International New Business Development - INBD Export Feasibility Study - Sample Exporting Country: Canada - Worldwide HS Code 030622 (market present/ projection)

1. EXPORT MARKET STUDY
HS Code 030622
“Without data you're just another person with an opinion.”
- W. Edwards Deming

2. GLOBAL TRADE STATISTICS
PRODUCT: 030622 LOBSTERS NES, NOT FROZEN, IN SHELL OR NOT, INCLUDING BOILED IN SHELL
This analysis is weaved around 6 simple criteria
• Global Market Size – Growth Projection 2020 & 2025
• Exporting Countries Market Share
• Importing Countries Market Share & Volume Growth Projection
• Import Duty Classification Into 8 Zones
• Global Export Price Index Analysis
• Summary & Conclusion
8/16/2016 2BY ARBI AYVAZIANS

3. GLOBAL TRADE STATISTICS- MARKET SIZE
8/16/2016 3BY ARBI AYVAZIANS
Data Insight
• The global import market size of
HSC-030622 in terms of volume
stands at 102,049 Metric Tons current
as of 2015; increasing %32 since 2011
• The global import volume rate is
projected to grow %65 by 2025 to
168,532 Metric Tons.
• The global market value in US Dollar
stands at $1,464,199,000 current as
of 2015; an increase of %52 since
2011. It is further projected that the
total market value will double in size
to $2,812,492,000 by 2025.
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
2011 2012 2013 2014 2015 2020 2025
$962,645 $959,320
$1,083,533
$1,332,862
$1,464,199
$2,124,167
$2,812,492
CalculationsbasedonUNCOMTRADEstatistics
HSC-030622 World Total Imported Value
(US Dollar-thousand)

4. GLOBAL TRADE STATISTICS- EXPORTERS
8/16/2016 4BY ARBI AYVAZIANS
Canada
46%
United States of
America
39% United Kingdom
3% Netherlands
2%
Belgium
2%
Indonesia
1%
Philippines
1%
Malaysia
1%
Else - 61
Countries, Below $
10 Mil Threshold
5%
Other
7%
EXPORT MARKET SHARE - 2015
HSC - 0 30622 CA LC ULAT ION S BA SE D O N UN C OM TRADE ST AT IS TIC S
Data Insight
Canada is the undisputed world
export market leader in 2015,
for the first time since 2011,
followed by US, UK, Netherlands
& Belgium.
• By 2025 Canada’s exports
will reach to $1,335,629,000,
representing a %46 market
share
• 2011~ 2014 Other major
players: UK, Indonesia,
Netherlands, South Africa,
Belgium, Australia, France

5. GLOBAL TRADE STATISTICS- IMPORTERS
8/16/2016 5BY ARBI AYVAZIANS
United States of
America
30%
Canada
22%
China
13%
France
4%
Korea, Republic
of
4%
Italy
4%
Spain
4%
Hong Kong,
China
4%
Viet Nam
3%
Belgium
3%
United Kingdom
2%
Japan
1%
Else - 92
Countries Below
$ 10 Mil
Threshold
6%
MAJOR IMPORTERS - 2015
HSC - 03062 2 CA LC ULAT ION S BA SE D O N UN C OM TRADE ST AT IS TIC S
Data Insight
Current as of 2015, USA is the
undisputed largest HSC-030622
buyer in the world followed by
Canada unchanged since 2011.
• China’s HSC-030622 import
will grow to $622,320,000 by
2025 accounting for %22 of
global import market, almost
replacing Canada as the
world’s second importer of
HSC-030622.
For Other Emerging markets to
look out for please see the next
slide

6. GLOBAL TRADE STATISTICS - 2025 ?
8/16/2016 6BY ARBI AYVAZIANS
United States of
America
29%
Canada
22%China
22%
Korea,
Republic of
8%
Viet Nam
5%
France
2%
United
Kingdom
2%
Belgium
2%
Italy
1%
Taiwan
1%
Japan
1%
Else
5%
MAJOR IMPORTERS - 2025
0 500 1000 1500 2000 2500
Côte d'Ivoire
Brazil
Mali
Brunei Darussalam
Australia
Timor-Leste
Cambodia
Slovakia
Indonesia
Lesotho
Maldives
Oman
Kazakhstan
Netherlands Antilles
New Zealand
China
Korea, Republic of
Moldova, Republic of
Greenland
Belarus
Liberia
Estonia
Tunisia
Saint Kitts and Nevis
Growth Percentage 2015~2025
Fastest Growing Markets

