Chinese demand, weather send abalone prices through roof

STRONG demand from China and bad weather around Tasmania have sent abalone prices above $60 a kilo for the first time.

STRONG demand from China and bad weather around Tasmania have sent abalone prices above $60 a kilo for the first time.

The price has hit close to $63 in recent weeks, following premium Tasmanian exports like crayfish into the stratosphere.

Tasmanian Abalone Council chief executive Dean Lisson said it was uncertain whether the price could be sustained.

Tasmanian Abalone Council chief executive Dean Lisson.

“It’s at a record high at the moment, driven by strong demand from China and a shortage of supply due to bad weather for fishing,” he said.

“If the weather improves and we can get a good portion of the fleet around to the West Coast to deliver a lot of fish in the next few weeks, there may be a bit of downward pressure on that price.”

Tasmania’s abalone industry adds more than $100 million to the economy annually. The world’s largest wild abalone fishery, it provides about a quarter of the global product.

Mr Lisson said China’s slowdown had not had a heavy impact on the sector, which was increasingly being eyed by Chinese investors.

“While the wealth of the middle class is not rising as quickly as it was, it’s still rising quicker than in most other countries,” he said.

“We’re very confident that will be reflected in increased demand for premium food products, of which abalone is prominent because it has a very high cultural significance in Chinese food culture.”

RELATED: ‘SHEER TERROR’ ... AND IT’S ALL PART OF THE JOB HE LOVES

The price hike is not necessarily trickling down to divers, who can receive as little as $6 a kilo. Mr Lisson said while prices remained high divers should be paid at least $10 per kilo.

Diver Shane Wilson said the people he caught abalone for who were ex-divers were excellent but some investors were a lot harder.

“They just see the numbers and don’t understand the risks that we take,” he said.

Originally published as Chinese demand, weather send abalone prices through roof