Market turmoil hits Norwegian salmon, as spot prices make biggest fall in decade
Norwegian salmon exporters got slammed this week, with the largest price drop in a decade. According to iLaks, a Norwegian salmon web site, exporters were looking at prices of 40 NOK per kg (US$5.45 per kg) or less for 3-6 kg fish, a drop of 8 to 9 NOK ( about US$1.16) in one week. The reason for the collapse, at a time when fresh shipments to Europe are huge due to the holiday demand, is the collapse of the Russian ruble due to rapidly falling oil prices. Although Russia no longer buys from Norway directly, they are still big consumers of salmon from the Faroe Islands and elsewhere, and apparently this demand has dried up as the currency shift has made salmon too expensive.
We are sad to report on the passing of Jim Talbot a legend in the US seafood industry, he was 87. Talbot was president of Bellingham Cold Storage, which was started by his father, and a business he helped expand for 40 years. Talbot is also known for his work on an agreement for a joint seafood venture with the Soviet Union in the middle of the Cold War. The venture became known as the U.S.-USSR Marine Resources Company. “I think Jim helped us realize that we are part of a global economy,” said Tim Douglas, a former mayor of Bellingham.
In other news Gloucester's Cape Ann Seafood Exchange (CASE) took another step in trying to boost Acadian redfish consumption in the US, this time serving as the client sponsoring the fishery's assessment against the Marine Stewardship Council's standard for responsible fisheries. Prior to the MSC announcement, CASE and its parent company Zeus Packing were the sole recipients of an SK grant to work on increasing the market viability of redfish. The Exchange said the MSC certification will help further market interest in redfish among buyers and sellers. This marks the first groundfish fishery in New England to seek MSC approval.
Finally, live lobster prices are up 25% in the past ten days, a jump of $1.75 in the wholesale price of chix 1 1/8 lbs lobsters, to $6.75. Meanwhile the boat run price in Nova Scotia is well over $6.00. Poor weather has hampered fishing efforts in LFAs 33 and 34 since late November. Now processors are scrambling for products to build inventory for live sales for current deals and for holiday orders in the coming weeks.
Have a good weekend.
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