IFFO reports a lower use of marine raw materials globally
IFFO – The Marine Ingredients Organisation report, which analyzes the marine ingredients market trends from January to March 2022, shows this year a lower use of marine raw materials globally compared to 2021.
Overall, the raw material used in March 2022 by the countries considered in this report was 6% lower. This country's sample, based on the IFFO Membership, covers approximately 50% of the world's production.
Regarding fishmeal, India, the Iceland/North Atlantic area, and the African countries were the only regions, which increased their cumulative production.
On the other side, the US, the Northern European area, and the African countries were the regions that reported a year-over-year increase in fish oil.
According to Dr. Enrico Bachis, IFFO's Market Research Director: "This is mainly due to a slow start in Peru. As the quota granted in the last quarter of 2021 was almost completely landed by the end of 2021. Usually, part of the fishing quota is ready in January, and sometimes even in February."
Furthermore, IFFO informed last month total cumulative fish oil production was higher by 12% respect last year during the first two months of 2022.
Disruptions in China
Because of the enforcement of a zero-covid policy, lockdowns, and travel restrictions, the aquaculture season started in April. This caused important disruptions in the logistics chains at the national level.
Also, unstable weather conditions are hurting aquaculture in the South of China. Here, throughout the year they carry out farming activities.
Thereby, IFFO confirmed fishing activities will resume in September. During the moratorium, marine ingredients production is majorly based on by-products from farmed species in South China.
In addition, imports of fishmeal appear to have decreased in the first quarter, following the international logistics crisis and a weakening domestic demand in the first quarter.