Aquaculture

Revenues generated by Canada's aquaculture industry fell for the second year in a row in 2004, in the wake of a decline in production and exports.

The industry reported operating revenues of $668.9 million in 2004, down 9.3% from 2003 and 11.3% below the $754.4 million peak in 2002.

Finfish sales, which accounted for almost 87% of total operating revenues, were down for the second consecutive year. They fell 10.4% to $580.9 million, the result of a 12.3% decrease in the value of salmon production, which dominates the industry.

The value of aquaculture exports plunged 13.4% to $424.9 million. The most significant contributor to this decline was a 28.0% drop in the value of Atlantic salmon fillets exported to the United States, Canada's most important market.

Finfish sales fell in both of the country's largest aquaculture producing provinces — New Brunswick and British Columbia. Lower prices for farmed salmon, attributable to increased international competition, along with a strengthened Canadian dollar, were the main factors in the decline.

Lower salmon production in British Columbia resulted in a 12.2% drop in finfish revenues to $283.2 million. In New Brunswick, fish farmers increased production but sales declined 8.0% to $242.0 million.

Revenue from molluscs dipped slightly to $67.5 million. Sales in Prince Edward Island, which accounted for 44.4% of mollusc production in Canada, dropped 3.2%.

Nationally, product expenses grew a modest 1.3% to $529.9 million last year. These consist of the cost of products and services purchased from other businesses, excluding capital and labour costs.

Purchases of fish and eggs, along with processing, transportation and storage and energy costs increased notably in 2004. However, feed costs, which account for 45.0% of all product expenses for finfish producers, remained stable at $238.3 million.

The aquaculture industry produced a gross output (including sales, subsidies and inventory change) of $726.1 million in 2004, virtually unchanged from a year ago.

The gross value added by the industry to the economy, the difference between gross output and total product expenses, reached $198.2 million, a 5.5% drop from 2003.

Available on CANSIM: tables 003-0001 and 003-0003.

Definitions, data sources and methods: survey numbers, including related surveys, 2927, 3479 and 4701.

Aquaculture Statistics (23-222-XIE, free) is now available online. From the Our products and service page, under Browse our Internet publications, choose Free, then Agriculture.

The article "Taking stock: A profile of Canada's aquaculture industry" will appear in the October issue of the newsletter VISTA on the Agri-food Industry and the Farm Community (21-004-XIE, free) to be released October 25.

For general information, contact client services (1-800-465-1991). To enquire about the concepts, methods or data quality of this release, please contact Debbie Dupuis (613-951-2553; debbie.dupuis@statcan.gc.ca) or Bernadette Alain (902-893-7251; bernadette.alain@statcan.gc.ca), Agriculture Division.