May 15, 2024

Global fishmeal production drops 27% in early 2024

Global fishmeal production saw a significant decrease of approximately 27% in the first three months of 2024 compared to the same period in 2023, according to IFFO, The Marine Ingredients Organisation, SeafoodSource reported.

The decline is attributed to the second fishing season in Peru's North-Central region in 2023, which had a below-average quota. This lower quota resulted in reduced catches at the start of 2024. The Peruvian anchovy fishery closed its second season on January 12, 2024, leaving 25% of its quota uncaught. This was compounded by earlier shortages from the cancelation of the first season of 2023.

Despite the sluggish start to 2024, there are positive trends due to the latest fishing quotas for Peru's anchovy fishery. In the North-Central region, approximately 1.2375 million metric tonnes (MT), or 50% of the 2.475 million MT anchovy quota, has been caught within the first 23 days of the 2024 fishing season.

Other countries are also showing more positive trends in fishmeal production. Chile, the US, and several African countries have reported higher production levels compared to 2023, thanks to increased quotas.

In addition to fishmeal, fish oil production was down by 30% in the first three months of 2024, also due to the Peruvian fishing season. Only the US and African countries have shown positive trends so far in 2024.

IFFO reported weak demand for feed ingredients in China, with a decrease in fishmeal imports through March 2024, reflecting "challenging conditions prevailing in both the swine and aquaculture markets."

IFFO said the aquaculture industry is struggling to reduce stocks given the current tepid demand among consumers. Initial estimates indicate that aquafeed production in the first quarter of this year is expected to be lower compared to the same period last year, reflecting a subdued trend in feed ingredients consumption.

However, analysts predict a potential recovery in the swine sector in the second quarter of 2024, which could shift demand.

-      SeafoodSource