Norway considers tax surcharge on ASC-certified salmon, ASC chief criticises "illogical" move

A Norwegian proposal to add an additional tax charge of 2 NOK per kilo of ASC-certified salmon has been met with surprise and concern by Aquaculture Stewardship Council CEO Chris Ninnes, who has called the move "illogical" and "counterproductive".

"By putting an additional tax on ASC certified fish, the proposal sends the wrong message to the market and is effectively attacking and punishing farms who choose to operate responsibly and to the highest standards," Ninnes stated, in an open letter addressed to the Norwegian Ministry of Finance.

"We believe this is illogical and contrary to policies supported by European and international organisations, and indeed the Norwegian Government, to drive improvement in responsible practice across the farmed seafood industry," he continued.

Over 40% of Norwegian salmon farms currently hold ASC certification, the ASC said.

The tax increase proposal, which came to light via a newsletter distributed by Norwegian legal firm Wiersholm, was put forward by Norway's Price Council for Aquaculture, and forms part of a series of proposed adjustments to the standard pricing for salmon of different quality categories.

Norway's Aquaculture Price Council was created last year, as an independent body with the power to set binding prices for salmon and trout producers, enabling the Norwegian state to calculate income subject to the resource rent tax on aquaculture - the so-called "salmon tax". Previously, individual companies were responsible for calculating their income taxable under the new ground rent tax rules.

According to Wiersholm, the Price Council has proposed that ASC-certified salmon would carry a surcharge of NOK 2.00 per kg compared to superior-grade salmon. Meanwhile, salmon of "ordinary" quality would receive a price reduction of NOK 1.50 per kg compared with superior grade.

The standard prices are proposed to apply for the third quarter of 2024. Farming companies were given until 17 January to respond to the pricing proposals, but the outcome of this consultation is as yet unknown.

Responding to the proposed pricing in his open letter, Ninnes argued against setting an "arbitrary" price on ASC-certified fish, contending that "often any premium for ASC certified salmon is used as a “hedge” in negotiating, so the price can vary".

"The mechanism outlined in the newsletter seems to be based on a lack of understanding about the complexities of the salmon market and pricing, laden with bureaucracy and uncertainty which will burden industry and fraught with risk of mis-taxation due to incorrect standardised prices being suggested," he argued.

The ASC notes that the proposed surcharge would only affect ASC-certified fish, with other certification schemes appearing to be exempt.

The ASC said that it discovered the existence of the proposal only by chance in late January. "We only became aware of this through informal conversations on January 21, 2025 – after the consultation deadline had already expired on January 17," said Laetitia Rosing, Producer Outreach and Regional Manager Nordics at ASC, in a press statement.

"It is strange that producers who commit to responsible aquaculture and seafood certified through a scheme designed for sustainable operations are being financially penalized. This goes against all logic in the Norwegian tax system, and we believe that many consequences for the Norwegian aquaculture industry have not been considered," Rosing added.

In his letter, Ninnes criticised the lack of communication with the ASC on the proposals, stating, "the lack of inclusion and transparency in this case is blatant and completely unacceptable".

He added that the ASC believed the potential consequences had not been taken into account, and questioned "whether a risk assessment of the proposal has been carried out".

"Due to the significant cost implications, this proposal will disincentivise Norwegian farmers from becoming ASC certified and all the benefits that brings for local communities, workers, fish welfare, farm management and the environment. We have already heard of farms pausing their certification process due to this proposal. Putting barriers in the way of improvement is counterproductive and should not be supported," Ninnes said.

Ninnes has requested a meeting with the Price Council to discuss the ASC's concerns and receive official information on the proposal.

The news marks the latest controversy regarding Norway's resource rent tax on aquaculture, the so-called "salmon tax", which was introduced in 2023.

The full open letter (PDF) can be viewed online here.