The Billion-Dollar European Caviar Business, Now Disrupted by China

The History of Caviar

Caviar, as a luxury food, has a long-standing history. Its consumption dates back to ancient Assyrians and Persians, who were among the earliest known consumers of caviar. Historically, people harvested sturgeon from the Caspian Sea and used the roe as food. Today, prominent global caviar brands include California Caviar Company from the United States, Caviar de Riofrio from Spain, and Caviar de France from France. Among these elite brands, China’s own Kaluga Queen has also carved out a place.

Due to overfishing and pollution in the early to mid-20th century, sturgeon populations began to decline, affecting caviar production. To preserve sturgeon resources, some regions began implementing conservation measures, restricting sturgeon fishing. By the late 20th and early 21st centuries, as demand continued to grow and wild sturgeon populations needed protection, sturgeon farming and caviar production started to emerge as alternatives.

Alongside traditional sturgeon caviar, other types of caviar, such as salmon roe, also appeared in the market. Caviar remains a high-end product worldwide; despite its high price, it continues to have stable demand in high-end restaurants and gourmet markets around the world. Much of this demand in recent years has been met by Chinese products.

Traditional Caviar Demand and Supply

Globally, caviar supply primarily comes from sturgeon, especially from wild sturgeon populations. However, with overfishing and diminishing sturgeon habitats, wild caviar supply has significantly declined, leading to a shift towards farmed sturgeon as the main source. Today, China is the global leader in caviar production, particularly in sturgeon farming. Chinese caviar production accounts for a significant proportion of global output, offering competitive prices and a stable supply. As wild sturgeon numbers dwindle, the global caviar supply increasingly relies on farmed sturgeon.

Farmed caviar has not only stabilized supply but also allows for better quality control, meeting market demands for sustainability.

However, despite the growth in farmed caviar production, the slow growth cycle of sturgeon (typically taking 7-10 years to mature and produce roe) limits supply speed and cannot fully meet the rapidly growing global demand. According to a report by QYResearch, the global caviar market’s sales reached $402 million in 2023 and are projected to grow to $817 million by 2030, with a compound annual growth rate (CAGR) of 10.8% from 2024 to 2030. EqualOcean’s analysis indicates that this growth trend suggests substantial potential for the global caviar market despite challenges.

Europe is the fastest-growing market, while the Asia-Pacific region is the largest market overall. Europe and North America, as traditional caviar-consuming regions, continue to hold significant positions in the market. Meanwhile, the Asia-Pacific region—particularly China and Japan—is emerging as a growth area for caviar consumption, partly due to the rise of the middle class and increased demand for high-end dining experiences.

Russia and Iran, as traditional caviar-producing countries, still have substantial sturgeon resources. However, strict regulations on wild sturgeon fishing have reduced their supply. In recent years, China has become one of the world’s largest producers of farmed caviar, with booming sturgeon farming industries in regions such as Hubei Province. Chinese caviar has increased its influence in the international market and maintains a relatively competitive price.

The Rise of China’s Caviar Industry: From Importer to Exporter

China’s history of caviar importation dates back to ancient times, though large-scale modern imports began only a few decades ago. China transitioned from an importer to an exporter of caviar around the early 21st century, particularly after 2006. In the late 20th century, China’s domestic caviar market was relatively small, with demand mainly met through imports from traditional caviar-producing countries like Russia and Iran. In China, caviar was viewed as a luxury, with a limited consumer base.

As global conservation efforts intensified to protect wild sturgeon populations and demand for caviar grew, China began exploring sturgeon farming. Especially in the early 21st century, China achieved important breakthroughs in sturgeon farming technology and scale, gradually building its capacity to produce high-quality caviar. Hubei Province and other areas became central to China's sturgeon farming industry, with China’s abundant water resources and favorable environment providing ideal conditions for sturgeon farming. At this point, Chinese companies began mastering techniques for breeding, farming, and producing sturgeon roe.

