FEEDS

Mowi places feed at the heart of its cost-reduction strategy

Oslo, Norway, 27 March 2026 | The agreement with Skretting aims to generate structural savings in the primary cost component of salmon farming

Pienso con forma de pescado

Mowi has positioned feed costs at the centre of its industrial strategy through an agreement with Skretting aimed at optimising formulation, procurement, and logistics. The initiative seeks to structurally reduce the main cost component in salmon production, redefining the group’s long-term operational efficiency.

For Mowi, with feed accounting for nearly 40% of costs, formulation is no longer a mere supply item but a strategic decision that directly impacts the bottom line. The objective is to achieve annualised net savings exceeding €55 million through this new collaborative framework.

The agreement with Skretting and Nutreco allows Mowi Feed to produce feed based on its partner’s advanced formulas, maintaining control over the value chain and capturing internal profit margins. The plan is not limited to the nutritional recipe but encompasses a complete re-engineering.

This includes advanced formulation to improve fish performance, more efficient raw material management in the purchase of agricultural and marine ingredients, and a logistical optimisation of distribution to farming sites to reduce both operating costs and carbon footprint.

This move responds to a sector-wide trend market by recent inflation in raw materials and the resulting pressure on operating margins. In a volatile global environment, a company’s ability to decouple itself from external cost fluctuations through production efficiency is what separates leaders from the rest of the market.

Mowi thus seeks to shield its profitability against potential cycles of low salmon prices by creating a far more resilient cost structure that is less dependent on third parties.

The move reinforces a growing trend in salmon farming where the focus is no longer solely on the sale price, but on the critical ability to control production costs. By internalising formulation technology and optimising the entire logistics chain, Mowi is not just seeking immediate savings; it is setting a new benchmark for industrial competitiveness in a context of increased uncertainty within the global raw materials market.

Related