Zalmhuys Group is building a new fish-smoking plant in Urk, the Netherlands, where the company is based.
The new facility, which will open in January 2023, will triple the company’s annual smoking capacity and will result in more options for its clients, according to Zalmhuys Group Managing Director Harm ten Napel.
“We will have more options to deliver a wider range of products,” Napel told SeafoodSource. “We have a good traditional way of smoking, so this will give us flexibility and a better ability to meet the news of new potential customers.”
The Zalmhuys Group is comprised of four companies – fresh fish specialist Affish Fresh, frozen fish purveyor Ocean Fish, fish-smoker and fresh salmon fillet exporter Het Urker Zalmhuys, and distributor Affish – all specialize in salmon, with a focus on Europe, and a smaller presence in the United States and Asia, according to Napel.
“We are a young, fast-growing company,” he said. “We can offer fresh, smoked, and frozen fish from our group of companies and so our clients can get all their needs met from us, and we are hands-on – we provide any services demanded by the client.”
Inflation and high prices for fish and materials have complicated Zalmhuys business thus far in 2022 – salmon fillets had moved from EUR 10 (USD 11) to EUR 14 (USD 15) over a one-week period in April, Napel said.
“The current market situation is challenging but demand is good from our customers,” he said. “Supply is the main issue right now – it’s very difficult to get products, and when we find them, they’re very expensive. But we are managing and doing fine.”
Napel said Zalmhuys’ retail contracts are 100 percent covered and the company “doesn’t take any big risks.”
“That’s a good thing to have done in the market we are in today,” he said. “I think some competitors mainly who are heavily involved in retail and have unsecured contracts are in big trouble. I really hope not because I don't wish that to anyone, but I think there are a lot of issues at the moment and certain companies are in big trouble.”
Napel said he believes the pricing situation should level out in the medium- to long-term, as more salmon volumes are expected to hit the market in the second half of 2022.
“It will take some time, but eventually the market will respond [to the added volume],” Napel said. “But it’s a concern that everything is getting more expensive across the board, especially with rising energy prices and inflation. Right now, customers are accepting the prices because they need product. That’s the situation at the moment – people are happy to go out to a restaurant for dinner and they don’t seem to care as much about the price they pay for that right now. But maybe people will choose to eat out less or eat less expensive fish. We will see.”
Photo courtesy of Cliff White/SeafoodSource
