It was the best August in the history of Norwegian seafood exports. Norway exported seafood worth NOK 14.6 billion in August. This is an increase of NOK 724 million or 5% compared to the same month last year. Poland was the largest market for Norwegian seafood, including salmon, in August.
August 2024 was a record year for Norwegian fish producers in terms of export value. However, it should be noted that this effect was achieved thanks to the favorable exchange rates of the Norwegian krone for exporters. It is estimated that half of the total increase in revenues from fish exports, including to Poland, Norwegians achieved from favorable currency relations.
– Compared to last year, higher salmon volumes and a weaker Norwegian krone boosted Norwegian seafood exports in August. We also see higher trout and mackerel volumes contributing positively [do wyniku finansowego – MG]with the exception of the increase in shrimp exports, says Christian Chramer, CEO of the Norwegian Seafood Council.
Unfortunately, at the same time, the price of salmon measured in foreign currency fell, while we had lower volumes of both saithe and cod, explains Chramer, the sources of record revenues for the Norwegian fishing industry.
There are shadows of the weakening Norwegian krone, however. Business costs are rising, and many seafood companies “have to cope with overall cost increases. Expenses don’t necessarily match revenues,” Chramer notes.
Record August 2024
In August, Norwegians exported seafood to a total of 109 countries. This was 5 countries less than in August last year. The largest recipients of Norwegian fish in August were Poland, Denmark and the USA. On the other hand, Great Britain recorded the largest increase in the value of import of fish from Norwegian farms. The increase in the value of export to Great Britain reached NOK 161 million, or 24% compared to August last year. Over 13 thousand tons of fish “sailed” to the Islands, 9% more than in the same month last year.
In total, Norway exported over 125.5 thousand tons of salmon in August, worth NOK 10.8 billion. Thanks to the weak krona, the value of deliveries to foreign markets increased by NOK 374 million, which is 4% more than in the same month last year. Demand for salmon was generated by Poland, the USA and Denmark.
Germany stood out with its import dynamics of 37%, which resulted in an increase in export value of NOK 133 million for Norway. 5,556 tons of fish were delivered to Germany, which meant 26% more than in the same month last year – the Norwegian Seafood Council meticulously calculates.
— Although this is a record month for Norwegian salmon exports, both in price and volume, the market trend is uncertain, warns seafood analyst Paul Aandahl of the Norwegian Seafood Council, noting: “On the global market, we see that the value of imports in local currency is weakening in several countries. The lower import price in 2024 has not been compensated by a corresponding increase in volume. This is the case in the US, China and Thailand, for example,” Aandahl lists.
Weak currency, record 2023
Norwegian fish producers achieved good results in 2024 after the best year ever in 2023. The export value of Norwegian seafood reached a record level of NOK 172 billion in 2023. Compared to 2022, the export value increased by NOK 20.7 billion, or 14%.
Norwegian fish exports in 2023 are the equivalent of 39 million meals served every day throughout the year – experts from the Norwegian Seafood Council have calculated graphically.
— 2023 was the best year for Norwegian seafood exports. Seafood remains one of Norway’s most sought-after global trade goods and has established itself as the country’s second largest export after oil and gas, said Christian Chramer, Managing Director of the Norwegian Seafood Council.
Growing revenues from selling fish to foreign consumers do not translate into full satisfaction of fishing producers and traders. Since 2022, the Norwegian krone has weakened, which has led to a solid increase in seafood exports measured in krones. However, the increase in euros and dollars was much smaller. And these are the main currencies in which Norwegians trading in fish earn.
– The weak Norwegian krone and the general increase in prices on the markets have raised the value to a record high. In total, the devaluation of the krone contributed to an increase in the value of exports of almost NOK 15 billion in 2023, explains Christian Chramer.
Minister of Fish Proud of the Industry
— Although the crown is weak, which is the main source of the increase in value [eksportu ryb – MG]this shows that Norwegian seafood is a source of interest abroad. The seafood industry has every reason to be proud – from the smallest shark fisherman to the people working in the largest aquaculture facilities – the Norwegian Seafood Council quotes Cecilie Myrseth, Minister of Trade and Industry (formerly Fisheries and Ocean Policy).
Norwegian seafood exports in 2023 amounted to 2.8 million tonnes, which was 5% less than in 2022. Norway’s two most important seafood species, salmon and cod, saw a decrease in export supply. Fisheries also recorded poor results. Volumes in the pelagic sector, including mackerel and herring, were the lowest since 2016. This is the result of the established catch quotas.
– Our wild-caught species are subject to quota regulations that can affect their production. In 2023, there was a 20 percent reduction in the cod quota, which resulted in a decrease in catches, explained Christian Chramer.
Thanks to the weak krona, the export value of most categories of cod increased. Similar results were observed for mackerel sales. Here, too, Norwegian fishermen ended the year with lower catches but record-high export values. Salmon remains Norway’s flagship product. It is the main source of revenue from Norwegian seafood exports.
— In 2023, Norway exported 1.2 million tons of salmon worth NOK 122.5 billion, which was 71% of the total value of all seafood exports, reports the Norwegian Seafood Council, calculating that “16 million Norwegian salmon meals were served worldwide every day last year.”
The market is based on farming. Aquaculture accounts for 75% of Norway’s total fish exports in value and 46% in volume. In 2023, Norway exported 1.3 million tons of seafood from aquaculture. The value of these exports was NOK 128.7 billion. The volume of seafood exports from aquaculture decreased by 1.1% compared to the previous year. However, the value of these exports increased by NOK 17.6 billion (16%) compared to 2022.
Poles save Norwegians
Christian Chramer was pessimistic about the situation for Norwegian fisheries and farmed fish producers at the beginning of 2024. He noted in January last year: “On a day when we celebrate a new record in seafood export value, it is important to remember that this does not mean solid financial results for seafood companies.”
Norwegian fishermen, both farm and pelagic, are plagued by the plagues of a weakening economy. These include rising costs, struggling with weakening consumer purchasing power and a changing global market. Norwegian produce is being pushed out by competitors, mainly from Asia and North America. ‘Norwegian seafood still doesn’t sell itself,’ Chramer notes.
The decreasing consumption of seafood in Norway is a cause for concern. Although it should be noted that tables in hotels and at conferences are bending under the weight of fish from Norwegian producers. The negative trend and changes in the diet of Norwegian consumers were noticed by Minister Cecilie Myrseth, who pointed out that the decreasing consumption of seafood in Norway is a challenge for the government and producer and consumer organizations.
“We need to step up our efforts here at home because we’ve never eaten less fish than we do today. Seafood is both sustainable and healthy, so we need to reverse that trend and eat more of it,” Myrseth said.
Norway exported seafood to a total of 153 countries in 2023. This was six countries more than in 2022. Poland, Denmark and the USA were the largest markets for Norwegian seafood exports in 2023. Poland saw the largest increase in the value of Norwegian fish imports. 277,745 tonnes of fish worth NOK 3.2 billion reached Polish processing plants and stores. There was only 4% more fish, and we paid 21% more for it compared to the previous year. The situation may repeat itself in 2024.
Fot. Depositphotos