The year 2006 marked a major turning point, as the global sturgeon market underwent significant changes. That year, the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) implemented stricter regulations on wild sturgeon fishing and caviar trade, limiting exports from countries like Russia and Iran. This shift presented an opportunity for countries like China to enter the international market through farmed sturgeon.

In this context, China’s sturgeon farming and caviar industry rose swiftly, meeting domestic demand and entering international markets. China gradually transformed from a caviar importer to an exporter.

Today, China has conquered the once-challenging feat of taming wild sturgeon and has become the world’s largest caviar producer, accounting for over 60% of global production. Since 2010, China’s caviar exports have steadily increased, making it one of the world’s leading suppliers. Chinese caviar, with its stable supply, quality improvements, and competitive pricing, has earned a positive reputation in the international market.

Although initially Chinese caviar was considered lower in quality compared to products from traditional producers like Russia and Iran, improvements in farming techniques and processing technology have helped Chinese caviar gain international recognition. China’s caviar is now exported to multiple markets, including Europe, North America, and other Asian countries, and holds a place in the luxury food market.

With the rapid development of China’s caviar industry, China not only meets its domestic market needs but also exports large volumes internationally. Today, Chinese caviar brands like Kaluga Queen have secured prominent positions in global markets. Companies such as Hubei Tianyi Fishery have become key players in the international caviar market.

Export Scale and Current Development of Chinese Caviar

In recent years, China’s caviar export volume and global market share have grown significantly. In 2023, China exported 276 tons of caviar globally, an increase of 3% from the previous year, nearly double the 140 tons exported in 2019. Export revenue reached $82.7 million, accounting for about 40% of the global market share.

Despite facing tariff barriers from the United States, Chinese caviar remains popular in the European Union and U.S. markets. It is reported that major buyers of Chinese caviar include the U.S. and EU countries, with 60% of imported caviar in the U.S. coming from China. In 2020, approximately 84% of the EU’s imported caviar originated from China.

Zhejiang’s Quzhou region supplies one-third of the world’s caviar, accounting for 12% of global production. The production process of Quzhou caviar is highly time-sensitive; each step, from roe extraction to canning, must be completed within 15 minutes. Quzhou caviar has gained popularity in the international market and is exported to more than 20 countries, including France, Germany, Switzerland, Luxembourg, Spain, the United States, and Japan.

Sichuan is also a significant region in China’s caviar industry. Sichuan Runzhao Fishery Co., Ltd. plans to expand its sturgeon production facilities in Yaan’s Tianquan to increase production capacity and establish the largest integrated caviar production base in the country. Sichuan’s caviar production accounts for more than 12% of the global caviar market, with annual production in Yaan reaching 60 tons, ranking first in the province and second in the country. These factors have enabled China to capture a larger share of the global caviar market while maintaining competitive pricing. Additionally, China’s advancements in caviar storage and transportation technologies have enhanced its cost-effectiveness and market competitiveness. The cold chain logistics system in China, which includes cold storage, fresh food processing centers, refrigerated vehicles, and supermarket display cabinets, plays a central role in this growth. By 2023, China’s total cold storage volume had reached approximately 230 million cubic meters, and the number of refrigerated vehicles stood at 432,000.

In addition to the U.S. and the EU, Japan is also a major importer of Chinese caviar. The high quality, relatively low price, and strong cold chain logistics infrastructure have made Chinese caviar highly popular in international markets.

Among the world’s top caviar brands, Chinese companies are prominent. For instance, Kaluga Queen, produced by Hangzhou Qiandao Lake Sturgeon Technology Co., Ltd., is a globally recognized supplier of farmed caviar. The well-known Amur brand, owned by Yunnan Amur Sturgeon Group Co., Ltd., specializes in sturgeon breeding, farming, and caviar production.

Challenges Facing Chinese Caviar: “From China?”

“At first, people were surprised, questioning how caviar could come from China. They had never heard of Chinese caviar and expressed doubts about its quality and safety,” revealed Han Lei, Deputy General Manager of Kaluga Queen, in an interview with Skynews, describing the challenges facing Chinese caviar in gaining international acceptance.

