Country Report Iceland July 1998 Main report

Economy: Fisheries strike causes a drag on growth

The economic expansion has, however, been adversely affected by the fisheries strikes in February and March (2nd quarter 1998) which contributed to the overall decline in the total fish catch from 920,100 tonnes in the first quarter of 1997 to 572,700 in the same period this year. Capelin fisheries were particularly badly affected by the strike, with the catch declining by almost 43% from 774,700 tonnes to 443,700 tonnes. The only fish caught in larger quantities during this period was cod, the total catch of which rose from 56,000 tonnes to 59,600 tonnes. However, despite the overall 37.8% decline in the volume of fish caught, favourable fish prices meant that the value of exported fish products was only 13% lower during the first quarter of 1998 than in the same period a year earlier.

Fish catch (tonnes; ungutted fish) Jan-Dec Jan-Mar 1996 1997 % change 1997 1998 % change Cod 179,500 201,200 12.1 56,000 59,600 6.4 Haddock 55,100 43,000 -22.0 10,300 6,700 -35.0 Saithe 39,100 36,400 -6.9 9,300 7,300 -21.5 Redfish 64,700 71,700 10.8 19,600 18,100 -7.7 Other demersal species 134,000 122,300 -8.7 17,000 12,200 -28.2 Herring 263,300 288,200 9.5 15,300 8,800 -42.5 Capelin 1,176,400 1,325,400 12.7 774,700 443,700 -42.7 Crustaceans 79,000 85,800 8.6 17,900 16,300 -8.9 Total 1,991,100 2,174,000 9.2 920,100 572,700 -37.8 Source: Central Bank of Iceland, Economic Statistics Quarterly.

© 1998 The Economist lntelligence Unit Ltd. All rights reserved
Whilst every effort has been taken to verify the accuracy of this information, The Economist lntelligence Unit Ltd. cannot accept any responsibility or liability for reliance by any person on this information
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