The growth is expected to be generated through a combination of employing idle licence capacity and higher utilisation of existing licences by using large smolt.

The company also announced detailed measures and investments to improve the biological performance and cost structure in of its Scottish operations. Its site at Applecross in Wester Ross will be expanded at a cost of £49m.

Bakkafrost also plans to invest in processing facilities improving; efficiency, productivity and quality and with a focus to enhance capabilities supporting Bakkafrost’s overall brand strategy and to better meet the needs of the retail market.

The company said that the implementation of the investment plan will be transformational for its Scottish operations and aims to become the most sustainable and profitable in Scotland, where it has underperformed in the past.

Bakkafrost is collaborating with Scottish authorities in progressing its investment plan in Scotland to ensure sustainable growth.

Due to lead times in construction and the long production cycle of salmon, expected profit and loss improvements are back end loaded in the plan.

Bakkafrost plans to continue the development of its efficient and well invested value chain in the Faroes, aimed at maintaining its strong biological track records and to facilitate planned growth during the next five years and beyond.

The investment plan is expected to be financed through a combination of operational cash flow and available funding. The conventional salmon farming industry is operating close to capacity. As a result, the industry is committing significant resources to the development of alternative farming methods on and offshore.

With limited capacity expected to be introduced from conventional and alternative farming methods during the next five years, Bakkafrost expects the tight market for its premium salmon products to remain.