Chart of the week: salmon prices are leaping
The salmon market is facing a global supply shock thanks to a toxic sea algae related to the unusually high water temperatures caused by the El Niño phenomenon.
The salmon market is facing a globalsupply shock, says Emiko Terazono inthe FT. A toxic sea algae, apparentlyrelated to unusually high watertemperatures caused by the El Niophenomenon, has killed almost 24million fish in Chilean salmon farms.
Output in the world's No. 2 salmonproducer is expected to slide by15%-20% from 2015's level. Norway,the biggest producer, has alreadypencilled in lower 2016 outputowing to an outbreak of disease lastyear. Throw in a recent fall in theNorwegian krone, which has made the country's fish more competitiveon international markets, and it's nowonder Norwegian fresh salmonexport prices have leapt by around40% in the past year.