China is mass producing endangered fish and wrecking European caviar markets

China is mass producing endangered fish and wrecking European caviar markets
Chinese aquaculture has boomed over the past two decades, and farmed fish will soon pass poultry globally as the most important animal protein in human diets.

Some Chinese fish farming operations focus on the highest-value species, including sturgeon--the most important source for high-priced caviar--and Atlantic salmon. Sturgeon and salmon are threatened, and decades of overfishing has forced global authorities to restrict fishing them until natural stocks recover.

But China has gone from a 100% net importer of caviar, to the world's biggest producer and exporter. For salmon, giant farms--both onshore and offshore--are devoted to mass production of Norwegian and Atlantic salmon, which are also exported in high volumes.

Fish and caviar are highly perishable, and need to be sold and consumed shortly after harvest. New Chinese supply coming on to the market immediately results in lower prices. This is putting strains on European companies, who should have enjoyed record high prices and profits, given export restrictions on caviar from Russia or Iran. But Chinese production is suppressing prices, destabilizing caviar markets in Western Europe.