A leading fishmeal analyst believes that while limited supply and increasing demand may eventually cause 'tight' markets, global prices are likely to exhibit 'softness' over the next two years.
Speaking before an audience of producers of alternatives at the recent Fish-Free Feed Challenge, Rabobank senior analyst Gorjan Nikolik said that a confluence of factors are driving the fishmeal market, principally, a recent rise in Peruvian anchovy supply after years of depressed stocks due to El Nino.
“We think that if the Peruvian industry starts to recover because the El Nino is no longer there, the next near term will probably be around $1,200 to $1,700/ton,” he said, adding that higher quotas in the next one or two years are likely to cause price "softness".
Fishmeal is currently priced at $1,500-1,550 per metric ton, sources have told Undercurrent News recently, while fish oil is currently at $1,700-1,800/t, depending on the quality, according to several producers.
This compares with $1,570-$1,650/t for fishmeal and $1,900-$1,950/t for fish oil last November.
Source: Undercurrent News // Original Article