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The Impact of Inflation and Fishing Tensions: The State of Spain’s Cod Trade.

The impact of inflation and the problems of Spanish boats due to fishing tensions between the European Union (EU) and Norway stand out this year among the factors that determine the activity of the Spanish fleet and the cod trade, the most traditional fish of Holy Week.

In Spain, Lent and vigil consumption increase sales of cod and represent 30% of the annual total marketedbut this year they have been influenced by the reaction of consumers, who in general are moderating their purchase of fish due to inflation.

The most common origins of cod processed and consumed in Spain are Norway, Iceland, the Faroe Islands and the Netherlands; there is a national salting industry that also exports it, salted or dry

It is the fourth fish that Spaniards eat the most, with an annual total of 50.3 million kilos (last 12 months until November), almost tying with the category of sardines and anchovies, but behind the salmon and hake and without counting shellfish, according to the Ministry of Agriculture, Fisheries and Food.

A small cod fleet

But Spain has a cod fleet of four boats that sell their catches in ports on the United Kingdom, the Netherlands and Germany and that this year sees that its activity is complicated, in addition to the cost of diesel, due to tensions in the quotas shared between the EU and Norway, according to the shipowners. Spanish cod fish fish in Norway and Arctic or North Atlantic (NAFO) fishing grounds.

Cod fritters / ISTOCK
Cod fritters / ISTOCK

The president of the Cod Fishing Vessel Owners Association (Agarba), ivan lopezunderlines “the bad fishing relationship” between the EU and Norway, which has “worsened” since the Brexit. He has also criticized the way in which Norway allocates catches in the waters shared with the EU and, specifically, the situation around the islands of Svaldbard, where Oslo reduced a large part of the quotas to community vessels in previous years .

The person in charge of Agarba has regretted the lack of determination of the European Commission (EC) in defense of its fishermen, despite the fact that cod is one of the species with the highest commercial value for the EU. Given this circumstance, López has detailed that the cod fleet, which is not currently in the Arctic, extracts other species such as blue whiting, to diversify and has demanded “reciprocity” because the community market is very open to Norwegian products.

The drop in Norwegian supply affected sales

Norwegian cod sales they fell in January and February by 15% in relation to the same period of 2022, in a “very difficult” Spanish market for the fish trade, but in March they rose, according to Kantar data managed by the Norwegian Seafood Council.

The director in Spain of the Norwegian Seafood Council, Bjorn-Erik Stabellremember that sales also fell due to a lower offer due to bad weather in the Nordic country.

The price almost triples in March

In March sales of fresh Norwegian cod, or screamedto Spain they improved and rose 15% in volume and 40% in value; at the moment they are close to the data of 2022.

Stabell has specified that in the case of fresh cod 33% of annual sales are concentrated in the first quarter of 2022, while in the category of salted cod for desalination Easter is the main time of the year and March and April the two main months of consumption.

In Portugal, Brazil or Italy, Easter is also the main time for the commercialization of cod.

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