October 29, 2022

Report finds Norway's seafood sector experienced strong growth in 2022

A new report prepared by Menon Economics, Nofima, and Norce found that Norway's seafood sector experienced strong growth in 2022, with aquaculture the biggest growth driver of the industry, Fish Information & Services reported.

Employees who work directly and indirectly in the Norwegian seafood industry increased by as many as 13,000 people compared to the previous year, totaling 106,000. Value creation totaled NOK 120 billion (~US$11.6 billion; NOK 10 = US$0.97), and the tax effect came to NOK 34 billion (~US$3.2 billion) when ripple effects were taken into account.

Jonas Erraia, a Menon Economics partner said compared to other industries, the seafood industry fared better during the pandemic, but 2020 was still challenging. They can see that the industry has grown last year and is breaking new employment, export, and value creation records.

Roy Robertsen, senior scientist at Nofima, said one of Norway's most significant regional industries is the seafood sector. Despite having a presence across the entire nation, the production of seafood is most significant in terms of employment and value creation in Western and Northern Norway. Few sectors of the economy have expanded as much as the seafood sector over the past 15 years.

Despite having a presence across the entire nation, the production of seafood is most significant in terms of employment and value creation in Western and Northern Norway. In the county of Vestland, 17,200 people work in the seafood industry either directly or indirectly. More and Romsdal are second with 16,500, followed by Nordland with 12,900, Troms and Finnmark with 12,700, Trondelag with 12,100, and Viken with 10,800.

Which municipality is the most significant seafood municipality has been a topic of debate for a very long time. There are various methods for calculating this. Alesund is the largest city when measured in terms of total value creation, which is essentially the total of employee salaries and company profits and reflects the contribution of businesses to the Norwegian GDP. Bergen, Naeroysund, Senja, and Froya are closely behind.

The amount of corporate tax and individual income tax that the seafood industry contributes to is also shown in the report. A rise from roughly NOK 30 billion (~US$2.9 billion) in 2020, the total tax effect in 2021 was NOK 34 billion (~US$3.2 billion). More workers and higher operating profits are what are driving the increase. Direct and indirect taxes from the seafood industry make up about 3% of the State's total tax receipts.

-      Fish Information & Services