OSLO Dec 2 The average price of Norwegian
farmed salmon is expected to rise by around 2 crowns per kilo
to 67 crowns next week, industry sources told Reuters on Friday.
"Prices are up slightly, especially for the big fish.
Available volumes are somewhat lower and we are also heading
towards Christmas. On average we expect 67 crowns for deliveries
in Oslo," said a salmon producer who declined to be named.
Similarly, an exporter also said he expected prices of 67
crowns per kilo next week compared to 64-65 crowns in the
Prices had initially been expected to rise by two crowns to
65-66 crowns in the current week, but in the end the increase
was somewhat smaller.
"Expectations ahead of the Christmas season are lifting
prices but its very difficult to sell the fish at these levels.
We fear this will lead to an abrupt decline in prices," the
Prices have been volatile so far in 2016 and hit a record in
July above 80 crowns per kilo as supply fell while demand rose.
Prices then proceeded to fall to a level just above 50 crowns
before rising again.
Starting in early December, prices normally show a seasonal
upturn on strong demand ahead of the Christmas holiday season.
Production costs in Norway have risen sharply in recent
years to around 30-31 crowns per kilo on average.
Norway is the world's top salmon exporter, with leading
producers including Marine Harvest, Salmar, Leroy
Seafood, Grieg Seafood and Norway
Companies and analysts have predicted that the global supply
of salmon will fall by 6-7 percent in 2016 due to declining
production in Norway as well as in Chile, the world's second
(Reporting by Ole Petter Skonnord, editing by Terje Solsvik)