Improved landings in Peru and higher-than-average takes in Northern Europe are making up for a shortage of raw material that caused lower availability of fishmeal globally in the first half of 2020.
Below-average availability of raw material in Peru, Chile, South Africa, and India earlier in 2020 had resulted in lower production volumes of fishmeal and fish oil, with totals down 2 percent and 4 percent, respectively, through July. In June, those figures had been at 7.5 percent and 7 percent, respectively, according to monthly reports issued by IFFO, the Marine Ingredients Organization.
But a huge bump in catches in Peru and in Africa meant raw material intake in June rose 60 percent and July rose 40 percent compared to the same months a year prior.
Total cumulative fishmeal production through August 2020 remained down slightly compared to the previous year, at around 2.5 percent, according to IFFO, and total cumulative fish oil production in the first eight months of the year was off by 3 percent. IFFO said the shortages were “driven by significant drops in the historically big fish oil-producing countries of Peru and the USA, plus India.”
Shortages are likely to continue as landings in September were below previous years’ levels, though Peru’s fishmeal exports have increased, with China the primary market as its aquaculture sector moves into the end of its peak season for fishmeal use. However, China’s demand for fishmeal has lessened as bad weather and reduced demand for aquaculture products has taken a toll.
“Large feed plants mainly consumed existing stocks, while small- and medium-sized feed mills bought fishmeal when needed. The market has thus remained subdued for some time, although a significant acceleration has been reported in September,” IFFO wrote in its latest report.
Prices for aquatic products increased slightly in August year-over-year, IFFO reported.
Photo courtesy of Kollawat Gojinok/Shutterstock
