Photo: ASC

ASC: The Norm Price Council undermines sustainable aquaculture

The Aquaculture Stewardship Council (ASC) strongly reacts to the recently introduced addition of 1.5 kroner per kilo to the standard price for ASC-certified fish.

The organization warns that this will have serious and unintended environmental consequences for the Norwegian aquaculture industry.

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The Norm Price Council has introduced a special surcharge on ASC-certified salmon, despite the fact that this certification scheme sets significantly stricter environmental and social requirements than the Norwegian authorities themselves. The purpose is to tax farmers for the increased income they achieve by selling sustainably farmed salmon.

"We understand that this surcharge is purely fiscal and intended only to generate revenue", says Laetitia Rosing, Producer Outreach and Regional Manager Nordics at ASC. "Nevertheless, this will undermine several years of progress towards more sustainable aquaculture in Norway. This is a tax on responsibility".

Rosing believes it must be attractive for farmers to choose the most responsible and transparent certification scheme on the market.

An economic penalty for sustainability

ASC-certified farmers will face a significant financial burden, while other less stringent sustainability schemes will not be affected by the additional tax. The organization fears that the farming industry's environmental work will be weakened.

"The Norm Price Council (Prisradet) has shown a lack of understanding of how certification schemes and market forces interact. Instead of promoting sustainability, this addition creates a zero-sum game where the consequence is weaker environmental standards and increased reputational risk for the Norwegian aquaculture industry", adds Rosing.

No transparency, no dialogue

ASC has repeatedly attempted to enter into dialogue with Norwegian authorities to discuss the consequences of this tax, most recently in the form of letter to the Ministry of Finance in January. The requests for emergency meetings have remained unanswered.

"How can an internationally recognized environmental organization be completely ignored in a decision that directly affects our work?", asks Rosing.

"If the goal was truly to ensure fair taxation in the industry, alternative solutions should have been considered. Instead, the Norwegian authorities have made a decision that opposes sustainable production, without dialogue with ASC, which is explicitly mentioned in the decision". 

Harmful consequences for the industry and the market

By making ASC certification more expensive, Norwegian authorities are sending a clear signal: Sustainability is not going to pay off. The most likely consequences include:

• Increased reputational risk for Norwegian salmon, as export markets demand increasingly stronger sustainability commitments.
• Reduced investment in innovation, as manufacturers are likely to pause or discontinue innovative initiatives that promote sustainability
• A setback for global sustainability goals, as environmental requirements weaken and the ASC organization reinvests revenues in the development of more responsible aquaculture.

"This decision will be a direct step backwards for responsible aquaculture. The Norm Price Council may not have intended to oppose sustainability, but that is precisely what they are doing", concludes Rosing. "We urge the Norwegian authorities to reconsider this addition, which is reserved only for the most sustainable and environmentally friendly salmon. We at ASC want a dialogue to find a fair and balanced solution that does not penalize those who lead the industry".

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