Chilean salmon farmers are increasingly cutting off shipments to Russia, as the country’s invasion of Ukraine causes increased uncertainty over shipments and payment methods – while some companies are looking to make a statement against the war.
Cermaq Chile, Blumar, and Salmones Camanchaca are the latest companies to suspend shipments to Russia, SalmonExpert reported.
The five main exporters of Chilean salmon, according to 2021 figures, are Australis Seafoods, which shipped 13,436 metric tons (MT) to Russia, bringing in USD 148 million (EUR 135 million); AquaChile with 10,546 MT and USD 125 million (EUR 114 million); Cermaq with 2,668 MT and USD 16.7 million (EUR 15.2 million); Salmones Austral with 2,231 MT and USD 24.4 million (EUR 22.2 million); and Salmones Camanchaca with 1,602 MT and USD 17.6 million (EUR 16 million), SalmonExpert reported, citing data from Datasalmon. Last year, Blumar exported 923 MT of salmon to Russia, representing a value of USD 6.8 million (EUR 6.2 million).
In 2021, the value of all Chilean exports to Russia reached USD 623 million (EUR 561 million), with salmon and trout representing nearly half that total at USD 292 million (EUR 263 million). Chile's salmon exports to Russia have been on a downward trend, as its exports by volume dropped 17.7 percent in 2021 compared to 2020.
Currently, the top three markets for Chilean salmon are the United States, Japan, and Brazil, which together received more than 70 percent of Chilean salmon shipments in 2021. Russia was fourth, importing 50,689 MT, or 7 percent, of Chile's salmon-export volume, according to Chile’s Customs Office.
Exports to Russia are now being redirected to other markets, primarily in Asia, including China, Taiwan, and Southeast Asian countries, Chilean Salmon Council Executive Director Joanna Davidovich previously told SeafoodSource.
Despite the difficult conditions affecting global commerce in 2021, Chile still managed to send a record USD 5.18 billion (EUR 4.56 billion) of salmon and trout abroad thanks to steady increases in demand, Davidovich said. However, the Chilean Salmon Council and its member-companies – AquaChile, Australis, Cermaq, Mowi, and Salmones Aysén, which together produce more than half of Chile’s farmed salmon – are carefully monitoring the conflict between Russia and Ukraine, with an eye to issues involving logistical challenges and a rise in oil prices, in addition to the risk that the confrontation may escalate and affect other markets, she noted.
Further, mounting supply-chain bottlenecks that have been exacerbated by the conflict are likely to impact Chile's seafood exports.
Photo courtesy of Alexander Gold/Shutterstock
