Alaska: Salmon Prices Show Marked Seasonal Variations

Salmon prices at wholesale show marked seasonal variations for both wild and farmed fish. It’s a pattern that has been tracked for decades by Urner Barry, the nation’s oldest commodity market watcher in business since 1895. The prices tend to decline through June, July, August and September and they begin rising again from November through the following April or May.

Two things drive the well-established pattern, said market expert John Sackton who publishes Seafood.com, an Urner-Barry partner.

“There’s a growth cycle for farmed salmon when they eat more and grow faster at certain times of the year, and so the harvests, particularly those that come into the US market from Chile for example, really peak in June, July and August, which are our summer months and the winter months in Chile,” Sackton explained. “Then there is the opening of the wild salmon season each summer and all of a sudden you get a lot more diversity and availability of Alaskan salmon.”

Sackton said buyers of both wild sockeyes and farmed salmon are starting to push back a bit on high prices. That’s likely reflected in the $3.50 advances for the first reds at Copper River in mid-May, which was down 50 cents from last year’s starting price.

A big wild card for North American salmon this summer is the projected 72 million sockeye return at British Columbia’s Fraser River. Sackton said Japanese buyers, who have been somewhat priced out of the sockeye market in recent years because there has been so much demand elsewhere and a drop in the yen has made it harder for them to buy, are hoping that a big run will open up more opportunities for them. Even though they’ve been buying less, Japan is still an important part of a three legged stool.

www.thefishsite.com

Alaska: Slow Start to Alaska Salmon Season

Trollers in Southeast Alaska provide fresh king salmon nearly year round, but the runs of reds and kings to the Copper River mark the “official start” of Alaska’s salmon season.

On May 15 the fleet of more than 570 fishermen set out their nets on a beautiful day for the first 12 hour opener amidst the usual hype for the first fish.

Prices for the first fish dipped a bit – Copper River Seafoods posted advance sockeye prices at $3.50 and $6.00 for kings; that compares to $4.00 and $6.00-$7.00, respectively, for last year’s opener.

In what has become a traditional rite of spring, Alaska Airlines whisked away the first 24,000 pounds of the famous fish to Seattle where pilots traversed a red carpet to hand deliver a 48 pound king salmon to three chefs for a cook-off at Sea-Tac Airport. At least five other jets carried fresh fish from Cordova to eager buyers throughout the US, as well as to Anchorage.

Sockeyes are by far Alaska’s most valuable salmon, typically worth about two-thirds of the total statewide salmon haul. But in terms of global supply, wild sockeye are rare creatures – they account for about 5 percent of all wild and farmed production, and represent just 15 percent of the world’s wild salmon harvest.

Alaska typically accounts for 70 percent or more of global sockeye production, with nearly half of that coming from Bristol Bay. The U.S. is the single largest market, purchasing nearly 44 percent by value in 2012. Japan and the U.K. are next, followed by Canada.

Alaska’s sockeye salmon catch this year is projected at nearly 34 million fish, five million more than last year. Average statewide price last year was $1.60, an increase of 30 cents from 2012.

www.thefishsite.com

Salmon from Primorye can substitute European salmon

According to Aleksandr Vaskov, the vice president of Primorye fishery producers Association, the consumption of salmon in Primorye is less than overall catch.

“Salmon from Primorye can substitute European salmon in Central and Western Russia. The quality of Primorye salmon is no worse than Norwegian one, for example. Our salmon is environmentally safe. Moreover, the geographical location of Primorye makes it possible to export to South Korea, China and Japan”, added Alexandr Vaskov.

www.primamedia.ru

Norway chilled salmon became more expensive

$7.65 per 1 kilogram is the highest price in 10 years for this season, said the Association of produce and trade companies of fish market. In comparison with last year’s same period Norway chilled salmon price increased by 60%. Norway suppliers refer to tough weather conditions – due to them the price of transportation highly increased. As result the price to consumer grew up respectively.

