Salmon prices spike 16% amid shortage fears
Continued supply problems and strong demand have pushed up prices of fresh salmon by as much as 16%.
That's according to purchasing firm Beacon, which works in partnership with seafood suppliers to purchase on behalf of more than 2,000 businesses across the UK.
Beacon has warned that the shortage is serious enough that it could affect Christmas menus and supply for the rest of the year.
Demand for the fish is outstripping supply due to a number of factors including overharvesting of salmon in Norway and Scotland following an outbreak of sea lice, as well as unusually cold weather, resulting in reduced growth.
A toxic algae bloom has also hit several areas of Chile, meaning that an estimated 123,000 tonnes of fish have been lost so far this year.
Since February 2016, Beacon has recorded price increases of up to 16% for Atlantic Salmon, and is now advising the hospitality industry to think longer term when planning menus using the popular fish.
M&J Seafood, a leading Beacon supplier, described the market as "volatile and not performing as you might expect", with the length of time prices will be impacted for remaining "unclear".
Emma Warrington, senior food buyer at Beacon, said: "The market is volatile at the moment with demand continuing to outstrip supply so our advice would be to start to look at alternative products for your Christmas menu planning, or factor in potential price increases for salmon products. Working with M&J Seafood and Direct Seafoods, our key suppliers, we are encouraging our chefs to think carefully about planning both their immediate menus and as well as festive season specials to be less reliant on salmon."
To support chefs and buyers within the industry, Beacon has launched its new ‘Salmon Support Service', with businesses' fish prices benchmarked against market pricing within the same working day to help accurately plan for Christmas. For help and advice email support@beaconpurchasing.co.uk.
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