Sales

HAVFISK ASA has a delivery obligation on 28.7 of the 29.6 cod trawling licenses. Each vessel with a cod trawling license must offer 80% of all the cod and 60% of the haddock that it catches. This obligation applies to selected fishing industry companies, some municipalities or a larger geographical area in respect of both species caught north of 60oN.
 
As regards to determination of the price of fish which is subject to compulsory delivery, this shall be an average of the turnover achieved in the Raw Fish Association's district for similar fish during the last two weeks prior to landing. The Norwegian Raw Fish Association (NR), the Sunnmøre & Romsdal Fish Sales Association (SUROFI) and the other four fish sales associations in Norway have exclusive rights to all first-hand sales of white fish that are delivered along the coast.

The fish sales associations are divided into geographical areas, with the Norwegian Raw Fish Association or the Norwegian Fishermen`s Sales Organization having exclusive rights to all first-hand sales of fish landed between Finnmark in the north and Nordmøre in the south. SUROFI has the rights to fish landed from Nordmøre and the whole of Sunnmøre. Other sales associations cover the rest of the country. The most important species delivered by our trawlers are cod, haddock, saithe and prawns. Fishing takes place along the Norwegian coast, in the Barents Sea and the waters around Svalbard.

HAVFISK ASA sells fresh fish to the filleting plants of Norway Seafood AS in northern Norway. The basic price is agreed on the basis of current minimum prices (which are normally negotiated 3 times per year). A bonus can be added to the basic price in accordance with an agreed matrix if such is justified (e.g. the degree of freshness, quality, etc.).
 
Frozen fish are sold at compulsory delivery auctions, open auctions or under contract. These auctions take place on an electronic trading system and only approved purchasers listed in the Directorate of Fisheries' Register of Purchasers are allowed to participate.
 
Our most important customers are the filleting industry in northern Norway, the clipfish industry in western Norway and Norwegian exporters.
 
HAVFISK ASA adapts its operations to comply with given framework conditions and current market conditions. The company's organizational structure creates economies of scale as a result of regular deliveries of raw materials throughout the year and well qualified employees.