The Association of fish market says that the same factor will also influence the price in future. “In other words, Norwegians will be able to sell fish at a price that does not have any market explanation. That means they can set any price”, – the Association says. Also the Association thinks that the situation worsened due to the lack of competition – now Norwegians are the only suppliers of salmon. Last year Polish companies could compete with them, but in the beginning of 2013 all big fish farming companies fell under Norway companies’ control.

According to Russian the Federal Fisheries Agency’s predictions, in 2013 the salmon market is 400,000 tons, 150,000 tons of which is Norway salmon. According to Norway Fish Committee, during period January-October 2013 the supply of fish and seafood from Norway to Russia decreased by 17.3% – till 224,700 tons. In monetary terms the import increased by 6.1% – till €630 million. Imports of Norway salmon decreased by 18.2% – till 87,000 tons while the average price of supplies increased by 37.8% – till €4.65 per kilogram. Imports of trout shrank by 14.1% – till 21,900 tons while costs increased by 37.8% – till €4.97 per kilogram.

Alexandr Savelyev, the representative of the Russian Federal Fisheries Agency, interprets the situation as an “outrage”. “In Russia the price on farmed fish is 4-6 times higher than price on wild fish. It is the only country with a situation like that”, – he says. According to the information of the Federal Fisheries Agency, prime cost of Norway salmon is 50 Rubles per kilogram, Russian salmon – 80 Rubles per kilogram.

Timur Mitulov, the head of informational fishery agency, considers the matter is not only the weather: “Russian Far East yield of salmon decreased by 12-13%, meanwhile Japan and USA demand strengthened”.

Meanwhile representatives of X5 Retail Group and “Sedmoy Kontinent” say, that during the last 3 months they haven’t noticed any price increases on the part of suppliers who sell Norway chilled salmon.

www.retailer.ru

Salmon roe prices will decrease

Vitaly Kornev, President of the Association of Fish Market Industrial and Commercial Enterprises, said that after the new year the price of salmon roe in Russia may collapse.

Now, there is enough salmon roe on the Russian market, but the demand for it is not high because of the high price (about 1050-1100 rubles per kilo) .

Kornev said that in 2013/2014 the situation may be the same as it was in 2010/2011, when before New Year 140-gram can of salmon roe was supplied to retailers for 200 rubles, and in May 2011 it was sold for 99 rubles.

Usually, the price for salmon roe are determined by the volumes of harvest in Russia, but this year the most part of fish apparently went to Alaska shores, where very high catch was recorded this year. Salmon roe from Alaska will be supplied to Russia in the end of October.

Source: www.sfera.fm

Russia has arranged salmon roe delivery from the USA

Wholesale prices for salmon roe, which had soared by 70 percent this summer due to a downfallen beginning of the salmon fishing season, have rolled back and may go down even more. A number of processors have purchased almost 1,500 tons of frozen salmon roe in the USA; the roe is offered at the Moscow wholesale market at the price of 800-900 rubles per kilo, while the average price is 1,200-1,300 rubles per kilo.

The average wholesale salmon roe price in Kamchatka by the end of September amounted to 1,500-1,700 rubles per kilo, according to Federal Fishing Agency. “The salmon roe value has almost come back, the aggregate increase has not exceeded 10 percent”, says Alexander Saveliev, spokesman of Rosrybolovstvo. As Kommersant wrote on July 22, due to a downfallen beginning of the salmon fishing season, the wholesale salmon roe prices in Kamchatka region, which provides for 40-60 percent of salmon roe production, had soared by almost 70 percent, up to 2,100-2,500 rubles per kilo. “By the middle of the fishing season the volume of salmon harvest has increased and now almost reached 400 thousand tons. The market will receive about 15-16 thousand tons of salmon roe, which is enough to satisfy the domestic demand”, says Mr. Saveliev explaining the reasons for the drop in prices. According to Mr. Saveliev, in September the market received a large volume of salmon roe, primarily from Sakhalin, where the fishing season was successful. However, in central Russia the average wholesale prices for salmon roe range from 1,200 to 1,300 rubles per kilo, which is lower than in Kamchatka. Large processors say that the prices dropped because of the increased import of roe in skeins or frozen roe from the United States.