7. GLOBAL TRADE STATISTICS – IMPORT DUTY
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Turkey 80% Algeria 30% Bangladesh 25% Andorra 20% Argentina 16% Bosnia And Herzegovina 10% Japan 9.60% Australia 0%
Iran 55% Ecuador 30% Burundi 25% Austria 20% Brazil 16% Iceland 10% Myanmar 7.50% Botswana 0%
Morocco 40% India 30% Kenya 25% Azores 20% Paraguay 16% Jordan 10% Cambodia 7% Brunei Darussalam 0%
Lao 30% Rwanda 25% Belgium 20% Uruguay 16% Panama 10% Aruba 6% Gibraltar 0%
Vietnam 30% Taiwan (ROC) 25% Bolivia 20% Venezuela 16% Serbia 10% Chile 6% Hong Kong 0%
Tanzania 25% Bulgaria 20% Azerbaijan 15%
Antigua And
Barbuda
5% Israel 0%
Uganda 25% Canary Islands 20% Colombia 15% Bahrain 5% Lesotho 0%
Cayman Islands 22% Croatia 20% El Salvador 15% Barbados 5% Liechtenstein 0%
Cyprus 20% Guatemala 15% Belize 5% Macau 0%
Czech Republic 20% Honduras 15% Bermuda 5% Malaysia 0%
Denmark 20% Indonesia 15% Canada 5% Maldives 0%
Dominican
Republic
20% Nicaragua 15% Dominica 5% Mexico 0%
Estonia 20% Philippines 15% Egypt 5% Namibia 0%
Finland 20% Sri Lanka 15% Grenada 5% New Zealand 0%
France 20% Turks And Caicos Islands 15% Guyana 5% Norway 0%
French Guiana 20% Costa Rica 14% Jamaica 5% Peru 0%
Germany 20% Belarus 12% Kuwait 5% Saint Martin 0%
Greece 20% China 12% Lebanon 5% Singapore 0%
Guadeloupe 20% Kazakhstan 12% Montserrat 5% South Africa 0%
Guernsey 20% Russian Federation 12% Oman 5% Swaziland 0%
Hungary 20% Qatar 5%
Ireland 20% Saint Kitts And Nevis 5%
Isle of Man 20% Saint Lucia 5%
Italy 20% Saint Vincent 5%
Jersey 20% Saudi Arabia 5%
Latvia 20% Suriname 5%
Lithuania 20% Switzerland 5%
Luxembourg 20% Trinidad And Tobago 5%
Madeira 20% Ukraine 5%
Malta 20% United Arab Emirates 5%
Martinique 20% Puerto Rico 4%
Mayotte 20% United States 4%
Monaco 20%
Netherlands 20%
Nigeria 20%
Pakistan 20%
Poland 20%
Portugal 20%
Reunion 20%
Romania 20%
San Marino 20%
Slovakia 20%
Slovenia 20%
South Korea 20%
Spain 20%
Sweden 20%
Thailand 20%
United Kingdom 20%

