BioMar Takes Full Ownership of Ecuador Aquafeed Unit and Plans 37% Capacity Expansion to 410,000 Tonnes

BioMar Takes Full Ownership of Ecuador Aquafeed Unit, Plans 37% Capacity Expansion

BioMar Group, the Danish-headquartered aquaculture feed manufacturer, acquired the remaining 30% shareholding in BioMar Ecuador from the Lanec family, giving it full ownership of the subsidiary effective February 2026. The Lanec family, which co-founded the Ecuadorian operation, will continue as a strategic commercial partner under a long-term cooperation agreement.

The acquisition was announced on February 6 alongside plans for a significant capacity expansion that underscores the company's conviction in Ecuador's position as the world's largest shrimp exporter.

Expansion programme

BioMar will execute a two-phase capacity expansion at its Ecuadorian production facility:

Phase	Timeline	Capacity Addition	Total Capacity	Investment Type
Phase 1	Q3 2026	+110,000 tonnes	410,000 tonnes	Debottlenecking + new pelletised line
Phase 2	2027-2028	+200,000-300,000 tonnes	610,000-710,000 tonnes	New extruded + pelletised lines, infrastructure

Phase 1 involves "debottlenecking" existing production lines and installing a new dedicated pelletised feed line, adding 110,000 tonnes of annual capacity -- a 37% increase from the current 300,000-tonne base. The company expects completion by the third quarter of 2026.

Phase 2 is more ambitious, involving additional pelletised and extruded feed lines and significant changes to site infrastructure. If fully realised, the expansion would more than double BioMar Ecuador's current capacity, potentially making it one of the world's largest single-site aquafeed production facilities.

Growth trajectory

BioMar's production volumes in Ecuador have quadrupled between 2019 and 2024, a growth rate that reflects both the expansion of Ecuador's shrimp farming sector and BioMar's increasing market share among Ecuadorian producers:

Year	Estimated Volume (tonnes)	YoY Growth
2019	~75,000	Baseline
2020	~105,000	+40%
2021	~145,000	+38%
2022	~195,000	+34%
2023	~250,000	+28%
2024	~300,000	+20%

The sustained growth reflects a broader industry trend toward higher-quality, scientifically formulated feeds that improve shrimp survival rates, growth speed, and feed conversion ratios. BioMar's premium feeds typically command a 15-25% price premium over commodity alternatives but deliver measurably better production economics for intensive farming operations.

Financial context

BioMar reported 2025 preliminary revenue of DKK 16.5 billion (approximately $2.4 billion) globally, with Ecuador representing one of its fastest-growing markets. The company did not disclose the acquisition price for the Lanec family's 30% stake, though analysts at Nordea Markets estimated the transaction value at $80-120 million based on comparable Latin American aquafeed valuations.

Innovation: insect protein integration

In a parallel development, BioMar has partnered with French biotech firm Innovafeed to integrate insect protein (black soldier fly larvae) into its Ecuadorian shrimp feed formulations. The initiative aims to reduce dependence on fishmeal -- a key cost input whose prices have risen approximately 45% over the past three years due to El Nino-related disruptions to Peruvian anchovy harvests.

Early trial results indicate that replacing 15-20% of fishmeal with insect protein maintains shrimp growth performance while reducing the environmental footprint of feed production.

Ecuador's shrimp sector context

The expansion signals confidence in Ecuador's aquaculture industry despite significant headwinds:

• US tariff burden: Combined 18.78% import duties on Ecuadorian shrimp (15% tariff + 3.78% CVD)
• India competition: Recent US tariff cut on Indian shrimp from 50% to 18% narrows Ecuador's competitive advantage
• Production growth: Ecuador exported approximately $7 billion in shrimp in 2024, up from $5.5 billion in 2022
• China market: Chinese demand has absorbed much of the volume displaced from the US market

BioMar's willingness to commit to a potential doubling of capacity suggests the company projects continued strong growth in Ecuador's shrimp farming output through the end of the decade.

What to watch

Key milestones include the completion of Phase 1 expansion in Q3 2026, any announcement of Phase 2 construction timelines, and the commercial rollout of insect protein-enhanced feed formulations. Monitor whether BioMar's expansion triggers competitive responses from rivals Cargill Aqua Nutrition and Skretting (Nutreco), both of which have significant Ecuadorian operations. The CNA's quarterly shrimp export report will provide context on whether sector growth supports BioMar's capacity projections.

Sources: Undercurrent News, We Are Aquaculture, The Fish Site