Plentiful salmon and a cautious pre-Brussels Expo buying atmosphere has spot prices on Norwegian farmed salmon dropping again.

Plentiful salmon and a cautious pre-Brussels Expo buying atmosphere has spot prices on Norwegian farmed salmon dropping again.

"It's not fun at all. It is clear that there are many fish, and a rather nervous market before Brussels," a salesman with a western Norway aquaculture company told iLaks editor Aslak Berge.

"It does not sound like anyone want to sit on too much fish in Brussels week."

The Seafood Expo Global (SEG), this year held in Brussels April 21- 23, usually sees salmon prices fall back.

"Everyone should make future contracts that week, but there is little trade. Perhaps they do not have time for it. Last year prices fell NOK 4," he added.

"Right now I do not think a price of more than NOK 33 [per kilogram] to the farmer is achievable in the south. Exporters are probably afraid to buy up fish for the next week. They don't want to sit on fish, and they're not buying more than they need."

This price level means a steep decline week-on-week, from NOK 37- 38 last week.

"There are still a great deal of big fish, a higher average weight than it was last year. And the big fish is helping to drag down prices for 3- 6 kilogram [salmon]."

"Particularly in the north there are lots of big fish. It is clear that we have had good temperatures in winter, increasing growth," he adds.

Salmon prices fell throughout the week. "It started Monday and has not stopped. NOK 32 in the north and NOK 33 in the south," said another exporter.

"The market is extremely hard. They have too much fish; they just dictate us. When they have too much fish, they use the opportunity to push us. It is surely the blackest week for exporters in the past year. There have been a few drops, but this was brutal."

Another exporter said he was experiencing a hesitant market, under considerable pressure. "We have not done anything yet. Maximum NOK 34 for 3- 6kg. It looks as if the volumes remain high in a week that is usually difficult anyway. I am not an optimist."

Resource: http://www.undercurrentnews.com