Norway Royal Salmon (NRS), Måsøval and SalMar have become the latest seafood producers to cancel their plans for growth after the Norwegian government announced a tax hike on aquaculture from 22% to 62%.
This follows similar moves by Lerøy and Mowi.
NRS has made the decision to cancel the purchase of 370 tonnes of maximum allowable biomass (MAB) and has put all large future investments on hold, including a planned €38.11 million expansion of its smolt facility in Dåfjord.
“We are always looking for growth opportunities, but now we don’t dare,” said chief executive, Charles Høstlund.
“A good tax system must be both fair and predictable. The government’s proposal for resource rent tax is neither and puts new investments on hold all along the coast,” he added.
Måsøval and SalMar have made similar decisions to put investment on hold with the cancelling of MAB purchases of 116 tonnes and 1,223 tonnes respectively. Måsøval has postponed investments of €95.27 million which it says will have ‘significant negative repercussions for our suppliers and the coastal societies where we operate our business’.
SalMar is similarly concerned stating that ‘if the proposals were to be adopted, there would be major consequences for the company’s investment decisions and capital allocation going forward.’
