The Future of Fish, and Food
Partnering with Shinkei
Partnering with Shinkei Systems
Fishy Business
Over 3 billion people in the world rely on fish as their primary source of protein. Astonishingly though, as little as 1/3 of fish make it to a plate.
Fisheries are in crisis, requiring twice the effort of the 1950s to catch the same quantity of fish, leading to a vicious cycle of overfishing and ecological degradation. Not to mention that over 75% of the ocean’s plastic pollution comes from fishing.
One of the reasons overfishing is rampant across the world is because of waste. Most of this spoilage happens because of how fish are killed and processed.
When fish are pulled out of water they begin to suffocate, and don’t die until 45+ minutes after being caught. This slow and painful death is not only inhumane, but it also dramatically impacts the quality of the fish. They burn away calories and release cortisol, for instance. Fish smell fishy because their flesh is rotting.
And this antiquity doesn’t stop at processing.
The fishing industry hasn’t really changed much since the invention of the fishing rod, the net, and the motor engine. In fact, the introduction of the motor engine in the 1890s was the last major hardware improvement to the “fishing stack”.
Even more, the U.S. does not have enough infrastructure to process the seafood we catch. Almost half of our fish is shipped across the Pacific and back for processing. Up to 80% of the fish we consume are imported, even though 50%+ come from the U.S.
The result is a litany of serious issues plaguing one of the largest agriculture sectors in the world: overfishing, pollution, bycatch, spoilage, and even slavery comprise a few of the most rampant problems here.
These are massive issues, which is why we at Cantos are excited to partner with Shinkei Systems. Shinkei is rectifying problems plaguing the fishing industry, and doing so with an exciting blend of hardware and software.
Solving Spoilage
Shinkei is a vertically-integrated robotic fish processing company. They’re using robots to process fish more efficiently and humanely, which makes the fish taste better and last up to 3x as long.
Shinkei achieves this using robotics and AI to scale the artisanal craft of ike-jime.
Under the surface, there are many components of this business we love.
They’re using technology to do something that was previously impossible. Shinkei’s robots process fish much faster and more accurately than humans. The improved quality means fishermen make more money, and the fish have a 50%+ longer shelf life, which is better for grocers and consumers.
But Shinkei doesn’t just stop at building fish processing robots; they’re a full stack deep tech startup — which means they are solving all the hardest problems themselves in order to move faster and capture more value. By vertically integrating a fragmented value chain, they’re able to accordion costs: they recapture margins that intermediaries would take and they also use software to introduce further efficiencies.
In aggregate, the vertical integration and business model change the core unit economics of fish processing, while also addressing the aforementioned issues. Shinkei is swimming towards a reimagined food supply chain that eliminates waste, reduces overfishing, and alleviates geopolitical concerns.
We’re very excited about Shinkei’s future, in large part because of the person at the helm.
Saif
Saif Khawaja, Shinkei’s founder, is a third-generation hobbyist fisherman who grew up in the UAE before coming to the U.S. for college.
Saif is without question, a quintessential example of a Cantos founder. Saif is utterly obsessed — this is his life’s work. He lives and breathes an industry that touches most of our lives, yet we rarely think about. This passion has helped him become an industry expert in record time. After mapping out the entire value chain, he set out to transform the fishing industry by using robotics and AI to scale artisanal methods to produce healthier and more sustainable food.
As importantly, he’s what we like to call a “Kool-Aid Man”. If you put a wall in front of him, there will be a Saif-shaped hole in it. It doesn’t matter if he needs to get his sledgehammer on, he will always find a way forward.
At Cantos we yearn for energetic learning machines: people that are constantly bolstering their toolkit while also delivering results. They’re brilliant like Gates & Zuck, and rapidly ship like Elon. To that end, Saif is always evolving. He is a high-slope founder that embodies founder-market fit. He’s insanely ambitious, highly mature for his age, and has been ruthlessly capital efficient since starting the business.
I say all this confidently because I’ve personally known Saif for over 2 years now. As we’ve grown closer it became evident that he consistently delivered on whatever he spoke to. When he ultimately started fundraising, I went out of my way to make sure he spent time with one investor in particular: Ian Rountree, founding GP of Cantos.
Ian’s first conversation with Saif happened while he was on a business trip in Bangkok; Saif took the call at 2 am local time after a full day of sales meetings. The full team eventually met Saif, and Cantos ultimately led Shinkei’s seed round.
One of the many reasons I was so excited about joining Cantos is that I get to formally partner with founders like Saif.
These are the people working to make their own dent in the universe, and Saif is already doing that. The best part is he and the team are just getting started.
A Star-Studded Crew
Shinkei has a world-class team of mechanical, perception, and software engineers from heralded companies like SpaceX, Anduril, and Relativity, and has paired them with fishing industry insiders that come from Michelin Star restaurants and seafood distribution titans. Together, the team has executed at a rapid clip, far outpacing the standard industry timelines.
We’ve been fortunate to help play a small role in assembling the team. I introduced Reed Ginsberg (CTO) and Jen Isaza (Software Lead) to Saif in early 2023. We’re also huge fans of Waiman Meinhold, Shinkei’s Mechanical Lead, who boasts a robotics PhD and is a former commercial fisherman.
There are many other stars Saif has assembled, and together they all are meaningfully contributing to the future of the company. We continually remark that A players hire A players, and refer to “gravity wells” for talent — if you keep an insanely high bar, talent will snowball. We are watching that in real time at Shinkei. As a result, Shinkei moves insanely fast. They successfully finalized their Poseidon robot and launched their brand Seremoni after only raising a seed round 9 months ago.
Seremoni
Seremoni represents the next act of the long vision that Saif originally shared when I first met him… much of which he has yet to reveal.
Shinkei is creating a new standard of quality for the entire fishing industry, the same way Michelin made their mark on restaurants or Angus and Wagyu did for beef.
Seremoni is a new philosophy and standard for the very best fish, and the goal is to deliver a level of certification and trust to consumers so they know they’re getting the absolute best quality nutrition possible.
Restaurants and distributors in New York, Chicago, San Francisco and Los Angeles are already serving fish from Seremoni, and that’s only after a few weeks after launch. You can read more on Seremoni’s launch from Andrew Watman’s recent Forbes piece.
Seremoni’s impact is multidimensional. The last century was focused on maximizing the production of calories, this century will be rooted in maximizing nutrition, and doing so in a more efficient, humane, and sustainable way. As Saif explains:
“This is American fish caught by American fishermen, handled by American suppliers, sold to American consumers to feed Americans.”
The Next Canto
A few weeks ago Saif and I grabbed dinner, and he said we had to order fish in honor of Seremoni’s upcoming official launch.
We got the black cod. I took my first bite and I kid you not I had a Ratatouille moment. I audibly exclaimed, “Wow, this is the best fish I think I’ve ever had.” Saif simply laughed and we kept eating.
At the end of dinner, I once again remarked at how good it was.
Then Saif dropped the news:
“This is Seremoni Black Cod. This is our fish.”
In less than 2.5 years Saif went from an idea in his dorm room to robots fully deployed on boats, processing fish that are now served at Michelin Star restaurants. That’s the speed the Shinkei team operates at. The upside isn’t just better fish, it’s a fundamentally different food supply chain that’s far more efficient, humane, and affordable. Shinkei’s goal is to make us all healthier and happier, and that starts with fish.
We’re thrilled to be partnering with the full Shinkei team as they work to deliver their vision to the entire world. We’re excited for what this next canto unlocks.
We can’t wait for you to try Seremoni.
