DURING the past couple of months, Seafood International has reported on problems in the European pelagics industry; both the herring and the mackerel sectors are struggling.

The industry has decided to face these problems head on and try to find some solutions. A meeting of the so-called Pelagic Forum was scheduled for midSeptember in Bergen, Norway, and several important issues were on the agenda. New markets are being targeted, among them countries like Kazakhstan and China.

The herring industry needs alternative markets that are large enough to reduce its dependency on Russia. Product development is another issue that the forum wishes to discuss.

One of the main problems in the pelagics market is the wide price fluctuations experienced from year to year. High prices create consumer resistance and a build-up of inventories, which in turn put pressure on prices the following year. The industry should strive to keep prices more stable.

Prices for herring and mackerel are declining and this is worrying the industry. Norway alone will land some 600,000 tonnes of herring, mackerel and horse mackerel during the next five months, and there is a danger that a significant part of this will be sold to fishmeal and fish oil producers for very low prices.

There will be problems for the landbased processing industry, which currently has an overcapacity in relation to available raw material.

The high prices of 2005 have caused problems for traders in Asia, where inventories are higher than usual.

Products purchased in 2005 can currently only be sold at a loss, both by Japanese and Chinese traders.

Perhaps it is time to focus on Africa again. Several regions in Africa are experiencing economic growth and this has created opportunities within the fisheries industry. Peruvian exporters of anchovy are now testing the market for canned products in countries like Angola and Congo DR.

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PELAGICS