The salmon market is facing a global supply shock, says Emiko Terazono in the FT. A toxic sea algae, apparently related to unusually high water temperatures caused by the El Niño phenomenon, has killed almost 24 million fish in Chilean salmon farms.
Output in the world’s No. 2 salmon producer is expected to slide by 15%-20% from 2015’s level. Norway, the biggest producer, has already pencilled in lower 2016 output owing to an outbreak of disease last year. Throw in a recent fall in the Norwegian krone, which has made the country’s fish more competitive on international markets, and it’s no wonder Norwegian fresh salmon export prices have leapt by around 40% in the past year.