Salmon prices jump two euros in two weeks

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Supply squeeze gives the highest spot prices by the start of March since the mid 1980s.

“Nova Sea and Nordlaks have closed down [their processing plants]. Salaks will shut down. There is hardly any fish available in Northern Norway,” says a North Norwegian fish farmer who points to prices of NOK 71, 72 and 73 at the most traded sizes.

“What I hear is just over eight euros delivered Europe. This corresponds to NOK 72-73 to farmer,” says an Eastern European purchaser to SalmonBusiness.

Facts

Every Friday after lunch, iLaks reports 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.

The movements are great this trading day.

“One such a Friday, this changes from hour to hour,” says a sales manager at a major fish farming company. “The last thing I have heard for Wednesday delivery is NOK 74, 76 and 77.50 for 3-4, 4-5 and 5-6 [kilograms]. Had you asked three hours ago, there would have been more 72-73 kroner.

“It is surprising that it turns so much so abruptly, but it is nice,” he adds.

There is no doubt that there is talk of a sharp rise in prices. The question is just how high it goes.

“We take it very easy. We hear 70-71 kroner at 3-4 kilograms, 71-72 kroner at 4-5 kilograms and 72-74 kroner at 5+ kilograms in the south [of Norway]. That’s where it’s being traded,” says one exporter.

He is aware of the cause of the recovery.

“There are many processing plants that are closed in the north [of Norway]. Therefore, the offer is stifled.”

With this, the salmon price has risen to approximately two euros in just two weeks.