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 for the first two months of 2022. They include an analysis of both the supply and demand sides of the market, with research focusing also on the global trends of animal farming and fish catches, agri-commodities, commodities’ prices and general macro-economic conditions.
A specific and additional focus is made on China for the same period, given that China is by far the main market for marine ingredients.
15th April 2022
Good start of the year 2022 for fish oil production, in contrast with fishmeal production
During the first 2 months of 2022, total cumulative production of fishmeal in the countries which are considered in the IFFO report was down year on year by 11%, while total cumulative production of fish oil was higher by 12%.
“This is mainly due to fewer catches in the North-Centre of Peru in quarter 1 2022, while the higher capelin catches in Iceland have pushed up fish oil output” explains Dr Enrico Bachis, IFFO’s Market Research Director.
This countries sample, based on the IFFO Membership, covers approximately 50% of the world production, and can be taken as a proxy for global trends.
In terms of fishmeal, the Northern European countries, USA and India are the only countries considered in this report which increased their cumulative production during the first 2 months of this year. Similarly, in terms of fish oil, North European countries, USA and Spain have managed to report a higher cumulative production in 2022 with respect to the same period in 2021.
China: decrease of fishmeal imports, expected long term increase in fish byproducts
Amid severe disruptions due to Covid, domestic fishmeal and fish oil production remains subdued. In May the new fishing moratorium will be imposed across the Chinese coastline. Only in September will the fishing fleet be allowed to target wild fisheries again. This year, fishmeal and fish oil output from byproducts may ramp up as ready-to-eat meals are becoming more popular in China. Moreover, China is increasing domestic processing of snakehead and channel catfish, which generally provide good sources of byproducts.
In terms of international trade, China’s fishmeal imports in January and February 2022 decreased year on year, with Peru, Russia and Vietnam being the top three providers. The rate of fishmeal offtakes from ports is beginning to accelerate. It was lower in the first quarter 2022 compared with the same period of time in 2021. Among the reasons for such a decrease are earlier procurement from feed mills at the end of 2021, logistics and sanitary prevention measures against Covid-19 at ports.
The first aquaculture season traditionally starts in the month of April, but this year it is developing amid severe disruptions both in terms of logistics and consumption. Aquafeed production increased in the first two months of 2022 year on year.
The pig sector continues to suffer from over-capacity. Pig feed output is growing at a modest rate following a bearish pig market.