Ample Supply Is Suppressing Prices, And The Global Squid Market Has Entered A Period Of Low-level Competition.

In the fourth week of 2026, the domestic deep-sea squid market continued its overall weak trend. Prices for squid from the Southeast Pacific (mainly Peruvian giant squid) continued to decline, becoming the core variable in this downward trend; while prices for squid from the Southwest Atlantic (Argentine squid, Illex argentinus) and other sea areas remained relatively stable, with some areas even showing signs of stabilization and recovery.

From the perspective of the Southeast Pacific market, supply pressure is the direct cause of the price decline. With favorable sea conditions and improved fishing efficiency in the previous period, deep-sea fleets returned to port en masse, resulting in a large influx of new catches into the market. This, coupled with an increase in annual catch quotas, led to a significant temporary easing of supply.

Prices at Peruvian ports also weakened, with the purchase price of squid at the port of Paita approaching or even falling below the basic operating costs of fishing vessels. On the demand side, downstream processing companies mainly purchased on an as-needed basis, making it difficult to effectively support prices. Traders, in order to accelerate cash flow, proactively lowered prices, further amplifying the decline.

Meanwhile, the catch of giant squid in the high seas remains at a high intensity, with an average daily catch of approximately 4–8 tons per vessel, and a cumulative catch of approximately 200–250 tons per vessel since December 2025. Although the Peruvian government has recently passed several ministerial resolutions to strengthen the regulation of squid fishing in the high seas, clarifying VMS monitoring, the observer system, and catch reporting requirements, the effect on reducing the overall supply in the short term is limited.

Conversely, at the end of January, Peru relaxed the single-voyage catch limit for hand-operated fishing vessels equipped with the Satellite Monitoring System (SISESAT), improving quota utilization efficiency while maintaining the total amount, and further consolidating the high supply pattern of squid in the South Pacific.

In contrast, the Southwest Atlantic market is experiencing a stable price for squid, which has just begun its fishing season in Argentina. Official and research data from Argentina show a smooth start to the 2026 fishing season, with 74 squid fishing vessels operating and an average daily catch of 38 tons per vessel, significantly higher than previous years. As of late January, the cumulative unloading volume reached approximately 25,000 tons. The fishing vessels are mainly concentrated in the continental shelf waters between 44° and 46° south latitude, targeting summer spawning populations. Although previous attempts to "open the fishing season early" for the southern Patagonian population were almost unsuccessful, the fleet's rapid northward shift found fishing grounds with better resource conditions, ensuring overall yields.

It is worth noting that the current Argentine squid are mainly S and SS size, with an average weight of about 158 ​​grams. The flesh is relatively thin, but the abundance of resources and stable harvesting conditions are significant advantages. The first batch of catches has been unloaded in ports such as Madeline and De Seado, and exporting companies are beginning to arrange their first round of shipments in early February. In the domestic market, the price of Argentine squid at the Weihai International Marine Commodities Exchange has risen slightly, reflecting the market's initial acceptance of the new season's resources.

Based on both international and domestic information, the global squid market is currently characterized by "high supply in the South Pacific and steady increases in volume in the South Atlantic." Peruvian giant squid production remains high, exerting long-term downward pressure on prices; while Argentine slipper squid production has rebounded, the fishing season is still in its early stages and has not yet fundamentally changed the global supply and demand landscape. With high inventory levels and a slow recovery in demand, squid prices are generally remaining low, and price differences between different sea areas and species are becoming increasingly pronounced.