Kish Free Zone Organization

Cobia aquaculture

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Cobia aquaculture

1.Project title: Cobia aquaculture

2. Location:

3. The Project:
• The project is farming Cobia fish in sea known as aquaculture. Farming fish in cages in seais one of the methods fish farming that enjoys numerous advantages over farming fish intanks. Some of the advantages are: reduced start-up costs, portability, pests and diseases
control, reduced running costs including water and water treatment.
• Cobia fish is a precious species, native to Persian Gulf and one of the most economicallyvaluable spices native to Iran.Its pink meat has a special fat and it is saturated with Omega
3. Its meat is tender and has no bones and that is why it is perfect for all types of food whichare cooked using fish.
• To implement the project, 10 cages is needed. These cages come in different qualities and varieties. Rough water cages are going to be used for this project. Such cylindrical cages are made of polyethylene, with the volume of 1300-1600 M3 and are securely tied from sides. They have 3 rows of pipes to increase their floatability and stability far off the shores.
Norway is number-one manufacturer of these cages.
•A work boat- a boat to control the whole farm-is needed to support the feeding system.
• It creates 27 jobs and its annual capacity is 500 tons.
4.
Area: Section: Fisheries Sub-section: Fish Farming
5.
Products/Services: Farmed Cobia
6.
Annual Capacity: 500 tons
7.
The required land: 1000 M2 coastal land and 10 hectares sea area
8. Ownership:
The land is owned by Kish Free Zone Organization which can be soldto Iranians and rented to aliens.
9. Legal permits:

As per article 11 laws on Administration of Free and Special Economic Zones, issuingpermits for legal economic activities of any kind in the region lies with the respective zoneorganization. Meanwhile, such project needs obtaining other permits from competentbodies and organs:The required inquiries for the permits will be made through Kish FreeZone Organization and the investor only follows up the process.
10.
Construction and operation Time table: Construction: 1 Year and Using: 15 years
11. Access to infrastructures

NORequired infrastructureDistance to project site
1WaterOn Project Site
2Power On Project Site
3Tele-communicationOn Project Site
4Main RoadOn Project Site
5Airport4 Kms
6Train Station380 Kms
7Port
10 Kms

A short list of financial and economic Indexes
12. The project's expenses and incomes

Fixed Capital( Billion IRRs)31
Annual Operating Income (Billion IRRs)-Maximum Capacity60
Annual Operating Expenses (Billion IRRs)-Maximum Capacity
40

13. Project's Financial Indexes

Annual Operating Profit (Billion IRRs)-Maximum Capacity20
Benefit-cost ratio
1.49
Payback Period (years)
2.3

14. Project's economic Indexes

Net Present Value (Billion IRRs)
83
Internal Rate of Return
49%
Break-even point
25%

15. Target Markets:
•Fishing is a main job for people in the South of Iran. However, as there are restrictions forcatching certain fish, fisherman cannot go fishing in all seasons. That is why, in several seasonsthe supply decreases so the prices go up. Therefore, there is always extra demand for certainfish that are usually caught seasonally.
• Moreover, fish is a highly nutritious food and it is important for humans health, Nowadays,it is being increasingly consumed. Large number of tourists annually visiting Kish Island andtheir liking to consume seafood have increased the demand for fish more than what is typicalin different seasons. Hence, always and usually in New Year Holidays and summer there isundersupply of fish in the island. That is why fish processing and increasing fish supply is apriority for Kish Island.
• Additionally, because of Kish proximity to international waters and countries on PersianGulf, These countries can be potential target markets for fish products. Presently, aconsiderable volume of the fish from Kish Island is beingexported to Arab countries onPersian Gulf.
16 - Investment methods

A: Partnership* B: contracting* C: Absolute purchase of land* D:Rent *land