Salmon industry brings £290m to Highlands and Islands economies
“The Highlands and Islands continue to be the most significant beneficiary from the salmon sector”, according to the head of the industry’s trade organisation.
A new survey of producers has revealed that the sector injected in excess of £500 million into the UK economy in 2008 in the form of expenditure on suppliers and services and the award and spending of employee wages. Of this total, the Highlands and Islands continue to be the most significant beneficiaries, netting some £290m of economic benefits in 2008.
Speaking to business leaders, local authority representatives and MSPs in Inverness today (Thursday 30th July), Scott Landsburgh, Chief Executive of Scottish Salmon Producers' Organisation, said: “With over £290m injected into the Highlands and Islands last year, many remote, rural economies remain reliant on a successful, sustainable and profitable salmon industry. The sector remains one of the foremost food sectors in the region, producing healthy, nutritious seafood.”
Gareth Williams, SCDI Highlands and Islands Manager, said: “The Scottish salmon sector exports to markets around the world and the Highlands and Islands continue to be the main beneficiary, with over £5.5m paid in direct employees wages and expenditure on suppliers and services in local businesses every week.
“The sector has proved resilient in the economic downturn and the prospects for future demand are hugely encouraging. If we get the policies right to attract more capital investment and expenditure in the supply chain, we will all benefit from its sustainable growth for years to come.”
In addition to the expenditure on suppliers and services and the economic benefits derived from employee wages, the salmon industry has made capital investments in equipment and infrastructure in excess of £84 million over the last three years as they prepare to meet the growing demand at home and abroad. The vast majority of this investment (£81m) has been in the Highlands and Islands. Capital investment has risen year-on year from £19.5m in 2006 to £35m in 2008.
Notes to editors:
1. The economic benefits in the Highlands and Islands derived from the salmon sector were announced at a Scottish Council for Development and Industry (SCDI) business event on Thursday 30th July, 12.30pm – 2.00pm, at the Drumossie Hotel, Inverness.
2. Some 95% of salmon farmers completed the Scottish Salmon Producers' Organisation survey.
3. The total expenditure on suppliers and services topped £304m in 2008. Of this total, £143m was spent in the Highlands and Islands.
4. Primary salmon production led to local wages payments of £36m in 2008. When applying standard government economic multipliers, the local wages payments translate to an injection of £165m into rural economies as money earned locally is spent locally. Some £147m of this total (89%) is in the Highlands and Islands. The largest share of this distributed income is in Highland (£58m), Shetland (£37m), Argyll & Bute (£32m), Western Isles (£15m) and Orkney (£5m).
PICTURE CAPTION: The salmon industry contributed in excess of £290m to the Highlands and Islands economies in 2008.
(From left to right: Scott Landsburgh, SSPO, Mary Scanlon MSP and Gareth Williams, SCDI)
For further information, contact Ken Hughes, SSPO, 07974 173739, or Gareth Williams, SCDI, 07917 103997. |
