

He said a final decision on a location in the isles had not been made yet and therefore he was unable to say when the new plant would be up and running. However a decision was "imminent", he said.

He added: "Shetland is a significant producer of salmon. It makes sense logistically and economically to process the by-product on the islands rather than off the islands.

"We are not dealing with mortalities at all. We are dealing with what is fit for human consumption, but is removed in processing such as the head, the guts and the frame, which would not normally be consumed."

At present most of the off cuts are shipped to Norway for processing.

Mr Russell added: "Lerwick Fish Traders and Rossyew Ltd are the first of a number of beneficiaries from EFF.

"We hope to aid many more companies in developing a profitable and prosperous fish sector for Scotland in the coming months, and further news of successful EFF bids will be announced in the coming weeks."