Weak prices a feature of key European lobster markets during 2004

Lobster imports in key European markets increased during the first half of this year. Compared to January June 2003, volume imports in France, Spain and Italy increased by up to 20% depending on the market. However, import values were generally down compared to last year reflecting a mixture of weaker price levels and a stronger euro over the period. Given the seasonality of consumption in European markets, results for the year as a whole will depend largely on the final quarter. Suppliers will be hoping for a pickup in prices following what appears to have been a fairly flat third quarter, at least for frozen lobster prices.

France was again the main European lobster importer last year with volumes at just over 8 500 tonnes. Spain followed with 6 400 tonnes (a proportion of which was destined for re-export) while Italy imported 5 000 tonnes. Although French and Italian volume imports were up slightly compared to 2002, imports into Spain were down 14%. In all three markets, the Humarus group accounts for over half of total volume imports with crawfish or rock lobster (Palinurus spp, Panulirus spp, Jasus spp.) accounting for much of the balance.

France: first half import volumes stable

With annual domestic landings estimated at just several hundred tonnes, French lobster consumption is heavily import dependent. Total import volumes are about evenly split between live and chilled on the one hand and frozen on the other. The Humarus category accounted for over 60% of imports last year.

Six countries (Canada, USA, Bahamas, UK, Cuba and Spain) account for 75% of total supplies to France. Canada is the leading supplier in volume terms with over 2 000 tonnes of frozen and live product exported last year. The Bahamas, however, is the number one supplier in value terms with sales, essentially of frozen tails, in 2003 of almost €30 million.

Live product accounts for the major part of French imports – between 60-70% over the past three years – with frozen accounting for much of the balance. The USA is the lead supplier to France for live imports. US sales to France accounted for over 50% of total live imports during 2001 and 2002 although they dropped to 45% last year. Canada dominates the frozen segment with a share of over 85%.

Indications for 2004 suggest that total French lobster imports are unlikely to exceed the 5 200 tonnes imported last year. Figures for the first half of 2004 show live imports stable at 1 100 tonnes and frozen imports slightly up at 500 tonnes compared to the first half of 2003.
However, industry feedback during the third quarter of this year points to reduced availability of frozen Canadian product on European markets which may mean a drop in volumes for the second half of the year compared to 2003.

Spain: increase in live lobster imports during the first half of 2004

Annual Spanish lobster imports averaged at just under 7 000 tonnes (€97 million) over the past two years. Import volumes in 2003 were, however, back 14% on the previous year. As in France, live lobster (Humarus spp) is the single biggest import category accounting for over 50% of total volumes last year.

Not surprisingly, USA and Canada dominate live lobster (Humarus) imports. Of the remaining species, which are imported essentially frozen, Cuba is by far the leading supplier.

Unlike France, Spain re-exports a significant percentage of its lobster imports particularly from the frozen rock lobster / crawfish category. During 2002, Spanish exports from this category came to 2 500 tonnes, about two thirds of registered imports.

Import indications for 2004 are in line with those in France with average import values down during the first five months of the year compared to the same period in 2003. Volumes are largely up this year particularly in the live and chilled categories.

Italy: US lobsters dominate Italian imports

Annual Italian lobster imports have fluctuated between 4 500 and 5 000 tonnes in recent years. Live Humarus species dominate imports, accounting for some two thirds of total volumes last year. At almost €65 million, the annual value of Italian lobster imports is less than half that of France. The USA remains by far the largest supplier to the Italian market with sales of 2 700 tonnes in 2003. Other key suppliers include Canada (830 tonnes) and Spain (550 tonnes). These three countries accounted for over 80% of total Italian lobster imports last year.

For 2004, Italy is following the general import trend described above for both France and Spain. Volume imports, particularly for live lobsters, are largely stable on the first half of 2003 but average prices appear to be down on last year.

Imports of live (Humarus) lobsters, the most important category, came to just under 1 400 tonnes during the first six months of this year, 2% up on the same period last year but unit values were down 10%, a trend consistent with developments in other key European markets. Imports from the USA, the main supplier, were stable at 1 100 tonnes.

Outlook

Indications for European lobster markets going into the final quarter of 2004 point to a continuation of the weak price trend which has been a feature of markets during the first half of the year. Reports of poor production in North America during the fall season may, however, mean an eventual pickup in prices as demand increases in the approach to the Christmas / New Year period.

Gerry O'Sullivan
© 2004 FAO