SALMON INDUSTRY 1 Global produc@on of Salmon tons WFE; Market - PowerPoint PPT Presentation

SALMON INDUSTRY 1

Global produc@on of Salmon tons WFE; Market share per origin Chile is the #2 Producer of Atlan@c Salmon in the World 2 Source: Kontali

GLOBAL DEMAND FOR ATLANTIC Global demand for Atlan@c Salmon Thousand tons WFE; Market share per country 2,206 2,311 2,218 2,264 2,407 100% 90% 26% 28% 27% 29% 30% 80% Others 3% 7% 5% 70% 3% 4% 4% 5% 4% 5% 4% Russia 60% 19% 18% 17% 20% 20% Brazil 50% 40% USA 30% EU 47% 46% 47% 45% 44% 20% 10% 0% 2014 2015 2016 2017 2018 E Source: Kontali 3

Chilean exports of Atlan@c Salmon US$ million; Market share per desQnaQon 3,018 2,512 2,942 3,397 3,866 100% 17% 18% 18% 90% 19% 21% 80% 3% 6% 7% 5% 3% 10% Others China 9% 70% 8% 7% 10% 60% 16% 17% 19% 18% 15% Russia Brazil 50% 40% USA 30% 45% 44% 45% 42% 43% 20% 10% 0% 2014 2015 2016 2017 2018 Source: Infotrade – Based on Chilean Customs 4

Market Research: Demand is growing as salmon is seen as a healthy protein choic • C onsumers have awareness of nutri@onal value : Protein, Omega-3 and other faYy acids for muscle, brain and heart health • Minimal percep@ons of difference between the nutri@onal value of different salmon types (e.g. wild vs farmed, Country of Origin) Au Audien ence ce Pe Percep,ons • Salmon perceived as substan,ally healthier than other protein sources, and this is a b Chefs Ch driver for consumer demand • No,ced increasing demand for salmon supply Se Seafood d Buy uyers • Very strong percep,on of salmon being healthy, and consump,on should be Nu Nutri,on onists encouraged • Aquaculture playing an extremely important role in feeding the popula,on healthily Environme mentalists 5 CSMC PercepQons of Chilean Salmon in the United States 11/30/18, 1/4/19

Fishing decreases and the aquaculture grows as the only solu@on to the demand 6

THE SALMON IS PART OF THE SOLUTION AND NOT O THE PROBLEM 1. Increase in protein demand 2. Fisheries in exploitaQon limits 3. Protein with lower environmen impact 4. Healthy protein (DHA, EPA) an quality and nutriQous salmon 5. Limited use of mariQme space 6. High efficiency in food convers and edible meat 7

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TAINABLE SOURCE OF PROTEIN 9

CHILEAN SALMON INDUSTRY 10

Harvest evolution 11

4,000 Small and medium sized companies 61,000 Employees 20,000 direct 41,000 indirect 12

2018 20 companies 892.5 k tons (WFE) 350 ac@ve sites 6% 2 Of Exports In economic US $5,157,000,000 ac@vity in output +10.86% vs ‘17 13

Markets and compe1tors ilean Industry: Compe1tors 14

Markets and compe1tors ilean Industry: Compe1tors 15

Chilean Salmon Industry Processing Final cons Fry producQon Farming Breeding, Broodstock & SmolQficaQon Well boat Process ubaQon, eggs HarvesQng & Processing Sales & DistribuQon Seafarms Freshwater High Demand for Suppliers Goods • Fresh water Farming Processing Sales Consumer Infrastructure • 16 Services • 1 6

hilean almon Marine transport Land transport Diagnos@c laborato dustry Prepara@on and Naval infrastructur Process Diving maintenance of networks Veterinary supplies Environmental Sampling Machinery and Agriculture and fe equipment 17

Chilean Salmon Industry Regulatory framework: General and Sectorial Regulatory framework Sanitary ProducQ Environmental Highly regulated 3 Ministries. 16 public agencies . 18

Chilean Salmon Industry Prohíbe RegulaQon control the producQon and estricts growth based on Environmental and Sanitary behaviour. Restringe Environmental Sanitary Standards standards (Biosecurity) Regula rict Regulatory Framework erates as Traffic Light 19

CHALLENGES 20 2 0

Chilean Salmon Industry Challenges Sustainable Seabed Fish Sealice An@bio@c escapes Feed usage The best solu@on educ@on in Medicinal Objec@ve: 0 escapes. to this problem is bio@c treatments Site cer@fica@on the rota@on of mp@on in Vaccina@on farms and Proper 2018. Prohibi@on coordinated fallow infraestructure :seali st value in the Non farmacological periods (minimum on net, grow nets. It is not possible to use it years treatments 5 to 8 months). preven@vely There are no further mmiied to studies of the We are ini@a@ng ce preda@on condi@on pilot tests of new mp@on by of salmon technologies to y 2025 in accelerate the era@on with normaliza@on of GO Monterrey the ocean boiom. Aquarium 21

OUR COMPANY 22

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Salmones Camanchaca A fully integrated salmon farmer... ...with global presence GeneQcs and Fresh Water Sea Water Processing MarkeQng & sales Own Atlan@c Gene@cs Farming sea sites 2 primary processing plants: • Diversified sales office in key markets 1 value adding Spawning plant • 74 sites in 14 processing plant - USA different neighbourhoods, • Tomé, in region VIII, - Mexico RAS facility dispersed over with capacity: - Europe regions X and XI - HON Frozen: 20k - Japan Non Atlan@c fish/day • 25 AtlanQc salmon - China Hatcheries acQve sites in 2019. - Trim/PorQons: 40k - Chile fish/day • 4 Coho sites acQve • Sales in 38 countries sites in 2019 • 7 Trout sites contributed to a JV, 24 in force 2017-2022

Strategic PosiQoning Vision Medium term ambiQons PrioriQes • Maximize farming capacity uQlizaQon as leases • Unleash scale potenQal expire • Exceed 60,000 tons WFE of AtlanQc by 2022 • Processing automa@on and efficiencies • Open up Coho producQon (4-5k ton) starQng in • Use of latest technology for feed and fish wellne 2019 Sustainable, cost and • Biology control • PotenQal of 10-12k avg. annual producQon from - Reduce AB market leading producer Coho or Trout since 2022. - Introduce mechanical sea lice treatments of Salmon from the • Oxygen & algae miQgaQon systems (Climate • Gain cost efficiencies Chilean Patagonia Change) • Diversified market/buyer pornolio with • New markets and product flexibility emerging market focus • Adhere to all 8 principles of ASC cerQficaQon in al faming sites • Majority of our producQon ASC cerQfied 25