8. GLOBAL TRADE STATISTICS – SHIPPING
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Shipping Live Lobster is probably the outmost restraining
factor in this business, as following conditions limit the
proximity your cargo can actually reach:
• Direct Flights: Although it is possible to keep lobsters
alive for up to 70 hours away from tanks, the optimal
shipping time is 24 hours only, after which the mortality
rate increases significantly. Therefore the preferred
mode of transport is nonstop direct flights.
• Packing: Innovative environmentally friendly
packaging is used to keep the lobsters cool (4°C/
50°F), hydrated (%70) & provide proper air ventilation.
Lobster’s are kept unfed for 4 days prior to shipment &
the claws are banded firmly.
• Containers: LD3 type Unit Load Device or informally
referred to as LD3 Containers are the most widely
used container devices used for air transportation of
live lobsters; thus the minimum order quantity is
derived from LD3 container load bearing capacity
and space availability which is 750kg (1650 lb.) and
4.50 m3 (159 cu ft). 156/201 × 153 × 163 cm, therefore
LD3 containers can take up to 55 Styrofoam 30 lb.
boxes.
• Mortality rate: Maximum %5 mortality rate is allowed in
most instances depending on destination.
Halifax Stanfield International Airport - Nonstop Direct Flights
Airlines Destinations Flight Time
FedEx Express Moncton, NB, Canada 0.19 Hrs
Korean Air Cargo Anchorage, AL, USA 6.45 Hrs
Korean Air Cargo Seoul-Incheon, Korea S 12.49 Hrs
Purolator Courier Hamilton, ON, Canada 1.53 Hrs
Cologne, Germany 5.90 Hrs
Moncton, NB, Canada 0.19 Hrs
Qatar Airways Cargo Doha, Qatar 11.35 Hrs
Zaragoza, Spain 5.71 Hrs
Air Canada - Seafood Cargo Shipping Rates [Apr 1 ~ Oct 31, 2016]
From: Nova Scotia To Eastern US To Western US To Hawaii
1 kg 1.86 2.14 3.14
100 kg 1.76 1.98 3.02
300 kg 1.74 1.9 2.98
Min 60 kg Min 65 kg Min 75kg
For more information about Air Carriers, Freight Forwarders, Customs Brokers,
Integrated Couriers & Cargo Handlers please see: http://goo.gl/5xo96H

9. GLOBAL TRADE STATISTICS – EXPORT PRICE
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Prices of Live Lobster vary around the world,
but they tend to fall every year in the summer
when many lobsters reach legal trapping size
and catches increase.
• Global Median Price: With the exception of
2013 when the Lobster prices plunged to all
time low of $7/kg, the world price median
value has been $13/kg. It is speculated that
the prices will rise by $1 in 2016.
• Global Price Variations: The live lobster
exporters club consists of 52 countries
spread across the globe all the way from
Oceana to America offering different
breads of lobster causing incredible price
variations which ranges from $82/kg for
Australian lobsters all the way to $2/kg for
lobster exported from Thailand.
• Canada’s Price Index: Canadian prices
average out just about a hair above the
world median value derived mostly from
the Maine and Massachusetts lower prices.
US live lobster price index has constantly
stood $2/kg below Canada’s price.
Australia
$76
Norway
$42
India
$35.88
Philippines
$6.16
Malaysia
$4.85
Indonesia
$14.72
UK
$16.80
USA
$12.34
Canada
$14.16
Belgium
$18.55
Netherlands
$17.91
France
$24.21
Jamaica
$23.00
Hong Kong
$18.18
Venezuela
$16.40
Spain
$20.25
South Africa
$5.00
Thailand
$3.00
Live Lobster Price Variations - 2015

10. GLOBAL TRADE STATISTICS – SUMMARY
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Summary
• A Growing Market: Live lobster will continue
to grow by %52 in volume & %200 in value
within the next decade.
• Market Leader: Holding on to %46 of the
total export market share, Canada will
remain the undisputed market leader for
the next decade.
• Import Market Leaders: US, Canada &
China will continue to dominate the import
market purchasing %75 of the world’s live
lobsters.
• Emerging Markets: Brazil, Australia, Oman,
Kazakhstan & Korea are among the top
fastest growing markets requiring special
attention.
Conclusion
• Main Markets: US, Canada & China must
remain the main targets. China sales target
quota requires a minimum of %1 annual
growth.
• 1st Priority Emerging Markets: Oman, Korea
& Spain should have the highest priority
among developing markets due to ease of
transport and relatively lower tax rates.
• 2nd Priority Emerging Markets: Australia,
Brazil & Kazakhstan should be studied for
transportation costs & durations – the most
feasible choice seems to be Brazil.