Breviro struggles in world market 'awash' in caviar

The president of embattled Breviro Caviar says his company has been caught up in massive changes in the global market at a time when regulators denied it access to retailers in the United States.

• Breviro Caviar Inc. trying to keep afloat

"It's crazy," said Jonathan Barry.

"The rest of the world market is brutal."

Barry has acknowledged he is trying to keep the business going.

Since 2011 Breviro Caviar has received a total of $300,000 from the Atlantic Canada Opportunities Agency, a $500,000 investment from the New Brunswick Innovation Foundationand $135,000 from the New Brunswick government.

In addition, the New Brunswick Investment Management Corp., a provincial government agency, is a major shareholder.

Breviro is the only producer of a premium-priced caviar from farm-raised St. John River shortnose sturgeon.

U.S. access rejected

The company had hoped for access to key U.S. marketsthat are closed to many international producers and where caviar prices are much more stable.

• Breviro Caviar seeks legal change to sell in the United States

To do so,Brevirohad to convince American regulators thatshortnosesturgeon from the St. John River system are a healthy population that is also genetically distinct from its endangered American cousins.

Products from endangered fish cannot be sold in the United States.

The regulations make no distinction between wild and aquaculture-raised fish.

The argument failed when the National Marine Fisheries Service, a federal government agency in the United States,ruled in Octoberthe St. John River shortnose sturgeon does not qualify as a species of its own.

Barry questions that ruling, calling it "an unexpected [and scientifically dubious]decision that the St.John River itself was not distinct enough from the rivers in the Gulf of Maine ... to differentiate the population."

World price plummets

Breviro is now forced to find its way in a world market Barry describes as "awash in caviar,"where production has skyrocketed while prices plunged.

Paolo Bronzi has done extensive research on markets for products from aquaculture-raised sturgeon.

The retired biologist and vice president of the World Sturgeon Conservation Societysays the price of caviar is about 20 per cent of what it was 10 yearsago.

"Too many people in my opinion started to produce sturgeon for caviar and by now we have a lot of production," said Bronzi, who is based in Milan, Italy.

He says there are now more than 760 sturgeon farms in 45 countries, with China producing 85 per cent of the world's supply.

The most important thing is to build a new market- PaoloBronzi, World Sturgeon Conservation Society

Bronzisays producers in several countries, including China, have gone bankrupt.

"When you start making a calculation of the income based on the present prices of the produce and then during the five, six, 10years you have to wait for obtaining produce,the price declines, at the end your calculations are wrong," said Bronzi.

"Probably the most important thing is to build a new market."

Bronzi says the general public need to be made aware that caviar is now an accessible, high protein food that can be enjoyed as one might try a different variety of cheese or wine.

Bronzi says Breviro's caviar, from shortnose sturgeon, is a unique product.

"It is the only one company that is producing it," said Bronzi.