NYSERDA Press Releases

State's First Indoor Fish Farm Becomes Profitable;
Fingerlakes Aquaculture Sets Business Model for Future Farms

Groton July24--Fingerlakes Aquaculture, Inc., Groton (Tompkins County), a five year-old, indoor fish-farming venture, announced today that it has reached profitability as the State's first commercial indoor fish-farming business. The venture is supported by private investors and the New York State Energy Research and Development Authority (NYSERDA), which seeks to develop the fish-farming business as an alternative cash crop for farms across the State.

"Fingerlakes has reached a real milestone--profitability after only five years of entrepreneurship," said NYSERDA President William M. Flynn. Since 1997, NYSERDA has contributed $680,000 in support of the energy-efficient development of a new, indoor agribusiness for New York State. "As the State's first indoor commercial fishfarm, Fingerlakes is now harvesting 15,000 lb. of live Tilapia per week, and selling this live product to New York, Philadelphia and other northeast markets," Flynn said.
Tilapia, a firm, mild-flavored, white fish is prized in ethnic markets. Most Tilapia filets seen in supermarkets are imported from South America. Fingerlakes serves the 150 million pound-per-year live-fish market and expects to grow, and encourage other New York farmers into fish production.

Bob Blythe, CEO, Fingerlakes Aquaculture, Inc. described the business and its importance as an alternative to traditional farming in the State. "Fish farming is the fastest growing segment of the global agriculture market. We recognized this growth potential in 1997, and have attracted more than $4.5 million in private equity and guaranteed debt to get us to this milestone," he said.

"Fingerlakes believes the growing Tilapia filet (cleaned and prepared) market will support the development of Tilapia aquaculture as a major agricultural industry in New York State."

NYSERDA's agricultural program focuses on the future profitability of New York farms, and particularly the energy costs related to successful agribusiness. "NYSERDA is working to cut the energy costs and help farms be more profitable," Flynn said. He noted that farm operations which rely on pumps, such as dairy and aquaculture, consume large amounts of electricity. "Variable speed drives on dairy pumps and other types of equipment controls can cut energy bills by up to $2,600 per year, and that to date, NYSERDA has helped defray these installation costs at more than 400 farms across the State," he noted.

The Fingerlakes operation has progressed through five improved production units, and with this latest model, has begun to generate profit that can be re-invested in enlarging the business. "Over the years, we have reduced our utility costs by 40%," Blythe said. He noted that among the three major cost centers of feed, labor and utilities, "NYSERDA's funding and technical assistance has played a key role in reducing energy costs and thereby helping us turn a profit."

This agricultural initiative is one among dozens of projects funded by NYSERDA to improve energy efficiency, benefit the State's environment and encourage economic growth. Detailed information may be seen at www.nyserda.org. NYSERDA, a public-benefit corporation, helps develop new energy and environmental programs and products, including the New York Energy $mart^SM program. NYSERDA's funding comes from the State's investor-owned utilities, a voluntary contribution from the New York Power Authority, Long Island Power Authority and limited NYSERDA funds.

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