April 5, 2022

Salmon prices spike in Japan due to war in Ukraine

Prices of salmon and other imported seafood have skyrocketed in Japan as Russia's invasion of Ukraine has forced airlines to alter flight routes, in an added blow to consumers and businesses already smarting from higher food costs.

Cleaned Norwegian salmon fetched ¥2,100 (US$17) per kilogramme at the Toyosu wholesale fish market in Tokyo in early March.

This compares with ¥1,800 (US$14.69) per kilogramme in February prior to Russia's invasion. The price at Toyosu remained at ¥2,000 (US$16.32) as of late March, well above average.

Cargo planes from Europe to Japan have been unable to fly over Russian airspace since the war began, forcing them to take long detours that boost transport costs. Poor harvests at hatcheries and rising fuel prices had already driven up prices for fresh salmon, with the war in Ukraine exacerbating the trend.

Choushimaru, a sushi chain that operates chiefly in Chiba Prefecture near Tokyo, suspended sales of aurora salmon after the start of the war. It then raised the price by more than 20% to ¥363 (US$2.96) per two pieces when the item was put back on the menu on March 19.

Choushimaru is offering the salmon in limited quantities and is also offering salmon raised in the northern prefecture of Miyagi as an alternative.

Supermarkets have been forced to adapt as well. Since early March, operator Aeon Retail has been procuring more domestically raised salmon in light of a drastic drop in the volume of salmon from Norway.

Other types of seafood have been affected. The bids on pollock roe from the United States have jumped by 10-15% in March from a year earlier. The rise was driven by speculation that supplies will tighten after shipments from Russia decline.

Last year, Japan imported ¥138.1 billion (US$1.1 billion) worth of seafood from Russia, just 8.6% of its total seafood imports, government data shows.

- Nikkei Asia