Norway earned a record amount from its seafood exports in the first month of 2024, but a big portion of the high value continues to stem from a weak krone and high salmon prices.
According to data gathered by the Norwegian Ministry of Trade, Industry, and Fisheries-owned Norwegian Seafood Council (NSC), Norway exported seafood worth NOK 13.3 billion (USD 1.24 billion, EUR 1.15 billion) in January – an increase of NOK 640 million (USD 59.8 million, EUR 55.7 million) over the same month of 2023. The increase marks the 35th consecutive month that the value of Norway’s seafood exports have grown year-over-year.
"2024 seafood exports have gotten off to a good start. This is primarily due to increased salmon prices. Together with a weakened krone, this has led to the total export value setting a record high for January,” NSC CEO Christian Chramer said in a release.
Salmon prices, which were high for large portions of 2023, took a brief tumble in the early weeks of 2024 but have since recovered slightly. The high prices were also affected by the slightly weaker krone – a factor that was largely responsible for the banner 2023 experienced by Norway’s seafood export industry.
"We also saw a significant currency effect in January,” Chramer said. “Compared to the same month last year, the Norwegian krone has weakened by 6 percent against the euro, which raises export prices in the Norwegian kroner.”
The pricing and currency factors are clear in the export numbers for salmon: Norway exported NOK 9.8 billion (USD 916 million, EUR 853 million) worth of the species in January 2024 – an increase of 11 percent, or NOK 975 million (USD 91.2 million, EUR 84.9 million), over the same month last year. However, volume totaled 86,985 metric tons (MT), which was down 2 percent.
"The development in January follows the pattern from the last three years; a decrease in volume gives a more robust growth in price compared to the same period the previous year, and the result is an increase in value,” NSC Seafood Analyst Paul Aandahl said.
Trout also saw growth in the month. Norway exported 4,584 MT worth NOK 439 million (USD 41 million, EUR 38 million) of the product, representing increases of 49 percent and 43 percent over January 2023, respectively.
"Historically speaking, both trout production and exports have had significant fluctuations,” Aandahl said. “There was a decrease in 2023, but it is now back at the 2022 level measured in volume. However, there has been a sharp turn in the product mix for trout. Fresh whole trout has increased its dominance compared to the other product types.”
The large increase in salmon export value and a solid performance by trout helped offset declines in almost every other part of Norway’s seafood industry, with many wild-caught fisheries suffering from either lower volumes, weak pricing, or both.
Fresh cod, for example, saw decreases in both volume and value in January 2024. The country exported 3,506 MT of fresh cod worth NOK 229 million (USD 21.4 million, EUR 19.9 million) – a drop of 7 percent and 3 percent, respectively. NSC Seafood Analyst Eivind Hestvik Brækkan said part of that drop is related to lower quotas.
One positive trend in fresh cod exports that began appearing in the latter half of 2023 has also continued into 2024: Farmed cod is continuing to make up more and more of the country’s share of exports. In January 2023, the export volume of fresh farmed cod increased by 62 percent year over year to 1,051 MT, the NSC said, achieving a value of NOK 59 million (USD 5.5 million, EUR 5.1 million). The NSC said that at least 26 percent of the export value of fresh cod in January comprised farmed cod.
The story for fresh cod was much the same for frozen cod, which saw drops in export value and volume. Norway exported 7,480 MT of frozen cod worth NOK 364 million (USD 34 million, 31 million), which were decreases of 4 percent and 18 percent, respectively.
"There was the most significant decrease in the export of frozen fillet to the U.K., which may have a connection with the fact that the landings of frozen fillets in January were also significantly lower than in January 2023,” Brækkan said.
Clipfish also saw drops in volume and value. Norway exported 9,131 MT of clipfish worth NOK 524 million (USD 49 million, EUR 45.6 million), a drop of 5 percent by volume and 16 percent by value.
Herring saw its volume and value both drop as well. Norway exported 20,984 MT of herring in January 2024 – a decrease of 26 percent compared to January 2023. Value, however, remained relatively strong at NOK 403 million (USD 37.7 million, EUR 35.1 million), which was a drop of just 3 percent compared to the big drop in volume.
Mackerel was less lucky than herring in value terms. Norway exported 16,675 MT of mackerel worth NOK 384 million (USD 35.9 million, EUR 33.4 million) – a drop of 34 percent and 23 percent – or NOK 112 million (USD 10.4 million, EUR 9.7 million) – respectively.
Snow crab also had a rough January, with Norway exporting just 123 MT of snow crab worth NOK 10 million (USD 935,000, EUR 870,000), a drop of 58 percent and 70 percent, respectively. However, NSC Shellfish Manager Marte Sofie Danielsen said that drop in performance will likely change next month.
"The main reason for the large drop in volume is that there has been fewer [crabs] left in stock from the previous year. That was not the case in January last year when there was a lot in stock from 2022,” Danielsen said. “There has been good snow crab fishing in January, so export volumes are expected to pick up again from February.”
While most wild-caught species saw poor export numbers, king crab exports saw big increases. Norway exported 202 MT of king crab worth NOK 98 million (USD 9.1 million, EUR 8.5 million) in the month – increases of 29 percent and 22 percent, respectively.
A big portion of that increase comprised growth in the U.S. market, which purchased 103 MT of king crab – 35 percent more than last year and soaking up over half of Norway’s total exports. The increase comes as the U.S. is approaching an expanded ban on Russian-originated seafood – a ban which includes king crab.
Photo courtesy of TY Lim/Shutterstock
