Price of Norwegian salmon set to fall next week

Austevoll Seafood ASA

10/08/2018 13:35

OSLO, Aug 10 (Reuters) - The price of farmed Norwegian
salmon is expected to drop to around 50 Norwegian crowns ($6.01)
or less per kilo next week from this week's 52-53 Norwegian
crowns as supply increases, industry sources said on Friday.
    "We may end at around 50 crowns per kilo, give or take, for
delivery in Oslo," said a salmon producer who declined to be
named, while adding that the heat in Europe has curbed demand.
    A fish exporter said he expected prices below 50 crowns per
kilo.
    "Prices are yet not fixed but there is a big price drop. In
Northern Norway there are bids for 45-46-47 crowns for 3-6 kilo
salmon. We expect prices to end somewhat higher but volumes are
sharply increasing at a time when customers in Europe are going
on holiday," he added.
    The price for larger fish, at six kilos or more, could end
in the mid 50s.
    For delivery in Oslo, transportation typically adds 1-2
crowns per kilo compared to the price at fish farms.
    For this week the price outlook started at 55 crowns last
Friday for Oslo delivery, but has dropped during the week to
around 52-53 crowns per kilo on average. 
    Final prices for this week will be settled on the Nasdaq
Salmon bourse on Tuesday next week.
    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 .

($1 = 8.3251 Norwegian crowns)

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