Trump tariffs force Atlantic Sapphire to seek new feed supplier

Florida land-based salmon farmer Atlantic Sapphire is seeking an alternative feed supply in response to US president Donald Trump’s 25% tariff on imports from Canada, which take effect tomorrow.

“Atlantic Sapphire predominantly sources its feed from Skretting's feed mills in Canada. The newly announced US import tariffs on Canadian products will significantly affect the cost of this imported feed,” the fish farmer said in a stock market announcement.

“In response, Atlantic Sapphire is evaluating options to mitigate the impact of these tariffs. This includes considering alternative sources of feed from non-Canadian mills.”

Feed can comprise around two thirds of a fish farmer's production costs, so a 25% price rise is significant.

Atlantic Sapphire currently has a capacity of around 10,000 gutted weight tonnes annually but has yet to achieve that volume due to a variety of setbacks. Total harvest volume last year was approximately 4,400 gwt. Standing biomass at December 31 was 3,180 tonnes live weight.

'Brutalising communities'

Trump is imposing 25% tariffs on a range of goods from Canada and Mexico, along with a 10% tariff on Canadian oil and imports from China for both political and economic reasons, including a trade deficit with Canada which he says means the States’ northern neighbour benefits far more from free trade between the countries.

Tim Kennedy, president and chief executive of the Canadian Aquaculture Industry Alliance (CAIA) warned last week that the tariffs will “brutalise” Canada’s coastal communities. He said that in the face of Trump’s actions, Canada’s federal government should reverse its decision to end open net pen salmon farming in British Columbia by mid-2029.

“It is time to begin on a new and innovative pathway toward food security, job creation and new economic and community opportunity through seafood farming,” said Kennedy.