Money in clipfish

The Fish Site
by The Fish Site
5 December 2006, at 12:00am

NORWAY - Fiskeriforskning's annual Profitability Survey shows that the Norwegian fishing industry's profitability improved slightly in 2005.

Packing of clipfish at a producer in lesund.
The clipfish industry was the sector that earned the most, while the shrimp industry earned the least. For the clipfish manufacturers, last year was even better than 2004. The herring oil and meal industry also increased its profitability despite a smaller supply of raw materials.

Decline for stockfish

The stockfish sector had good profits even though the earnings were considerably lower in 2005 than in 2004. "Higher raw material prices combined with poorer quality of the stockfish are the most important reasons for the decline", says Scientist Bjrn Inge Bendiksen.

He is responsible for Fiskeriforskning's annual Profitability Survey of the Norwegian fishing industry. For several years, clipfish and stockfish have been the sectors in the Norwegian fishing industry with the best profitability. That the clipfish manufacturers did better in 2005 than the previous years can mainly be explained by higher prices for clipfish of saithe.

If one disregards the manufacturers of clipfish and stockfish, large parts of what is called the whitefish industry, i.e. those who use cod, saithe and haddock in their production, are struggling. The producers of salted fish make up an important part of the whitefish industry, and for this sector, the return was virtually zero in 2005.

Fillet industry improved

But companies that manufacture fillet of whitefish improved considerably last year, with a profit of 0.2 percent. For the fillet industry, 2005 was the first year with a positive profit since 1998.

For the herring and mackerel manufacturers, 2005 was the best year since 2000. "The most important reasons for the good return are increased prices on herring products and better access to raw materials", says Bendiksen.

Shrimp industry worsened

The crisis in the shrimp industry worsened in 2005 and resulted in more companies stopping their production.

The shrimp companies in TromsCounty were hardest hit with a deficit of 7 percent of the operating income. Corresponding figures for the Norwegian shrimp industry were minus 5 pecent.

If you would like additional information about the profitability study, contact Scientist Bjrn Inge Bendiksen, direct telephone: (+47) 77 62 90 38.

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