China has become a significant global producer of caviar. However, in the global context, people still tend to associate caviar with traditional images of Russia and Iran. Many Chinese caviar products on the international market lack prominent Chinese branding; instead, a small “CHN” label often appears inconspicuously on the packaging, reflecting a hesitancy among some Chinese companies regarding the “Made in China” label.

History has shown similar trends. Decades ago, Japanese-made products also faced a similar struggle. Before World War II, Japanese high-end goods were barely known on the international stage, and the “Made in Japan” label was often associated with low-quality products.

Lessons from Japan’s Brand Transformation

It was under these conditions that Sony was born. The name “Sony” was chosen because it is easy to pronounce and remember in many languages, an essential feature for a company planning to sell products worldwide. Sony's founders, including Akio Morita, believed the name had an international appeal that would help the company break free from the traditional image associated with Japanese brands and integrate more seamlessly into global markets.

Akio Morita candidly stated, “We did not intend to conceal our Japanese identity; after all, the country of manufacture would still be marked on the product. However, to avoid being mistaken for inferior products, we did want to downplay the ‘Made in Japan’ label. Initially, we even printed the label in smaller font.”

Today, Japanese-made products are synonymous with quality, renowned worldwide. This transformation from insecurity to confidence offers a valuable lesson for Chinese companies as they enter global markets. As Chinese companies expand internationally, they should strive to build brand confidence, demonstrate quality, and make “Made in China” a respected label. A country’s brand image is not only a reflection of its economic strength but also of its cultural confidence.

The path of Japanese brands offers invaluable insights, but Chinese companies must forge their own way. In the case of caviar, EqualOcean suggests several strategies for Chinese companies to elevate their brand image and effectively embrace the “Made in China” label.

Focus on Quality as the Core: Chinese caviar producers should continue to refine their farming and processing technologies, from selecting sturgeon species to creating optimal breeding environments. From roe extraction to packaging, every step should meet or exceed international standards. Exploring the development of unique Chinese sturgeon varieties could create a distinct “Chinese flavor” in the caviar market.

Craft the Story of “Chinese Caviar”: Companies can integrate the historical significance of Chinese caviar with modern production techniques to build a brand image that combines traditional appeal with contemporary quality. Collecting folklore and legends about sturgeon and caviar, such as myths that sturgeon are dragon steeds and caviar is the transformation of dragon pearls, can enhance the product's mystique. Showcasing advanced sturgeon farming and caviar processing technologies can emphasize the role of science and innovation in maintaining quality.

Enhance the Brand Experience: Chinese caviar brands can organize online promotions, offline tasting events, and even develop caviar-themed tourism routes to allow international consumers to experience Chinese caviar production firsthand. For example, a “Caviar Journey” from Chengdu to Yaan could include visits to sturgeon breeding pools, processing plants, and end with a visit to scenic Emei Mountain.

Collaborate with High-End Chefs and Restaurants: Working with Michelin-starred chefs and upscale restaurants could introduce Chinese caviar to the global gourmet scene, boosting its visibility and reputation.

Prioritize Sustainable Development: Chinese caviar producers can emphasize their commitment to fish conservation and environmentally friendly farming practices, projecting a responsible corporate image. For B2B customers, creating an English-language website and social media presence detailing the company’s achievements in sustainability, such as obtaining certifications like the Marine Stewardship Council (MSC) and Aquaculture Stewardship Council (ASC), can showcase the product’s traceability and eco-friendly qualities. Regular sustainability reports can also help enhance visibility and corporate image.

From “Made in China” to “Created in China”

Observing the journey of Chinese caviar from an emerging domestic industry to a global powerhouse offers a glimpse into the hopeful trajectory of Chinese brands on the world stage. Just as China has quietly become a leader in caviar production and exports, other Chinese products and brands are steadily building strength, waiting for their moment to shine.