A taste of the many statistics and analyses that can be found in the market intelligence reports that IFFO dedicates to its members is reported below, covering IFFO’s analysis on marine ingredient market trends until October 2023.

Global cumulative production of fishmeal and fish oil remains down, use of marine raw materials in line with that of past years

Based on a list of countries* considered in the IFFO reports, cumulative total fishmeal production during the first 9 months of 2023 was down by approximately 26% compared to the cumulative production reported through September 2022. The predominant factor behind this is the 70% year-on-year production decrease in Peru.

As for fish oil’s total cumulative output in the first 9 months of 2023, it was down by 21% year on year. Chile remained the only country to report an increase year on year, thanks to healthier catches and higher-than-average oil yields in the South of the country.

In September 2023, the overall raw material used by countries* considered in the IFFO reports was in line with the 2014-2022 average for the same month. Overall, their use of raw material increased by 6% in September 2023 compared with the same month in 2022. This increase was due to better catches in Northern Europe.

* Peru, Chile, Denmark, Norway, Iceland, UK, Ireland and Faroe Islands, USA, South Africa, Ivory Coast and Mauritius, Spain.

China’s weaker demand for fishmeal and fish oil, amidst notable slowdown in the country’s economic growth

Cumulative imports of fishmeal by China through September dropped by 8.7% on a yearly basis, reflecting both a weaker domestic demand from aqua- and piglet feed producers and a lower supply worldwide.

The domestic aquaculture sector is encountering various challenges, including environmental pressure, technological challenges as well as intense competition among feed mills and farmers. These result in overcapacity and oversupply.

Similarly, the pig sector is experiencing a downturn. Recently pig prices have fallen below production costs again. In this scenario, an aggressive reduction of costs may become a long-term survival strategy for pig feed producers and pig farmers. Simultaneously, reduction of sow stock is progressing slower than what authorities would like. This implies that pig supply will remain relatively ample in the coming year, keeping pressure on farm-gate prices.

London, 15 November 2023