Russian producers concerned with mixed market outlook for unrolling salmon season

In 2008, as typical for even years, the main fishery will be taking place in West Kamchatka (in Sakhalin on odd years) where salmon fishing sites have already been allocated for 20 years.  Judging by ice conditions and cold spring the situation of 2006 may repeat itself though progress of fishery can never be predicted for sure.

Meanwhile the market is struggling with large carry-over inventory of roe as well as frozen pink and chum salmon. The domestic market has also increased consumption of Norwegian and Chilean salmon partly replacing products from the Russian Far East. The canneries are being busy with enormous quantities of material from the last season and there is little demand yet from the packers for future pacific salmon catch. 

As per late May, in the Russian Far East frozen pink salmon gutted head-on from the old catch would be gladly sold to packers from RUB 17-20 per kilo in order to return at least some of the invested funds. For processing into mince the price was about to dive below RUB15.

As per early June actually no futures were made, nor advance payments to the fishermen. The situation may change should the fishery progress badly, then, it is speculated, the old inventory would enjoy improvement of demand and pacific salmon would again come forward as sales leader.