Set your sights on value-added seafood.

• Author: Kim, John
• Position: Seize the Opportunity

Everyone knows wealthy nations get that way by adding value to things. They make little things out of big things; finished goods out of raw materials. Alaskans can make many more millions from our fish resources, and we can do it with the help of the king of value added - Japan.

Japan sucked in a record number of Alaska fish during 1990. As usual, salmon exports led the way. But most were sent there dressed and frozen.' The added value happens way downstream, when the Japanese hack big pieces into little chunks for obento box lunches, fillets and other products.

Alaskans have got to get out of the raw material mindset and into business not as usual. We're in the global food marketing business, and we need to start acting like it. Last summer, Doug Barry of the Alaska Center for International Business visited the fish markets and checkout lines of Japan. The following are several of his suggestions on how Alaskans might profit from a changed perspective.

Made-in-Chile coho salmon are joining Alaska's competitors in a race for the pocketbooks and palates of Japanese consumers. These salmon look great, and Japanese buyers are terribly impressed. Alaskans can fight back by taking some of our product off the commodity markets and selling. fillets direct to wholesalers and retailers.

One Japanese buyer started doing this last season with a processor in Cordova. He reasons that labor and land prices are so high in Japan that it makes sense to let Alaska producers add more value. Among other advantages for the importer, there are no surprises after the fish get to Japan, and his customers can see that the fillets are made from top-grade fish. The results: Happy customers, premium prices for a premium product, return business.

Alaskans need to identify the wholesalers who sell fish to the Japanese hotels and posh restaurants. We can supply fresh fish in season on a just-in-time basis. If you knew what these outlets get for a few slivers of salmon, you'd consider asking for your Permanent Fund dividends in pinks and silvers.

Staking a claim in these fancy eateries is more than just good business sense. Alaskans need to aggressively establish the channel, then defend this market share from new market entrants like those Chileans and Norwegians.

On the fresh-frozen side, we need to find out why only Swedish salmon are in the airport shops at Chitose (Anchorage's sister city) Airport in Hokkaido (Alaska's sister state). With 30 fully loaded 747s...