Effects of exchange rate changes in the seafood industry – 2017 and the first half of 2018

Summary

About 80 % of Norwegian seafood exports are paid for in either euro, US dollar, pound sterling or Japanese yen. When excluding NOK, this percentage rises to 97 %. In recent years NOK has appreciated slightly against US dollar and Japanese yen. This has reduced competitiveness and export income in the pelagic sector and in the sector for frozen white fish. Against the euro, NOK has not appreciated in the same way. This has been advantageous to exporters of fresh whitefish and salmon exporters. Norwegian whitefish exporters have improved their competitiveness against Icelandic exporters in recent years, due to a depreciation of the NOK against the ISK. BREXIT weakened the pound sterling through 2016, and improved competitiveness of British salmon exporters. This depreciation was however limited compared to the depreciation of NOK that Norwegian salmon exporters experienced through 2014/2015.