A quiet change with loud consequences for costs.
Mowi has struck a strategic partnership with Skretting, Nutreco’s aquaculture feed unit, in a deal the salmon farmer says will cut costs across feed formulation, procurement and logistics while allowing it to keep its in-house feed manufacturing footprint.
Under the agreement, Mowi Feed will continue to produce feed at its two plants, but recipes will be based on Skretting’s formulations. Mowi said the partnership is expected to generate more than NOK 650 million ($65 million) in annualised net cost savings.
The arrangement concludes a strategic review of Mowi’s Feed Division that the group flagged in a stock exchange announcement on 4 March 2025. Rather than divesting the unit, Mowi will retain it “as-is”, arguing that keeping its own production capacity preserves margins inside the value chain and positions the business to benefit if the feed market tightens further.
Mowi forecast an EBITDA contribution from the retained Mowi Feed unit of NOK 825 million ($82 million) in 2026. Combined with the expected contribution from the Skretting partnership, the group said total EBITDA uplift would exceed NOK 1,475 million ($145 million).
The company said the earnings impact equates to an EBIT per kg (GWT) of NOK 2.1 at group level and NOK 2.6/kg for Mowi Norway, corresponding to NOK 1.7 in earnings per share.
Ivan Vindheim, Mowi’s chief executive, described Skretting as the preferred outcome from the review process, saying: “With this agreement, Mowi Farming secures the best performing feed in the coming years at the lowest cost in the industry.”
Mowi said Skretting, one of its longstanding suppliers, would make available proprietary nutritional know-how, research capacity, data and procurement capabilities. The farmer said it would pay a small annual consideration for access to those resources.
Vindheim said the structure provided a “low-risk solution” that delivers savings from day one, while allowing Mowi to retain what it called embedded profit in the feed segment through its Norwegian and Scottish plants.
Mowi, headquartered in Bergen and listed on the Oslo Stock Exchange, is the world’s largest producer of farm-raised Atlantic salmon. The company said it expects a harvest of 605,000 tonnes in 2026 across seven farming countries. It reported turnover of EUR 5.6bn in 2024.
