A group of major seafood companies has announced the formation of SeafoodAlliance.com, an industry alliance which will explore the opportunities of business-to-business electronic commerce for suppliers of fresh and frozen seafood to the global marketplace.

Henry Demone, Chair of SeafoodAlliance.com, and President and Chief Executive Officer of High Liner Foods Inc., announced that nine companies, representing approximately $3.5 billion USD in annual revenue, have signed a memorandum of understanding, which commits the group to work together on developing an Internet-based business plan for the seafood industry. In these early stages of the group’s work, SeafoodAlliance.com is focussing on the potential of a “vertical portal” to facilitate competition, reduce transaction costs, and provide greater benefits to customers and shareholders in the seafood industry. SeafoodAlliance.com has entered into an agreement with Terrapin Partners LLC to provide consulting services to the group and assist in the development of its business plan. Terrapin Partners LLC was one of the co-founders of both PaperExchange.com, Inc. and e-STEEL, two leading business- to-business exchanges representing the paper and steel industry respectively.

In making the announcement, Mr. Demone said: “Like many other industry sectors, the seafood industry recognizes the growing importance of the World Wide Web as one means to grow business and increase profitability. SeafoodAlliance.com will benefit participating seafood companies and their suppliers by reducing transaction and processing costs in the seafood sector, and the group members believe that a collaborative effort will enhance the participants’ individual efforts to move ahead with a viable electronic commerce strategy.” Mr. Demone noted that, as the initiative moves along, additional seafood companies are expected to participate in the project.

Demone added: “Given the industry representation in SeafoodAlliance.com, the portal should be, quite literally, where the world’s seafood business does business.”

Members to date of SeafoodAlliance.com include: Pacific Seafood Group, American Seafoods Inc., SIF Group, Pacific Trawlers/Crystal Seafoods Inc., Fishery Products International Limited, Clearwater Fine Foods Inc., Coldwater Seafoods, a subsidiary of Icelandic Freezing Plants Corporation, the Barry Group of Companies, and High Liner Foods Inc. These companies are major seafood companies conducting business around the world, and headquartered in Canada, the United States, and Iceland.