Demand Growth for Atlantic Salmon: The EU and French Markets

Abstract

Two main factors have determined the development for successful aquaculture species—productivity growth and demand growth. However, while we have substantial knowledge of productivity growth, our insights are more limited for demand growth. In this article we investigate the demand growth for salmon in the EU and France using an index approach. Depending on exogeneity assumptions, the measure of demand growth will be either price or quantity oriented. The results indicate that demand growth has been substantial as it is 7.6% per year for the EU and 4.7% for France, on average. The demand growth is anything but smooth over time though, as there are several periods with negative demand growth as well as periods with substantially higher demand growth.

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