Orkney Herring secures US deal

A leading Orkney food business has achieved an important exports breakthrough, after securing a deal to supply specially prepared produce for the big Kosher market in the United States.

The Orkney Herring Company is looking to move into new markets and its ambitious expansion plans have now been backed by a £300,000 investment from Orkney Islands Council.

With a further £600,000 invested by existing shareholders and other private sector backers, it is now well placed to develop new products and seek new customers at home and abroad.

Set up in Stromness in 1987, the company produces sweet-cured herring using a closely guarded family recipe kept in a safe held at a secret location.

It worked closely with its herring supplier, the Danish firm UniFish, and American Kosher fish specialists Raskin's, to develop a new range for the US market.

To comply with strict rules governing Kosher food production, the Stromness food factory was closed for 48 hours before production began.

Every ingredient was carefully selected to ensure it was Kosher-approved, with a Rabbi brought in specially to oversee the process.

"Raskin's are well established and have an excellent reputation in the American Kosher market," said Orkney Herring Company managing director Ken Sutherland.

"This collaboration has resulted in an important breakthrough into a new export market, which has the potential to be very exciting for us."

As well as the United States, the Orkney Herring Company is looking to develop new markets in France and South Africa as well.

Mr Sutherland, who founded the company with his wife Mary, is delighted that its expansion plans attracted investment from both the private and public sectors.

First on board was Orkney Islands Council, with an investment of £300,000, with additional consultancy support provided by Highlands and Islands Enterprise.

Councillor Ian Johnstone, the council's development committee chairman, said: "This is one of our key food and drink companies and we wanted to support its efforts to move into new markets.

"The company is an important source of employment in Orkney and our investment is designed to ensure it remains secure and successful in the years ahead.

"So it's great to see the business developing a new transatlantic trade in a big and potentially important new market in the States."

Ken Sutherland said the support from the council had been crucial at a time when the company was seeking to export to the United States for the first time.

"It also gave our existing shareholders and other private sector backers the confidence to invest in a business with very good prospects for growth," he said.

These investors include fish suppliers, shellfish farmers and transport specialists, and each now has a seat on the Orkney Herring Company board.

"Each brings a specialist area of expertise, which will have a positive impact on the way we run the business," Mr Sutherland said.

"We have a wonderfully loyal team of staff, who are fully behind our efforts to expand our operations. We have an excellent product, a state-of-the-art factory, and the quality systems customers worldwide expect. We believe the future is looking good for the Orkney Herring Company."

The first consignment for the American market, which will be sold under Raskin's branding, has just arrived in the States.

Shlomo Raskin, the Brooklyn-based company's marketing director, said: "The reaction so far has been very positive.

"We're excited about our new collaboration with the Orkney Herring Company and we believe there is potentially a large market for this unique product.

"The fact it comes from what's seen here as a remote island community offers us tremendous marketing possibilities.

"It comes with a fresh clean image and having visited Orkney to see where the sweet-cured herrings are produced, I'm delighted to vouch for the authenticity of that image."

The Orkney Herring Company, which moved into a new, purpose-built factory in 2005, employs 25 people and has a turnover of around £2 million.

In the UK, it supplies supermarkets, delicatessens, fishmongers and other food outlets across the country.