According to the Federal Customs Service, as of August the volume of such imported roe worth more than $13 million almost reached 1,500 tons. The declared customs value of 89 percent of the salmon roe was $7-9 per kilo. “In Moscow the wholesale price for this roe is 800-900 rubles per kilo. The customs clearance price conveys the suggestion that this is either the last year’s stock since the fresh roe price at actions this year is $18-25 per kilo, or the importers have underestimated the customs value and the government has not received 170 million rubles as duties and VAT”, indignantly remarks Alexander Saveliev.

The annual output of processed packaged salmon roe in Russia is 11-13 thousand tons, which is 28.6-30 billion rubles per year (at processors’ prices including VAT).

The market participants believe that such situation results from the conflict between the processors from the central region and the Far East. Herman Zverev, head of the Fishery and Aquiculture Commission of the Russian Union of Industrialists and Entrepreneurs, told Kommersant that Kamchatka and Sakhalin producers had put into operation a large number of on-site processing plants and facilities, having considerably reduced the volume of supply of green salmon roe to the processors in the Central Federal Region (CFR). “If earlier producers had to sell at least 30-35% of green salmon roe on the price terms offered by the processors from the European part of Russia, now they can dictate terms to the processors”, remarked the expert.

This is confirmed by the statistical data: in 2010-2011 deliveries of green salmon roe to the European part of Russia amounted to about 4,000 tons per year. In 2012 this volume went down to 1,500 tons. “Processors in the Central Federal Region had nothing to do but purchase salmon roe from abroad, all the more so at a lower price. Judging by the volume of import, they have just made up for the lack of green salmon roe”, assuredly said one of the representatives of the industry.

But the conflict may have more serious consequences both for the producers and processors and the industry as a whole. The experts of the Russian Federal Research Institute of Fisheries and Oceanography (VNIIRO) said that in Alaska, as well as in Russia, the catch was low in the beginning of the salmon fishing season, but at the end the situation has improved, and as a result Alaskan fishermen managed to catch about 600 thousand tons of pink salmon alone, which will provide an average roe output of about 24 thousand tons. “Since the demand for salmon roe in the United States is scanty, significant volumes of salmon roe will be exported, including export to Russia”, believes Mikhail Glubokovsky, Director of VNIIRO. According to the expert, this means that the salmon roe price may go down even more, and therefore neither producers nor processors would be able to get a decent margin.

Source: Svetlana Mentiukova, Kommersant Newspaper

 

Alaska Seafood on the Russian market

Interview with Andrew Brown, representative of the Alaska Seafood Marketing Institute in Russia and Ukraine

Sfera Magazine

 

Years ago, Alaska was famous only for its gold mines, now this state is also known for the abundance of fish and seafood, which are exported to many countries around the world. Andrew Brown, a representative of Alaska Seafood Marketing Institute in Russia and Ukraine tells about Alaska Seafood.

 

Q.: Andrew, what is the main difference between Alaska fish and seafood and products that other countries supply?

A.: First of all, all these products are natural. Alaska fish and seafood grow in the wild. The diet of Alaska fish and seafood does not include artificial feed – that was forbidden by a state law in 1990.

In addition, the habitat of Alaska fish and seafood is thousands of kilometers from ecologically fragile areas, the Alaska water is one of the cleanest in the world.

Another advantage of Alaska seafood is high-quality catch. Alaska fishing industry meets all modern technical specifications. Fish and seafood are frozen almost immediately after the catch. Different species are caught in different seasons; and thanks to freezing, high-quality Alaska fish ans seafood are available to customers around the world all year round.

Alaska fish and seafood are famous for its unique taste, quality and color of the meat. The reason of that is their natural habitat and diet. If you are looking for a product that contains a lot of healthy omega-3 fatty acids, you should consider Alaska fish and seafood. Salmon migrates from a freshwater river to the ocean and then returns back to spawn, this trip may take thousands of kilometers. At the moment of catching the fish is very fit and contains a lot of omega-3 fatty acids.

