Norwegian salmon price seen recovering from 9-month low next week (updated)

Austevoll Seafood ASA

24/08/2018 13:34

(Adds quotes, background)
    OSLO, Aug 24 (Reuters) - The price of Norwegian farmed
salmon is expected to rise from a nine-month low next week to
about 51-52 Norwegian crowns per kilo, an increase of 3-4
crowns, as buyers take advantage of low prices to build up
stocks, industry sources said on Friday.
    "Our customers are freezing a lot of fish, it seems
reasonable as we expect higher prices later in the year," said
one exporter who declined to be named.
    "We expect prices to rise by 3-4 crowns to about 51-52
crowns next week," he added.
    This week prices were at about 48 crowns per kilo, the
lowest since November of last year.
    A salmon producer confirmed prices were up 3-4 crowns on
average for delivery next week. The per-kilo increase was
biggest for the large fish sizes, while prices for smaller fish
remain under pressure amid ample supply, the producer added.
    In the second quarter, the price of salmon peaked at about
80 crowns per kilo before declining.
    Average production costs for whole fish, including the cost
of harvesting, stood at 34.36 crowns per kilo in 2017, or 0.12
crowns lower than in 2016, according to data from the Norwegian
Directorate of Fisheries.
    Norway is the world's top salmon producer, with fish farming
the country's second-largest export industry after oil and gas.
The share price of listed farming companies depends heavily on
changes in the price of fish.
    Leading Norwegian producers include Marine Harvest  MHG.OL ,
Salmar  SALM.OL , Leroy Seafood  LSG.OL , Grieg Seafood
 GSFO.OL  and Norway Royal Salmon  NRSM.OL .

 (Reporting by Ole Petter Skonnord, editing by Terje Solsvik)
 ((camilla.knudsen@thomsonreuters.com; +47 2331 6595; Reuters
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