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Last Trade - 07/05/21

Sector
Consumer Defensives
Size
Large Cap
Market Cap £3.53bn
Enterprise Value £3.80bn
Revenue £529.9m
Position in Universe 164th / 1832

Price of Norwegian farmed salmon seen falling to NOK 40-42/kilo next week

Fri 24th November, 2017 1:03pm
OSLO, Nov 24 (Reuters) - The price of Norway's farmed salmon 
is expected to drop to a range of 40-42 Norwegian crowns per 
kilo next week for deliveries in Oslo, down from a two-year low 
43-44 crowns in the current week, industry sources told Reuters 
on Friday. 
    "We have not been trading yet but we hear people in the 
market talk about 40-42 crowns per kilo. There's too much salmon 
compared to demand, it's a little bit depressing," said one 
salmon producer who declined to be named. 
    An exporter confirmed prices were dropping. 
    "I suppose prices end at 42 crowns in Oslo compared to 43 
crowns this week," the exporter said. 
    He repeated his view that prices would drop below 40 crowns 
before Christmas, which normally is a peak season for salmon. 
    "The producers have stretched maximum allowed biomass and 
they are forced to slaughter more fish. Supply is higher than 
demand and for the first time in two years customers are 
deciding the prices," the exporter added. 
    Salmon prices peaked at around 80 crowns per kilo in early 
January at a time when supply constraints supported prices, but 
have since fallen as volumes grew.  
    Norway is the world's top salmon exporter, and the share 
price of listed farming companies depends heavily on changes in 
the price of fish. 
    Average production costs for whole fish, including the cost 
of harvesting, rose by 13 percent to 34.29 crowns per kilo in 
2016, according to data from the Norwegian Directorate of 
Fisheries. 
    Leading Norwegian producers include Marine Harvest, Salmar 
 SALM.OL , Leroy Seafood, Grieg Seafood  GSFO.OL  and Norway 
Royal Salmon  NRSM.OL . 
 
 (Reporting by Ole Petter Skonnord, editing by Terje Solsvik) 
 ((olepetter.skonnord@thomsonreuters.com; 0047 23 31 65 97;)) 
 
Keywords: NORWAY SALMON/
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