Acquisitions help boost SalMar’s Q2 harvest numbers

Salmon producer SalMar has announced an increase in its Norwegian 2022 second quarter harvest, adding almost 12,000 tonnes, but its Icelandic subsidiary reported very low figures.

The large rise for SalMar is due to its acquisition of the NTS group last year, which included Norway Royal Salmon and other farming operations, which have now been absorbed into the main business.

The company said in a trading update it harvested 44,300 tonnes against 32,400 tonnes a year earlier.

The regional breakdown was: Farming Central Norway 28,300 tonnes; and Farming Northern Norway, 16,000 tonnes.

Icelandic Salmon (Arnarlax) produced just 100 tonnes during the period against 6,600 tonnes in the first quarter of this year.

So far, no reason has been given for the sharp drop, which  is probably due to re-organisation and operational reasons. The business recently invested heavily in two new large feed barges and plans to expand production at one of its sites in the Westfjords.

SalMar also owns a half share in Scottish Sea Farms, but those figures will not be known until the full second quarter results are published on 24 August.

In May SalMar reported a strong start to 2023 which it put down to limited supply growth of Atlantic salmon in the market, and record high prices combined with a strong demand.

But CEO Frode Arntsen pointed out that there were other factors that were more decisive when assessing the company’s results and position along with the potential for further growth.

However, because of the size of some of its farms, SalMar could be one of the companies hardest hit by the new Norwegian salmon tax which it will start paying in 2024 – and the tax will be backdated to January this year.

Frode Arntsen, CEO SalMar