Circular Blue Biotech: The 100% Shrimp Initiative Transforming Marine Byproducts into Bioinnovation in the Nordic Economy
How Iceland & Greenland are driving a transformation in the seafood industry through chitosan

Iceland has emerged as a global leader in redefining how marine resources can be sustainably and efficiently utilized. A central catalyst for this transformation is the 100% Fish model pioneered by the Iceland Ocean Cluster, which illustrates that nearly every component of a harvested fish can be converted into high-value inputs for a range of growth industries. The framework has become influential across the Nordic region, providing a blueprint for maximizing resource efficiency while supporting broader economic diversification.
Building upon the success of this model, Nordic stakeholders have extended the comprehensive-utilization philosophy to shrimp processing. This progression has led to the development of the 100% Shrimp initiative, a cross-border collaboration supported by Nordic Innovation. The initiative aims to convert shrimp byproducts, particularly shells and heads that were historically discarded, into biomaterials within a circular economy framework. Its objectives include reducing waste, strengthening supply chain resilience, and generating new revenue streams without increasing fishing pressure on marine ecosystems.
A key contributor to this effort is Primex Iceland, located on the country’s northern coast, where it processes shells from Pandalus borealis, the North Atlantic cold-water shrimp. This region benefits from distinctive oceanographic conditions: warm waters carried northward by the Gulf Stream meet cold, nutrient-rich Arctic currents, creating an exceptionally productive marine environment. Seasonal dynamics, such as winter-driven mixing that retains phytoplankton within the photic zone and spring bloom phenomena that coincide with shrimp larval development, further support the stability and productivity of regional shrimp populations.
A major industry partner is Royal Greenland, the world’s largest producer of cold-water shrimp. Historically, up to approximately two-thirds of shrimp biomass was discarded during processing. Through the 100% Shrimp initiative, these byproducts are now redirected into productive use. Under a formalized partnership, Royal Greenland delivers discarded shrimp shells to Primex Iceland, enabling their conversion into chitin and subsequently chitosan. This reallocation of materials enhances value creation while avoiding an expansion of harvesting effort, thereby advancing both ecological and economic goals.
Upon receipt of raw shell material, Primex Iceland employs a structured, multi-stage production process involving cleaning, drying, milling, demineralization, chitin extraction, and controlled deacetylation to produce chitosan. Owing to its naturally occurring cationic properties, chitosan exhibits antimicrobial activity, film-forming capacity, biodegradability, and compatibility with biological tissues- characteristics that make it especially attractive in biomedical, cosmetic, nutraceutical, food, and agriculture applications. Primex Iceland’s products thus demonstrate how shrimp byproducts can serve as foundational inputs for industries far removed from their marine origin.
The success of this model is reinforced by Iceland’s fishery management practices. Marine harvests are regulated under a scientifically informed quota system overseen by national research authorities, ensuring responsible stewardship of fish and shellfish stocks. Complementary regulations governing catch volumes, fishing gear, and spatial protections further support long-term ecosystem stability. This governance structure ensures that the raw materials used in chitosan production originate from sustainably managed fisheries.
Ultimately, the 100% Shrimp initiative demonstrates the environmental and economic potential of comprehensive byproduct utilization. By supporting a transnational supply chain and global markets, it exemplifies how marine industries can transition toward circular economy models while upholding rigorous sustainability standards.
