AKVA group will not enter into new contracts with Russian customers

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But will respect previously entered into agreements.

On the night of March 5, two Russian tugboats “Kamyman” and “Captain Shebalkin” docked at a quay at Vadsø, Northern Norway, where salmon cages from fish farming supplier AKVA group were waiting. Less than two days later, the boats headed back to Ura Guba, northwest of Murmansk, where they will be used by their customer Russian Aquaculture.

According to the plan, the two tugboats will return from Ura Guba by the end of March. As new pre-assembled cages must be picked up, these must be part of the same supply agreement with Russian Aquaculture. However, AKVA group, which produces cages, barges and feeding systems, stated that it will not enter into new contracts with its Russian customers.

“AKVA group follows the situation in Ukraine closely from day to day. Our deliveries of technology to the food industry are not covered by current sanctions. Due to the tragic situation in Ukraine, we have nevertheless decided not to enter into new contracts with Russian customers under the prevailing circumstances. Legally binding contracts for deliveries entered into earlier, will be maintained”, says Ståle Økland, communications director in AKVA group, in a press release.

According to the AKVA group, the Russian market makes up just under five percent of the group’s activity. The investment in the Russian market began to materialize from 2012, and had a turnover of NOK 170 million (€18 million) in the first three to four years. The cages that are delivered to Russia are produced at a factory at Båsmoen, Norway.