Salmon prices drop ahead of Chinese New Year celebrations

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Softer Asian demand is being felt in the market.

“The market pays 5.50-5.70 euros. We hope it will not be as low next week, but the Chinese New Year celebrations next weekend make a full stop in Asia from Wednesday. This applies not only to China, but to Korea, Taiwan and so on,” says a purchaser, and hurries to add: “And then the Faroe Islands have a lot of big fish for the time being.”

“It is lower price of 6+ [kilograms] than 3-6,” he says about the price in different weight classes. “The industry has poorer yield on 6+. They don’t want it.”

Facts

Every Friday after lunch, SalmonBusiness reports up spot prices for salmon. These are fish to be delivered the following week. Here we contact several links in the value chain, including farmers, exporters and importers. We always have at least five independent sources, although not all sources necessarily appear on print. We vary the sources we use and do not use the same sources each time.

Large sized salmon are usually most in demand in the so-called airfreight market, overseas markets like the US and the Far East.

Seasonally
Salmon prices normally fall seasonally towards the end of January.

“There should be no unknown phenomenon that the market is getting quieter and quieter. Week 3 and 4 are known to be falling weeks, so it shouldn’t be a surprise. It is quiet. There are some fish unsold, and it will push the price down next week,” he adds.

SalmonBusiness’ six industrial sources refer to the following price rentals (for farmers) for salmon to be delivered next week.

  • 3-4 kilograms NOK 51-52 (€5.1-5.2)
  • 4-5 kilograms NOK 52-54 (€5.2-5.4)
  • 5-6 kilograms NOK 52-56 (€5.2-5.6)
  • 6+ kilograms NOK 51-52 kroner (€5.1-5.2)

“The market is in the lowest area there. And then they [fish farmers] try to get better prices than that, but it is difficult at the moment,” says an exporter.

Long afternoon
“It seems a little soft. And then you have Chinese New Year starting next weekend,” another points out.

“That’s what we get indicated, but are not manifested in purchase orders,” says a third exporter. “We see the same 4+ prices. It is quite a thin market for large fish for the time being. So it will be a long afternoon, I’m afraid. There are some unsold fish in Oslo.”