The weekend announcement of a 26 percent cut in Peruvian anchovy quotas for the second season in Peru's north central fishing waters is already being reflected in higher raw material costs, which are coming on top of rising freight costs.

Based on a calculated biomass of just over 7 million metric tons, the 2.047 million metric-ton anchovy quota was well below expectations of many in the industry, who anticipated 2.5 million metric tons for the season.