Finally, Alaska is an ideal system of fisheries management, one of the main goals is to preserve natural resources for future generations. Harvest of fish and seafood here is strictly controlled. For example, in Alaska there is a law on anadromous fish species, according to which, any construction works near salmon streams and rivers must be pre-approved by Alaska Department of Fish and Game.

The system of fisheries in Alaska is well established and has been effectively operating for many years. Fisheries policy, regulations, and fishing quotas are determined by the State Board of Fisheries.

 

Q.: What is the volume of Alaska seafood export? Which countries are the key importers of Alaska seafood?

A.: In 2012 the total harvest in Alaska was approximately 2.5 million MT of fish and seafood. 51 % of the catch was pollock, 29% – salmon, 1% – black cod. About 40% of the catch was exported. In 2011, exports of fish and seafood from Alaska totaled 1,027,125.9 MT.

Key exports countries Asian countries: China, Japan and Korea. Also, a large amount of fish and seafood is exported to European countries.

 

A.: What are about volumes of fish and seafood that were exported from Alaska to Russia?

Q.: In 2011, Russia exported 9181 MT of fish and seafood; compared with 2010 an increase of exports was 29%. Mostly, it is Alaska pollock – 5009 MT , mainly in the form of surimi (3851 MT). Import of pollock in Russia is growing – pollock import increased by 172% in 2011 compared to 2010.

Also, green roe from Alaska is exported to Russia (2,026 MT in 2011).

Over the past few years, the consumption of black cod, a very rare fish in the premium segment, has increased. Black cod is primarily sold in HRI sector. From 2010 to 2011, exports of black cod from Alaska grew by 297% (311 MT).

 

Q.: What products are you actively developing in Russia now?

A.: In Russia, the Alaska Seafood Marketing Institute is mainly engaged in the development and promotion of premium fish segment, such as black cod and wild Alaskan salmon. Also, we promote salmon roe made from Alaska raw materials.

 

Q.: You have mentioned black cod. Tell us about that fish.

A.: Black cod live only in one region of the ocean, in addition, it has a distinctive rich flavor.

 

A.: What are the channels of the work in Russia?

Q.: Alaska fish is presented in each segment of the Russian fish market: pollock, sold in usual supermarkets, is a fish for a simple family dinner. In many supermarkets you can buy salmon roe, raw materials for which are imported from Alaska. In premium segment supermarkets such as “Azbuka  Vkusa”, ” Globus Gourmet “, ” Gastronom № 1″ in GUM you can buy black cod from Alaska. Also, black cod is on the menu of many restaurants.

 

Q.: What are the prospects of working with Russia?

A.: Now in Russia we can see a very strong trend for a healthy lifestyle and diet, especially it is seen in big cities. Due to the fact that Alaska fish and seafood grow in the wild in ecologically pure environment and have a lot of healthy benefits, they fit perfectly into the concept of healthy nutrition.

More and more people begin to appreciate wild fish compared to farmed fish, in particular, this concerns salmon. More restaurants introduce black cod in their menu.  And red caviar is also a popular product on the Russian market.

So the prospects for Alaska seafood in the Russian market are quite positive.

Source: www.sfera.fm

Russia’s Salmon Aquaculture Sector is Growing Rapidly

The outlook is good for Russian salmon production as, since the start of 2013, the country has experienced a rise in both its wild salmon and aquaculture sectors.

At the beginning of July 2013, the catch of Pacific salmon in the Far East fishery basin had reached 11,000 tonnes, 2,000 tonnes more than in the year 2011. Around 10,400 tonnes was registered in Kamchatsky Krai, the main fishing area, according to the Globefish Highlights Quarterly Update, written by Audun Lem, Paola Sabatini and Karine Boisset.

The Asian market is the main destination for exports of wild salmon species from Russia. Between January and April, exports of frozen Pacific salmon to China amounted to over 17,000 tonnes (104 per cent increase compared with January-April 2012). The average export price went down by 16 per cent to $1.9 per kg.

