UC Davis Agricultural and Resource Economics

Jay Abolofia, University of California, Davis

Relative Prices and the Dynamic Supply of Different Sizes of Farmed Salmon

Date and Location

Friday, January 6, 2012, 12:10 PM - 1:10 PM


A unique dataset of Norwegian ex-farm salmon prices and volumes illustrates a cyclical pattern in the relative prices for different sized fish (i.e. fish of different weight classes). The cyclical pattern is not explained by farmer behavior or consumer preferences but rather by the biological production process in Norwegian salmon aquaculture. Primarily, the seasonality of smolt release times, fish growth, and the risk of adult fish maturation enforce a seasonality in the availability to farmers of different fish sizes. A preliminary model with markets for the various fish sizes is presented to explain the cyclical pattern in relative ex-farm prices.

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