EU approves US$163M Danish seafood sustainability scheme

EUROPE – The European Commission has approved a €155 (approximately US$163) million initiative to enhance energy efficiency and cut carbon emissions in Denmark’s fishery and aquaculture processing sectors. 

Running through to the end of 2029, the scheme will provide direct grants to large Danish fish processing companies embarking on environmentally friendly energy projects.  

This funding aligns with Denmark’s broader climate goals, aiming to modernise the seafood processing industry by encouraging the adoption of cleaner energy solutions. 

The grants will enable companies to transition to greener technologies, reducing the environmental impact of one of Denmark’s key industries while boosting its long-term sustainability.  

The Commission assessed the scheme under Article 107(3)(c) of the Treaty on the Functioning of the European Union, which permits State aid to support specific economic activities under defined conditions. 

The initiative also complies with the EU’s Guidelines for State aid in the fisheries and aquaculture sectors, ensuring it does not distort competition or affect trade between Member States.  

Denmark’s seafood industry is critical to its economy and global trade. In 2022, the country exported US$39.4 million worth of live fish, ranking as the 18th largest exporter in the world. 

The scheme is expected to strengthen Denmark’s position in the sector, particularly as the fish and seafood market is projected to grow at an annual rate of 4.57% between 2024 and 2028. 

Market revenue is forecasted to reach US$1,098 million in 2024, with the volume expected to climb to 38.23 million kilograms by 2028, according to Statista.  

This initiative comes at a time when global demand for sustainable seafood solutions is rising. 

With many industries under pressure to lower their carbon footprints, Denmark’s seafood sector is poised to set an example of how targeted investments can lead to meaningful change. 

Officials involved in the program emphasised that the grants are both necessary and proportionate, addressing the unique challenges of the seafood processing industry while fostering sustainable growth.  

The approval also highlights the importance of collaboration between government and industry to achieve climate goals. 

Denmark’s proactive stance in reducing the carbon emissions of its seafood processing sector reinforces its commitment to becoming a global leader in sustainability. 

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