April 14, 2014

Chilean salmon production seen to stagnate between 2014 and 2016

As a result of the doubts arising from the effectiveness of the new regulations in the industry, Chilean salmon production will stagnate between the years 2014 and 2016, according to the latest report prepared by Rabobank.

According to Rabobank, salmon production in Chile will remain at about 800,000 tonnes in that period.

The organisation noted that the sanitary risks led the National Fisheries and Aquaculture Service (SERNAPESCA) to impose several restrictions, including those on the implementation of two specific fish health control programmes.

One of these programmes was intended to monitor caligus in mid-2012, and the other for salmon rickettsial syndrome (SRS) in January 2013.

"These programmes are added to the pressure on the cost structure of the companies reporting almost a 10% increase in the price of salmon feed between 2011 and 2012," Rabobank remarked.

In its report the entity explains that in the event that a farming centre qualifies with high caligus levels, the company must apply sanitary treatments, each treatment can increase the cost of fish per kilogramme equivalent to US$0.07.

"The cost of these treatments increased between US$0.35 and US$0.42 or more per kilogramme. And if it is compared with a gross income of about US$1 per kilogramme, the figures speak for themselves," the entity stated.