Tomatoes



Italian tomato prices have yet to be announced because of weather problems and the demand by growers for a substantial price increase in the pre-season contracts with the processors. Earlier in the year, a price of e0.40 per kilo was set but growers say that with such poor yields and loss of crops they need e0.80 just to break even. German discounters, who usually cover their requirements early, are getting increasingly agitated by the delays. UK buyers seem less concerned, preferring to wait for the possibility of the packing season to be extended by three weeks, which could take some pressure off escalating prices.

Tuna



Tuna raw material costs remain high in spite of an encouraging start to the Indian Ocean season, which supplies some of the African canners, Mauritius and the Seychelles - all important to the UK and European skipjack markets. Higher-dollar fob prices have been offset by a favourable sterling/dollar exchange rate,

so retail prices are not expected to change in the foreseeable future.

A local Thai run of Kinkai tuna was better than forecast, taking some of the pressure off Bangkok prices. The fish are small and used for the Japanese frozen market. Ecuador is in the middle of its six-week fishing closure to preserve stocks but prices have not been affected as in previous seasons.

Salmon



Some new season Alaskan salmon prices have been announced more or less in line with expectations. Red 213g are $34 against $32 last year but the well-publicised shortfall in 418g has resulted in a 20% increase in fob terms. "We packed 30% less 418g this season and it is unlikely there will be enough to satisfy both domestic and export markets," a source in Seattle said. The UK market depends on the 213g for promotional activity and there should be no problem in securing supplies for bogofs.

Alaskan processors have been critical of the UK's insistence to promote in this way as they contend it means inflated retail prices when not on promotion. "We don't see the need to focus so much on 'giveaways' as our simple discounted deals work just as well," the same source said. It's a view not shared by UK traders, who argue for the need to keep consumers interested in all canned fish.

Pink salmon will be scarce and 50% higher in price due to the failure of pink runs along the West Coast from Alaska to Canada.

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