OSLO: IT is a good time to be a Norwegian fish farmer as the country’s latest seafood export figures out today show. Salmon exports last month totalled NOK 5.3 billion, an increase of 42 per cent or NOK 1.6 billion compared with August last year. So far this year, salmon exports have totalled NOK 37.8 billion, an increase of 29 per cent or NOK 8.5 billion. But, according to analysts, there are signs that consumer buying habits are starting to change. The Norwegian Seafood Council said the price of salmon remains high despite a slight dip last month, averaging NOK 58 per kg. Norwegian trout prices have doubled.
Geir Håvard Hanssen, communications director with the Norwegian Seafood Council, said: ‘In August, export prices fell by around NOK 8. According to Seafood Council analyst Paul Aandahl, the inflation in salmon prices has not yet fully impacted consumers.
‘Despite the high export price, consumers in Europe are continuing to buy Norwegian salmon. However, we are seeing a change in the consumption pattern of consumers, who are now buying salmon more often, but in smaller quantities,’ Aandahl added. The fastest price rises are for fresh ‘low process’ premium salmon products. While the wholesale market is experiencing inflation, consumer prices are only rising slowly.
This is mainly due to the widespread use of forward contracts, especially in processed products. Over the longer term these wholesale price increases will start to be transferred to consumers. Then the market will show how far consumers are willing to stretch to keep salmon on their dinner plates, says Aandahl.
Russia has for a long period been the most important market for Norwegian trout. The Norwegian seafood industry therefore faced significant challenges when this market was closed as a result of a complete import stop in 2014. Since the market closure, exporters have made considerable efforts to find new trout markets. Geir Hanssen said: ‘Norwegian trout fell in price with the closure of the Russian market, which meant that exporters had to go through a demanding turnaround.
‘Today we see that Norwegian trout exporters have successfully entered new markets in Europe, USA and Asia. ‘Furthermore, we can also see that prices have risen. Now Norwegian trout exporters are reaping the rewards for the effective marketing investments they have made in these new markets in recent years.’
