August 23, 2016 / 8:42 AM / 2 years ago

Fish farmer Bakkafrost: market needs 6-7 pct annual salmon output growth

** CEO Regin Jacobsen of Faroese fish farmer Bakkafrost estimates a need for 6-7 percent annual growth in global salmon supply to meet current market demand trend

** CEO predicts global supply growth of 2 percent in 2017 after a drop of approximately 4 percent in 2016

** CEO says this means market will remain strong

** CEO says it’s a challenge that the market does not get enough salmon

** CEO says global market could need close to 10 percent supply growth if geopolitical issues are resolved, such as Chinese and Russian import restrictions from Norway

** CEO also points out Norway’s exports were shut out of the U.S. salmon market from 2003 to 2012 due to trade restrictions

** CEO says new products and product development are drivers for demand growth

** CEO says if we look at spot price and forward curve there was a gap, but now there’s more common ground for the expectations in the market

** Salmon price in spot market peaked above 80 Norwegian crowns per kilo in July, but has now dropped to the mid-50s

** Fish Farmer Grieg Seafood predicted last week a 3-4 percent global supply growth in 2017 after a drop of around 6 pct in 2016 (Reporting by Ole Petter Skonnord, editing by Terje Solsvik)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below