Entrepreneur Creates Revolutionary Robot for Fish Processing, Winning Chefs’ Praise
During a recent event hosted by TechCrunch in Los Angeles, Saif Khawaja, the founder of Shinkei Systems, engaged in a thought-provoking discussion with Delian Asparouhov from Founders Fund. Central to their dialogue was an unconventional topic for a venture event: the indicators of fish stress.
This inquiry is particularly relevant to Khawaja, whose company, Shinkei, focuses on this very issue. Shinkei has developed a robot named Poseidon, about the size of a refrigerator, designed for fishing vessels. The robot employs computer vision technology to assess each fish, identify its species, and target its brain. It then humanely dispatches the fish by severing the gills and striking the brain, preventing any struggle or suffocation.
While the method may appear harsh, it is significantly more humane compared to the traditional alternatives, which often result in prolonged suffering and increased stress hormones in the fish, subsequently affecting the flavor and freshness. Shinkei’s approach mirrors ike jime, a traditional Japanese technique performed by skilled fishermen immediately after the catch, which helps delay spoilage and enhances flavor through proper aging techniques.
Khawaja’s journey to founding Shinkei is intriguing. His childhood fishing trips in the Middle East inspired him, but it wasn’t until college that the idea took shape after he read an essay titled “If Fish Could Scream,” highlighted the invisible suffering of fish.
However, Shinkei’s mission has evolved beyond merely a mechanical method of killing fish. The company now positions itself as a complete fish harvesting and processing entity, utilizing robotics and artificial intelligence from the point of catch to consumption. They provide Poseidon robots to fishermen at no charge, compensating them a premium for the fish processed by these machines. In return, Shinkei acquires full ownership of the catch, which is then transported to their processing facility in Tacoma, Washington, where it is marketed under the brand Seremoni, portraying it as “ceremony grade” seafood.
Currently, Shinkei has made its mark in high-end grocery stores like Erewhon in Los Angeles, where their fish is marketed as Seremoni Grade Miso Black Cod, emphasizing its humane harvesting and sustainability. This initiative is still in the pilot stage, and its success at Erewhon could pave the way for broader distribution. Notably, Shinkei claims to supply fish to restaurants that collectively hold 50 Michelin stars, marking a significant achievement in attracting interest from Japan for American-caught seafood.
As the demand for “humanely killed” seafood grows, it remains uncertain if consumers will be willing to pay a premium for it. Khawaja stressed that the emphasis should be on the enhanced quality of the fish, which can last significantly longer than traditionally caught fish. Their latest innovation includes a sensor system that assesses individual fish, predicting shelf life, which is critical considering the high spoilage rates in the seafood supply chain.
The issue of spoilage is compounded by an often-overlooked aspect of the American seafood market: a large portion of fish caught domestically is frozen and sent overseas for processing before returning to the U.S. The seafood industry grapples with the fact that as much as 90% of seafood consumed in the U.S. is imported, with many products initially sourced from domestic waters. This supply chain has recently faced scrutiny due to labor issues in foreign processing plants.
Amid growing interest in reshoring processing operations, Shinkei aims to centralize the entire process—from catch to sale—within their Tacoma facility, taking on the challenge of integrating old and modern techniques effectively in a competitive market.
For Founders Fund, backing Shinkei aligns with their strategy of investing in unconventional ideas. Asparouhov candidly noted that there are not many people willing to venture into fish processing robotics, which highlights the unique position of Shinkei. While there are other players in the market, Shinkei uniquely executes a fully automated version of humane fish processing on U.S. boats.
Furthermore, Asparouhov emphasized that Founders Fund intentionally diversifies its investments away from saturated markets like AI, focusing instead on innovative projects in agriculture and food management. Shinkei joins other groundbreaking initiatives within the fund, showcasing their broader commitment to transforming traditional methods in various industries.
The future of Shinkei remains to be seen as it navigates the complexities of being a robotics manufacturer, seafood processor, and consumer brand simultaneously. Each aspect carries its own set of challenges, from changing fishermen’s practices to ensuring the product’s quality meets modern standards. The potential for failure is ever-present, yet the founders are optimistic that their unique position in the market could establish a new standard in the seafood industry.
Ultimately, the discussion highlighted not just the innovative technology behind Shinkei, but also the firm’s vision for transforming a historically inefficient industry that many have overlooked.
