No whining from salmon producers about the dollar
The sustained drop in the value of the dollar has the Chilean fruit and wine sectors crying out like injured football players, yet father south not a peep is heard from the salmon sector. Luck is still on their side regarding the general trend in the market, considering that the average price for salmon in 2005 was US$4.49/kg, in 2006 US$5.40/kg, and this year up to July, US$5.78/kg. “For salmon companies on the stock market, the high prices in salmon have allowed an operational margin of over 20% on average,” states José Antonio Troncoso, journalist for the economic section of the national newspaper El Mercurio. But if and when the fortunate tide turns against them, the salmoneros are capable of crying louder than all of Chile’s economic sectors combined. Chances are slim however of any dramatic decline in Chile’s salmon prices, especially since effort is being put into more value added products each year. According to Rodrigo Infante, general manager of SalmonChile, 70% of salmon exports are nearly all boneless fillets, fresh or frozen, and smoked product. Recently a very slight decline in prices was seen from April until August, but already in September it has climbed again due to the expected demand. The loss of fish due to the recent outbreak of ISA (infectious salmon anemia) has limited the supply to keep the demand stronger than usual.
