Mowi closes salmon factory over uncertainty caused by Norway tax proposal

Salmon giant Mowi will close one of its Norwegian processing facilities because of the uncertainty resulting from a new 40 percent resource tax recently proposed by the Norwegian government, the company said.

On Wednesday, Sept. 28, the Norwegian government proposed a 40 percent tax on the profits of companies using the country's natural resources, including salmon farming. The so-called resource tax would lead to a massive bottom-line hit on the sector.

“Unfortunately, the necessary upgrades to Mowi’s processing plant at Jokelfjord will be too costly, ” Mowi Nord regional director Nord Orjan Tveiten told IntraFish.