Growth in the Aquaculture Sector

Production of farmed Atlantic salmon from the national aquaculture sector in the Murmansk region is increasing. The major players in this sector are Russian Salmon and the Russian Sea Group. Created in 2005, Russian Salmon was the first company in Russia to engage in industrial farming of Atlantic salmon in the Bays of Pechenga and Ambarnaya in the Barents Sea. In 2011, the company’s production of farmed salmon was 8,500 tonnes and by the end of this year, this figure is expected to increase to 21,000 tonnes.

The Russian Sea Group is ready to launch its second salmon farm in June 2013 on Shalim site in Ura Bay, Barents Sea, where around 1.6 million of smolts of Atlantic salmon are expected to be put into the water. The first salmon harvest is planned for 2014 and sales are expected of more than 3,000 tonnes. In addition, two more new sites will follow in 2014.

The national production of farmed Atlantic salmon is entirely targeted at the domestic market for partial substitution of imported Atlantic salmon.

Norwegian Salmon Imports Declining

Historically, Norway has been the largest supplier of Atlantic salmon to the Russian market. In the first five months of 2013, Norway exported 42,179 tonnes of Atlantic salmon to Russia. This is 19 per cent less in terms of volume compared with the same period in the past year, while the export value increased by 11 per cent.

About 95 per cent of the volume is made up of fresh and chilled salmon. The average export price of Norwegian salmon to Russia went up by 37 per cent reaching €4.8 (NOK 37.32) per kg compared with €3.5 (NOK 27.25) per kg in the previous year.

In May 2013, Norwegian exports of salmon to the Russian market went down by 12 per cent reaching 7,833 tonnes compared with the same period last year. At the same time, the value of the exports grew by 24 per cent as a result of the increased export price per kg by 41 per cent.

On the domestic market in Moscow in mid-July, the price of Atlantic salmon from Norway is still high
as a result of a shortage of supply from Norway while demand from Russia has increased. The main
reasons for the lack of deliveries of salmon are the closure of several plants for technical reasons and also because of fish diseases.

On the wholesale market in Moscow the prices for Atlantic salmon 4-5, 5-6 of Norwegian origin range from RUB 330 (€7.67) to RUB 340 (€7.9) per kg, while the prices for Atlantic salmon 6-7 are in the range of RUB 340 (€7.9) to RUB 345 (€8) per kg. Prices are likely to increase for all sizes.

Source: www.thefishsite.com

Narody Severa and Bolsheretsk salmon fishery begins MSC assessment process

The Narody Severa and Bolsheretsk pink, chum, sockeye, and coho salmon fishery operating in the Sea of Okhotsk and Western Kamchatka, Russia has entered into full assessment in the Marine Stewardship Council’s (MSC) certification programme.

The assessment will evaluate the fishery against the MSC principles and criteria for sustainable fishing and, if successful, salmon from the fishery will be eligible to bear the MSC ecolabel.

The target species for this fishery assessment are sockeye, chum, pink, and coho salmon in the Opala and Kihchik Rivers, and pink salmon on the Bolshaya River. The method of catch in the sea is set nets and beach seines are used in rivers. The fishery operates during the return of the salmon stocks to natal rivers, and occurs annually from July to September.

The clients for this assessment are Narody Severa, Ltd. and Bolsheretsk, Ltd. In 2012, catch volumes for all four species were 18,826 tons for Boslheretsk, Ltd. and 11,560 tons for Narody Severa, Ltd. Currently, nearly all of the fish is sold in the domestic Russian market and processed into various products.

Source: www.thefishsite.com

Russia halted norwegian salmon imports again

The Russian Veterinary service, Rosselkhoznadzor, has detected harmful microorganisms in salmon and trout imported from Norway and on Friday, May 3, it banned supplies from a Norwegian fish factory – Tobo Fisk AS.

Rosselhoznadzor stated that fish supplies from Norway would be prohibited until the Norweigian Food Safety Authority does not provide a guarantee of the safety of products or a specific plan to improve security within a few weeks.

Source: www.vmdaily.ruwww.thefishsite.com